Being a marketer is an interesting job.
On the one hand, you’re expected to keep up with trends. When a new social media platform starts to take off, you’d better be there promoting your brand.
Still, you can’t just blindly follow those trends. Popular platforms become saturated with dozens of competitors, and standing out becomes nearly impossible.
Don’t get me wrong; social media ads can work wonders. I’ve just noticed there are plenty of underutilized marketing platforms right now. The most noticeable of which is YouTube ads.
YouTube ads are one of the most overlooked ad formats in digital marketing, and it’s easy to figure out why.
The massive focus on social media ads combined with the challenge of creating compelling high-quality video content makes YouTube ads a tough sell to small business owners.
Can YouTube ads be tough to grasp? Sure, at first. Luckily, once you get over that initial hurdle, YouTube ads offer some pretty unique marketing tools you can’t find anywhere else.
That’s why today, we’re taking a deep dive into the world of YouTube ads, from ad types to strategy. We’ll even walk you through creating your first one!
5 YouTube Ad Types
If you’re unfamiliar with YouTube, their primary advertising format is known as the TrueView ad. Before we can understand the value of skippable in-stream ads, we need to take a closer look at YouTube’s TrueView ad approach.
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TrueView ads were created to solve a massive problem. Before TrueView ads, users lacked any meaningful way to control their advertising experience. Without a way to meaningfully interact with the content, ads ran the risk of being both frustrating and irrelevant.
YouTube was hoping to present itself as a valuable advertising platform, but its original approach to advertising severely limited the effectiveness and efficiency of brand marketing efforts. No brand wants to waste precious time and money selling to viewers who simply aren’t interested.
Here’s the simple explanation: Your brand only pays for TrueView Ads when viewers watch for at least 30 seconds, watch your entire video, or interact with your ad via call-to-action (CTA).
1. Skippable In-Stream Ads
The first variation of the TrueView ad is the skippable in-stream ad. At a minimum of 12 seconds and a maximum of six minutes, in-stream ads play before a viewer’s video on YouTube.
These ads feature a countdown timer on screen, as well as a link to the brand website. You can also tag on a companion banner ad, but it’s worth pointing out these companion banner ads won’t be on all YouTube pages where your in-stream ads are served.
Of course, the most important part of this variant is the option to skip the video ad after five seconds. If they choose to skip and don’t interact with your ad, you don’t have to pay a dime. Assuming you uploaded the video to your YouTube channel, once the viewer watches for 30 seconds, a view is attributed to your view count.
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2. Video Discovery Ads
TrueView Discovery ads are promoted throughout YouTube, appearing as an image thumbnail with up to three lines of text. These ads function as an entirely optional way for viewers to consume your brand content.
Discovery ads are visible on the YouTube homepage, at the top of a viewer’s YouTube search results, and on the suggested videos list on their video’s watch page. The best part? Your brand doesn’t spend a dime on these ads unless viewers interact with them.
That’s what makes this advertising approach so useful to brands and marketers. TrueView ads work to protect both the viewer’s time and your brand’s money.
3. Non-Skippable In-Stream Ads
If the TrueView approach just doesn’t interest your brand, YouTube has plenty of other options. Non-skippable ads function a bit differently on this platform. They might look just like skippable ads on the surface, but you’ll be limited to a 15-second ad window for non-skippable ads.
Beyond that, you’ll be dealing with a cost per thousand (CPM) payment structure, forcing you to pay for every thousand views.
The only scenario where you’d want to use something like this is when you’re dealing with a proven target audience or when your brand is looking to maximize its reach. Otherwise, there’s a strong chance you could waste time and money selling to the wrong prospects.
4. Bumper Ads
As you research YouTube ads, you’ll likely come across bumper ads and wonder what purpose they serve. What makes them different from the traditional non-skippable in-stream ad?
The most significant difference is the duration of your ad window. Instead of 20 seconds, bumper ads are expected to last less than six seconds.
Why would this distinction matter? Well, a viewer’s time and attention are valuable commodities. YouTube needs to protect their user experience, primarily by providing users with relevant information. YouTube limits these bumper ads to avoid frustrating viewers with non-skippable ads.
The key to making bumper ads work is creating something memorable. The format might not support long-form stories, but there are plenty of ways to portray your brand in five seconds.
