What To Do For Video Ads To Bring Conversions

by Alexander Bowl
Portland Digital Agency

In this article, we’ll take a look at the most popular video ad format – conversion videos. These are usually short videos of up to 30 seconds with variable timing. Their task is to lead the user to conversion. In such videos, we at Portland digital agency demonstrate the products of a certain brand, emphasize its advantages, and inform about favorable conditions for purchase.

In order for conversion videos to really bring conversions, we keep several things in focus in the process of working on them:

  1. Sales funnel – the video should take its place in it.
  1. Placement sites – the video must be created specifically for them.
  1. Parallel advertising activity – the video must be supported by other advertising formats.
  1. Product benefits – we must have minimal and sufficient information to create a creative.
  1. Targeting – we need to understand how we will reach the audience we need.

Let’s expand on each item in more detail.

The Video Ads Should Take Its Place In The Sales Funnel

To create a video that will fulfill its task, we need to understand how the sales funnel works on the project and at what stage the users who will see this video are. Answers to the following questions help:

  1. Why do customers come to the site where the video will be posted?
  1. How do they see and feel as they move along the funnel to achieve the goal?
  1. What ad formats do they meet?
  1. How can the use of the selected formats affect user behavior on the site?

For example, a company launched a promotion on a marketplace and decided to advertise it using video ads. We have divided communication with potential customers into advertising tasks that are directly related to the stages of the customer journey. These tasks include:

  • raising awareness – at this stage we needed to show the breadth of the assortment, present key products;
  • formation of demand – here it was important both to note the competitive advantages of products and to make a profitable offer;
  • growth of direct sales – at this stage we had to focus on the best offer.

They decided to make the videos animated. Using animation, you can create multiple videos in the same style or one video with variable parts at a low cost – this makes it easier for the marketer on the client side and allows you to conduct A / B testing without large investments in production.

The Conversion Video Ads Must Be Created For A Specific Place

Now that we understand at what stage of the funnel we are working, we need to understand on which site we can reach those who are at this stage.

If we are talking about the growth of direct sales, then it is obvious that we are interested in an already warmed up audience – one that is ready to make a purchase. The easiest way to find it on YouTube is through remarketing, brand searches, category searches, and competitor searches. In addition, YouTube ads give you the ability to go straight to the product landing page and convert. As for raising awareness, we acted through TV commercials. The task of generating demand was solved both with the help of TV and with the help of YouTube.

Interestingly, the internet used to support TV advertising campaigns. Now TV and radio have a supporting function. Our clients are increasingly launching videos on Internet channels – there we know more about the consumer, we can customize advertising more precisely by choosing the audience we need, and calculate the cost of a lead to a penny.

The conversion videos we prepared led the client’s company to direct sales from YouTube and paid off the investment in them almost fivefold, while the TV videos supported the main funnel launched on the Internet and performed the image function.

The Video Ads Must Be Supported By Other Ad Formats

Even on YouTube, video ads don’t always work for a direct link. The user can simply remember that there is a promotion for the products of a certain company on the marketplace, calmly watch the video content for which he came to YouTube, and return to the marketplace later. To increase the conversion rate, we used several advertising formats on the marketplace: banner on the home page, branded shelves, and product advertising.

The banner on the homepage did a good job of announcing the promotion and new products. The main metric when evaluating this format is the cost of a thousand impressions, CTR.

The brand shelf is a format that worked both to generate demand within a product category and to increase direct sales through flexible targeting settings: we participated both in auctions within a category and “fought for impressions” within specific keywords. When using this format, attention was paid to the click-through rate and cost per thousand impressions. Average conversion from ad format ≈ 45%. Average share of advertising costs ≈ 35%.

Advertising of goods is a format that has worked for the growth of direct sales. Flexible rate settings made it possible to quickly find the one that was within the scope of the business model and, at the same time, guaranteed effective spending of the daily budget. Average conversion from ad format ≈ 12%. Average share of advertising costs ≈ 25%.

It is important to understand that all campaigns launched have a cumulative effect, this also applies to campaigns based on Ozon Performance. Inside the site, the user’s journey is not so fragmented – you can track how this or that advertising activity affected the sales growth.

The Video Ads Should Contain Minimal And Sufficient Information About The Product

When we prepare static and animated ad creatives, for example, a conversion pre-roll, we do not have a task to produce a wow effect on the user: first of all, we need to convert a view into a click and then follow the funnel described in advance. Very complex visual techniques can confuse the user and make it difficult to convey simple thoughts, and become an obstacle to conversion. Pre-rolls literally have seconds to convey the benefits of products to the user.

All videos that we have prepared for the advertising campaign take no more than 18 seconds. Mostly 12 seconds. Since it was important to conduct A / B testing and choose the most effective advertising offer, we prepared eight videos in accordance with the corporate identity of the brand.

When we received the terms of reference, the stage of its processing and preparation of the first sketches began. After their approval, we made edits and drawn illustrations. The video that we developed earlier was taken as a reference for rendering. Here it is:

Once the illustrations were agreed upon, animation and voiceover recording began. It took a week to develop the first video. The next seven videos were adapted to the first and each took about two days to complete.

You Should Remember

When it comes to conversion video ads, the targeting you use must match in context with the product that the user is looking for on the site. For example, we do not recommend promoting baby food on the request “baby strollers”. This kind of targeting is best used for display campaigns.

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