How To Measure And Boost Your Video Marketing ROI

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October 21, 2024
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15 minutes
Lorenzo Nicolini image

You’ve put time and energy into video content creation, and now it’s time to see what it can do for your business. But when you open up your video marketing analytics, you're greeted with a sea of numbers that feel entirely overwhelming. What do they even mean? And what do they tell you about your video marketing performance? Instead of feeling accomplished, you’re left confused and just slightly anxious. Many businesses struggle to make sense of their video marketing ROI. Understanding these returns can help you unlock the true potential of video marketing for your business, and this blog will help you learn how to measure and boost your video marketing ROI.

As you read on, Moonb video marketing agency can help you improve your video marketing returns. We can help you unpack your video marketing analytics, optimize your existing video content, and create new videos that align with your business goals. 

Is Video Marketing An Effective Marketing Strategy?

a studio - Video Marketing ROI

Video marketing can be a highly effective strategy for businesses looking to connect with their audience, improve brand visibility, and drive sales. 55% of U.S. adults aged 18 to 34 watch online videos daily. That’s a massive pool of potential customers brands can tap into with the right content. 

Video isn’t just about capturing attention; it’s about keeping it. Consumers today expect engaging, easily digestible content, and video fits that bill perfectly. The statistics back it up: 80% of small business owners have seen growth in their customer base thanks to platforms like YouTube. That’s because video makes it easy to communicate in ways that other media sometimes can’t like:

  • Value
  • Showcase products
  • Build trust  

The Growing Demand for Video Content and Its Impact on Brand Engagement

On top of that, customers want more video content. Around 54% of consumers say they want to see more videos from the brands they love. This means that video helps you connect with new audiences and deepens the relationship with your existing customers by giving them what they’re asking for.  

Video Marketing Drives Conversions and Improves Sales

Video marketing is effective for building brand awareness and helping businesses connect with new audiences. But it also helps improve conversions and drive sales. A clear, engaging product video can increase conversions by as much as 80%. 

That’s because customers want to see video: 

  • 66% say that watching a product video helps them decide. 
  • 63% say customer video reviews are more trustworthy than written ones.  

How Video Content Enhances SEO and Boosts Search Rankings

The video also helps businesses improve their search rankings. With video, you can deliver the content that online users are searching for, and they’d much rather watch a video than read an article. Not to mention, Google loves video. Including a video on your webpage makes it 53 times more likely to rank on the first page of Google search results.  

Video Marketing Can Improve Your Brand’s ROI

Like any marketing strategy, video marketing requires a budget. But, unlike other strategies, video marketing has a way of paying you back over time. Video marketing can help improve your brand’s ROI. 52% of marketers say video delivers the best ROI of any content type. That’s partly because video helps boost conversions, as mentioned above. But it’s also because video content has a long lifespan. After you create and publish a video, it can continue to attract months or even years of: 

  • Views
  • Leads
  • Sales 

For instance, evergreen videos that cover a topic unrelated to a particular date or event can draw in new audiences over time. Your video can also rank on search engines and drive traffic to your site long after publication.  

Video Marketing is Versatile

Video marketing is a versatile, adaptable strategy. You can use videos to enhance almost any digital marketing campaign, from social media to email to content marketing. For instance, you can share videos on social media to engage followers and boost visibility. You can include videos in email campaigns to increase click rates. You can even create blog posts with videos to optimize your content and improve the user experience. 

Videos can also help you build social proof through testimonials or customer stories.

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Video Marketing ROI: What Is The Return On Investment For Video Marketing?

man with a camera - Video Marketing ROI

Measuring the Return on Investment for video marketing can take time and effort. However, video marketing offers significant value when done right. 90% of marketers report seeing a good ROI from their video efforts, which is pretty convincing if you’re wondering whether video is worth the investment.

What Video Marketing Helps With

The impact of video marketing is broad and includes what it explicitly helps with. First and foremost, videos are fantastic for increasing user understanding of products or services—88% of video marketers say this has been a significant benefit. The reason is simple: videos make it easier to break down complex ideas and showcase features visually and digestibly. People tend to remember what they see and hear better than they read, so videos help improve retention and understanding.

Boosting Brand Awareness

Another huge win is brand awareness—90% of marketers say their video efforts have led to better visibility. Videos get shared, pop up in social feeds, and allow you to express your brand's personality in ways that static images or text can't. That extra exposure naturally leads to more website traffic, with 86% of marketers reporting an uptick in visitors thanks to video.

Driving Sales and Revenue

But it's not just about eyeballs. Video marketing drives tangible results—87% of video marketers say it helps them generate leads and directly boost sales. And because videos are more engaging, they encourage people to stick around on your website longer, which 82% of marketers have found to be the case.

Enhancing Customer Service

Even customer service can benefit from video. For example, explainer videos or FAQs can reduce the number of support queries businesses receive, with 66% of marketers saying this has been a noticeable improvement.

How To Measure Video Marketing ROI

man with a calculator - Video Marketing ROI

Set Clear Goals & KPIs

Before measuring video marketing ROI, establish the objectives of your video marketing campaign. Are you aiming to drive traffic, generate leads, boost conversions, or increase brand awareness? These goals inform the key performance indicators you track. 

For instance, an e-commerce brand might focus on video-related conversions while a B2B company could track lead generation and sales opportunities.

Google Analytics for Website Insights

Google Analytics provides:

  • Traffic data
  • Engagement rates
  • How users interact with video content

For instance, you can analyze metrics like:

  • Time spent on pages with videos
  • Bounce rates after watching a video
  • Conversion rates from visitors who viewed video content

Google Tag Manager for Event Tracking

Use Google Tag Manager to track specific video interactions, such as plays, pauses, and how much video was watched. These insights help measure how engaging the video is and where viewers may lose interest. You can tag and track video-related actions, giving you granular insights into user behavior. For 63% of video marketers, measuring the ROI of their video content involves tracking the number of video views. 

YouTube & Platform-Specific Metrics

If your videos are on YouTube, tools like VidIQ are excellent for analyzing platform data, such as:

  • Video views
  • Subscriber growth
  • Watch time
  • Engagementsome text
    • Likes
    • Comments
    • Shares

For other platforms like Vimeo or Wistia, you can access similar analytics directly through their built-in tools.

Link Video Plays to Conversions

For ecommerce brands, linking video plays to specific conversions is crucial. By setting up goals in Google Analytics or your ecommerce platform, you can track which videos directly influence purchases or other desired actions, such as form submissions or newsletter sign-ups. If your video is part of a PPC campaign, use UTM parameters to trace conversions to the video ad.

Lead Attribution for B2B

In B2B video marketing, assigning value to leads generated by video content is key. Tools like HubSpot or Salesforce can help you track how video nurtures leads through the sales funnel, including tracking new opportunities or deals back to a specific video.

Retention Rate & Engagement

Understanding how long viewers watch your videos and when they drop off is an engagement metric. A high retention rate indicates strong viewer interest, while drop-off points can show areas for improvement. Use platforms like YouTube or Wistia to access this data quickly.

Social Shares & Amplification

If you're using video on social media, engagement metrics such as likes, shares, comments, and views provide insight into the effectiveness of your content. 

Tools like Sprout Social or Buffer offer detailed analytics to measure how far your video content spreads and how people interact with it.

Cost vs. Revenue Generated

Calculate ROI by comparing the cost of producing and distributing the video against the revenue it generates. This is particularly easy to track in ecommerce when videos lead directly to purchases. For B2B, assess the value of leads and closed deals resulting from video engagement.

By combining these methods, you can get a complete view of how well your video marketing is performing and its direct impact on your bottom line via: 

  • Goal setting
  • Tracking video-related events
  • Analyzing platform metrics

8 Effective Ways To Boost Your Video Marketing ROI

man on a laptop - Video Marketing ROI

1. Know Your Audience

Understanding your audience and the content they are most likely to consume will help you curate video content that they find appealing and engaging. As such, online video ads can increase revenue and your return on investment. So, ensure you use the right message in your ads for the right audience and through the proper channels.

2. Create Quality Content

Invest in creating quality videos to boost your brand’s authority and create awareness for your old and new customers. There’s a big difference between genuine videos and videos made by influencers to market a brand that can be scripted and fake. Video content ROI can be improved with user-generated and employee-generated content, unique and authentic ways to promote your business.

3. How To Utilize Your Investments

As technology advances, businesses will continue to include video in their marketing strategy to generate leads. Video ROI will continue to climb for those who can manage, analyze, and distribute their video content smartly. And yes, your competitors are in on it too. 39% of video marketers feel video marketing is becoming more expensive. 

Producing videos that showcase your products and services in an engaging and visually appealing way may require effort and resources. It should be relatively inexpensive and easy to do.

4. Hire Professional Services

There's no need to hesitate or miss out on the benefits of video marketing if you have yet to figure out the right tools, skills, or people to aid with your video production. Creating a video ad or developing a video marketing campaign can be considerably time-intensive, especially if you’re a smaller company. Many businesses benefit from using:

  • Agencies
  • Freelancers
  • CaaS providers like Moonb

5. Optimize for SEO  

If you’re creating your videos in-house, along with the visuals and message, ensure that your videos are optimized for search engines and easy to find on all your platforms. This will help you get more reach and also help you analyze the video’s performance. Keep your videos concise for best performance, considering that the focus should be on one central theme or idea for each video.

6. Study Trends, Don’t Follow  

The market is competitive and fast-paced, so study the trends to predict what will likely happen. This gives your business an early mover advantage, as your competition will only play catch-up. You can track engagements and optimize your content with newer approaches while testing and measuring as you move.

7. Promote Your Video

When you create videos that break down complex concepts or tell captivating stories, don’t stop sharing them on all your platforms. Create a detailed marketing and distribution plan for your videos. You can also use marketing automation tools to streamline your video marketing efforts. These help your business increase by delivering relevant and personalized messaging across multiple channels:

  • Efficiency
  • Reduce costs
  • Improve the customer experience

8. Utilize Testing

Short videos seem to perform best, which is good news for everyone – this content is quick for audiences to consume, but it’s also quick to produce, giving brands great scope for testing and iteration. Brands should use this opportunity to experiment with different styles and topics to see what sticks best with their audience. 

The bottom line is that video marketing can directly impact:

  • Lead generation
  • Website traffic
  • Sales

However, brands need an optimization mindset—they should use rapid testing to find the most profitable formats and strategies for each goal. 

The Advantages of Subscription-Based Video Editing Services for Businesses

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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Why is Video Marketing So Powerful?

men in a studio - Video Marketing ROI

Video marketing is crucial because it taps into consumer preference for video content. As highlighted by a Statista survey, video—whether pre-produced or live-streamed—is the most effective digital engagement tool globally. Over 81% of marketers already use pre-produced video, and another 13% plan to adopt it, showing its dominance in the marketing landscape. Live-streaming is similarly popular, with 73% of marketers currently using it and 19% intending to do so.

One primary reason for the video’s importance is its appeal to audiences. Research shows that two-thirds of consumers prefer watching a video over reading to learn about products or services. This preference is reflected in the fact that video accounted for 53.7% of all Internet traffic in the first half of 2021. By using video, marketers can effectively communicate their messages where their target audiences are most likely to engage—whether on social platforms, websites, or other video-friendly channels.

Fast forward to 2024, and audiences watch videos online for 17 hours weekly. We’re a part of that statistic. Ignoring video marketing is no longer an option for brands who want to excel. Here are some of video marketing's most significant benefits.

Social Media’s Favorite Content: Video

Video content is the most engaging type of media on social platforms. Not only do videos get more comments, likes, and shares than photos or text posts, but they also encourage users to create their content. This level of interactivity helps marketers reach wider audiences organically. 

Video Boosts SEO, Conversions, and Sales

Adding video to your website can improve SEO by increasing page quality and encouraging visitors to spend more time on the page. Additionally, video content has been shown to generate leads and boost conversions. Over 83% of video marketers report that video has helped them increase lead generation, while 31% use it to enhance their SEO efforts. Videos are also invaluable for sales teams, offering personalized communication with prospects and helping close deals through better engagement.

Mobile Users Love Video

With the rise of mobile usage, video content has become even more crucial. According to a Statista study, 77% of video consumption happens on smartphones and tablets. Mobile devices make it easy for users to watch video content anywhere, anytime, making it essential for businesses to create mobile-friendly video marketing campaigns.

Video Educates and Builds Trust

Video is a powerful tool for educating audiences. Video content is excellent for building trust with potential customers whether:

  • How-to videos
  • Product demos
  • Customer testimonials

More than 30% of users prefer instructional or educational videos, while others look for authentic, relatable content. Authenticity often trumps high production value, which is one reason influencer marketing has seen such rapid growth.

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

Moonb takes a strategic approach to video marketing ROI. We don't just create engaging video content. We create engaging video content that helps you reach your specific business goals. When you partner with us, we'll work with you to understand your goals and target audience and develop a video marketing strategy that aligns with your objectives. This way, we can create video content tailored to your business needs that drives results. 

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Have Questions?

How successful is video marketing?

Video marketing is absolutely one of the best investments you can make for your brand! It captures attention like no other medium, keeping your audience engaged and eager to learn more. Plus, it often delivers a fantastic return on investment (ROI), making it a smart choice for any business. In a world where social media is dominated by video content, using it effectively can help you connect with your audience in a memorable and impactful way. Don't miss out on this powerful tool to elevate your marketing strategy!

How much do marketing videos typically cost?

Marketing videos can be very expensive, especially with traditional agencies, where costs can reach $20,000 to $40,000 per minute. With moonb, we offer a flat monthly cost that provides you access to a dedicated team focused on delivering high-quality videos quickly and efficiently, making the process more budget-friendly while still maintaining exceptional standards.

Is there a limit to revisions during the process?

There are no limits to revisions during the process. We want to make sure you’re completely satisfied with the final product, so we’ll work with you until it meets your expectations.

How long does the marketing video production process take?

The marketing video production process can vary widely depending on the brief. For short-form packages, it might take just a few days, while more complex advanced animations could require a few weeks to ensure quality and attention to detail.

How long should my marketing video be?

For most marketing videos, aim for a length of 30 to 90 seconds. This duration is typically enough to engage viewers while conveying your key message effectively. However, depending on the content and platform, some videos can be longer, so consider your audience's attention span and the context of your message.

Can you handle the entire process?

Of course! We smoothly manage your project from the initial idea to the final publication. We take care of writing, visuals, animation, voiceover, editing, sound, branding, and more. You can participate as much as you like or let us handle everything. We'll make sure your content is perfect for any platform that supports videos.

What does the onboarding process look like?

Once you subscribe, you will receive an email within a few minutes containing two essential links. The first link directs you to our production platform where you can access all your videos and request reviews. The second link takes you to your customer portal to manage your subscription. Your dedicated video team will contact you immediately to schedule a first call, during which we'll gather all the necessary information to get started. We'll then create a content strategy plan and begin working on your productions. We will develop a content calendar with precise deliverables and a review process. You can be as involved as you wish or leave it entirely in our hands.

Are there any refunds if I don't like the service?

If your dedicated team has started work on your designs or videos before you decide to cancel, you won't be eligible for a refund.

Will I have the working files? What about ownership of the work?

Absolutely, you'll receive the working files, and you'll own all the intellectual property created.

Who will be my point of contact?

As soon as you sign up, you'll be assigned a dedicated video team, supervised by a Creative Director who will be your main point of contact. You will be onboarded to our production platform, where you can oversee the entire process and manage each video production.

Do you sign non-disclosure agreements?

Absolutely, your privacy matters to us. We can offer you our standard Non-Disclosure Agreement (NDA), or you are welcome to provide your own.

How hard is it to cancel a subscription?

Not hard at all, we keep things simple: no documentation or extensive process is involved and you can cancel at any point in time. Just log in to your Moonb account and you can cancel with just a few clicks. Need a hand with this? No worries. You can request assistance via email or directly to your dedicated team.