Youtube Ads in a nutshell

This is the golden era of Youtube Advertising: views and consequently clicks are cheap, but the attention of audiences throughout all demographics is already there. YouTube reaches more than 1 Billion viewers worldwide. Check out this quick survival guide for video ads, if you are a pro, go right away down to the “Pro Tipps”.

Especially for branding purposes Youtube is king. Just like Display, it let´s us match our targeting to the content (placements, topics etc.) or to the person who´s watching (audience targeting).

Let´s focus on the 2 most important ad formats for now:

In-stream and Discovery Ads

In-stream Ads
Are videos which are shown to you before, in the middle or after the original video you have intended to watch.

The viewer can skip them after 5 seconds and the advertiser pays only after a watch time of 30 seconds. All aborted video views before that are free, except for if the advertised video is shorter than 30 seconds, in this case it has to be fully watched to be charged.

It´s important to quickly catch the attention of the viewer like a slippery fish, before the 5 seconds are over, through making the purpose and benefit of the video clear right away, otherwise he will keep on swimming in the Youtube sea.

Discovery Ads
Can appear in searches on Youtube, the start screen and in recommendations. The viewer has to actively click on the ad and will be directed to your channel.

Bidding strategies
Most common are CPV (Cost per view) and CPM (Cost per Mille = Thousand impressions)
While in the European markets a CPV of 1- 10 cents is normal, in the US we can pay up to 30 cents per view.
CPMs between 0,50€ and 5€, depending on the targeting and location can be expected.

View rate
This is your best indicator if you are targeting the right group, because if the view rate is very low, either the beginning of the video is not captivating enough or you are targeting an audience that is not interested in your service/product/content.

In-stream Ad: Use a call-to-action-button if you want viewers to take an action.

About the video
Length: between 30-90 seconds is ideal for an ad video, but it can also be longer.
The beginning should make clear what the ad is about and has to be captivating, since we only have 5 seconds to spark attention.
Ad a clear CTA in the end – what do you expect people to do? E.g. subscribe to the channel, book now, etc.. You can and should also ad a call-to-action button, otherwise there are not many possibilities for them to end up where you want.

You can either remarket your website visitors with a video on Youtube or
connect your Youtube Channel to your Google Ads Account and run remarketing to people who have watched (another video of) your channel.

Pro Tipps

  • Every video has to be uploaded on Youtube, but content makers be aware: the constant skipping of ads will hurt your watch time stats, if you want to grow your channel with Youtube advertising, you have to upload the ad video as unlisted.
  • Also, the review process from Google´s side takes longer for Video ads than for Search or Display ads, count on at least 1-2 days for the video to be running after your have created the campaign.
  • The smaller the audience, the more expensive the CPV because it´s more difficult for Youtube to squeeze it into the right audience or content.
  • Once your campaign is running, you can´t change the bidding strategy, because the campaign goal (at set up) is directly connected to it.

Last but not least, the most important thing:

Frequency Capping

Ideally chose 3 impressions per day per viewer per campaign. After a couple of weeks it´s advisable to change the creative (video) to prevent ad fatigue.

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