How's Digital Video Advertising Going to Dominate the Next Decade?

by Noel M.

Advertisement campaigns are channelized through different venues. Some of the common routes include billboards, newspaper classifieds, radio spots, TV advertising, digital advertising, and so on. Here, in this article, the primary focus is on the domination of digital advertising on TV advertising.

Whether it is an online video advertising or a TV commercial advertising, one thing is common to both, it is advertising. And advertisement is a process of communication to reach your target audience emphasizing them the benefits of your products or services so that it comes to drive successful sales with the help of production agencies NYC.

Marketing, whereas, is considered as a long-term forward-looking strategy and preparation as to packing and branding your product or service that is ready to sell and designing it to approach the target market aiming to capitalize on. Thanks to the ubiquity of mobile devices and omnipresence of high-speed reliable internet connections. Browsing a webpage starting from social platforms, to company pages, to a news organization in which the video production companies are employing digital strategists for creating impressive video contents for numerous companies' targeted audiences. According to YouTube, its users watched more than 1 billion hours of video every day on their site in 2017 only. And, CISCO System Inc., USA has estimated that the global video traffic on the internet will increase threefold between a time span of 2016 and 2021. Let's try to explore the factors that cause a boom in digital video advertising over TV commercial advertising.

Cost Factor You may have to pay thousands and thousands of dollars for TV commercial advertisement even for a minute during nonprime time spots. Remember, that doesn't include the cost you paid to the production company. Everybody knows that SMEs don't have such big funds in their pocket to fight against the Goliath MNCs. On the contrary, digital advertising is lesser expensive compared to TV advertising. Not only that, online advertisement, in fact, costs pay-per-click, means you need to pay only when someone watches your video. Whereas, without knowing anything about whether or not the targeted viewers watched your video on TV, you spent your money on that.

Brand Factor TV advertising campaigns, however, depending on the objectives and budgets last only for three to six months. At the end of which the campaign ends and brand exposure also ends. Look at digital advertising. What happens there? Even after the campaign is over, a self-sustaining 24X7 marketing presence is there forever resulting in your target audience can still visit it.

ROI Factor The biggest drawback in TV advertising is that the business cannot understand the performance of advertisement in terms of earnings. Suppose you spent $10,000 on TV commercials production and 30-minute nonprime time TV spots for three months which in fact returned you $10,000 worth of sales. But, in digital advertising, you can easily track the campaign outcome and measure the price and value of the marketing.

So in terms of traffic generation, conversion, and revenue if you found the campaign is underperforming on some parameters, you can take better decision to work on it.