Facebook videos will be a more preferred advertising medium for ad campaigns compared to YouTube, claims a survey. The survey was conducted by Mixpo, a company that offers consultation to publishers with their advertising plans, which released a report entitled “The State of Video Advertising: Facebook’s Rise to Dominance.”
Growing video clout for Facebook
In its survey, Mixpo found that about 87% of the respondents had plans of going with Facebook for their video ads, while 81.5% were in favor of using YouTube. Last year marked the first occasion, when the number of video views garnered by Facebook was higher than that of YouTube, says a report from VentureBeat. The preference for Facebook video among everyday users has grown at an astonishing rate of 94% YoY in the United States, and marketers too will now join the league, according to Mixpo.
Einhorn Tells Investors: Tesla Is Gaming S&P 500 Index Committee
The Federal Reserve has poured unprecedented levels of stimulus into the U.S. economy to deal with the pandemic, and most experts agree that inflation is just around the corner. David Einhorn has positioned his Greenlight Capital to benefit from inflation when it arrives. Q2 2020 hedge fund letters, conferences and more SORRY! This content is Read More
Facebook has good knowledge about the behavior of its users, and this might give it an edge over YouTube. According to Mixpo, Facebook implements its ad retargeting strategy very efficiently across multiple devices without relying on third-party cookies, which expire or are deleted. Also the social network offers “true attribution based on view through and/or click-through,” even on mobile. Though Facebook understands its users pretty well, it does not pass on personal information to advertisers owing to privacy concerns.
Mismatch between usage and advertiser budget
Mixpo notes a significant mismatch between the usage of social media by people and the way advertisers use social media as an advertising platform, says Mixpo, and on these grounds, the usage of Facebook for advertising might not be as beneficial as marketers are expecting it to be.
According to the research firm, around 80% of the respondents said that social advertising is important or very important. However, still an unreasonably low percentage of digital budgets is allocated for social media compared to the time spent by users on the platforms. Mixpo said that while the amount of time spent by users on Facebook was more, the companies spent a small proportion of their digital media advertising budget on the platform. The gap can be easily closed with video advertising.