Small Business Online Advertising: Web Video Advertising Rocks, Goodbye to PPC Ads?

online video ad
Web video ad
Web videos are playing bigger and bigger role in small business online advertising, while pay-per-click ads (and any other text link-based ads) will be less desirable by small business advertisers.

Pay-per-click (PPC) ads, such as those delivered by Google AdWords, are still doing their job in delivering traffic to small business websites, but video advertising is gaining in both popularity and performance.

The recent report released by WebVisible, the provider of online marketing software, showing that small businesses find more success with their online advertising campaigns.

People view more web video advertising today

Particularly web videos, the report shows that advertising in video format is well sought after and delivering what’s expected: Converting views into traffic.

According to the same report, 26 percent of small businesses use video on their home page or landing page in the fourth quarter of 2010. This figure is an increase from 19 percent in Q4 2009.

In addition to that, web videos rank second after text links (link ads, PPC ads, etc.) at 6.7 percent, up from 3.7 percent the year before.

The “video view” are still way behind “click through to website” – 6.7 percent, compared to 74.6 percent. However, do note that “video view” enjoys a 81 percent increase, while “click through to website” drops by more than 15 percent from the fourth quarter of 2009.

In fact, any other online advertising methods are gaining in popularity, almost at the expense of “click through to website,” telling us that text links in all forms will continue to be reduced in their role to deliver traffic to small business websites in the future.

The future of online video advertising for small business

The future for online video advertising is darn bright. In another report released by YuMe, we can also learn that in the next 12 months, there will be more online video usages (read: views) – 48 percent of viewers are planning to watch more videos online.

More video views means more opportunities for small business advertisers to get more business from their video advertising.

Small business owners: Use video ads now – they convert well!

I have personally proven this with web tools that on my sites running Google AdSense image ads, those with video image ads attract more views and click through.

What’s more, video ads that are well crafted will draw more attention and better click through rate.

Just think about it – an attention-grabbing video will keep your prospects’ focus on the messages you embed into the video.

We do know that the best way to get more conversion is by keeping the viewers engage and “stare” long enough for the advertising messages to “sink” into their subconscious mind. That’s why we can easily recall some brands along with their tag lines easily when someone mentions related topics.

What’s your take?

Ivan Widjaya
Online video advertising rocks