According to Oberlo, video ads are slowly becoming the standard when it comes to online advertising. In fact, 54% of consumers report they want to see more video content from brands that they purchase from. That’s why, as a marketer, you should consider adding video ads to your digital marketing arsenal.
Thankfully, getting into video marketing isn’t a privilege these days. That’s because several social media platforms offer advertising options in the form of video ads, including Facebook and YouTube.
The question is, who wins the “Facebook ads vs YouTube ads” debate? Which platform can grant the best results?
That’s what we’re going to (try to) answer in this article!
What are video ads?
Video ads are advertisements that are delivered in the form of – you guessed it – video content. They can appear:
- on social media platforms, like Facebook, Instagram, and TikTok
- or as part of streaming video services such as YouTube or Hulu
Moreover, they can be delivered through various ad formats, including in-stream and out-stream.
- In-stream video ads are ads that are played before, during, or after a video
- Out-stream video ads are ads that are displayed on a webpage or within content, but are not played within the context of a video. They aren’t available on YouTube
Businesses, such as yours, can use video ads to achieve a plethora of marketing goals. They use them to promote products or services, raise awareness about a brand or issue, or simply entertain the viewers (to keep them engaged).
Just like other types of advertising, video ads can be targeted to specific audiences based on different factors such as age, gender, location, and interests.
When to use video ads
Video ads can be an effective marketing tool for businesses under the right circumstances. After all, they offer a visually engaging and attention-grabbing way to promote products or services. That said, they’re not for everyone. That’s why it’s important for businesses to carefully consider whether video ads are the right choice for them before spending thousands on them.
Some factors to consider when deciding whether to use video ads include the following:
Professional video ads can be more expensive to produce than other types of ads. After all, creating a video ad involves crafting the script, shooting the sequences, and editing the final video. That’s why businesses should consider whether they have either the expertise to create effective video ads or the resources to outsource the process.
Video ads are most effective when they are targeted to the right audience. Businesses should consider whether their target audience is likely to watch and engage with video content and whether video ads are the best way to reach them.
Here’s a great guide by Facebook itself about how to make video content work as a marketing medium for your audience.
Video ads can be used to achieve a plethora of marketing goals, including brand awareness, lead generation, and sales. Businesses should consider what their goals are and whether video ads are the best way to achieve them.
Ultimately, whether to use video ads will depend on a business’s specific needs and goals. If you’ve never tried them before, it may be helpful to test them out and see how they perform. Of course, you can adjust your strategy as needed.
What are Facebook video ads?
Like all kinds of Facebook ads, video ads can be targeted to specific audiences based on demographics, interests, behaviours, etc. They can also appear all over the Facebook platform, including the news feed, Instagram feed, and in-stream on Facebook Watch.
To run a Facebook video ad, you can use the Facebook Ads Manager to create a campaign as well as an ad set as you’d usually do, then upload a video file instead of an image. Obviously, you can also add a call to action, such as “Learn More” or “Sign Up,” and choose your target audience and budget for the ad campaign.
Once the ad is live, it will be shown to users who meet the specified targeting criteria. You can then track the performance of your ad through the Ads Manager. Sounds easy, right?
Facebook video ads are a powerful way for businesses to reach and engage with their target audience on the platform, and they can be a highly effective marketing tool (when used correctly, of course).
What are YouTube video ads?
Just like Facebook video ads, YouTube video ads are a type of advertising medium that allows businesses to promote their products or services using video content on the YouTube platform. These ads can appear in a variety of places on YouTube. Those places include before, during, or after a video, in the YouTube search results, or on the YouTube homepage.
To create a YouTube video ad, you can use Google Ads Manager to upload a video file or link to a video hosted on another platform. YouTube allows you to add a call to action and choose their target audience and budget for the ad campaign. Once the ad is live, it will be shown to users who meet the specified targeting criteria. Businesses can then track the performance of their ad through the Ads Manager. It sounds easy, but it’s easier said than done, unfortunately.
Facebook Ads vs YouTube Ads: Similarities
Here are some of the common pros and cons of both Facebook ads and YouTube ads:
Both platforms offer a large number of users to whom you can promote your products or services. YouTube is the second-largest search engine in the world, with almost 2.6 billion logged-in users per month, according to Statista. Facebook, on the other hand, has over 2.96 billion monthly active users, which is one of the largest audiences of any social media platform.
As mentioned above, both YouTube and Facebook Ads offer sophisticated targeting options. Those options allow businesses to reach specific audiences based on demographics, interests, and behaviours.
Facebook’s Ads Manager and Google’s Ads Manager provide businesses with detailed analytics about the performance of their ads, with metrics like reach, impressions, and conversions. This allows businesses to track the effectiveness of their campaigns and make data-driven decisions about their marketing efforts.
Competition for attention
With so much content being shared on both YouTube and Facebook, it can be challenging for businesses to get their video ads noticed.
Potential ad fatigue
Regardless of the platform, if a business runs the same video ad repeatedly, it may lose its effectiveness over time as users become “ad fatigued” and start to ignore it.
To be fair, this can apply to all types of ads, not only video ones.
Potential ad rejection
Both Facebook and YouTube have strict guidelines regarding the types of content that are allowed in ads, and they may reject ads that do not comply with these guidelines. This can be frustrating for businesses that have put time and effort into creating an ad. So, before spending wads of cash on the production of a video ad campaign, make sure you’re complying with the ad requirements of Facebook or YouTube.
While both Facebook and YouTube video ads can be effective marketing mediums, they can also be expensive, especially for businesses with limited marketing budgets. We’ll cover the costs of both platforms later in this article.
Facebook ads vs YouTube ads: Which is better?
As you’ve seen, Facebook video ads and YouTube ads have several similarities, so it’s difficult to say definitively which is better between them. Both platforms have their own strengths and can be effective marketing tools for businesses, again, under the right circumstances. That said, here are a few things to consider when deciding between the two:
Facebook has a larger overall audience, with nearly 3 billion monthly active users. YouTube, on the other hand, has over 2 billion logged-in users per month. This means that both platforms have the potential to reach a large number of people, but Facebook may have a slight edge in terms of sheer numbers. Keep in mind that people spend time on Facebook doing all kinds of stuff, including messaging people, whereas they fire up YouTube specifically to watch videos.
Both Facebook and YouTube have advanced targeting options that allow businesses to reach specific demographics, interests, and behaviours with their ads. However, Facebook’s targeting options may be slightly more sophisticated, as it has more data available on its users due to the nature of the platform. In terms of results, the more targeted your audience, the higher the conversion rate.
Ad placements and formats
Facebook video ads can appear in a variety of places on the platform. Ad placements include the News Feed, Instagram feed, and in-stream on Facebook Watch.
YouTube video ads, on the other hand, can appear before, during, or after a video, in the YouTube search results, or on the YouTube homepage.
There’s no clear winner here, as it depends on where your audience hangs out online.
On Facebook, the cost of running a video ad doesn’t differ from running other types of ads. According to WebFX, the average cost-per-thousand-impressions (CPM) on Facebook is 10 pounds ($12.07). As for the average conversion rate, it’s around 9% on Facebook, according to WordStream.
On YouTube, a typical video ad will set you back anywhere from £0.01 to £0.03 per view, depending on the quality of your ad, your targeting, and your bidding goal. That means every time a user views your ad or engages with your ad, like by clicking on a CTA (call-to-action), you pay around 0.01 to 0.03 pounds. As for the average CPM, it’s around £3 for YouTube Ads. Finally, the average conversion rate for good YouTube advertisers is around 0.16%. We’ve covered the cost of advertising on YouTube in detail in this article.
Now, what do those numbers mean?
Well, say you’re trying to sell a product:
- If 1,000 see your Facebook Ads, you’d pay 10 pounds. Out of those 1,000 users, 90 would buy your product. So, the cost per conversion is around 0.11 pounds
- If 1,000 see your YouTube Ads, you’d pay 3 pounds. Out of those 1,000 users, 1.6 would buy your product. So, the cost per conversion is around 1.9 pounds
So, in terms of sheer numbers, Facebook Ads cost less than YouTube Ads.
One thing to remember here is that those are average numbers and costs. In other words, the real cost of your Facebook or YouTube ads will ultimately depend on your industry, audience, etc.
So, which platform wins?
Ultimately, the best platform for a business will depend on its specific needs and goals. It may be helpful for a business to test both platforms and see which one performs better for their particular audience and campaign.
Need a hand with video advertising?
Video advertising is no small feat; that’s a fact. Thankfully, you don’t have to take care of it alone. Book a discovery call with us today, and we’ll show you how we can make video advertising work for your business!