Our guide to digital video costs
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Digital Video is fast becoming an important part of a TV campaign but also as a stand alone medium to advertise on.
Especially to smaller regional advertisers due to the geo targeting capabilities.
At TVA, we’ve put together a package for advertisers to get started with digital video either across ITV, Channel 4, SKY or even YouTube. For most advertisers, digital video is difficult to get into because the production of a commercial can be cost prohibitive, especially as it needs to be legally cleared to advertise across these platforms along with usage rights for voice overs and music.
To help clients test this medium we’ve built a package that includes the cost of making you an advert, in either 2D, 3D or utilising existing live action or still photography you may already hold.
We buy on a cost per thousand basis which can be converted to a cost per view and each supplier has different rates. Often there can also be incentives or offers for new or existing advertisers depending on availability and the targeting options you choose.
To keep things simple these are examples only and are meant to show you potential delivery with the TVA Digital Package with no advanced targeting such as by genre, demographic or interest based but with geo targeting by City so you can advertise with little wastage.
Some broadcasters have other geo targeting options such as postcode, local authority or even drive time but these can have premiums attached and minimum spends.
Depending upon the broadcaster you can get anywhere between 100,000 – 150,000 video views for with our digital package. However, as most broadcaster VOD (ITV Hub, SKY Go, All4), is viewed through a smart TV you can actually apply a factor of 60% additional views to get a more accurate picture of how many people see your advert.
Which increases the viewer numbers to between 160,000 – 240,000. And as you have to watch the ads on broadcaster VOD you will get roughly a 96% completion rate on your video meaning the majority of viewers would have seen the entirety of your advert whole advert. With a cost per view between 1.5p – 2p.
Some broadcasters will offer deals too such as 20% over delivery which again will reduce your cost per view and increase the number of viewers your budget reaches.
*This is an ever changing market so ask us today what delivery we can get you.
Now YouTube is different from broadcaster VOD. The main difference is that your ads will appear around user generated content as opposed to TV programming like Bake Off, Coronation St, or Premier League Football.
So your ads are in a different environment but not only that your ads are skippable! The advantage of skippable ads is that viewers are forced to watch the first 5 seconds but after they can skip at any time, now if they skip before your ad completes or reaches 30” or clicks and engages with your ad then you don’t pay for the skipped view. This can be quite valuable as it should mean that only those who are interested in your ads offering will choose to watch your whole advert. This should mean that only those interested in your offering are watching your ads so you’re only paying for engaged views. It also means you get a large amount of non paid for partial views.
On a 4k budget, this would then work out at 200,000 views at 2p per view and a 20% view through rate you’d get total impacts of 1 million. So as you’re buying on a cost per view basis (which you can choose, although 2p is normally where we start), your cost per impact including those who skipped drops to 0.4p per impact which is in line with TV advertising costs. As YouTube is part of Google AdWords you also have more data and targeting options to draw on such as retargeting campaigns or those in the market for a product or service.
If you choose to advertise on YouTube, it’s worth considering having a creative specifically for that purpose to make the most of those views that skip by front loading your creative message.
Choose advertising space across ITV Hub, All4, SKY VOD or YouTube.
Delivery to either, ITV, All4, SKY or YouTube. Additional delivery charges for more than one delivery at £50 per transmitter.
Production of a simple advert, see examples in links below.
Including a basic voice over (male or female) with usage for your campaign and library music track with usage for your campaign.
So how much advertising space is included in your package?
The package has a total cost of £5,500 (plus VAT). £4,000 of value will be spread across either one or more of your channel choices. £1,500 will cover the cost of producing your advert.
ITV Hub • All4 • Sky Go • YouTube
*Additional delivery change of £50 per station.
Choose from a 2D, 3D or imagery based animated advert.
*See some examples on page 6
It’s all about the tone, would you like a male or female VO • Music style.
*VO holds a 6-month license for digital. Music digital license in perpetuity.
Here are some perfect examples of successful digital advertising focused animation.
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