Video Content Metrics Benchmark Report

1,429 views

Published on

Executive Summary

In the pantheon of marketing content types, video enjoys a favored position and for very good reason: people prefer video content to other, static types of content. There’s no shortage of evidence that video is more engaging, enjoys greater retention and is more widely shared. The cost of producing quality video continues to drop, helping establish it as a mainstream form of content.

As a content type, video currently enjoys a certain cachet. People will choose to consume it simply because it is video. This drawing power has caused many marketers to worry less about effectiveness metrics and just operate under the assumption that because content is delivered in video form, it is good and it works.

But as the content marketing herd continues to stampede toward video, it will lose some of its novelty simply because everyone is doing it. The day is coming soon, and perhaps has already arrived, when it’s no longer enough to present video content to an audience. Some metrics are needed to understand viewing behavior and to link those metrics to leads in the sales and marketing funnel.

In a study sponsored by Vidyard, Demand Metric conducted a survey to explore several aspects of video marketing and the emerging role of video marketing platform technology. Even with the tremendous momentum behind video, it is still important to understand how it performs and to give careful consideration to leveraging it as a highly measurable and trackable content medium.

Table of Contents

- Introduction
- Executive Summary
- The Importance of Video
- The Performance of Video
- Hosting & Producing Video Content
- Video Content Budget
- Video & The Sales Process
- Analyst Bottom Line
- Acknowledgements

- About Vidyard
- About Demand Metric
Appendix - Survey Background


Research Methodology

The Video Content Marketing Metrics Benchmark Study survey was administered online during the period of July 15, 2014 through July 29, 2014. During this period, 295 responses were collected, 235 of which were complete enough for inclusion in the analysis. The data was analyzed using SPSS to ensure the statistical validity of the findings. The representativeness of these results depends on the similarity of the sample to environments in which this survey data is used for comparison.

Published in: Marketing
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
1,429
On SlideShare
0
From Embeds
0
Number of Embeds
547
Actions
Shares
0
Downloads
0
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Video Content Metrics Benchmark Report

  1. 1. © 2014 Demand Metric Research Corporation. All Rights Reserved. Benchmark Report Video Content Marketing: Sponsored By:
  2. 2. TABLE OF CONTENTS 3 5 7 10 15 21 Introduction Executive Summary The Importance of Video The Performance of Video Hosting & Producing Video Content Video Content Budget 30 32 33 Acknowledgements About Demand Metric Appendix – Survey Background 23 28 Video & The Sales Process Analyst Bottom Line 31 About Vidyard
  3. 3. INTRODUCTION In the pantheon of marketing content types, video enjoys a favored position and for very good reason: people prefer video content to other, static types of content. There’s no shortage of evidence that video is more engaging, enjoys greater retention and is more widely shared. The cost of producing quality video continues to drop, helping establish it as a mainstream form of content. As a content type, video currently enjoys a certain cachet. People will choose to consume it simply because it is video. This drawing power has caused many marketers to worry less about effectiveness metrics and just operate under the assumption that because content is delivered in video form, it is good and it works. But as the content marketing herd continues to stampede toward video, it will lose some of its novelty simply because everyone is doing it. The day is coming soon, and perhaps has already arrived, when it’s no longer enough to present video content to an audience. Some metrics are needed to understand viewing behavior and to link those metrics to leads in the sales and marketing funnel. In a study sponsored by Vidyard, Demand Metric conducted a survey to explore several aspects of video marketing and the emerging role of video marketing platform technology. Even with the tremendous momentum behind video, it is still important to understand how it performs and to give careful consideration to leveraging it as a highly measurable and trackable content medium. 3
  4. 4. INTRODUCTION The research summary report explores these aspects of video usage and presents findings on:  The strategic importance of video and how its ROI compares to other content types.  The value and importance of tracking video viewing data.  The importance of and the degree to which video viewing data integrates into Marketing Automation and CRM platforms.  The extent to which video is now a serious tool for sales enablement and closing deals. These study results provide insights and data useful for comparison, planning and improving the quality of video marketing initiatives. 4
  5. 5. EXECUTIVE SUMMARY A majority of this study’s participants were in marketing roles in B2B organizations that reported revenue growth in the most recently completed fiscal year. Study data was collected only from participants that acknowledged using video as a form of marketing content. The analysis of this study’s data provides these key findings:  95% of this study’s participants report that video, as a form of marketing and sales content, is becoming somewhat or far more important.  Large companies are leveraging video more heavily. Over one-third of large companies produce more than 100 marketing videos annually, compared to just 4% of small companies and 5% of medium companies that produce videos at this pace.  Over 70% of respondents claim that video performs better than other content for producing conversions, and almost half state the ROI of video is getting better. However, over one-fourth do not know the ROI for their video marketing efforts.  86% of study participants are using some form of measurement of video marketing effectiveness. Those using intermediate to advanced measures of engagement are producing more videos, reporting substantially better conversion performance and getting better ROI. 5
  6. 6. EXECUTIVE SUMMARY  Organizations that host video on a combination of their own website and external websites, such as YouTube, are getting the greatest ROI on their video marketing efforts. The trend is toward this combined hosting approach.  Almost 70% of the study’s participants report that video engagement data is somewhat or very effective as a lead quality or business opportunity indicator, and over half claim there is great value to having video viewing data about individual leads in the sales funnel. However, only 9% of companies in this study have actually integrated video viewing data with CRM or Marketing Automation systems and are exploiting the data. This report details the results and insights from the analysis of the study data. For more detail on the survey participants, please refer to the Appendix. 6
  7. 7. 0% 0% 5% 32% 63% 0% 20% 40% 60% 80% Far less important Somewhat less important Not changing Somewhat more important Far more important The Changing Importance of Video as Content THE IMPORTANCE OF VIDEO Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 7 The general assumption in the marketing community today is that video is an important and valuable form of marketing content. To validate this assumption, study participants were asked to rate how the importance of video, as a type of marketing or sales content, is changing in their organizations. Figure 1 summarizes this importance data. If there is any doubt about the popularity and importance of video content, the data in Figure 1 should quickly remove any uncertainty. The current perception matches the reality: virtually the entire marketing community acknowledges that video is becoming more important as a type of marketing and sales content. Figure 1: 95% of study participants report that video is becoming somewhat or far more important as a form of marketing and sales content.
  8. 8. 25% 26% 32% 9% 8% 0% 10% 20% 30% 40% Less than 5 5 to 10 11 to 50 51 to 100 More than 100 Marketing Videos Produced Annually Alongside the growing importance of video marketing content, some usage data provides helpful context into the video marketing landscape. One-fourth of organizations that participated in this study produce less than five videos annually for marketing purposes, while 17% produce more than 50. Figure 2 details the breakdown of video content production. The estimated average number of videos produced annually when using the full sample of data from this study is about 27. 9 THE IMPORTANCE OF VIDEO Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 Figure 2: Slightly over half of this study’s participants are producing 10 or fewer marketing videos annually.
  9. 9. There are major differences, however, when looking at the data from Figure 2 by company size. Company size is determined by annual revenue, where small companies are those reporting $25 million or less, medium companies between $26 and $500 million and large companies over $500 million. Using this size criterion, 36% of large companies are producing more than 100 marketing videos annually, compared to just 4% for small companies and just 5% for medium companies that are producing videos at this same pace. Perhaps large companies have more to say through video; but whatever the reason, by a substantial margin, large companies are winning the video marketing arms race at present. SMBs should not surrender the video marketing high ground to large companies in this way, particularly in light of the continual lowering cost and technical barriers to producing quality video. The content marketing arena in general, and the video marketing category specifically, is a place where SMBs can share the same stage as their larger competitors. Video marketing currently represents an opportunity for SMBs to gain ground on their larger competitors, but they’re clearly not yet exploiting this opportunity. 9 THE IMPORTANCE OF VIDEO
  10. 10. THE PERFORMANCE OF VIDEO The goal of most content marketing efforts is to reach a specific audience throughout all stages of the buying cycle, but particularly the early ones when the buyers are self- educating. Ideally, content addresses audience needs well, is easy to find and consume and ultimately produces a conversion. Conversions are the endgame of content marketing, so how well does video perform compared to other types of content at producing the desired results or conversions? Figure 3 provides a view of how well video performs in this regard. Few marketers question the efficacy of video as a content type; and the data from Figure 3 confirms what most marketers believe: video does a good job producing conversions. For virtually all of the participants, video performs as well or better than other types of content. If conversions are the goal of your content marketing efforts, video is the preferred content type for producing them. 10 Figure 3: 71% of study participants say that video converts somewhat better or much better than other content types. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 0% 2% 27% 52% 19% 0% 20% 40% 60% Much worse Somewhat worse About the same Somewhat better Much better Conversion Performance of Video
  11. 11. 26% 1% 25% 48% 0% 10% 20% 30% 40% 50% Unknown Declining Same Better How is the ROI of Video Changing? Figure 4: Almost half of the participants in this study report that the ROI of video is getting better. Given the strong performance of video at producing conversions, it stands to reason that the ROI of video is correspondingly strong. The study survey specifically asked participants to share how the ROI they are getting from video is changing: Is it getting better, staying the same or declining? Figure 4 shares the results of this ROI query. Almost half of the study’s participants report that the ROI of video content marketing is getting better. The second largest response group – the “unknowns” – could not provide a response to the ROI question. This is, unfortunately, all too typical for marketing initiatives, video or otherwise. Marketing, historically, has difficulty reporting the ROI on what it does. 11 Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 THE PERFORMANCE OF VIDEO
  12. 12. 14% 48% 24% 14% 0% 20% 40% 60% None Basic Intermediate Advanced Video Content Effectiveness Measures in Use 12 Figure 5: 86% of this study’s participants use some level of measurement for video content effectiveness. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 There is a way to know with precision how well video performs and what kind of ROI is attached to video marketing efforts. It requires tracking the right set of effectiveness metrics, which can be categorized as:  Basic: these are measures of consumption, such as views or shares, and they are relatively easy to capture. However, these metrics aren’t indicators of engagement; and as such, their usefulness is limited.  Intermediate: these are basic measures of engagement, such as average viewing duration. With these metrics, insights into video viewing behavior begin to emerge.  Advanced: these metrics include views by embed location, viewer drop-off rates, viewing heat maps or attribution to sales pipeline. With these metrics, precise determinations of revenue impact and ROI can be made. Figure 5 provides the breakdown of the video content effectiveness measures currently in use by study participants. THE PERFORMANCE OF VIDEO
  13. 13. While it is encouraging that 86% of this study’s participants are using some form of measurement for video content effectiveness, as seen in Figure 5 on the previous page, most are just using basic measures of consumption. While understanding views or shares does provide some insight, these measures are not indicators of engagement. Perhaps a good analogy here is with email marketing: the difference between consumption and engagement is like the difference between an email campaign open rate and its click-thru rate. What marketers really want is for the content consumers to take the action the content is designed to induce. For this reason, intermediate or advanced metrics are necessary to understand how video content is engaging the target audience. Using intermediate or advanced metrics provides a greater understanding of video performance, higher confidence in producing favorable outcomes and a powerful management tool for improving performance. Figure 6 provides a comparison of the survey participants that indicated the use of intermediate or advanced measurements for their video content, against those who use none or only basic measures. THE PERFORMANCE OF VIDEO Measurements Importance = Far More or Somewhat More (Figure 1) Volume = 51 or More Videos Annually (Figure 2) Conversion = Much or Somewhat Better (Figure 3) ROI = Getting Better (Figure 4) None or Basic 94% 9% 66% 42% Intermediate or Advanced 98% 31% 91% 61% Figure 6: The types of measures in use signal substantial differences in Volume, Conversion Performance and ROI of video. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235
  14. 14. Figure 6 shows a negligible difference in the importance of video as a type of marketing content: it’s becoming far more or somewhat more important to most of the study’s participants, regardless of what kind of measures are in place. However, those who use intermediate or advanced measures are producing more videos and reporting substantially better conversion performance and ROI from them. Since video content is growing in importance for almost everyone in this study, the data in Figure 6 makes a strong case for using intermediate or advanced analytics as part of a video content marketing effort. As with any form of analytics, the power of the data comes not from simply tracking metrics, but doing something with the metrics data. THE PERFORMANCE OF VIDEO 14
  15. 15. 11% 43% 46% 0% 10% 20% 30% 40% 50% Our own website External sites (YouTube, Vimeo) Combination Current Hosting of Video Content HOSTING & PRODUCING VIDEO CONTENT The options and considerations for hosting video content have expanded rapidly. One goal of this study was to understand the current and future video hosting plans. Figure 7 summarizes where study participants are currently hosting their video content. External websites provide convenience, many like YouTube are free, and they eliminate the need for some technical expertise. However, they limit your ability to have full control over your brand presence, they do not necessarily drive traffic to your website and they do not provide a secure channel for viewing video. Diving more deeply into this data about where video is currently hosted leads to the conclusion that those organizations choosing a combination of external sites and their own website are seeing advantages in other areas. This combination approach is not a result of indecisiveness or convenience, but instead seems the result of deliberate efforts to optimize benefits. 15 Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 Figure 7: 89% of video content is hosted on external sites, or a combination of internal and external websites.
  16. 16. Figure 8 shows some of the more interesting differences in study variables based on where video content is currently hosted. Organizations participating in this survey that are hosting video content on external sites and their own website are experiencing:  Increased ROI.  Are far ahead in the use of intermediate or advanced engagement metrics.  Are three times more likely to have integrated video viewing data into their CRM and/or Marketing Automation platforms – and are exploiting that data. Hosting Location Volume = 51 or More Videos Annually (Figure 2) ROI = Getting Better (Figure 4) Metrics = Intermediate or Advanced (Figure 5) CRM or MA Integration = doing & exploiting (Figure 17) External sites 7% 49% 31% 5% Own website 23% 27% 23% 5% Combination 25% 55% 47% 15% Figure 8: Study participants hosting video content on a combination of external sites and their own website have advantages in key areas. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 HOSTING & PRODUCING VIDEO CONTENT
  17. 17. 17 The combined video hosting approach seems to provide those organizations that use it with the best of both worlds in terms of benefits. Where video is hosted – either internally or on external sites – is not accidental, but selected based on how to best maximize benefits. So given the tradeoffs for hosting video: what will organizations do in the future? Figure 9 provides the answer. Study participants were asked to indicate where they would prefer to host most of their video content. This study shows that participants are moving toward hosting video on a combination of internal and external websites. As Figure 8 shows, this approach is the one that provides the best set of benefits. Brands have traditionally relied more heavily on YouTube and 3rd party channels for video distribution than their own “owned” web properties. The data in Figure 9 tells us that, going forward, brands will use a combination of their own web properties and external hosting sites, such as YouTube or Vimeo. HOSTING & PRODUCING VIDEO CONTENT Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 Figure 9: Video content hosting preferences are shifting away from external sites only, like YouTube or Vimeo. 14% 23% 63% 0% 20% 40% 60% 80% Our own website External sites (YouTube, Vimeo) Combination Preferred Hosting of Video Content
  18. 18. 7% 9% 5% 21% 32% 26% 0% 10% 20% 30% 40% I don't know Very unimportant Somewhat unimportant Neutral Somewhat important Very important Importance of User-Controlled Sharing Channel 18 The data in Figure 9 suggests that brands recognize the need to bring visitors to their own sites to watch video content rather than sending them away to 3rd party channels they don't own. As a result, brands will strive to offer a YouTube channel-like experience on their own sites so they can provide branded video experiences that they control. Vendors that provide tools and solutions that make this easy will gain favor with brands that use video. As Figure 10 suggests, it is becoming more important for brands to have the ability to share video content with sales prospects through a secure channel that is owned and controlled by the brand. HOSTING & PRODUCING VIDEO CONTENT Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 Figure 10: Almost 60% of study participants attach some level of importance to having a secure channel that they control for sharing video.
  19. 19. Brands want the benefit of exposure they get from sharing video on popular external hosting sites, such as YouTube. At the same time, they see the value of having a secure channel that they own and control to share video with sales prospects. When analyzing the study survey responses from just those participants that chose “Somewhat important” or “Very important” as a response option in Figure 10, the reasons for their response emerge and are summarized in Figure 11 below. What emerges from this analysis is that organizations in this study placing importance on having a secure channel for sharing sales videos are doing so, at least in part, to exploit video viewing metrics, which are detailed further in a later section of this report. Importance of a Secure Video-sharing Channel Value of video viewing data about sales funnel leads = of great value (Figure 12) Importance of integrating video viewing data with CRM or MA = integrated & exploiting (Figure 14) Somewhat or Very Important 65% 14% Neutral, Somewhat or Very Unimportant 43% 5% Figure 11: Study participants that place importance on a secure channel are more mature in their use of video viewing data. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 HOSTING & PRODUCING VIDEO CONTENT 19
  20. 20. 20% 36% 44% 18% 28% 54% 0% 20% 40% 60% External: agencies, studios, freelancers or contract employees Internal staff & resources Combination of internal & external resources Video Production Resources Future Now 20 Video has long had the perception that it is one of the most resource-intensive forms of content to produce. The technology for producing quality video content has rapidly improved, putting it within the reach of any company at an affordable price. One goal of this study was to understand what resources companies are using to produce video content. Figure 9 details this inquiry. When looking at video production resources through the filter of how many videos a participant produces annually (Figure 2), those who produce higher volumes of videos (51 or more annually) rely mostly on a combination of internal and external resources: 55% currently use a combined approach, shifting to 70% in the future. Conventional wisdom would suggest that the more of a content type you produce, the more likely you are to invest in in-house resources to produce it. This data refutes that conventional wisdom. Instead, companies producing video in volume seem to put the emphasis on criteria like quality, cost, efficiency or creativity; and they are seeking the best blend of skills and resources to get it. Figure 12: As with video hosting, the trend is toward a combined approach of internal and external resources. HOSTING & PRODUCING VIDEO CONTENT Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235
  21. 21. VIDEO CONTENT BUDGET 21 Companies invest in what they feel is strategic and will produce a return. For this reason, the study investigated the budget for video content as a means of assessing its strategic importance and overall value. Study participants were asked to indicate whether budgets for video content were increasing, staying the same or decreasing. The results are summarized in Figure 13. Almost no one in this study reported decreasing budgets for video content – companies are increasing their investment in video content because it works or because they think it works. When looking at this budget data and isolating just the 69% of study participants that indicated their video content budgets are increasing, Importance (Figure 1) and Metrics (Figure 5) are roughly the same as for the full survey sample. There are two notable differences in this comparison, which are detailed on the next page. Figure 13: Over two-thirds of study participants report that their video content budget is increasing. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 1% 2% 28% 53% 16% 0% 20% 40% 60% Significantly decreasing Slightly decreasing Staying the same Slightly increasing Significantly increasing Video Content Budget
  22. 22. The two notable differences are:  Conversion performance (Figure 3): 90% of study participants that are increasing their video content budgets report slightly or significantly better conversion performance of video content, compared to other types. The comparable conversion performance rate for the full survey sample is 71%.  ROI (Figure 4): 60% of study participants that are increasing their video content budgets report that the ROI of video is getting better, compared to just 48% for the full survey sample. Either of these two outcomes of video content usage – conversion performance and ROI – alone are sufficient to warrant an increased investment in video content. The fact that video content produces both of these outcomes makes it easy to see why so many organizations are putting more of their budget dollars toward video content. 22 VIDEO CONTENT BUDGET
  23. 23. VIDEO & THE SALES PROCESS 23 This study has already established the value of video in producing conversions. It stands to reason that the consumption of video is also an effective indicator of lead quality or business opportunity. Figure 14 summarizes the results of the survey question that investigated this aspect of video in the sales process. Consumption of video is, undoubtedly, considered an effective indicator of higher lead quality or advanced business opportunities. Figure 14: Almost 70% of this study’s participants report that video is somewhat or very effective as a lead quality or business opportunity indicator. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 9% 1% 3% 18% 52% 17% 0% 20% 40% 60% I don't know Very ineffective Somewhat ineffective Neither effective/ineffective Somewhat effective Very effective Video as Lead Quality & Opportunity Indicator
  24. 24. VIDEO & THE SALES PROCESS 24 The next logical step in understanding the relationship between video content and the sales process is to better understand the perception data about the value of having video viewing data associated with individual leads in the sales funnel. How valuable is it to know exactly which leads have consumed video content? This data is summarized in Figure 15. There’s little doubt that having data at the individual lead level about video content viewing has value when virtually every participant indicated such in the survey. Figure 15: Virtually all study participants attach great value to having video viewing data about leads in the sales funnel. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 0% 4% 42% 54% 0% 20% 40% 60% Of no value Of little value Of some value Of great value Value of Video Viewing Data for Individual Leads
  25. 25. VIDEO & THE SALES PROCESS 25 What about more advanced uses of this data, such as to score leads or affect Marketing Automation workflows? The study probed more deeply into the opportunity that the integration of video viewing content with sales funnel lead data provides. Figure 16 presents the summary of this data. There are no technology barriers to having this data and using it as described in Figures 15 and 16. The data is obtainable for those content marketers that make the effort to capture and make it available. Figure 16: 79% of study participants believe it is somewhat or very important to use video viewing data in lead scoring or Marketing Automation workflows. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 2% 3% 15% 47% 33% 0% 10% 20% 30% 40% 50% Very unimportant Somewhat unimportant Neither important/unimportant Somewhat important Very important Using Viewing Data with Lead Scoring or MA
  26. 26. VIDEO & THE SALES PROCESS 26 Figure 17: Just one-fourth of participants have integrated video viewing data with their CRM or Marketing Automation systems; and less than half of those are exploiting the data. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 How many organizations are doing this through the ideal means, which is integration with CRM or Marketing Automation platforms? Figure 17 provides this summary. The data represented in Figure 17 shows that most marketers are thinking about integrating video viewing data into their CRM or Marketing Automation workflows. However, of the 25% who have already integrated this data, less than half of them are doing anything with the metrics. As one might expect, those study participants that are producing the most videos annually are ahead of the others in integrating and exploiting video viewing data. Video viewing data is an intermediate to advanced metric of engagement (Figure 5) that provides the sales and marketing team with actionable insights about leads. The marketing and sales teams can use these insights in very practical ways because, as Figure 14 reveals, video-viewing data is an excellent indicator of lead qualification or business opportunity. 20% 29% 26% 16% 9% 0% 10% 20% 30% No plans to integrate Planning to integrate sometime Planning to integrate within 12 months Integrated but not exploiting the data Integrated & exploiting the data Integration Status of Video Viewing Data
  27. 27. VIDEO & THE SALES PROCESS 27 To what extent is the sales team using video viewing data to qualify leads, engage prospects or influence specific deals already? Figure 18 shares this status. While almost two-thirds of the sales organizations in this study report that their team members use video viewing data to work with prospects, very few rely on this data to a great extent. Based on the integration status data in Figure 17, this low reliance on viewing data probably has little to do with sales team desire or willingness, but instead reflects the availability of the data. Members of the sales team are always quick to use any data available that provides them with an advantage or further insights into prospect interests and qualification. A very practical application of exploiting video viewing data in the sales process is an alert: sending a real-time alert to the sales team when a prospect has completed viewing a video. In this study, 57% of the participants agreed that for the sales team, getting an immediate alert was somewhat or very important. Figure 18: About two-thirds of sales organizations in this study use video-viewing data to qualify, engage or influence deals. Video Content Metrics Benchmark Study, Demand Metric, August 2014, n=235 11% 37% 22% 24% 6% 0% 10% 20% 30% 40% I don't know To no extent To a slight extent To some extent To a great extent Sales Use of Viewing Data to Influence Deals
  28. 28. ANALYST BOTTOM LINE As a type of content, video is still very much on the rise with its importance continuing to grow. This study has shown that video converts better than other forms of content; and this performance certainly contributes to an improving ROI for video. Quality video is also getting easier to produce and the cost of doing so is coming down. For all of these reasons, the decision to invest in video is an easy one. This study provides some insight for investing wisely in video:  Get on board. Small and even medium-sized companies are not yet on the video content bandwagon. They should be. The cost and production barriers that have kept SMBs away from video have all but vanished. It’s time to take the plunge because larger competitors are actively producing video content. SMBs can compete very effectively through the medium of video.  Use the data. A video content strategy must include integration with key sales and marketing systems, such as CRM and Marketing Automation. The integration should include capturing some engagement metrics, such as viewing duration, not just consumption metrics. Furthermore, organizations should use these metrics to their advantage, as there is little value in just collecting this data. This study identified video viewing behavior as an effective lead quality indicator, therefore, companies should deploy marketing video to deliver immediate alerts to the sales team when a video is viewed.  Outsource & insource. There are several approaches for staffing and resourcing the production of video. The one that seems to work best is a combined approach, where there are some internal resources to manage/own the process and external specialists for various aspects of production. This combined resource approach is the trend, even for companies producing more than 100 videos annually. Companies should take the approach that produces the best creative and quality videos at the lowest costs. Usually, this is accomplished by blending internal and external resources. 28
  29. 29. ANALYST BOTTOM LINE  Dual-channel deployment. The companies that are seeing the best results with video are deploying it both through their owned websites as well as external video hosting sites like YouTube. It is important to have a secure channel for sharing video with sales prospects. It is also wise to exploit the traffic and reach of the external hosting sites. Don’t do one or the other – do both to get the best return on your video investment.  Invest in the right technology. Most of the benefits and best practices identified in this study are not achievable using just free video hosting platforms, such as YouTube, and Marketing Automation alone. Select a video marketing platform that is scalable and provides engagement insights through analytics. Doing so will produce the greatest ROI in the shortest possible timeframe. Reference the Demand Metric Solution Study, “Video Marketing: Insights, Landscape & Vendor Analysis” for a detailed look at vendor offerings. The window of opportunity for marketing video content is wide open at present. Most people prefer video to other forms of content. Video content enjoys better retention and, when well done, is frequently shared. At some point in the future, the content marketing “herd” will have fully embraced video and it is likely that video will lose some of its ability to differentiate. When that happens, marketers will search for the next captivating content type. But at present, video sits atop the content marketing pyramid. For these reasons, the time to invest in video is now. 29
  30. 30. ACKNOWLEDGEMENTS Demand Metric is grateful to Vidyard for sponsoring this benchmarking study and for those participants that took the time to provide their input to it. Demand Metric acknowledges the advice and assistance of Dr. Tom Brown, Noble Foundation Chair in Marketing Strategy and Professor of Marketing in the Spears School of Business at Oklahoma State University, in facilitating and providing counsel on the analysis of these survey results. 30
  31. 31. ABOUT VIDYARD Vidyard is a video marketing and analytics platform focused on showing clients exactly how viewers interact with their videos. This means customers can continuously improve their marketing strategy based on measurable results. Along with hosting video content, Vidyard reveals who’s watching your videos, and for how long with detailed viewer analytics and engagement data you can push directly into your MAP and CRM. For more information, visit www.vidyard.com. 31
  32. 32. ABOUT DEMAND METRIC Demand Metric is a marketing research and advisory firm serving a membership community of over 40,000 marketing professionals and consultants in 75 countries. Offering consulting methodologies, advisory services, and 500+ premium marketing tools and templates, Demand Metric resources and expertise help the marketing community plan more efficiently and effectively, answer the difficult questions about their work with authority and conviction and complete marketing projects more quickly and with greater confidence, boosting the respect of the marketing team and making it easier to justify resources the team needs to succeed. To learn more about Demand Metric, please visit: www.demandmetric.com. 32
  33. 33. APPENDIX – SURVEY BACKGROUND The Video Content Marketing Metrics Benchmark Study survey was administered online during the period of July 15, 2014 through July 29, 2014. During this period, 295 responses were collected, 235 of which were complete enough for inclusion in the analysis. The data was analyzed using SPSS to ensure the statistical validity of the findings. The representativeness of these results depends on the similarity of the sample to environments in which this survey data is used for comparison. Summarized below is the basic categorization data collected about respondents to enable filtering and analysis of the data: Annual Sales:  $10 million or less (53%)  $11 to $25 million (13%)  $26 to $100 million (10%)  $101 to $500 million (9%)  $501 million to $1 billion (4%)  Over $1 billion (11%) Type of Organization:  Mostly or entirely B2B (51%)  Mostly or entirely B2C (14%)  Blend of B2B/B2C (21%)  Agency or Studio (14%) Primary Role of Respondent:  President, CEO or Owner (25%)  Marketing (57%)  Sales (5%)  Other (13%) Revenue Growth (in most recent fiscal year):  Significant increase (14%)  Modest increase (52%)  Flat (23%)  Modest decline (10%)  Significant decline (1%)
  34. 34. For more information, visit us at: www.demandmetric.com Demand Metric Research Corporation 562 Wellington Street London, ON, Canada N6A 3R5 © 2013 Demand Metric Research Corporation. All Rights Reserved. Benchmark Report © 2014 Demand Metric Research Corporation. All Rights Reserved.

×