By Elizabeth Zelesny
As more consumers shift their media consumption from television to the Internet, online video advertisements have proven to be effective in driving return on investments.
Due to the effectiveness of the channel, luxury brands are increasingly engaging affluents via online video advertisements.
“The medium’s combination of sight, sound and motion make it a natural fit to bring luxury brands to life,” said Tod Sacerdoti, CEO of BrightRoll, San Francisco.
“By their very definition, luxury brands are intended for a well-defined, affluent audience, and online video provides the deep targeting capabilities that allow marketers to reach the particular demographic that makes sense, often when they are in the midst of researching a purchase decision,” he said.
BrightRoll is a video advertising network.
Luxury brands, being that they target affluent consumers, have their own set of unique goals when it comes to advertising.
Here are the six best practices specifically for luxury brands using online video ads, according to Mr. Sacerdoti.
1. Use the best of Web targeting: It is extremely important for luxury brands to use the best Web targeting technologies to reach affluents.
2. Focus on creative: Brands should focus on the creative element as luxury products are effective when elegantly displayed. The majority of luxury brands tend to focus only on print material.
3. Use a call-to-action: Luxury brands should also emphasize the call-to-action strategy. Video is better than print in this instance because advertisements can explore more about a product than static images.
4. Test, test, test: Brands should never underestimate the relevance of testing messages and video components. Video is a much newer concept than print and the opportunities for success are abundant, but many advertisers are finding the greatest results in learning as they go.
5. Leveraging celebrity relationships: In terms of luxury products, leveraging celebrity relationships to promote a brand is a quick ticket to viral success.
6. Enable sharing: Luxury brands should enable online sharing. Web users love to share cool luxury products and advertisements, and tend to have stronger affiliations with these products than non-luxury items.
Key to success
Before promoting online video advertisements, luxury brands must understand which demographics are consuming the content and how they are interacting with the brand.
According to a comScore study, 172 million U.S. Internet users watched online video content for an average of 14.8 hours per viewer.
That being said, online video advertisements are an ideal way to provide marketers to reach affluents.
However, thus far luxury companies have not used the channel to its fullest potential, according to a Forrester study (see story)
Affluents are relying on Internet media consumption to browse luxury items and bond with the brand. This specific type of marketing is just another way to touch consumers on multiple channels.
Consumers have become accustomed to these advertisements and are willing to sit through a video clip to get the content they desire.
With the ever-growing popularity of smartphones and tablets, affluents are given even more of an opportunity to watch online videos at their convenience.
“Premium online video ads have been proven to be especially effective in driving ROI and have even outperformed TV across the board on relevant metrics: general recall, brand recall, message recall and likeability,” Mr. Sacerdoti said.