How new ad products are helping YouTube strengthen its revenues

Over the last two years, YouTube has launched several ad products such as Bumpers, Director Mix, TrueView, Video Ads Sequencing and YouTube Blast

by Tasmayee Laha Roy
Published - Aug 21, 2019 7:45 AM Updated: Aug 21, 2019 7:45 AM

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YouTube

Thanks to the robust internet usage, the growth graph of online video ecosystem in India has only been going northwards, and Youtube has made the most of it.

In April this year, YouTube’s CEO Susan Wojcicki announced that the platform has more than 265 million monthly active users in India (as per ComScore). “India is both our biggest audience and one of our fastest growing audiences in the world,” she had said.

In the last one year, YouTube’s consumption on mobile has increased to 85 per cent, with 60 per cent of the watch time coming from outside of the six largest metros in India. This growth in user base has made YouTube a perfect platform for brands to drive personalised engagement. To strengthen its game in terms of revenues, the video streaming platform has added a host of ad products for the Indian market. While new ad formats have made it an interesting platform for existing big brands to advertise on, newer brands have also got on to YouTube to make the most of the 265 million monthly user reach.

“YouTube continues to be the place for classic large advertisers like the Pepsis of the world, but in the last few years, we are also seeing the emergence of what we call YouTube-first or YouTube-only advertisers. We offer advertisers a complete new mix of multiple ad formats. Also, we use a technology called quick mix that helps them contextualise messages across key micro moments to reach the right kind of customer,” said Satya Raghavan, Director, YouTube Content Partnerships, India.

Brands across sectors like auto, FMCG, travel and BFSI are prioritising YouTube as part of their marketing mix and are seeing results. Over the last two years, YouTube has launched several ad products such as Bumpers, Director Mix, TrueView, Video Ads Sequencing and YouTube Blast.

So, what are these products about and how do they make the advertiser’s life easier?

Bumper Ads is a short-form video ad option where six-second videos are available through AdWords and sold on a CPM basis. The short snippets complement the broader messaging and help extend the reach of a campaign. Director Mix, on the other hand, lets one create many versions of a base video and set elements to be swappable ― customising text, image, sound and video elements to assemble the right video for the right audience and context. 

Video Ad Sequencing lets marketers tell their brand story over a series of ads set in a specific order, or showcase their product message across multiple pieces of content. By showing your story in a sequence, the product has the potential to drive deeper engagement, awareness and consideration. Using TrueView, advertisers have the freedom to experiment with creative formats–try a longer product demo, testimonial or how-to video demonstrating the product in action. With TrueView, one can take time to tell the story. Viewers see videos they're curious about, and advertisers get more views from an audience they know is interested. 

Talking of success stories, Raghavan brought up the example of Garnier makeup remover from Micellar Water product, a category that was almost non-existent in the country earlier. They used multiple advertising formats on YouTube to educate, engage and empower audiences. Starting from long-form creative with a catchy jingle showcasing the product use cases and establishing the ritual of product application (pour-press-swipe), the brand used Quick Mix (110 copies) to contextualise the message across key micro-moments and used BLS and Poll Cards for measuring brand metrics impact and finally using custom script to allow Garnier to have beauty conversations (eye, lip and face makeup videos) via Bumper ads.

“All of these interventions put together helped the brand reach 40 million customers and helped it achieve 24 per cent awareness in the first three months. It also resulted in 10X growth in per day sales from the time the YouTube campaign went live,” said Raghavan.

Another brand that leveraged the new ad formats and cashed in on the video streaming platform’s subscriber base and achieved maximum reach is Pepsi. To bring alive the idea of how any food item becomes better with Pepsi, the brand leveraged YouTube Director Mix to create custom video ads from one core creative. According to Raghavan, YouTube Director Mix enabled Pepsi to turn limited set of creative assets of its ‘kyu sookhe sookhe hi’ campaign (such as images, voiceovers, texts, fonts, or colors) into multiple unique messages catering to different audiences in a contextual and engaging manner. As a result, 2040 dynamic videos were created that helped reach 89 million unique customers and lifted their total sales by 14 per cent. 

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