YouTube reaches over 2 billion active monthly users. According to McKinsey’s 2021 holiday survey, 57% of shoppers say that YouTube has influenced their buying decisions.

Video advertising is an engaging way to target a number of different demographics. Let’s get into what exactly is YouTube advertising and how you can use this platform to increase your brand awareness.

YouTube Video Ad Formats

Skippable and in-feed video ads

Skippable ads are cost effective because advertisers only pay for video views rather than impressions. Additionally, if users skip the video as soon as they can, you don’t have to pay anything. Your ad can play before, during or after other videos and viewers can skip the ad after 5 seconds.

In-feed are slightly different and they include an image thumbnail, headline and a couple of lines of text. When a viewer clicks on the thumbnail, they are redirected to the YT page for the ad.

Bumper ads

This is a short form video format of 6 seconds or less. It is a great way to reach more users and increase brand awareness. With only 6 seconds available, you have limited time to capture your audiences’ attention. Be creative and memorable!

Non-skippable ads

This is a longer version of the bumper ad. A non-skippable video video can be between 6 and 15 seconds and it cannot be skipped.

Shorts

Ads on Shorts are immediately swipeable ads that appear between Shorts in the feed. One of the benefits of this format is that is it a vertical, full screen ad and if executed correctly, it can be very effective! As viewers can skip the ad at any time, in order to count as a view, users must watch the video for at least 10 seconds (or until the end of the ad, whichever comes first).

Targeting Your Ads

In order to keep costs down, establish who your audience is and devise a media plan that will reach the correct users who will interact with your brand.

There are numerous targeting options available on YouTube including, keywords, affinity & in-market audiences, channels, demographics.

Choose two to three strategies to ensure you are targeting a precise audience without limiting your reach. Don’t waste your money on users who are not interested in your brand.

Bidding and Optimising your YouTube Ads

YouTube ad costs are very hard to estimate. Costs can change based around certain times of the year, the content you want to appear against and the audiences you are targeting.

Remember, you only pay when someone engages with your ad (e.g. a user watches your skippable ad for 30 seconds or they click on a CTA).

With this in mind, allow for at least $10 per day for your campaign. After few days of running your ads, you will have a clearer picture of your reach and if you need to adjust your budget.

When optimising your campaign, look at the View Rate and Click-Through-rate as these can show you whether your ads are engaging enough. If you are struggling with reach, increase your bids to ensure you are winning the auction instead of your competitors!

The Future of YouTube Ads is Bright

YouTube advertising is not slowing down. With CTV and OTT viewership, there are unlimited ways in how you can reach your audiences. If you want to drive brand awareness or increase sales, YouTube is a platform in which you can do both.

Try creating a YouTube campaign and see the results for yourself.