YouTube is owned by Google. You use the Google AdWords network for advertising on YouTube. The price of YouTube advertising includes you bidding for ad placement, as in any other Google AdWords campaign. It is also difficult to tell how much YouTube advertising definitively costs.
In How To Make Money On YouTube, we have previously looked at YouTube advertising from YouTubers’ perspective. From the standpoint of an advertiser, this post focuses on YouTube. Cost of advertising on Youtube can be composed of:
- YouTube ads have a $0.010-$0.030 average cost-per-view, and the views you produce will count against the total YouTube viewer count.
- About $2,000 is the estimated cost of attracting 100,000 viewers.
Why would you use YouTube for advertising?
YouTube has a massive following, and more than 1.5 million logged-in monthly users genuinely enjoy it. They watch YouTube on mobile devices for an average of more than one hour a day. There has also been a rapid increase in watching YouTube on television sets with the current success of Smart TVs. It is also hard to disregard that the YouTube search engine is second only to Google when it comes to search users.
With Google AdWords’ power behind it, it should not be shocking that YouTube is now a preferred platform for advertisers worldwide.
From a budgeting viewpoint, the only challenge is that there is no explicit price rate for the cost of YouTube advertising.
This is not, however, any different from many other kinds of online ads. Online, the general rule appears to be that you bid for advertising space and usually the highest bidder is accepted.
Creating Your Video Ad
Businesses also discover that the highest proportion of YouTube video costs will involve video production. Of course, this depends on the degree of complexity and professionalism you strive to achieve with your video ad.
If your video is low quality, then at the 5-second mark, individuals will miss it. A video of low quality does not reflect well on your product, either.
It depends on the target audience’s preferences. With a $5,000 home-made movie, some companies will get away. Some would look shabby if they spend $100,000 and hire trained actors, crew and production values.
With your video ad, the more creative you can be, the less incentive the audience has to hurry to the Skip Ad button.
Bear in mind that YouTube is not the same as TV broadcasts. There is no SkipAd button on the Live TV Viewer. If you might think that you can save money by reusing your television advertising, you are also likely to forego sales, with individuals opting to skip your ad.
You should try a different video production approach if you have a limited budget for video production (and don’t have popular friends to assist you). In front of the camera, you will have to learn to be relaxed. To help you with your video creation, you can seek a video production company in Singapore or YouTube resources.
To help companies make professional videos, they also have a system called Director Onsite. This project is currently being reviewed and will be amended at the beginning of 2018.