Spark's Head of Biddable Media, Greg Cattelain, shares his thoughts on the platform that is building momentum across all type of video experience.Greg
YouTube’s content diversity is a fantastic reflection of our society. Younger consumers want advertising and programs that are authentic, inclusive, and endorsed by people they see every day on their favourite platforms. When leveraged well, YouTube is a great opportunity for advertisers to be part of culture, and a much quicker rate than in the past.
At the YouTube Brandcast event, YouTube repeated the mantra that TV audiences are declining. While a broken clock is right twice a day, we do need to recognise that TV audiences are genuinely at a tipping point. BVOD is not making up for linear TV’s shortfall, and while the ad-supported tier of subscription TV is promising in terms of the scale it could unlock, we are not there yet.
On the other hand, YouTube Connected TV consumption is now as important as mobile in terms of impression share with 11 million households watching YouTube on their TV.
But when it comes to advertisers, not all content is equal. While it is easy to focus on the premium and brand-suitable content, the platform has a lot of content that is unsuitable for advertising. Using technology to curate content is increasingly important for advertisers who want to have a presence on YouTube.
Format wise, the reintroduction of the 30-second non-skippable (on CTV) makes perfect sense; allowing YouTube viewed on TV to deliver the TV ad experience too. The introduction of an ad when pausing the video is another demonstration of YouTube’s ability to innovate based on user behaviour; this will be a good addition to its Performance Max product, helping to generate conversions for advertisers.
The ramp-up of advertising on its short-form videos, YouTube Shorts, will allow advertisers to extend the use of the vertical video execution they are producing for social. The potential of Shorts for YouTube is massive from a revenue standpoint, being able to eat the lunch of social media platforms.
There is something to be said about the uniqueness of the YouTube platform and its ability to deliver both long and short-term goals for advertisers. In a time of audience fragmentation, advertisers have a lot to gain by experimenting further with the right level of investment.
Agency specialists can add value by helping advertisers deliver both long and short-term goals in a brand-suitable and safe manner. Helping marketers to understand how to leverage the formats and placements the platform has to offer, as a means of achieving the desired outcome, is the critical role agencies need to play.