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YouTube advertising is promoting goods and services on this video-sharing platform. It allows brands to reach a large and diverse audience on the second most popular social media platform in the world. In the article, we explain how YouTube advertising works and provide its benefits. We describe the formats of ads on YouTube and the ways to measure their effectiveness. Also, we give tips to build a successful YouTube advertising strategy. Is YouTube advertising effective? YouTube states that viewers are two times more likely to buy products they see on this platform, which proves the effectiveness of YouTube advertising. In this section, we explain why ads on this platform are so successful. YouTube is the second most popular social media worldwide, with over 2.6 billion people using it at least once a month. Such a huge number of consumers allows business owners to be confident that they will reach their buyer personas. Even if your target audience is quite limited, you can be sure that some of these people watch YouTube. Also, CNBC states that this platform is the second-largest search engine in the world. It means that millions of people use YouTube to discover new information. Consumers do not use the platform to choose something, but they will most likely purchase it if they see what they need. Moreover, YouTube is a very convenient social media for advertising. You can set channel keywords, add a website, or allow your channel to appear in other channels’ recommendations using advanced settings. YouTube advertisements tend to be relatively cost-effective, which is why so many companies choose this platform. For example, its global advertising revenues in 2021 were around $28.84 billion. The incredible success of some YouTube promotions motivates companies to work with this social media. Continue reading to discover the peculiarities of advertising on YouTube. How does YouTube advertising work? In this section, we’ll figure out the peculiarities of this type of promotion and explain how YouTube advertising works. There are two types of YouTube ads: videos and static content (image plus text). The choice of the type depends on the aims of your advertising campaign, budget, and the way you want to pay for YouTube promotions. Also, there are two pricing models: cost-per-view (CPV) and cost-per-engagement (CPE). CPV means that you pay after people watch an ad that they can’t skip, and CPE is paid when consumers interact with an ad. The fee is based on the advertising format you choose. Users can watch an ad before or during the video, in the search results, in the bottom line of the video, and appear as a pop-up. The place of an advertisement also depends on the chosen format. YouTube advertising can be tough to work with at once, but it is highly rewarding. Discover the benefits of this promotion type in the next section. Benefits of YouTube Advertising YouTube is the most used social media for research among B2B users, which provides many advantages to the companies that advertise on this platform. We describe these benefits below. Amazing digital reach. Statista states that 81% of people on the internet have used YouTube. It means that this platform allows you to reach 80% of consumers you can find on the Web. Even very specific companies and products can find their target audience on YouTube. So, if you are interested in increasing brand awareness — there is no better way than YouTube advertising. Incredible economic efficiency. This social platform allows advertisers to run cost-effective campaigns because brands pay after consumers interact with their ads. Also, its average cost-per-view is $0.010 – $0.030, which is relatively low compared to $0.79 in Google Display Ads in the B2B sphere. Cutting-edge targeting. YouTube provides not only basic settings like demographics and preferences but more specific like the topic of the ad, related keywords, or certain pages to place your ads on. It allows advertisers to show the ads to their buyer personas at the right place and time. In-depth reports. This social platform provides lots of analytics to measure the success of your ads. You can learn about the behavior of consumers who engage with your ads and make content more personalized. Also, you can use this data to conduct A/B testing, identify the most effective advertisements and use them to increase the success of your campaigns. High flexibility. YouTube offers many formats and types of advertising. You can share testimonials, post expert content, or engage consumers with funny videos. Also, you can change the setting of your targeting anytime you need, which makes this platform very flexible. Most business owners will appreciate these primary benefits of YouTube advertising. However, it sometimes may be challenging to deal with various YouTube formats. We explain the peculiarities of each one in the next section. YouTube Advertising Formats There are six main formats of YouTube advertisements. Some of them are almost similar but appeal better to different goals. Discover how to differentiate these types and how to deal with them to make your promotional campaigns successful. Skippable in-stream ads They play before or during the YouTube videos, and users can skip them in 5 seconds. The main advantage of this format is that you pay after a viewer watches more than 30 seconds of the ad or interacts with it. Use this format of advertising to increase brand awareness. Note that you should hook the viewers during the first 5 seconds to attract their attention to your company. Non-skippable in-stream ads Such advertisements also appear before or during the videos, but users cannot skip them. They can last up to 15 seconds. Companies that use this format pay per 1000 views. Non-skippable ads help increase brand awareness and have one strong advantage. CNBC states that 76% of consumers automatically skip ads, but they have to watch this format until the end, which means that you have more opportunities to stand out. Bumper ads These ads also play before or during the video, and users can not skip them. Their difference is that they are 6 seconds long or even shorter. Usually, advertisers pay based on the number of views. Companies use this format to transmit short advertising messages and grab people’s attention to make them interested in the brand. Marketers often combine banner ads with other types of YouTube advertising. Discovery ads Users can see them in YouTube search results and on the right sidebar of watch pages. They are always in the form of a text with a picture that leads to the promoted video after clicking. Advertisers pay after people click the ad and start watching. This format appeals to promote the brand’s videos on the platform because users are already interested in your topic. Google states that such ads increase views by up to 500%. Sponsored card ads These ads look like small call-to-action pop-ups that appear on screen for a few seconds with an ‘i’ symbol in the corner. Viewers can click on them to discover more information. Sponsored cards are rather unobtrusive, and most people find them less annoying than in-stream ads. Usually, such advertisements are relevant to the content that consumers watch. You can use this format of advertising to promote specific products that viewers are potentially interested in. Overlay ads They look like banner ads placed on YouTube. Overlay ads are pop-ups containing text and images in the bottom 20% of the video window. People can close these ads anytime they want if they are not interested in your products. However, if they are, the advertisement can lead them out of YouTube on your website or other platforms. You can use overlay advertising to promote products or attract people to your earned media. Now you know how to deal with different formats of YouTube advertising. Let’s go further and discover how to create and launch your promotional campaigns on this platform. How to advertise on YouTube Realizing all the YouTube advertising advantages motivates many business owners to launch their campaigns on this platform. To make them effective and avoid overspending, you should know how to launch them correctly. Discover them in this section. Step 1. Upload the advertised video This step is necessary only for video ads, so you can miss it if you want to use sponsored cards or overlay ads. However, if you deal with other advertising formats, it will be better to post videos on your YouTube channel before promoting them. It will help you get organic traffic and discover the audience‘s reactions before the campaign starts. Step 2. Create a campaign Sign in to your Google Ads account and choose the option to add a new campaign. Then identify your promotional goal or create an advertisement without recommended aim. Finally, choose a campaign type and the subtype from the suggested ones. Step 3. Define all the peculiarities Then you will have to choose the campaign’s name, budget, and the average amount of money you are ready to spend every day. Identify the dates the ad will run, choose the language and location of viewers you want to target. Decide where to show your advertisements and how you want to pay for them. Exclude ‘sensitive’ content if you do not want your ads to be shown with it. Step 4. Select the audience YouTube provides a wide range of characteristics to choose from while describing your buyer personas. Identify one or a few segments of your potential clients. Then give the name to the chosen audience so that you will be able to use it for your future campaigns. Step 5. Finish setting up a campaign Define the keywords and topics connected with your ad. Remember to add all links, headlines, and other vital details. Then click ‘Create Campaign’ and launch your promotion. Now you know how to set your advertising campaigns running. Continue reading to discover the ways to make them more powerful. 6 Tips to Develop a Successful YouTube Advertising Strategy Knowledge of the basic principles of YouTube advertising is crucial for launching powerful campaigns. In this section, we provide some tips on making your advertisements more effective and boosting your company in the market. Develop the strategy for your YouTube channel and post actively. If you are going to lead users to your social media page, advertising messages should be consistent with your other content. Understanding how you are going to represent your brand makes it easier to transmit the holistic image of your company. Think about the videos you will post. These may be product demonstrations, testimonials, or answering FAQs. This content will help build trust with the audience and make them more loyal to your brand. Also, active posting on YouTube can attract potential clients from organic search and, in such a way, make your promotion even more effective. Grab people’s attention. Remember that your ads should be remarkable and hook viewers even if they are not interested in your products yet. Motivate them to watch till the end and there will be more chances that they will purchase your products. Evoke their emotions by using catchy slogans, unusual formats, or famous actors starring in the video. Tell stories that have the beginning, climaxes, and ends. Make people notice your products and branding as early as possible. It will increase their chances of remembering the advertised company and make them interested in a particular ad and the whole brand. Continue optimizing your advertising settings. Constant testing and ad settings improvement are vital to successful promotional campaigns. Sometimes even one button can influence your sales significantly. Conduct A/B testings, enlarge and segment your audiences, try to identify the most effective formats, and find out how to optimize your advertising. YouTube provides many settings to drive more engagement to its advertisers‘ promotions. Use remarketing. It allows you to attract consumers who are already familiar with your company. Maybe, they watched your videos, searched on your website, or already engaged with ads but did not make a purchase. Remarketing reminds such users about the company and may push them to buy your products. To save money spent on remarketing, it is better to use advertising formats pa id per the number of engagements: skippable in-stream ads, discovery ads, sponsored cards, and overlay ads. Consider reviews’ promotion. According to Learn Hub, 92% of people are more likely to buy a product after reading a positive review. Advertise with the videos where your existing clients talk about their experiences. It will make users trust your company and increase their desire to purchase your products. Moreover, it will also increase your customer satisfaction because people value brands that care about their clients’ feedback. Try Brand Lift Study. It is a free way to estimate the effectiveness of your advertising campaigns and discover the ways to increase them. The platform usually creates two groups from your target audience and shows your video ads only to one of them. Then YouTube polls users, compares the answers of the groups, and identifies how your advertisements influence their opinions about your brand and products. You can use this data to discover how effective your ads are. The study is free, but you should pay to promote your advertisements. Congrats, now you know what YouTube advertising is, why it is effective and how it works. You know the formats of YouTube ads and can launch your effective promotions.

YouTube marketing is a strategy that involves creating videos and uploading them on YouTube to promote a brand or a product and gain more exposure. It helps companies boost traffic, increase their customer base, and reach new audiences. In this article, we’lldiscuss why YouTube is an effective marketing tool and review its benefits. Next, we’ll provide a step-by-step guide on how to create a YouTube marketing strategy and offer some tips. Why is YouTube an effective marketing tool? Since YouTube’s 22.8 billion visits a month make it the second most visited sitein the world after Google, it’s able to bring many benefits to businesses nowadays. The platform isn’t just a famous entertaining channel but a powerful marketing tool, and companies can develop YouTube channels for advertising. YouTube channels help getmore views from new geographics, promote a product or a company, build a large customer base, and increase a brand’ssales volume. YouTube is also a famous educational platform. Companies can achieve greater exposure, which expands their customer base. By making detailed tutorials, live streams, guides, and lessons, brands can rank higher on Google. Running ads isanother reason companies use the online video sharing platform since it helps brands reach a wider audience and obtain new customers. Moreover, it’s much cheaper than paid advertising on Facebook and Instagram. Now that you know why YouTube is considered an effective marketing tool, it’s time to discover its main benefits. Benefits of YouTube Marketing The platform can serve as one of the most effective marketing channels. Optimizing keywords in titles and creating tutorials, commentary, product reviews, QA, and video listiclesallow businesses toachieve higher exposure and reach new audiences. Brands can’t predict who and when will access their videos. If the content contains the necessary keywords in the title and description, all people who look for information might stumble upon a certain video, stayon the channel, and buythe product it advertises. Besides, addingwatermarks and company logos to videos enables businesses to improve brand awareness. Videos show in Google search resultsand provide companies withmore visibility andan opportunity to bring moreprospects. After exploring your content on YouTube, leadsmight visityour website tolearn more aboutyour products. Your videos will stay on the video-sharing platform as long as they comply with its guidelines and policies. Since YouTube is an international company, it empowers brands worldwide to reach new geographies. The platform helps attract leads from different countries who speak the same language. Thekey benefit of YouTube is that it provides a chance to effectively promoteyour company. A business can do it by creating and posting contenton its channel or running pre-roll ads on the platform and gaining the audience’s attention. To reach viewers fast and gain their loyalty to your YouTube channel, you need to develop your strategy, and the steps below will help you do it. How to Create a YouTube Marketing Strategy Create a channel on YouTube Research your target audience Conduct competitive analysis Create videos based on the YouTube algorithm Start uploading content to your channel Provide all the necessary information on your channel Promote your videos Consider influencer marketing Measure yoursuccess YouTube provides businesses with countless opportunities. With its massive base of users, companies can effectively promote their products. Let’s find out how to createa YouTube marketing strategy and implement it for your brand. Create a channel on YouTube. To create a channel, you can make use of your regular Google account. However, you’ll be the only person who can log in. If you need an account that allows several users to access it simultaneously, you shouldstart a brand account. With its help, you can start several channels on YouTube. Research your target audience. Before creating videos, you need to analyze your YouTube demographics. Explore your target audience’s location, age, and viewing preferences to meet users’ needs. Based on your target audience’swants and needs, you’ll be able to create helpful content. Gather all theessential information about the videos people like to watch the most. In case you already have a business accounton YouTube, explore its analytics. It will give you more insights into your audience’s preferences. Analyze the comments, ask questions, or create a poll to discovermore about your subscribers’ interests and wishes. Conduct competitive analysis. YouTube is a large platform with many business accounts worldwide, and the competition is high. By analyzing your business rivals, you have a chance to determine the opportunities your channel has. First, identify your 3-5 most successful competitors. To do it, you can leverage keyword tools to see which brands have the highest ranking based on keywords related to your industry. Pay attention to their metrics, titles, descriptions, and comments under videos to find helpful information and inspiration. Second, you should determineyour competitors’ strengths and weaknesses, and a SWOT analysis will help you do it. Create videos based on theYouTube algorithm. YouTube has its own ranking algorithm. If you want to rank high, you should create recognizable thumbnails (your videos’ snapshots), optimize your titles and descriptions, and use keywords. It will help youhave priority over other channels and videos as well as obtain more views. To write a strong title, include the appropriate keywords. Open YouTube Analytics to find these words and phrases, and add them to your titles. Make sure to use the keywords at the beginning. Apart from that, write a title that includes 60 or fewer characters. You should use the most critical keywords in your description to write a summary of your video. Tomotivateusers to take the desired action, add CTAsin the form of a card, end screen, watermark, or bumper ad. Finally, encourage people to like, comment, subscribe, and share. Start uploading content to your channel. Create a schedule to upload your videos on time. This way, viewers will know when the new video is coming up. Ensure to choose the day and time with the highest level of engagement and views. If you’ve already uploaded some videos, you can check the analyticstodefine the most appropriate date for uploading new videos. Provide all the necessary information on your channel. To simplify the search, you need to optimize your channel. There are several steps you should consider to enable users to find you faster. Firstly, complete your profile. Make sure to fill in the channel description, upload your logo, and make use of channel art. Besides, you can also add your other channels or resources subscribers might find helpful. Secondly, make sure that your channel contains links to your website and social media profiles. Thirdly, create a trailer for your YouTube channel to introduce your company to viewers and educate them about your product. Communicate your brand statement and explain to users why they should subscribe to your channel. Promote your videos. Your videos can gain exposure if their titles include relevant keywords.Consider creating accounts on different social mediawith quality and interesting videos. It will drivemore attention and encourage word-of-mouth promotion. There are many different effective ways to inform your subscribers about new content on your channel. With LIKE.TG, you can create a list of subscribers and schedule an email send-out notifying users about new company videos. Consider influencer marketing. Opinion leaders have a vast number of followers who might be interested in your product. It’s always a good idea to contact influencers who work in the same niche and are ready to promote your company and products. You canoffer them to cooperate since49%of customers trust the recommendations of influencers. Measureyour success. Once you upload your first video, it’s necessary to trackyour progress. This way, you’ll be aware ofyour accolades and failures. YouTube Analytics will simplify this process. Open it to see the changes in the number of subscribers, audience demographics, traffic sources, and device reports. The information you receive will help your channel move forward. By knowingmore about your viewers, you’ll be able to improve your content and meet their needs. Now when you are familiar with the process of developing a YouTube strategy, it’s time to explore the most effective tools to implement it. Top5 YouTube Marketing Tools If you aim to develop a great channel and gain subscribers and views, you should leverage several useful tools. Canva To attract more subscribers, you need to create YouTube thumbnails and feature images that stand out. Canva is one of the most suitable platforms to help you with this. With its drag-and-drop editor, you can design any image you wishand win new customers. It has a great variety of templatesthat can help youcreate a new video for your YouTube channel. Take a look atCanva’s editor for creating different types of YouTube thumbnails. Free plan: 30-day trial.Paid plan: From $12.99 per month for up to five users. Keyword Tool YouTube works on the same principle as Google and ranks videos based on keywords, titles, and descriptions. That’s why you need an appropriate tool. Keyword Tool helps optimize videos and make them rank higher. As a result, the number of views and the popularity of your channel grows significantly. You can see the keywords you can use for videos on your YouTube channel. Free plan: Available forever with limitations(you can’t see the search volume, trend, CPC (USD), and competition).Paid plan: From $69 per month for one user, billed annually. BuzzSumo BuzzSumo is a great YouTube marketing tool that helps create quality contentanddevelop more ideas and useful videos that will provide viewers with value.Apart from a great content strategy, you’ll also be able to find influencers who can effectively promote your YouTube channel or company. After uploading videos, BuzzSumo will help you monitor the performance of your content. Below you can see how to search for content topics using relevant keywords and analyze the results. Free plan: 30-day trial.Paid plan: From $99 per month for five users. TubeBuddy This browser extension helps you optimize your content quickly by keyword search, A/B testing, templates, and comment filters. Its video SEO tools enable you to translate your video title and description into other languages to increase the number of viewers. TubeBuddy’s Keyword Explorer allows you to use the right keywords and rank higher in search results. Moreover, this browser extension also has a video A/B test feature to test your titles, tags, descriptions, and thumbnails. Free plan: Available forever.Paid plan: From $7.20 per month for one user, billed annually. Agorapulse Agorapulse allows you to communicate with people from multiple YouTube accounts. That’s why there’s no need to constantly switch accounts and check whether there are new notifications. You can also manage comments under your videos, and if you notice spam or inappropriate comments, you can ban them automatically. Agorapulse also lets people track the reaction of social media users to your videosand scheduleyour publications. Hereyou cansee what the process of publishing or scheduling content for your YouTube channel with Agorapulse looks like. Free plan: 30-day trial for one user and three social media profiles.Paid plan: From $79 per month for two users and ten social profiles, billed annually. Now that you know the best YouTube marketing strategy tools, it’s time to explore several great tips to reach a wide audience and getmore views. 3YouTube Marketing Tips There are many ways to improve brand exposure and engagement and promoteyour channel to increase viewership. Let’s find out how to do it. Come up with eye-catching titles. The main aim of creating an engaging heading is to attract new subscribers to your channel. Try brainstorming to develop acaptivating title to encourage users to open and watch your YouTube video. It’s a great idea to use question-based titles or include hyperboles to increase your number of views. Some people turn to a conversationaltone of voice to be closer to their target audience. You can also use “best-of” and “how-to” at the beginning of your heading. However, clickbait headlines are a terrible idea since they often mislead users. Research your viewers’ needs and wants. To getmore views, make sure that your content meets the needs of your audience. You should know your viewers well toproduce quality videos and provide solutions. In case you are just starting your channel, take a look at your competitors and the videos that make subscribers satisfied. Look through the videos that gain the highest level of engagement, views, likes, and comments. This way, you’ll be able to find the topics and types of videos people like to watch. Get ready with your thumbnails. Besides a killer title, you should also create an excellent thumbnail to grab more customer attention. To prevent YouTube from using a blurry screenshot as your thumbnail, you should come up with your own. To make the most out of it,be sure to include titlesthat communicate value, use a clear font, an original and relevant image, and be consistent. Congrats, now you are acquainted with YouTube marketing and its benefits. Make use of our step-by-step guide and tips to create an outstanding strategy for your company. With LIKE.TG, you can promote your videos,provide viewers with a link to video instructions, or invite them toyour webinars using our chatbot builder or bulk email service.

Zone pricing is a pricing method in which consumers within one zone are charged one price. Clients who are located closer to the company's dispatch point pay less, whereas distant customers pay a higher price as shipping distances increase. To set prices for different zones, companies always consider the local conditions such as competition and costs associated with shipping and storage. Advantages and Disadvantages of Zone Pricing Prices in zones are set within certain geographic areas. The more distant the area from the place of production, the higher the transportation costs and, accordingly, the higher the price. Now, before we get into the implementation and examples of zone pricing, let's talk about its pros and cons. Advantages of zone pricing: helps you divide customers into useful segments; enables you to pay transportation costs; allows you to recoup shipping costs. Disadvantages of zone pricing: customers on borders of different zones may suffer from different prices; distant clients may prefer competitors over your company; it adds extra layers of bookkeeping to keep track of different prices in different zones. The technique is very popular among businesses due to the benefits mentioned above. Let's proceed to the steps to consider when implementing this strategy. How to implement zone pricing Use information effectively Consider competitor alternatives Integrate item-specific strategies Consider technological solutions Let's get into how to implement zone pricing in your business. 1. Use information effectively When giving a thought to a zone pricing strategy, ensure that you're using data that can help you do it correctly. Find out how much money customers are willing to pay for your products or services. This willingness is influenced by the following factors: income level, cost of living, and whether it’s easy for your customers to buy the same product elsewhere. Analyzing your local customers' characteristics and demographics information allows you to understand the preferences of local customers, price sensitivities, and product affinities across stores. 2. Consider competitor alternatives Once you understand what drives customers to pay for certain products, analyze your business rivals and the alternatives they offer your consumers. You should understand which competitors matter the most in your industry. The composition of retailers, their price levels, and logistics costs will define your local price level. 3. Integrate item-specific strategies Mass retailers with multiple departments, restaurants, or specialty retailers can adjust to item-specific strategies. Let’s take sporting goods, for example. The sections with apparel and shoes will be more influenced by nearby stores with shoes and apparel than basketballs and sections for other basketball equipment. People have high price awareness on certain key value items (KVIs) that influence total store value perception and customer traffic. Products with less price awareness and sensitivity can float up a little to support the investment into KVIs. For example, grocery stores use the "everyday low prices" approach on reference products while prices on less popular products remain the same or even rise. Zone pricing strategies enable specific categories to follow a different set of zone rules than others. 4. Consider technological solutions Once the strategy has been developed, pay attention to its functioning. Third-party tools enable your pricing teams to handle the problems. You can simplify the process by using deep analytical tools that provide you with the agility and nimbleness necessary for retailers. Now that you know how to implement this marketing technique grab some inspiration from the examples below. Examples of Zone Pricing The following examples will give you a better understanding of how you can incorporate zone pricing in your greater marketing strategy. Let’s take the gasoline industry, for example. Suppliers often sell the same brands of gasoline to retailers at different costs. The price is based on the “price zone” in which the retailer is located. These zones aren’t established by the law but by suppliers' needs (transportation costs, additional fees, etc.). Let’s imagine a home decor manufacturer based in Mexico that ships lamps, paintings, mirrors, and vases into the US. The manufacturer can create four pricing zones, and people from different locations will have to pay different costs based on the company's criteria (transportation costs, additional fees). Eventually, a client in Texas who has ordered 10 paintings will receive a smaller bill than a client who has placed the same order but from New England. All in all, zone pricing is a marketing strategy that enables companies to segment their product offerings into individual "price zones" based on local preferences, habits, and price sensitivities. Usually, the higher transport costs, the greater the number of zones.