Youtube Ads

Understanding Youtube Ads

Video content is powerful.

YouTube alone has over 2 billion users — and each day those users watch a billion hours of video, generating billions of views.

That’s a lot of ‘billions.’

What’s more, YouTube on mobile alone reaches more 18-49 year-olds than any cable network in the US.

So it’s no wonder that video marketing is on the rise.

If you’re dying to know how to tap into the awesome power of video marketing, this article is for you. First, you’ll learn what is YouTube advertising and the different types of YouTube ads available in 2021. Then, I’ll show you how to setup and configure your first YouTube advertising campaign. Finally, we will discuss some YouTube tricks that can help you make a difference with your YouTube advertising.

What is YouTube Advertising?

YouTube advertising, done through Google Ads, is a way of advertising your video content on YouTube or in search results so you can maximize your user reach. This could be your video playing before a user views another’s video or showing up in YouTube search results for people to watch in full.

Types of YouTube Ads

There are six types of YouTube ads:

  1. TrueView Ads
  2. Non-Skippable Instream Ads
  3. Bumper Instream Ads
  4. Sponsored Card Ads
  5. Overlay Ads
  6. Display Ads

Before you begin creating your first campaign, it’s important to understand each YouTube ad type. That way, you can tailor your ad for the format you plan on using.

Let’s get to know each of them.

TrueView Instream Ads

TrueView in-stream ads play before a viewer’s chosen video.

In-stream ads also feature a small countdown timer and a link to the advertised site in the bottom left of the screen.

What’s more, TrueView in-stream ads have a companion banner ad that’s displayed in the right-hand sidebar above the suggested videos list.

The image below shows the companion ad for the Unbounce advertisement above:

TrueView Discovery Ads

TrueView Discovery ads appear within the Youtube search results and in the right-hand sidebar of watch pages above the suggested videos list.

The ads consist of an image thumbnail and up to three lines of text.

The image below shows a TrueView discovery ad for a movie trailer which is displayed above the organic YouTube search results:

TrueView Discovery Ads

Clicking on discovery ads will take users to the YouTube watch page or relevant channel page to view the video.

What is a YouTube TrueView Ad?

This is the main advertising format on YouTube — and for that reason, we’ll be covering this type in more depth than the others.

TrueView ads give viewers the most control over the advertisements they see. Because of this, Google reports that eight out of ten viewers prefer TrueView to other in-stream video ad formats.

But TrueView ads are great for businesses too.

Advertisers only pay for TrueView ads when users watch for at least 30 seconds, watch an entire short video, or interact with an ad in some way, such as clicking on a call-to-action.

And because viewers can select the ads they want to watch and skip the ads they don’t, advertisers save money while also reaching a more interested audience.

YouTube states that the maximum length a TrueView video ad can be is 6 minutes and the minimum is 12 seconds.

Now, there are two main types of TrueView ads: in-stream ads and discovery ads. Let’s take a closer look at each of them.

TrueView Instream Ads

TrueView in-stream ads play before a viewer’s chosen video.

In-stream ads also feature a small countdown timer and a link to the advertised site in the bottom left of the screen.

What’s more, TrueView in-stream ads have a companion banner ad that’s displayed in the right-hand sidebar above the suggested videos list.

The image below shows the companion ad for the Unbounce advertisement above:

TrueView Discovery Ads

TrueView Discovery ads appear within the Youtube search results and in the right-hand sidebar of watch pages above the suggested videos list.

The ads consist of an image thumbnail and up to three lines of text.

The image below shows a TrueView discovery ad for a movie trailer which is displayed above the organic YouTube search results:

TrueView Discovery Ads

Clicking on discovery ads will take users to the YouTube watch page or relevant channel page to view the video.

Why Should You Use YouTube TrueView Ads?

TrueView ads are a great way to reach your target market.

Firstly, they’re low-risk.

Remember, you’re only charged when viewers opt to watch your entire ad, view it for at least 30 seconds, or interact with the ad in some way.

This is awesome.

Because although 76% of consumers reflexively skip these ads, you can at least be sure your budget is being spent on interested viewers.

Secondly, because TrueView ads are opt-in, you aren’t restricted by time limits.

 

This means that you can experiment with different creative formats such as product demos, testimonials, or how-to videos.

For example, Grammarly has used testimonials and product demos in their TrueView ads to great effect. In fact, a massive 54.4% of their social media traffic comes from the site.

What’s more, according to Google, when brands use TrueView, they can see views of existing content increase by up to 500%.

Now, let’s check out the other forms of YouTube ads.

 

What is a YouTube Non-Skippable In-Stream Ad?

Non-skippable in-stream ads are essentially the same as TrueView in-stream ads except — you guessed it — viewers aren’t able to skip them. Because viewers have less control over these ads, they’re not considered ‘TrueView.’

It’s common knowledge that non-skippable ads are unpopular.

In fact, YouTube killed off the 30-second unskippable ad format last year. Today, non-skippable ads must be between 15 and 20 seconds.

Non-skippable in-stream ads aren’t just played before videos.

There are also non-skippable YouTube ads that play part way through videos that are 10 minutes or longer — they‘re also known as ‘mid-roll’ non-skippable YouTube ads.

Unlike TrueView ads, advertisers pay for non-skippable YouTube ads on a CPM basis. ‘CPM’ stands for cost-per-mille, which means that advertisers pay a fee per thousand views.

So it’s especially important to hone your ad targeting so you don’t waste your budget advertising to poor prospects.

It’s also important to bear in mind the function of CPM advertising.

Whereas pay-per-click (PPC) advertising is ideal for converting prospects into leads, cost-per-mille (CPM) advertising is more suited to branding campaigns designed to achieve massive exposure, such as the Apple example above.

 

What is a YouTube Bumper Ad?

Bumper YouTube ads are the third type of YouTube video ad available to marketers. These non-skippable video ads play before a viewer’s chosen video and must be less than 6 seconds long.

Like non-skippable YouTube ads, advertisers pay for bumper ads on a CPM basis.

Many brands use them as part of a larger YouTube advertising campaign featuring other ad formats.

Obviously, bumper ads aren’t an ideal format for stories, testimonials, or product demos. But the 6 second time limit can be a wonderful catalyst for creativity.

 

What is a YouTube Sponsored Card Ad?

YouTube sponsored cards appear within videos as small call-to-action (CTA) popups.

Sponsored cards are a very unobtrusive form of YouTube advertising. A small ‘i’ symbol pops up in the upper right-hand corner of a video and when a viewer clicks on it, the card expands.

In the image below, you can see the text that appears when I hover my mouse over the icon.

The image below shows the sponsored cards after I clicked the icon:
Sponsored Cards

YouTube sponsored cards can showcase other YouTube videos, and products through Google Shopping.

Google has a handy guide to help you create a shopping campaign using cards.

What is a YouTube Overlay Ad?

Overlay ads are perhaps the simplest form of YouTube advertising. These are banner ads that appear along the bottom of videos.

The example below shows a banner ad from Hawkers:

Why Should You Use YouTube TrueView Ads?

Display ads are another simple YouTube advertising format. These ads have been around for a while and appear in the right-hand sidebar above the suggested videos list.

The image below shows a YouTube Display ad from Deeply:

YouTube sponsored cards can showcase other YouTube videos, and products through Google Shopping.

Google has a handy guide to help you create a shopping campaign using cards.

Conclusion

At first, YouTube ads can feel overwhelming.

But YouTube’s diverse advertising formats provide marketers with a powerful suite of tools to reach their target market.

What’s more, with video content expected to claim 82% of all web traffic by 2022, this marketing channel is well-worth getting to grips with.