The New Economy of Viral Video

the new economy of Viral Video And why engagement matters COMPANY INSIGHTS

social media has changed the way brands and consumers interact. Social video, often called viral video, is an evolving form of social marketing available to brands. Brand marketers must understand the concept of engagement capital to be successful with social video. COMPANY INSIGHTS

engagement capital is the means by which a marketer exchanges compelling content for support or action by a user. Each brand video creates a limited amount of engagement capital to spend with a viewer. COMPANY INSIGHTS

You can spend your video's engagement capital on branding, a call-to-action, or on reach and engagement goals. It’s best to pick one goal and stick to it. Otherwise you’ll overtax your viewer and reduce interaction with your video. COMPANY INSIGHTS

The level of engagement capital available to spend with your viewer is affected by the type of video you create. LIGHT BRANDING Brand is visible but does not impede entertainment value of content. HEAVY BRANDING Clearly commercial content, title or end slide and voiceover interrupts content. CALL-TO-ACTION Clearly commercial content, user is asked to take action with promise of reward COMPANY INSIGHTS

Lightly branded video content is shared 4x as often as heavily branded content, and 10x as often as videos with a call-to-action component. 100% 75 50 25 0 Lightly Branded Heavily Branded Call-to-action COMPANY Source: Feed Company INSIGHTS

Viewers engage (e.g., comment, rate) with lightly branded video content 2X as often as videos with a heavy brand or call-to- action component. 4 3 2 1 0 Lightly Branded Heavily Branded Call-to-action COMPANY Source: Feed Company INSIGHTS

Lightly branded social videos produce more engagement capital to spend with social media influencers. Influencers are in position to syndicate your brand video across the social web. 1 out of 10 YouTube users* manage a blog or website. 4 out of 10 YouTube users are active on other social media platforms. COMPANY *YouTube users 35 and under. Source: Entertainment Media Research © YouTube Insight Report 2009. INSIGHTS

Certainly branding and call-to-action have a role in social video marketing but at a cost - reduced reach and engagement for your brand video. The big takeaway for video marketers: create engagement capital and spend it wisely. COMPANY INSIGHTS

want to know more? Please contact Josh Warner President, Feed Company josh@feedcompany.com 323-469-3052 COMPANY INSIGHTS

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The New Economy of Viral Video

by Josh Warner on Apr 20, 2010

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