Automotive Marketing – Digital Video Advertising Dealerships
The latest statistics about the growth and reach of online video offer convincing proof of its potential for marketing purposes. According to a recent infographic from HighQ.com, “2015: The year of video marketing,” 78% of people say they watch online videos weekly, and 55% watch them daily. Of these video viewers, 65% watch more than three-quarters of a video once they’ve started.
Think online video is big now? Just wait. Experts predict that by 2018, nearly 80% of overall consumer Internet traffic will involve online video. Video already rules the mobile world: Half of mobile traffic is now made up of online video, and that percentage is sure to rise substantially as mobile becomes the predominant means of accessing the Internet.
Of course, video advertising for your dealership and the latest news clip, viral sensation, or funny cat video are very different things. Advertising videos may have at one time been novel enough that the average user would sit through just because they were still marveling at being able to access a more interactive, user choice–oriented viewing medium than television. But those days are gone, so effective video marketing in 2015 has to cater to current viewing habits, more discerning tastes, and as always, the public’s collective short attention span.
Marketing basics still apply:
Ultimately, although online video is something the world seemingly can’t get enough of, succeeding at video marketing isn’t as simple as producing just any video, plopping it on your dealership’s website or on YouTube, and then waiting for business to roll in. As with any type of advertising, the cream will always rise to the top in video marketing: The most creative, informative, compelling, and memorable videos are the ones that will get the results.
In other words, the traditional rules for marketing success still apply. For example, as Brett Stevenson points out in his From the Publisher column, you still have to remember the fundamental rule that you three seconds to grab the viewers’ attention, or you will likely lose them entirely.
Some might think that this basic advertising rule can be bypassed in the online video context with pre-roll commercials—videos a viewer has to watch to get to their intended, non-advertisement video—but pre-rolls often can be clicked away from in five seconds. So it’s best to always mind the fundamentals, regardless of the medium.
The versatility of video:
Part of the beauty of video marketing in the automotive world is that it can take many forms and serve a variety of uses besides traditional advertising. It is by no means just the Internet version of the tried-and-true dealership TV or radio ad. Much video marketing is essentially just that, but it has the advantage of being more portable than TV or even radio, especially now because of the enormous rise in mobile device use.
But videos can do so much more. They can be used to tell both existing and future customers who come to your website about your dealership’s services, facilities, staff, special events, and more. And video can transform your vehicle detail pages from dry static photos and lists of features to interactive, compelling mini-movies that will make potential buyers want to hop into the car and go for a test drive.
via Dealer Marketing
While marketers increasingly appreciate the importance of video in their content mix and agree it produces the best conversions, a new report finds most marketers are still not effectively measuring the effectiveness of their online video efforts.
According a new report by Demand Metric, video remains extremely prevalent as a content type. Of the B2B and B2C marketing professionals surveyed, 91 per cent said video marketing content had become more important to them this year, while just eight per cent said there had been no change in importance.
“Often, the popularity of a content type can render it less effective, but this 2015 study shows that video has staying power and its importance continues to grow: it has not lost its ability to differentiate, “ said the report. “Virtually the entire marketing community acknowledges that video is still growing in importance as a type of marketing and sales content.”
Reflecting that growing importance, marketers are producing lots of videos. More than half of respondents produced between five and 50 videos annually for marketing purposes with 31 per cent producing between 11 and 50. The numbers produced were relatively unchanged from 2014, suggesting marketers have found their video sweet spot. More than half of large companies (defined by revenue) produced between 11 and 50 videos annually, while 45 per cent of medium-sized companies produced between five and 10. Smaller companies, at 35 per cent, were most likely to produce less than five.
Most marketers use their video content on their web site or on social media, with landing pages and recorded webinars well back. Explainer videos and product features were the most often produced types of videos, but customer testimonials were also popular.
Compared to other content types, 51% of respondents said video offered better conversion rates, while 23 per said it was much better and 20 per cent about the same.
“Video has proven an exceptional content type to support all stages of the buyer’s journey,” noted the report. “When a conversion occurs, it marks a pivotal point in the buyer’s journey, either from prospect to qualified prospect, or from qualified prospect to customer.”
The return on investment from online video content is growing, according to 50 per cent of respondents.
“It’s quite possible to determine the ROI for video content,” said the report. “If organizations don’t know what the ROI is, it is because they choose not to measure it, not because the data is unavailable.
Knowing ROI – and other performance metrics of video – is a function of tracking the proper metrics.”
Over the past few years, online video has become an increasingly vital part of the content marketing mix for a huge number of brands. A new study, based on survey results from 350 B2B marketing, agency and management professionals confirms that 73% of respondents believe that video positively impacts marketing results and ROI.
The Web Video Marketing Council, in conjunction with Reelseo, and Flimp Media, has released the ‘2015 B2B Video Content Marketing Survey Results’ which reflects how many B2B brands and companies are using video as a medium for lead generation, and communication. The survey also takes a look at satisfaction levels with the ROI of video marketing, and the barriers to entry that are still considered to be a factor for many B2B video marketing teams.
Respondents to the survey were either actively using video as part of their content marketing strategy, or had an opinion about using video to generate leads, and visibility.
One very interesting statistic from the study was the fact that 63% of brands and companies had been using video as part of their content marketing campaigns for the past 5 years, with 32% of respondents stating that they began using video only in the past 2 years.
What stands out to us, but is by no means a surprise, is that 96% of B2B companies are using video content in some way. The fact that 32% began using video in the last two years goes to show how powerful video is becoming, especially recently.
Furthermore, the top reasons companies are using video come as no shock either… brand awareness and engagement.
Online Video Marketing
Ascend2 conducts a monthly research series, and its most recent Online Video Marketing Strategy survey was conducted online and had 280 respondents, who are US and international marketing, sales and business professionals representing a range of demographic roles, channels and company sizes.
According to the report, the most important objective of an effective online video marketing strategy is to increase brand awareness. Other key objectives include: Increase online engagement, improve customer education, and increase leads generated.
85% of companies that found value in use online video marketing as a strategy. The remaining 15% are struggling to achieve success with video marketing.
What are the most challenging obstacles to video marketing success? According to Ascend2, lack of an effective strategy is the most challenging obstacle to video marketing success according to 48% of those surveyed. Other challenging obstacles include: Lack of compelling content, inadequate video budget, and lack of production resources.
About half of the marketers surveyed consider customer testimonials, explainer or tutorial videos, and demonstration videos the most effective types of online video content used. However, they were also asked, “What are the most difficult types of video content to create?” Customer testimonials and project reviews/case studies topped that chart.
Online video marketing effectiveness is increasing for 87% of respondents, with 43% saying the increase is significant.
It’s been proven many times over, regardless of what industry you are in, marketing videos are valuable at each stage of the buying cycle.
Stage 1: You Get Me
The purpose of this stage is establishing empathy with the buyer, showing you know what they’re going through. Useful videos include educational series, thought leadership pieces, curated lists, and promotional clips.
Stage 2: Decision Criteria
At this stage you want the customer to have a meaningful interaction with your brand. Create a newsletter, influencer series, on-demand webinar, or product tour to get shoppers involved in a more meaningful way. Customer testimonials are also persuasive.
Stage 3: Assess Buying Options
Once your buyer is interested, use video to show key differentiators between your brand and the competition. Explainer videos, FAQs, meet-the-team tours, and case studies all help show critical differences in your brand’s value.
Stage 4: Rationalize or Justify Purchase
Just because the shopper has made a purchase doesn’t mean the journey is over. Now is the time to provide a little extra to create brand loyalty. Create training and how-to videos, and show passionate brand advocates. Promote user-generated content and make video product user guides.
Back in 2011, only 6% of YouTube views came from mobile devices. But, things have changed dramatically since then. YouTube views coming from mobile devices jumped to 25% in 2012, rose to 40% in 2013, and increased to 50% in 2014. Today, more than half of YouTube views and 65% of Facebook video views occur on mobile devices.
So, where and when can you reach Millennials? Well, as we learned a couple of weeks ago, you should probably try to be in the right place at the right during one of the micro-moments when they check their smartphones 150 times a day. Yep, whether you start with mobile or your start with Millennials, you end up in the same place.
In October 2014, Google and Ipsos asked 1,519 smartphone owners aged 18- to 34-years-old to keep detailed accounts of all of their online and offline video activity over 24 hours. Respondents had to access video via an app, so the study was limited to Millennials who owned a smartphone in 2014, But that still covered 81% of individuals age 18 to 34. The research found that smartphones were the top device to reach 98% of those Millennials, higher than tablets or desktops. The research also revealed that watching video on a smartphones was less distracting and disruptive for respondents, compared to watching video on a TV. Watching videos was the sole activity for 53% of the mobile video sessions.
Now, home wasn’t the only place Millennials were watching mobile video last year. 34% of mobile video minutes were watched while people were out and about. People watching digital video outside the home were also 1.8x more likely than average to be meaningfully engaged because they were likely to be watching video for active purposes, such as looking for information or exploring a passion. While marketers traditionally sought Baby Boomers’ attention in their living rooms, sitting in front of a television, mobile video consumption by Millennials has changed that dramatically.
Since the research was conducted a year ago, YouTube reports that users are spending more time per session watching videos. On mobile, the average viewing session is now more than 40 minutes, up more than 50% year-over-year. The number of hours people spent watching videos on mobile is up 100% year-over-year. And YouTube’s mobile revenue from advertising is up 2x year-over-year.
So, why did advertisers finally jump on YouTube’s bandwagon? Well, they were probably jumping on the mobile video bandwagon – and YouTube as well as Facebook have both benefited from this trend in the digital video marketing business. Advertisers realize that Millennials are twice as likely to be focused on the content while watching a mobile video as they are while viewing it via a television screen. Mobile truly is the first screen when it comes to this demographic.
This was validated by more research conducted by Google and Ipsos in February 2015. They wanted to see how this enthusiasm for mobile video translated for brands. So, they surveyed U.S. consumers who watch video on various devices. And this year’s research found that people who view videos on their smartphones are 1.4X as likely to watch ads as those who view videos on TVs or desktop computers.
It’s the worst kept secret on the internet, but video marketing is one of the best ways for businesses to connect with customers. In virtually every situation, video marketing proves to be more powerful and engaging than written content. Despite this, so many businesses fail to give it a second look. Instead, they proceed with a head-down mentality that emphasizes ‘doing things the way they’ve always been done.’ Don’t be that business.
Valuable Reasons to Focus on Video
Your marketing strategy doesn’t have to focus solely on video to be successful – that’s impractical and unsustainable. However, you should focus on diversifying your existing content strategy by naturally incorporating video whenever and wherever you can. Here are a handful of the top reasons to consider doing so:
1. Increased ROI
If you ask businesses that currently focus on video marketing what benefit they enjoy the most, almost every company will respond with an answer that revolves around increased ROI.
2. Better Engagement
But what’s so engaging about video content? Well, it’s a combination of multiple factors. Primarily, video capitalizes on the human brain’s craving for visual stimulation. When combined with audio, that stimulation leaves a much more powerful impact on the viewer. This impression often leads the viewer to pursue a specific action in the seconds, minutes, or hours after watching.
From a marketer’s perspective, video marketing is preferred because of the flexibility it affords the creative team. There are virtually endless options when it comes to creating different types of videos and disseminating them through a variety of channels.
Some of the most popular forms of video content include customer testimonials, product reviews, new product previews/trailers, video blogs, news features, social media content (Snapchat, Instagram, Vine, etc.), interviews, behind-the-scenes tours, whiteboard videos, and more.
4. Ability to Reach All Demographics
It’s no surprise that video connects best with the younger demographic that’s been raised on YouTube, DVDs, and streaming services like Netflix and Hulu. However, it’s not just millennials that relate to video marketing. Unlike other forms of online content, which must be tailored to fit dozens of unique customer profiles, video marketing has a tendency to work well across the board.
Young, old, first class, middle class…you name it. Everyone connects with video. While you certainly can’t forget about customer profiles when creating video content, you also don’t have to stress over it.
Internet users of all ages will naturally flock to video when given the choice between written content and video alternatives.
Invest in Video Marketing Today
While it may feel like it, you haven’t missed out on the video marketing opportunity…yet. There’s still time to build your internet presence and reach the millions of users that watch online videos on a daily basis. Consider these points and begin formulating your strategy today!
A new study based on feedback from marketers, confirms that video has been found to convert better than other forms of digital content, with 71% saying online video performs better for them than text and images.
86% of those surveyed in the report from Vidyard and Ascend2, “Video Content Marketing: Identifying Metrics and Measuring Impact” also confirmed that they were seeing very positive engagement rates from using video, while 69% of respondents indicated that video had been a good vehicle for lead generation.
95% of respondents to the survey confirmed that video was an important and valuable form of marketing content. The overwelming majority indicated that video was far more important now than it had ever been, with another 32% acknowledging it was somewhat more important. None of those polled (from a pool that were using video as part of their marketing campaigns) said that video wasn’t important to them.
How well does video perform compared to other types of content at generating conversions (sales, downloads etc) for organizations? 71% confirmed that video was better at driving conversions than other type of content, with a further 27% indicating that it held its own. Only 2% of those polled said that video wasn’t performing as well as it should for them.
Brands and companies that are using a combination of self-hosting, and exposure on other websites, like YouTube, are seeing the greatest Return on Investment (ROI) for their video marketing efforts. Only 11% were choosing to host videos exclusively on their own properties, while 43% were exclusively posting content to external platforms like YouTube and Vimeo.
In terms of ROI, publication to a brand-owned property, plus an external portal such as YouTube, provided the best investment return, particularly if there were 51+ videos being created per year.
Those who read my “stuff” as the late George Carlin would refer to it, know I don’t usually use such direct, conversational titles. I write very conversationally, however I am not one prone to using that tone when it comes to titles of my articles.
But in this case, after toying with a more traditional approach, I pretty much said: the heck with it and went with Using Video In Marketing: Why Wouldn’t You? because it’s exactly how I feel. Consider just some of the following stats, courtesy of CodeFuel, when it comes to video then ask yourself: Why wouldn’t you?
– 70% of marketing professionals report that video converts better than any other medium.
– The average internet user spends 88% more time on a website with video than without.
– 64% of consumers are more likely to buy a product after watching a video about it.
– Using the word “Video” in an email subject line boosts open rates by 19%, click-through rates by 65%, and reduces unsubscribe rates by 26%.
– 69% of smartphone users say videos are a perfect solution for smartphone viewing as it offers a quick way for consumers to grasp an overview of a product.
I could go on, trust me. But I will stop here.
So, if you’re a marketer and you’re not using video as part of your overall integrated marketing endeavors: Why Wouldn’t You?
Well before you answer, let me tell you if you are not using video, you’re not alone. Here’s one more stat to chew on: Only 24% of brands are using online video to market to consumers .
Big And Small
As for the 24% of brands who are using video, you can count both large and small brands among them. The CEO of Gempacked, Cyrus Nemani says “we use video marketing to give tutorials on how to use the different jewelry making components that we sell.”
One of the larger brands is one you may have heard of before. They’re the ones with the golden arches. I asked Matt Biespiel, McDonald’s Senior Director Global Brand Development how they incorporate video into their overall content strategy.
“McDonald’s was one of the first companies to build a brand and drive our business with television advertising,” he told me. “As viewing habits evolved, we also evolved our strategy to continue being part of the conversation. Today, we look at creating unique video content across multiple platforms.”
He added that the in-store experience is benefitting from video, too telling me that many restaurants are shifting to digital menu boards, giving them an exciting opportunity for video storytelling at the point of sale.
Biespiel warns that video is not one size fits all. “Marketers need to understand that one size does not fit all. Marketers can’t expect to cut a 30-second TV commercial and use that exact edit on a YouTube pre-roll. It won’t work. At McDonald’s, we look for the idea first, then customize the content across multiple channels.”
Facebook is starting to become a must-buy for big brands, because it has the reach and the impact they want. Now, according to ad agency executives, they think Facebook is finally poised to capture more TV ad dollars.
“We see Facebook at a core pivot point,” says David Hewitt, VP and mobile lead at the digital agency SapientNitro. “It’s now a safe bet to put a lot of money into.”
In the last six to eight months, he says, brands have started to understand the reach Facebook has among smartphone users–some 844 million people each day. “It’s hard to get reach on mobile,” he says, but now “Facebook checks that box” in a way that few others online besides Google can.
Another reason is that Facebook mobile video ads can run in a lot of places besides just Facebook. Now that the company is operating a number of other distinct apps, such as Instagram, WhatsApp, and its own Messenger app, advertisers have a wider choice of places to reach a broader range of audiences in unique ways. It also can run Facebook ads on other sites that are part of its Audience Network.
Not least, advertisers like what Facebook is doing with video. In video ads that play automatically in people’s central news feeds, they have a format they know people watch (and that commands much higher prices for Facebook). “There’s an amazing amount of upside to Facebook mobile video ads,” says Hewitt, enough to overcome what he calls “muscle-memory media buying” by big brands.
What’s more, Facebook is pitching advertisers on the ability to buy ads using the same measures they use for TV ads, according to a recent report. Indeed, the ability to measure the impact of its ads on product sales is another big reason Facebook has attracted advertising’s biggest spenders. One example Sandberg cited: Acura used Facebook video to launch the TLX, then showed “retargeting” ads when people who saw the video went elsewhere online. Using a Facebook service called Conversion Lift, she said, Acura could prove the ads drove car sales.
Facebook isn’t alone in its pursuit of brand advertisers. “Google, for example, is rapidly building out audience targeting options, and has a ‘little’ video network of its own—YouTube—that is massively successful for advertisers and very effective on mobile,” says Craig Palli, chief strategy officer at the mobile marketing technology firm Fiksu.
So far, though, Facebook appears to be more than holding its own.