In case you missed it, YouTube is killing it. The digital era has eclipsed yet another colossal milestone — Americans now spend as much time watching online videos as they do watching television, with those ages 16-45 spending an average of 102 minutes per day on each of these mediums. Combine that with recent viewership statistics from YouTube and the math is simple: YouTube dominates the market.

Reaching and engaging more 18-49-year-olds than any cable network in the United States, the statistics tell the story—YouTube’s ascension into mass popularity has reshaped the media industry and fundamentally transformed digital marketing as we know it.

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What’s Next?

According to Google’s second-quarter report from 2015, users who come to YouTube stay awhile—to the tune of 40 minutes per session on mobile alone, up more than 100 percent from the previous year. Overall, this statistic is part of a resonating trend—young Americans are replacing traditional TV services with YouTube.

By 2025, current consumer patterns indicate that only half of U.S. viewers under the age of 32 will subscribe to paid TV services. Pair that statistic with the fact that more than 50 percent of YouTube’s video views come from mobile devices, and the central role of this platform in digital marketing strategy comes directly into focus.

Cool. Why Should I Care?

Subsequent to the monumental marriage of Google and YouTube, the Google Display Network became an unmatched force in its potential reach, with 90 percent of Internet users on more than two million websites under its scope.

Still Cool. Why Should I Care?

First, the cost of video advertising is extremely low. Advertisers are charged only when a user watches an entire ad—meaning that advertisers do not pay for video skips. This essentially means that if an advertiser uses heavily branded content within the first five seconds and a user elects to skip the ad, the brand essentially gets free advertising.

Understanding the Value of Video Advertising

Myth: Online video doesn’t create leads.

Not so fast! Take a moment to assess the objectives of an online video advertising campaign. The general consensus with traditional television advertising is that it can be a successful vehicle for brand promotion and awareness—it is often our first touchpoint with a brand. In a matter of moments, whether we like it or not, we learned something about a brand we might not have previously been familiar with.

The primary objective of any type of video advertising campaign is not only to engage, but to teach. Teach the right people, in the right place, at the right time with YouTube.

That being said, where TV and radio market to an expansive audience, YouTube advertising gives advertisers the freedom to reach a specific and granular audience. From placing these advertisements on a cherry-picked list of websites on the Google Display Network, to reaching only suburban mothers between the ages of 35 and 44 interested in sewing, digital marketers have an arsenal of truly incredible audience targeting capabilities at their fingertips. But wait, there’s more.

Fact: Online video lead generation is real — it’s growing, and it’s going to change everything.

There are a number of methods digital marketing experts use to boost engagement among video advertising campaigns — WordStream provides more information here. On the subject of conversion optimization, plug-ins like Wistia allow advertisers to insert a lead form at any point during a video, signaling a large-scale shift toward interactive video.

A recent Wistia case study found that lead forms placed within the first 10 seconds of video streaming can dramatically increase both clickthrough and conversion rates. Other strategies proven to be successful in lead generation include audience segmentation, inclusion of personalized video and close attention to remarketing patterns.

Now more than ever, it’s critical for digital advertising professionals to understand these changes and make necessary modifications to their online marketing campaigns to preserve and promote the relevancy of their brands.

Beyond YouTube

This trend is not specific to YouTube — social media channels like Facebook, Instagram, Twitter, and others have seen dramatic upticks in the time users spend engaging with video content. Senior digital marketing experts suggest that failure to distribute video content among these channels can dilute a brand’s potency.

In fact, two-thirds of users who engage with video on Twitter respond favorably to video content tweeted by a familiar brand. Advertisers who fail to become familiar with their target audiences and penetrate channels like these are ignoring a critical piece of the puzzle in building their brands.

One minute of video is worth 1.8 million words.

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As recently as ten years ago, advertisers watched in awe as display ads ushered in a new era of digital marketing. While video advertising is not new, emerging trends suggest we are in the midst of yet another paradigm shift—this time, it’s video.

Ready to test out video in your advertising strategy? Learn more about our digital advertising services.