There’s a big gap in how video marketers measure the effectiveness of their efforts. Some use advanced video metrics to measure return on investment (ROI) and other success indicators, while others post and pray.
Vidyard, a video marketing solutions company, released its 2016 State of Video Marketing report, and the big surprise is that most marketers are still doing little to measure effectiveness. The results break down like this:
- 14 percent use advanced video metrics
- 21 percent use intermediate video metrics
- 42 percent use basic video metrics
- 23 percent use no video metrics at all
These percentages have been essentially unchanged for the last three years.
The report defines advanced metrics as those that include views by embed location, viewer drop-off rates, viewing heat maps, or attribution to a sales pipeline. This level lets marketers make precise conclusions about ROI.
The report found interesting correlations regarding metrics. First, marketers who say their ROI is improving are twice as likely to use advanced metrics.
Second, the more marketing videos a company creates annually, the more likely it is to use advanced metrics: 38 percent of companies that create over 100 videos annually use advanced metrics, while 52 percent of companies that produce less than 5 annually use no metrics.
“The use of advanced metrics become imperative for organizations that produce higher volumes of videos annually, as these metrics enable optimizing performance and understanding the true ROI of their investment,” the report says.
The report also makes the point that videos don’t have to go viral to succeed. Driving conversions is a more likely goal, and conversions are a path to improved revenue. ROI performance and conversion performance are linked.
“Participants that assess that their video conversion performance is getting better also report getting better ROI on video content. In fact, those who report that video conversion is better than other content types are two and a half times more likely to report that its ROI is also getting better,” the report says.
For more, download The State of Video Marketing, created by Demand Metric and Vidyard, for free (registration required).