Althought Youtube, even Internet doesn’t look valuable for reach building against TV, but your campaign can touch to very little of that reach efficiently from TV. After a certain level of GRP or spend, its become difficult to gain additional reach managing the CPRP( Cost Per Rating Point). Whereas Youtube build the reach slowly but give you continious additional reach almost in flat CPV( Cost Per View). However, there are lot more reasons why Youtube is better than TV.
8 reasons why youtube is better TV in 2017
1. Active View: What do you do during TV commercial break? Either you change the channel or you start gossiping with the person sitting next to you or you take your mobile phone and start to browse. People have lot more better things to do than watching ad. But people meter ( viewership monitoring tool) still counting you as if you are watching the ad. So lot of GRP is coming from passive viewership which is not addding value for your business.
People do not bother if you show a relevent ad before showing the Youtube content they asked for. In fact, they have the option to skip the ad and as an advertiser you are not paying for the skipped ad. Means, you are paying for the spot that is being consumed by your target audience. Here the reason why youtube is better TV
2. Targeted View: When a run a TV ad targeting a specific group of people, it doesn’t ensure that your ad will not be shown to people are not in your target group. In reality, the ad is going to mass. So you can not create mutiple ad for multiple group. Since your ad is going to mass, it may create confusion for other group. Moreover, you can not create niche campaign.
In Youtube you have the option to create campaign by demography, by interest, by behavior etc. So you have full control to create niche campaign. Since the ad will not be delivered to people doesn’t belong to your TG, it will not create confusion to other group of people.
3. Control over Reach and Frequency: You planned for a TV campaign to reach 50% of your audiance at 3+ frequency and end of your campaign you received either 40% or 60%. None of the scenario is good for your business. On the other hand you found your campaign’s average frequency is roughly 10. Which mean a small group of people watched your ad more than 20 or 30 times. In reality you have very less control over reach and frequency in TV.
To address this, Youtube came up with a feature called “frequency capping”. It allow you to set maximum frequency/ number of time an ad can be shown to any individual. Which mean your average frequency will be lower than your set frequency and your wastage will be much much lower than TV.
4. Pay for view: If you buy at minute rate from TV, this doesn’t ensure desired level of viewership. Some time you willl win, sometime you will loose. If you buy at CPRP, your GRP will be counted for watch time of every portion of the TVC (Television Commercial). Now think if an audience watch 5 sec of your 30sec TVC, what value it will give to your business. Still you are paying for this.
Youtube doesn’t charge you if your ad is watched less than 50% of the length. That ensure minimum return of the investment. Rest you can earn by creativity. From investment side, youtube is better tv.
5. Unskippable ad: You can create 5 or 6 sec unskippable so that audiance can not avoid your ad to watch his/her desire content. This can be used for short and sweet communication.
Remarketing: Different audience has reached to different level of purchase cycle and you need to create different communication for different audiance. TV doesn’t allow you to identify these different group. Hence, you run a generic ccommunication. But Google Display Network(GDN) can remember who has visited your website after watching your ad. This allow you to run remarketing campaign for those audience. You can also upsell or cross sell through remarketing. This kind of feature you can not get in offline media. Hence, Youtube is better tv.
6. A/B testing: Youtube can be used as a tool of A/B testing. You can run differnt communication with small amount of budget and understand which communication has potential to do better. This is how you can optimize you budget and content. This is something you can not do in TV
7. Call to action: Like any other digital advertisement you can add call to action button/link in youtube. This helps the visitor too navigate your product easily.
8. Engagement: When TV helps to scale your campaign shortly, its engagement rate is quite low. On the other hand, engagement rate in youtube is much higher. People prefer to share videos that they like. Thy leave their feedback in comment section. There are many other ways people get engaged with youtube content.
From effectiveness point of view, Youtube is better tv. That doesn’t mean you should stop your tv campaign tomorrow and put all the money in Youtube. No, TV is still important for your mass campaign. Google suggest to allocate 24% of your TV budget to Youtube. But that’s a generic guideline and it will differ by region by tg by product. You should start slowly to understand optimum budget for Youtube.