An Insight on Video Advertising: A Guide to Choosing the Right Format for Your Brand

Imagine you’ve created a killer video for your brand. It’s everything you hoped it would be, but when you publish it, you realize you have no idea what type of video advertising this is. Worse, you don’t know the difference between video advertising formats and types. This article will explain the different types of video content creation and advertising and help you find the right ones for your goals. 

As you’ll discover, video advertising types vary based on their function and role within a marketing strategy. Moonb is a video marketing agency that can help you learn about video advertising types and how to leverage them for your business.

What is Video Advertising and Why Should I Care?

Video advertising is a marketing strategy that uses short, engaging video clips to promote: 

• Products
• Services
• Brands

It aims to capture the audience’s attention, convey messages effectively, and drive action such as clicks or purchases. It is typically distributed through digital platforms like:

• Social media
• Websites
• Streaming services

Why Video Ads Are More Engaging and Memorable Than Other Forms of Advertising

Video ads are often more engaging and memorable than other forms of advertising and can help brands connect with audiences more emotionally and impactfully. Video advertising is a method of marketing that uses digital media to create short promotional videos or commercials. The ads are typically placed on websites, social media, and other digital platforms. They are also distributed through:

• Email
• Text messaging
• Other forms of communication

Video advertising works by targeting potential customers with specific messages. By doing this, businesses can reach a wide range of people interested in their products or services. Video ads can be more effective than traditional advertising methods because they are interactive. This means that viewers can respond to the ads in real time and directly impact how the ad is perceived.

Why You Should Run Video Ads

Video content has become an indispensable element of marketing campaigns, transforming how brands communicate with audiences and driving significant business growth. Since the rise of YouTube in 2005 and its acquisition by Google in 2006, video marketing has evolved rapidly. With the accessibility of video creation tools and the ubiquity of smartphones, video is now the dominant form of communication for brands aiming to engage with modern consumers. 

The pandemic further accelerated online media consumption, with video viewing surging by 215% in the U.S. Audiences in 2024 now spend an average of 17 hours per week watching videos online, underscoring the importance of incorporating video into marketing strategies. 

The Growing Importance of Video Advertising: Key Market Projections and Trends

According to the Statista report, ad spending in the Video Advertising segment was projected to reach US$210.20bn in 2023. In the Video Advertising segment, US$250.10bn of total ad spending will be generated through mobile in 2027. Connected TV is also expected to show an annual growth rate (CAGR 2023-2027) of 11.72%, resulting in a projected market volume of US$48.63bn by 2027. All of these stats underscores the importance of video ads for businesses. 

Video Ads Have Higher Engagement 

Video ads combine movement and sound, effectively grabbing user attention and conveying messages, leading to better engagement. MediaMind's analysis of over three billion ad impressions found that viewers are 27.4 times more likely to click on online video ads than standard banners. This format is great for delivering tailored messages to the target audience in an easy-to-understand manner. Video ads capture visitor attention almost 12 times more effectively than rich media ads, which depend on:

• Text
• Punctuation
• Visual cues

Video ads that pique users’ interest and follow through with a persuasive final call to action are bound to keep audiences interested. Research suggests the average user remembers 95% of a message when it is watched, compared to 10% when it is read. This means prospects will likely remember your message via a video rather than an image or text ad. A user’s positive experience with a video ad increases their purchase intent by 97% and brand association by 139%. 

Video Ads Are Shareable 

Users are naturally more inclined to share videos since more than 700 videos are shared by Twitter users every minute. Video ads are concise, relatable, and have a story to tell, all of which make them shareable. 

For example, Poo Pourri’s famous video ad has amassed over 42 million views and helped the company's value increase from $10 million to $30 million soon after its video ad went viral.

Video Ads Have Higher Click-through Rate 

Video ads are more effective at engaging audiences and generating clicks than standard banner ads because they tell a better story. A study by Smaato found that video ads in mobile apps have a click-through rate (CTR) that is 7.5 times higher than display ads. Similarly, Facebook video ads outperform image ads in CTR. ClearPivot, a digital marketing agency, reported that their clients received 20 to 30% more clicks from video ads than image ads.

When Cardinal Digital Marketing A/B tested a video versus an image ad for a travel and tourism brand, they found that with all other factors being the same, video ads generated a 47% higher CTR, despite Facebook generating higher impressions for the image-based ads. Though video ads are more time-consuming and expensive to create, their ability to effectively narrate your story allows you to engage more prospects and get more ad clicks.

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13 Types Of Video Advertising Formats

1. Pre-roll Video Ads: Quick Attention Grabbers

Pre-roll ads appear before the main content begins. They are designed to capture the viewer’s attention, making them a popular choice for delivering impactful messages quickly, as viewers are less likely to skip them.

2. Mid-roll Video Ads: Seamless Breaks in Long Content

Mid-roll ads are placed within the main video content, similar to a commercial break on television. These are effective for longer content, as they capture viewers already engaged with the video, providing a natural break in viewing.

3. Post-roll Video Ads: Wrapping Up with a Targeted Message

Positioned at the end of the marketing video, post-roll ads target viewers who have completed the video, suggesting high interest in the subject matter. These ads can effectively support solid calls to action or reinforce brand messages.

4. Instream Video Ads: Integrated Seamlessly for Better Engagement

In-feed video ads are designed to blend with the main content, providing a seamless viewing experience. Instream ads are integrated directly into the streaming video and can be:

• Pre-roll
• Mid-roll
• Post-roll

5. Outstream Video Ads: Standalone Attention Grabbers

These ads are not tied to any content and can appear anywhere on a webpage, often popping up between paragraphs of text or in sidebars. Outstream ads expand to play in a large format, grabbing attention irrespective of video content.

6. Interactive Video Ads: Engaging Viewers for Better Results

Interactive ads allow viewers to engage directly with the content through interactive elements like clickable areas or quizzes. These ads are highly engaging and can significantly increase viewer interaction and retention.

7. Overlay Ads: Less Intrusive and Effective

Overlay ads appear on top of video content, usually at the bottom, and can be either text or images. These ads are less intrusive and allow viewers to continue watching the content while delivering an advertising message.

8. Non-Overlay Ads: Total Attention Without Distraction

Contrasting with overlay ads, non-overlay ads do not share screen space with video content. Instead, they occupy exclusive screen real estate, ensuring the viewer’s attention is undivided during playback, typically seen before or after the main content.

9. 360-Degree and Virtual Reality Ads: Immersive and Interactive Experiences

These innovative ad formats offer immersive experiences, allowing viewers to engage dynamically and interactively with the content. 360-degree videos let users control their perspective by dragging the video to look around, while virtual reality (VR) ads offer a fully immersive experience, often requiring a VR headset. These formats are particularly effective for storytelling and product demonstrations.

10. Native Video Ads: Blending In with the Surrounding Content

Native video ads are designed to match the look and feel of the content surrounding them. The key to their effectiveness is their subtlety and relevance to the viewer's interests, making them more likely to be watched and engaged. They are less intrusive than traditional video ads and can be found on:

• Social media feeds
• News websites
• Blogs

11. Shoppable Video Ads: Direct Path to Purchase

Shoppable video ads take interactivity a step further by allowing viewers to purchase directly from the ad. These ads typically highlight products with embedded links or hotspots that viewers can click to learn more or buy immediately. This direct path from advertisement to purchase shortens the customer journey and can significantly boost conversion rates.

12. Interactive Video Ads: Viewer Participation Takes Center Stage

Interactive video ads encourage viewer:

• Participation
• Increasing engagement
• Memorability

They effectively capture attention and provide valuable feedback and data on viewer preferences and behaviors. These ads might include:

• Clickable areas
• Quizzes
• Polls
• Other interactive elements

13. Social Media Video Ads: Unique Formats for Every Platform

Social media platforms offer a mix of in-stream and standalone video ads. These social media platforms have unique video ad formats: 

• Facebook
• Instagram
• TikTok
• Twitter

Standalone ads appear in the user's feed as they scroll, making them highly visible. Their success often depends on their ability to blend seamlessly with organic content, offering entertainment or valuable information in a concise format.

12 Types Of Videos You Can Use For Video Advertising

1. Brand Videos: Make a Starring Role for Your Brand 

Brand videos introduce your business to potential customers. They typically include an overview of the business, mission, and culture rather than in-depth content about products or services. Most brand videos are concise, with 90 seconds considered the optimal length. 

2. Explainer Videos: Perfect for Top of Funnel Marketing

Explainer videos introduce products and services to potential customers. According to Wyzowl, 91% of people report watching one of these videos to learn about a product or service. Most explainer videos are short and engaging, as they work best for top-of-funnel marketing. 

3. Product Demos: Show Off Your Products or Services

Product demos show potential customers how your product or software platform works. They highlight features and capabilities to help viewers understand what they can accomplish with your product. In-depth product demos can last up to an hour. They typically include a complete overview of the product. Short product demos condense vital features into videos lasting only a few minutes. 

4. Animated Videos: Simplify Complex Ideas

Animated videos explore challenging concepts. They use animation to simplify complex ideas and make them easier to understand. Like explainers and demos, these videos tend to be short. 

5. How-To Videos: Educate Your Audience

How-to videos show viewers how to accomplish a specific task or solve a problem using your product or service. Also called tutorials, these educational videos often include step-by-step walkthroughs with instructions. This format works as either long-form or short-form video. On average, how-to videos should be less than 20 minutes.

6. Video Podcasts: Share Industry Insights 

Video podcasts are discussions or interviews with a video component. They're episodes in a series, which can include dozens or hundreds of pieces of content on a particular topic. Podcasts can include any combination of hosts and guests. 

7. Case Studies: Highlight Customer Success Stories 

Case studies are videos that feature interviews with customers or clients. Also called customer stories, they explore the real problems your customers face and position your product or service as the solution. Potential customers often relate to these videos, which makes them helpful for attracting leads. 

8. Webinars: Engage Your Audience 

Webinars are virtual events in which one or more speakers discuss a predetermined topic. They can take many formats, from simple presentations to panel discussions with multiple presenters. When you host webinars, you can engage audience members with tools like:

• Live chat
• Polls
• Q&A sessions

9. Online Conferences: Share Industry Knowledge 

Online conferences are educational events typically involving multiple presenters speaking on a defined topic. They're similar to in-person conferences, except they take place online. Also called virtual conferences, these events generally happen live. However, you can get more value from live events when you share the content on demand after the event.

10. Outreach Videos: Personalize Your Sales Pitches 

Sales outreach videos are a type of outbound marketing. Also called prospecting videos, they introduce your product or service to a potential customer and share how it can help them solve a problem. 

So, how do they differ from demos or explainers? Outreach videos typically include personalization. For example, they may include a custom introduction or content tailored to the prospect.

11. Social Media Videos: Meet Your Audience Where They’re At 

Social media videos appear on platforms like:

• Facebook
• Instagram
• LinkedIn

They're typically short-form videos, under 90 seconds, optimized for mobile viewers. They can include anything from:

• Interviews
• Behind-the-scenes content
• Tips
• Promotions

12. Video Ads: Create Targeted, Sponsored Content 

Video ads are sponsored posts that appear on platforms like:

• YouTube
• Facebook
• LinkedIn

Most video ads include CTAs that prompt viewers to take the next step toward a conversion. They target potential customers based on:

• Demographics
• Interests
• Behaviors

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What Platforms Are Needed For Serving Video Ads?

Video Ad Networks: The First Stop for Video Ad Inventory

Video ad networks act as intermediaries between advertisers and publishers. These platforms facilitate the exchange of a portion of (video) inventory allowed to them by publishers, SSPs, or ad exchanges. They connect to high-paying quality advertisers or DSPs, present them with the inventory, and sell it for a higher price. Before choosing a video ad network, evaluate its revenue models, reporting, and traffic requirements.

Video SSPs and Exchanges: The Marketplaces for Video Ads

Video SSPs are marketplaces for video ads. Advertisers and DSPs looking for video inventory can find them here, segmented by targeting options. Their services include:

• Analytics and Reporting
• Yield and Optimization
• Inventory management

A few popular video SSPs are:

• Xandr
• Verizon Media
• SpringServe
• SpotX
• Teads

Video Ad Servers: Where Video Ads Live

Once an auction or deal is concluded, the video ad server puts the ad onto the webpage. It acts as a centralized storage system for all ad creatives and takes care of timely delivery. Names of a few video ad servers are:

• Google Ad Manager
• SpringServe
• Epom

Video DSPs: The Advertiser’s Side Platform

These are advertisers’ side platforms used to set the right campaign for their brands. DSPs help advertisers target their creatives with ad servers:

• Find the right audience
• Set their bidding model
• Share 

Building a Video Marketing Strategy

Identify Your Audience and Goals

Understanding your audience deeply is critical to creating engaging video content. This means going beyond general demographics to examine their interests, preferences, and behaviors. Ask these questions:

• What kind of video content do they like? 
• Are they more likely to consume short, bite-sized videos or longer, in-depth content?

Answering these questions will help you create video marketing that resonates with your target audience. Set clear goals for your video marketing. What do you want to achieve with your video content? Typical objectives include:

• Increasing engagement on social media
• Driving traffic to your website
• Improving conversion rates
• Building brand awareness

Select Content Types and Frequency

Once you clearly understand your audience and goals, determine the types of video content that align with both. Options include: 

• Tutorials
• Interviews
• Product demos
• Testimonials
• User-generated content
• Behind-the-scenes footage.

For example, educational or explainer videos may work well for industries like tech or finance, while lifestyle brands could benefit from aspirational content or customer stories. Decide how frequently you want to post video content based on your target platforms. For instance, platforms like TikTok and Instagram Reels often require a higher posting frequency to stay relevant, while YouTube’s algorithm may reward fewer, more in-depth videos with consistent quality.

Choose Your Platforms 

Not all platforms are created equal, and your audience’s platform preferences shape your strategy. If your audience is younger, platforms like TikTok or Instagram may be the most effective. YouTube or Facebook might be a better fit if they prefer long-form content. 

• These mobile-first platforms are great fast engaging clips:some text
  • TikTok
  • Instagram Stories
  • Reels

• Desktop and longer attention-span content thrive on some text
  • YouTube
  • LinkedIn

Perform Keyword Research 

Incorporating SEO into your video strategy is crucial for visibility. Research relevant keywords in your industry to see what your audience is searching for. Use these tools to identify high-ranking keywords and topics:

• Google Trend
• YouTube’s keyword planner
• SEMrush

This research will inform your video titles, descriptions, and content, ensuring your videos are optimized for search engines and user intent.

Plan for Multi-Platform Distribution 

Your video content doesn’t have to live on just one platform. This allows you to reach different audience segments and meet them where they are. Repurpose your videos for multiple platforms to get the most out of each piece of content:

• Long-form YouTube tutorials can be cut into shorter clips for:some text
  • Instagram Reels
  • TikTok
  • LinkedIn
• If your audience prefers shorter, more engaging content, consider:some text
  • Reels
  • TikTok
  • YouTube Shorts
• For more in-depth content, host full-length videos, use platforms like:some text
  • Facebook
  • YouTube

Stay Consistent with Branding

While the platform and video format may change, your brand's voice and visuals should remain consistent. Make sure each video aligns with your brand’s visual identity and messaging. This helps maintain a cohesive look and feel, ensuring that your audience easily recognizes your content no matter where they find it.

Create a Content Calendar

A well-organized content calendar helps you stay on track and be consistent with your video output. Plot out your video ideas in advance and set specific goals for each. This keeps you accountable and gives you a bird's-eye view of your content strategy. Planning allows you to be more strategic with your releases, whether you're aligning them with a product launch, holiday season, or trending topic in your industry.

7 Tips To Succeed At Video Advertising

1. Always Keep the Audio Off

Autoplay video ads with audio on are marked as the most intrusive ads by users. Many browsers block such ads from appearing on their web pages. If you have autoplay video ads with audio on, reconsider your strategy before advertisers and browsers block your websites.

 2. Maintain Minimum Viewability Standards

The According to the Interactive Advertising Bureau (IAB) and Media Rating Council (MRC) definition of viewability for video advertising, a minimum of 50% of the ad must be in view for at least two continuous seconds. If your video ad meets these criteria, you will only receive the advertiser’s money. 

3. Page Load Time

Video files are bulkier than a banner, adding to the page load time. We already know that 40% of users leave websites that take more than 3 seconds to load, and 47% expect a website to load in 2 seconds or less. These are tough numbers to achieve. With ad monetization as your primary source of money, publishers need a better solution. 

In such a case, lazy loading ads help. With lazy loading, the page’s content can load first, and heavy ads appear after a specific user engagement (like >30% page scroll). Back to the Forbes example, video ads only appear when a user scrolls down a little. This ensures appropriate load time and user impressions.  

4. Try Video Header Bidding

The rest of the process remains the same, with only the auction method changing in the case of video header bidding. A header auction is designed to maximize demand while controlling auction time. Using this methodology with video ads, publishers can save time during the auction and use it for timely video ad delivery.  

5. Don’t Overwhelm Users

Too many ads are never suitable. It decreases the viewability score as users are unable to:

• Focus on content or ads
• Adds to page load time

You should start with layout optimization to understand your website’s potential. Carefully place ad units based on users’ time on different parts of your page.  

6. Setup an Ad Ops Team

With video ads, there would be complications related to page load time, the use of proper placements, and the requirement to understand the technology and serving process. All this, in return, will get a better revenue stream. 

An ad ops team handling ad monetization will make your efforts more lucrative. You should also consider getting external help with ad operations. This should help streamline the process and bring new ideas to the table. 

7. Consider Creating Video Content

Ads in video format complement video content. If you are looking for a means to improve audience engagement and time on-site, video content is just what you need. In 2020, 86% of users wanted more brand video content. Investing in video content should help you with brand recognition and better video ad monetization.

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Start a 3-day Free Trial to Take Your Content to the Next Level

Moonb is a video marketing agency offering unlimited video editing subscriptions. We offer seamless project management integration via:

• Trello
• Slack
• MS Teams 

We also have weekly strategy calls and a contract-free, full-service production approach. Moonb is a superior alternative to:

• Traditional video agencies
• Freelancers
• In-house production teams

Our flexible, subscription-based model, combined with our expertise in creating compelling video content, positions us as the ideal partner for companies looking to elevate their marketing and educational initiatives through the power of video. Start a 3-day free trial to take your content to the next level.

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