Did you know that YouTube is the second most visited site on the internet? The only site that gets more visitors is Google. YouTube is the only site people go to when they want to watch a video. Sure, there are many other video sites out there. Which ones do you visit other than YouTube? Your answer to that question is why so many people are flocking to YouTube to buy advertising.

YouTube has a younger audience than cable television, and it’s far easier and cheaper to reach them. An entire book could be written about advertising on YouTube, and there probably are several in existence. We’re not going to try to cover everything. It would be foolish to think we could do that in one post. Instead, we’re going to focus on several types of advertising and tell you how they can improve your business. Not all forms of advertising on YouTube are as effective or cost the same. You may be surprised that there are some ads that people would rather not stumble upon.

True View ads are the most common:

All of you reading this right now have seen your fair share of TrueView ads. These are the ads that have the word Skip in the lower right-hand portion of the screen. More often than not you probably skip these ads when the option arises to do so. Users of YouTube prefer these ads because they’re allowed to skip them. Sometimes advertisements can catch your eye, and you may want to stick around and watch it. Usually, that’s not the case, and it’s great to have the freedom to skip the ad if it’s possible.

TrueView ads are so popular because you only have to pay if someone sticks around and watches your ad. If the user clicks skip, then you’re charged nothing at all. You can probably understand now why this is a very popular form of advertising. The only time you have to pay is if someone stays and watches your ad. This is a highly effective way to get the most out of your advertising budget.

It should also be noted that TrueView ads won’t do any harm to your business. Many people are concerned that potential customers will be turned away if they see advertising. That’s not a concern when you buy TrueView ads since the viewer can skip over the ads if they want. Everyone knows that advertising pays for video content since they’re accustomed to watching commercials on broadcast television.

True View Discovery Ads

TrueView Discovery ads are the advertisements displayed when you perform a search. They are the ads at the very top of the search results. A user must click on these ads to watch them. You’re going to want to make sure the thumbnail and text match what you have to offer. A huge mistake would be trying to get the maximum amount of clicks possible.

It’s not a game to see how many clicks you can get from an advertisement. It should always be in the back of your mind that the traffic must covert. You can even go bland and try to lower the click-through rate in hopes of only targeting the most qualified potential customers.

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What about Display Ads?

These are the ads in the right on the display bar. Much like TrueView Discovery ads, it’s all about how effective your advertisement is. You don’t want people to click for the sake of clicking. You need to remember that you’re paying for every click. Your money is being wasted if the people don’t fully understand what they’re clicking on. You can pre-qualify a click by making sure the title and thumbnail of the video are spot on. You want the user to know exactly what they’re clicking on. If there’s any doubt, then it will lower your conversion rate.

YouTube Non-Skippable In-Stream Ad

Non-skippable in-stream ads are the type of advertisements that users hate the most. With that said, big companies like Apple have been known to use them. So, that has to give you some insight as to how valuable they are. A company like Apple would not do anything to hurt their brand. Non-skippable in-stream ads play at the beginning of a video or in the middle if the video’s length is longer than ten minutes. The viewer must watch the entire advertisement if they want to continue on with their video. They can, of course, hit the back button and move onto something else. Just how often that happens is anyone’s guess.

YouTube Bumper Ad

A YouTube bumper ad is another non-skippable form of advertisement. These ads are only six seconds long and are straight to the point. Users may find them more tolerable than the other types of non-skippable advertising. Big companies such as Host Gator are famous for taking advantage of this form of advertising. You’ve probably seen dozens of their humorous ads before your favorite YouTube videos were played.

Let’s talk about the two forms of non-skippable ads in-depth:

It wouldn’t do these two forms of advertising justice only to cover them in such a sterile environment. Both types of advertising can be very tricky to convert since most people don’t like them. No one wants to sit through an advertisement they don’t want to see. We are all that way, and it’s understandable. When was the last time you enjoyed watching commercials on television? There are some that you do enjoy watching and we’ll talk about those in just a minute. It’s hard to say how much if any damage is done to your brand with non-skippable ads. At the very best they’re annoying, but some can be enjoyable.

The sweet spot is odd and funny

Host Gator’s ads work because they’re oddly funny. The secret sauce when it comes to non-skippable ads is making them enjoyable. Geico used to be so good at making commercials that people wanted to see on television. You’ve got to accomplish something similar with non-skippable ads. It’s not easy to do, and you’ll have to create a lot of duds before a star born. The only way you can be sure that your brand isn’t damaged with these sorts of ads is to make them enjoyable to watch. If you can achieve that, then the end user won’t regret having to sit through the entire ad.

The other ads aren’t worth your time

What? Can that possibly be true? It is. There’s going to be someone who storms in here swearing that the YouTube sponsored cards are a hidden gem. They’re not. Most people never click on them. Do you? Why even talk about them. What about overlay ads? Who doesn’t love a banner ad that’s clickable? Users don’t love them. A banner ad is so 90’s, and they aren’t effective. Do you click on them? No, you don’t. You never click on banner ads and the ones on YouTube are terrible. That’s just the truth, and anyone who’s serious about marketing knows it. Don’t waste your time fooling around with those ads.

TrueView Ads are the way to go

The average business will select TrueView ads over all of the others. You’re only charged if the end user watches 30 seconds of video or interacts with your advertisement. You’re not charged a cent if the user presses skip. You can’t get much better than that. Your ad will run for free unless the person watches it.

Giving the user the option to watch your ad is the best route to go. There’s no risk at all when buying advertisements like these. You do risk making people mad and blowing your advertising budget if you run non-skippable ads. The people may not want to sit through your ad and could end up buying nothing in the end. That is the risk you take when running ads that people have to sit through. It’s not a risk of the user can click skip and go on with their video.

The quality of your ad makes a huge difference

You’re going to have to shell out some money to make a decent ad. None of this is for beginners who are on a shoestring budget. If you don’t have much of a budget, you’re going to end up wasting all of your money. You may have the ability to make great video advertisements. If so, then that will cut down on costs. If not, then you should hire someone to make the advertisement for you. You will need a pretty capable computer to render and edit the video to turn it into an ad.

Don’t be surprised if your first few ads are duds. How much money will you spend before coming up with a profitable advertisement that’s scalable? You’ll probably spend at least a few thousand dollars. It’s highly unlikely that you’ll pay anything under that amount. Though, you may somehow get lucky and only spend a few hundred. The amount you spent will be dependent upon if you’re able to create your own advertisements. If you can, then the amount may be considerably less.

Watch as many ads as possible before creating your own

Research is so essential when it comes to being successful. The way you do your research for this is by watching as many advertisements as possible. Keep on clicking and see what ads you’re being offered. Sit through all of them and take notes. Why not? Write down what you like and dislike about the ads.

You’ll eventually come up with a list of winners that you can base your ads on. This is one of those things you can do on your smartphone in rush hour traffic or when you’re eating lunch. Watch commercials until you’re sick and tired of them. You’ll know what it takes to succeed than to create a successful ad that doesn’t get on everyone’s nerves.