As the world’s second most popular search engine, it’s undeniable that YouTube should be a key platform in your marketing strategy. In this blog post, we’ll take a comprehensive look at the recent launch of YouTube Shopping, including how it works, its benefits and how to test your ads. We’ll also discuss how YouTube Shopping is impacting performance marketing. If you’d like to stay on top of the latest in paid media, check out our blog and if you’re interested in how to create a YouTube campaign, take a look at our guide.
What Is YouTube Shopping?
First you could shop directly on Instagram, then on TikTok, but did you know that you could also shop directly through a YouTube ad? YouTube Shopping lets merchants sell products directly through their videos, tapping into the growing trend of video shopping.
YouTube Shopping works by integrating with Shopify – a popular e-commerce platform – allowing merchants to create product listings that appear in their YouTube videos and on the YouTube Shopping tab.
How does YouTube Shopping work?
To use YouTube Shopping, merchants need to have a Shopify account and a YouTube channel. Once they have connected their accounts, they can start creating product listings.
Product listings need to include the following information.
- Product title
- Product description
- Product price
- Product images
- Product link
To add a product listing to a YouTube video, merchants need to edit the video and add a product card. Product cards can be placed anywhere in the video, but they’re typically placed at the beginning or end. When viewers click on a product card, they can learn more about the product or purchase it.
YouTube Shopping best practices:
- Create informative and engaging videos that highlight your products
- Use high-quality images for your product listings
- Use product cards to make it easy for viewers to learn more about and purchase your products
- Promote your YouTube Shopping videos on social media and other channels
- Run YouTube ads to reach a wider audience
- Make sure your product listings are complete and accurate
- Promote your YouTube Shopping videos to the right audience
- Monitor your sales and performance data to make sure your campaigns are effective
YouTube Shopping drawbacks and limitations
One of the main drawbacks of YouTube Shopping is that it’s currently only available in a limited number of countries. Additionally, merchants need to have a Shopify account to use it.
Another limitation of YouTube Shopping is that it’s not yet as popular as other e-commerce platforms such as Amazon and eBay. This means that merchants may not see as many sales from YouTube Shopping as could be achieved on other platforms.
Considerations for incorporating YouTube Shopping into your strategy
When thinking of incorporating YouTube Shopping into your strategy, there are a few things you need to consider:
- Is YouTube Shopping actually available in your country of operation?
- Do you have a Shopify account?
- Do you have the resources to create high-quality videos?
- Do you have the necessary budget to invest in YouTube ads?
If you answered yes to all these questions, then YouTube Shopping may be a good fit for your business.
Businesses that can benefit from YouTube Shopping
YouTube Shopping can benefit a wide range of businesses, but it’s particularly well-suited for businesses that sell products that are visually appealing or that require explanation or demonstration. For example, clothing companies, furniture manufacturers and electronics brands can all benefit from using YouTube Shopping.
Tips for testing YouTube Shopping ads
Test different ad formats
YouTube Shopping ads come in a variety of formats, including product cards, video ads and live stream ads. Experiment with different formats to see which ones resonate more/perform best amongst your audience.
Test different messages
Your ad copy should be clear, concise and persuasive. Test different messages to see which ones drive the most clicks and conversions.
Test different targeting strategies
YouTube Shopping allows you to target your ads to a variety of demographics, interests and behaviours. Experiment with different targeting strategies to see which ones reach your target audience most effectively.
Track your results
It’s important to track your results so that you can see what is working and what isn’t. YouTube Shopping provides a variety of reporting tools that you can use to track your campaigns, so make the most of the data available to you.
By testing your YouTube Shopping ads, you can improve your campaign performance and drive more sales.
The future of YouTube and other paid channels
The future of YouTube looks bright. Video is fast becoming the preferred medium as more and more consumers turn to video to learn about and purchase products. What this means for businesses is that they must invest in video marketing and paid advertising to reap the most rewards.
The future of paid marketing is likely to be shaped by a number of key trends, including:
Artificial Intelligence (AI)
AI is already changing paid marketing. It can help businesses run more effective and efficient campaigns by automating tasks like bidding and targeting. In the future, AI could be used to create personalised ad campaigns that are tailored to each consumer.
Mobile
People are using their phones and tablets more to go online, so businesses are moving their ad budgets to mobile. In the future, we’ll see even more mobile ads since phones are a constant in consumers’ lives.
Social shopping
Social commerce is the process of selling products and services directly on social media. As social media continues to grow, more businesses will use it to reach customers. This is especially good for small businesses, since they can reach a large audience without a traditional e-commerce website.
As technology evolves, businesses will find new and creative ways to reach their target audiences. We may see new paid marketing channels like virtual reality and augmented reality advertising.
Paid media is here to stay, the only thing that will change is the platforms we may advertise on and how those ads get served. Businesses that invest in paid media will be well-positioned to reach their target audiences and drive sales, but it’s important to stay up to date on the latest trends and innovations to create effective and efficient campaigns.
Overall, YouTube Shopping is a versatile tool that can be used by businesses of all sizes to improve their performance marketing results. There are certain requirements that make it better suited for certain businesses than others, but this development means that YouTube is now becoming more of a conversion channel rather than predominantly, an awareness-focused platform. Get in touch with our Paid Media team today to discuss how YouTube Shopping could help your brand.