Who is putting web video on their site — and why?
The short answer about web video: all savvy marketers with a web presence are putting it on their site because it works!.
Author Mark Robertson comments on a Marketing Sherpa report that marketers that are currently using web video on their sites are quite satisfied with the results and expect to use it in the future. He further reports that a survey from PermissionTV states that “more than 2/3rds of senior marketing and media executives identified online video as a primary focus of their 2009 digital marketing campaigns and budgets. More than two-thirds stated that they plan to launch online video projects in the first half of this year.”
As the chart above indicates, video has now become the fastest growing website feature for small business.
Recently, Jeffrey Grau, senior analyst for eMarketer authored an in-depth analysis of the use of web videos for business. He notes that retailers are “quickly adding videos to their sites. They find that videos boost sales conversion rates.”
And the future looks even bigger for web business videos. MultiChannel Merchant reports that video is a “must-do” for business websites, insisting that site owners should “Set your site video program in motion. …videos can help your site sell more. Retailers have learned that … (video) clips can boost site conversion.”
In fact, a report using that very title from author Mark R. Robertson cuts to the core of the growing demand for web video. “Any form of advertising that captures the imagination of cost-conscious local merchants has to be effective. And by that measure, online video is hot.”
He gets down to specifics. “It would be tough for the small business to stay in online advertising if they couldn’t see conversions going up as a result. Small companies rarely have the luxury of throwing money at campaigns for brand awareness. Which is why these increases in spending are exciting—it shows that online advertising is working for many small businesses. In my experience, these small business owners rarely make marketing decisions based on gut feelings. Even when they do, their focus quickly changes away from the novelty of the medium onto measured effectiveness. In the end, it’s usually something quantifiable on the bottom line that informs and guides their spending decisions.
“The conversion stats are pretty impressive, with 35.5% of clicks resulting in conversion actions.” (emphasis his)
He concludes by saying “more small businesses are spending their ad dollars online, implementing online video and targeting search… which is leading to better click through rates and higher conversion rates.” (emphasis mine).
In a powerful look at the responsiveness of consumers to web video, Sally Evans tells of a recent study in Marketing Sherpa. She says ” you’d be crazy not to be getting more involved with online video as a marketer. Why? Their study showed that featuring a video in an ad can increase responsiveness by 49.5%.” (emphasis mine)
Measurement of response rate increases through different mechanisms
In a recent whitepaper, author Justin Foster shares several reports on the increase in conversions from using web video on sites. Some examples:
“So far, the videos have been a success. Testing them on laptop product pages lifted conversions and increased accessory sales 12% in some cases” said Rich Lesperance, Director of Web Sales and Operations at Circuit City.
“We ran an A/B test across 50,000 product detail page views at eBags and measured the conversion rate in Omniture in order to track the impact of video at the product page level. What we discovered was that the conversion rate increased 50.1% for those users that clicked the “play” button in the video compared to the control group, and 138.9% for those users that watched the entire video compared to the control group.” David Witzig, Manager of E-Commerce and Video at ShopNBC.com.
“Ice.com, a web-only jewelry retailer, has experienced a 40% rise in conversion rates on products highlighted in online videos, says co-founder and president Mayer Gniwisch.”
Translation: your customers are watching web videos prior to making their marketing decisions. And they are buying based on those videos.
But this is still a vast untapped area that your competition is likely not taking advantage of. By incorporating web videos into your site, you will set yourself apart from your competitors.
But the benefits of web video don’t end there.
First, your web video can be a permanent part of your sales effort. While a direct mail piece or even a TV ad may generate business for a limited time, a web video remains on your site, selling for you as long as you’d like it to.
And web Videos not only do a better job selling to your customers, but they also help bring them to your site in the first place. Placing a video on your site can improve your website’s search engine ranking significantly.
Internet marketing guru James Burchill states “Web video marketing is big business now that Google’s new Universal Search strategy includes video in the search results. According to recent research data there is 53 times as much chance that your video will show up on Page 1 of Google (for your select phrase) than just using a corresponding text-only entry.”
Did you see that? 53 times better results from web videos!
In another article Burchill states what we’ve known all along. “Video is not going anywhere. It’s online and it’s here to stay. It’s only going to get better, in fact. So every marketing strategy, no matter its goals, will have to incorporate video in some way.”