Why Run Video Ads? Some Key Advantages- Indigo Productions

Video Ads Vs. TV Commercials

June 5, 2024 | 4 min read

Split screen view of the difference between video ad and tv commercial video production

In many ways, video ads and TV commercials are two sides of the same coin. Both are powerful tools for leveraging video marketing to your brand’s advantage, and each offer numerous benefits. However, they also have distinct differences that set them apart. Understanding these differences is essential when deciding which approach will best achieve your specific goals for your next video marketing campaign. Below, you’ll find five key differences where video ads have the edge. Consider these factors in your decision-making process.

Target Audience and Reach

The first key difference between video ads and TV commercials is the ability to connect with a specific audience. Video ads can be targeted based on user demographics, interests, and behavior. This targeted approach allows you to craft specific messaging that resonates with particular segments, potentially improving engagement rates and conversions. In contrast, TV commercials are broadcast to a broad audience. While you can consider demographics of different networks or programs, the targeting is less granular than with video ads. As a result, TV commercials may not always reach the most relevant audience for your content.

Cost-Effectiveness

Next, consider the pricing models for video ads and TV commercials. Video ads tend to be more cost-effective, especially for small businesses and startups with limited budgets. These cost differences apply to both production and distribution. TV commercials often involve lifestyle productions with actors, multiple locations, and other elements that increase production costs. While video ads can vary in style, they are often product or brand-focused, which can be less expensive to produce. On the distribution side, airing commercials on national networks requires a substantial budget. According to Statista, the average cost of a 30-second TV commercial in the US in 2019 was $104,735. This high cost makes national TV advertising unattainable for many brands. In contrast, video ads can be distributed on platforms like Facebook, Instagram, YouTube, Amazon, and other video-enabled websites. These platforms offer more control over budget allocation, allowing you to start and stop campaigns as needed.

Engagement and Interactivity

When it comes to engagement and interactivity, video ads have a clear advantage. Marketers can incorporate interactive elements such as call-to-action buttons, clickable links, and other features to engage their audience directly. These interactive elements make the ad more memorable and provide measurable data on viewer engagement. TV commercials rely on passive viewing, which may not yield the same level of engagement. While some viewers may Google the brand or product after seeing a commercial, the experience is less seamless compared to interacting directly within the ad.

Measurability and Tracking

One of the most significant advantages of video ads over TV commercials is their measurability and tracking capabilities. Marketers can track views, engagement, watch time, conversions, and other metrics to gauge their campaign’s effectiveness. Using analytics tools, you can identify which ads perform best and adjust future iterations accordingly. This ability to test different versions and discontinue underperforming ones allows for continuous improvement. TV commercials, on the other hand, provide less detailed data, making it harder to measure their impact on the target audience.

Production Techniques

Finally, the production techniques for TV commercials and video ads can differ significantly. TV commercials often focus on brand building and driving awareness, typically involving high-production value and less variety. Video ads, however, are more versatile. They can include product demos, explainer videos, customer testimonials, and more. Each type serves a specific role in the marketing funnel, from building awareness to driving conversions.

Which Should You Choose?

Both video ads and TV commercials have their advantages and disadvantages. For widespread awareness campaigns with a robust budget, TV commercials may be suitable. However, for most brands, video ads are more effective and accessible. If you’re unsure which approach will help you reach your goals, the team at Indigo Productions is here to help. Our producers can tailor your video strategy to meet your desired outcomes, guiding you in the right direction and bringing your vision to life. Contact us for custom guidance!

Why Run Video Ads? Some Key Advantages Over TV Commercials