Countering Google Ads with Interactive Video Ads: Know it all.

Countering Google Ads with Interactive Video Ads: Know it all.

There can be numerous ways to drive traffic to your website. But the best way to monetize that traffic is to advertise, which is being practised for years. There are various types of advertising technologies, but engaging native video ads is a new generation marketing and advertising technique that can leave you spellbound.

According to VDO.AI, this media has already established itself as effective; 70% of marketers say interactive video engages audiences “very well”, and 68% of marketers believe it will continue to become a more significant component of modern marketing. It is no wonder that eMarketer reported that 77% of publisher agencies and 70% of advertisers prefer video ads.

What are Interactive Video Ads?

An interactive video is the latest form of media that top brands and industries are using to engage potential consumers and encourages consumer participation to reach their digital marketing goals.

That’s where the interactive part kicks in. These kinds of ads are clickable; users can swipe up to visit the online store or website, install an app, watch longer videos, and more.

Why use Interactive Video Ads?

  • Popularity – It is a popular medium for bringing traffic to your business. Ad Networks like VDO.AI and Ezoic runs about 56% of video ads for top brands, and they consider it is one of the successful ways of growing their industry or company.
  • Trackable – Earlier, it was hard to track user engagement by view rate, but now interactive video ads have much stronger metrics. My publisher ad platforms  lets you track clicks within a video, investigate different paths taken after a time, collect data with forms and surveys, and much more.
  • Engaging – No doubt the users actively participate in the videos. When a user is watching a native linear video, distraction is quite easy. The interactive video makes viewing active instead of passive. It generates a game-like experience that grabs and keeps a user’s attention.
  • Convertible – Banner ads, Google display ads, and Youtube thumbnails convert at rates of less than 1%. The interactive video leaves them far behind, converting at a rate of more than 11%. 
  • Memorable – Video ads help in getting 308x more attention as compared to their banner counterparts. Yes, videos strike the brain cells more than any static picture and research finds out that is 35% more memorable than linear video ads.  

What are Google Banner Ads?

Banner ads maintain a spot within an app’s layout. They are static and are placed either at the top or bottom of the screen. They stay on screen while users interact with the app and can refresh automatically after a certain period.

  • Low recall – People can simply ignore banner ads as they are static and displayed only on one web page.
  • Low monetization – Banner ads attract less attention, less clicks and thereby less user engagement, making them low on monetization.
  • Low CTR – As banner ads are less interactive, they account for a low CTR rate of 0.05%.

Banner Ads VS. Video Ads

Banner adsVideo Ads
Looks good on the page’s editorial contentStand out as a paid ad. Best complemented with Google’s Banner Ads.
Soft SellHard sell
  Low CTR (average 0.05%) High CTR (average 0.2%)
Not an Ideal way for driving traffic to your websiteIdeal for driving traffic to your website. Ideal for retargeting campaigns.
Campaigns on premium publisher websites generate higher-quality traffic.Campaigns on standard websites generate lower quality traffic
More expensive cost per clickCheaper cost per click
More effective on mobileEffective on desktop, mobile and tablets alike.

Revenue (CPM) with video ads for advertisers:

There are different pricing models in the advertising industry. They are – CPM, CPCV, CPV, VCPM, VCPV, CPE. Among them, the most affordable and effective is CPM (cost per thousand impressions).

Typically CPMs for standard mobile video are $20, but when it comes to interactive video ads, they drive the CPM as high as $30-$35. From deep research from VDO.AI, it is pretty clear that Interactive Video Ads always have a higher CPM than any other video formats, be it banner ads, in-stream ads, search, and more.

 Interactive ads drive:

➔ higher conversion rates

➔ retention rates

➔ increase LTV

➔ Increases brand awareness

➔ offer unique in-ad data for advertisers.

Hence, advertisers said they are paying at least $40 CPM on the interactive ads, regardless of whether people interact with them or not.

Monetization for Publishers:

Interactive Video Ads are clickable and hence provide a more excellent CPC than native ads. This is only because the advertisers are willing to pay a more significant sum of money due to its higher efficiency rate.

Another type of pricing model is – Cost per view, which means that the advertiser pays whenever the video ad starts playing. No guaranteed video watch time is included, unlike CPCV.

CPV = Total cost/total views. As a newbie, this can be the best solution to monetize your digital content.

The key to monetizing gaming apps:

While playing, rewards can range from additional time for playing the game to power-ups and other features usually available only through in-app purchases. Rewarded ads commonly come in the format of playable interactive video ads.

Rewarded ads generally have the highest eCPMs across all other ad formats as advertisers observe increased user engagement and unprecedented performance. Developers use this strategy as most users want a free gaming experience avoiding subscription and in-app purchase (IAP) models.

Bottom Line

Coming to the final words, we see the interactive videos are countering Google’s banner ads and all other traditional ads. IVA is having a bright future as it is directly proportional to user engagement and brings genuine and potential customers to your storefront. 

Pro Tip: Remember, facts tell, but STORIES SELL. Using a short story like a video can engage the audience way better and can bring potential customers to promote. Well, no worries, VDO.AI can help you with that.

Mehak Chawla
Mehak is a Marketing Associate at VDO.AI. Curating marketing strategies and observing market trends drives her. An enthusiastic marketer and a creative writer, she reaches out for the books when monotony calls for an escape.