YouTube Announces Shorter, Skippable Ads

Just the other day, YouTube introduced a way for advertisers to take their shorter ads to more specific audiences. This change comes two years after the introduction of the six-second videos. The company says that advertisers have now learned how to use the videos to raise awareness about their brands despite the limited time. With the new feature, advertisers will be able to use six-second or longer ads to get a broader audience while still giving the user the opportunity to skip the ad after 5 seconds like with other TrueView ads.

With TrueView in-stream ads, advertisers are charged for watches that exceed 30 seconds or reach the end of the ad. They are also charged if the viewer takes action by clicking on an element of the video or a card to learn more.

The new format combines the best of two features- the brevity of bumper ads and the choice for the user to stay through the ad or leave which is an inherent trait for TrueView format.

YouTube says the feature will increase the options that advertisers have with TrueView in-stream ads. The advertisers can opt for the TrueView for Action package, TrueView for reach or the standard TrueView ads depending on their objectives. All those options can be skipped after the first five seconds.

‘TrueView for reach combines a simple CPM buying tech with user choice,’ says YouTube. ‘The format is optimized for efficient reach and works within a 95% audible and viewable environment.’

According to the company, their beta testing period revealed that the format increased ad recall by 20%, for 90% of the brands engaged. They tested the format in 84 campaigns.

Samsung Electronics confessed that they reached over 50% more people at 50% less CPM with the ad format. Pepsi, on the other hand, said that they saw higher rates of completion for their ten-second videos and were able to reach more people.

‘The CPMs were also more competitive; we had 30% fewer CPMs as compared to other campaigns before. Ultimately, this lowered our incremental reach points -46%,’ said the Digital marketing manager at Pepsi, Vanessa Tsangaratos.

YouTube’s decisions to expand ad formats are becoming more important to advertisers and brands especially since other services such as Netflix are ad-free.

YouTube notes on their blog that in the TV era, it was easier to advertise than now. All you had to do was find a popular how and put your brand commercial during the breaks. Now, advertisers have to look for the place where they will get the attention of their audience in a complex landscape. There is a need for video ads on services such as Hulu, on live TV, YouTube and social media platforms like Instagram and Facebook.

Now more than ever, the goal is to get a platform that allows you to get the attention of the user.

YouTube says that it is the place. In a recent study by Ipsos, YouTube states that people are thrice more likely to view online ads than TV ads.

Advertisers have other options besides TrueView for reach. They can also get TrueView for action which allows them to customize their call-to-action.

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