YouTube TrueView vs. Local Video Display Advertising: What's Best for Small Business?

When it comes to advertising, the landscape has evolved dramatically with the advent of digital platforms. For small business owners, choices can be overwhelming, especially when it comes to video advertising. Two popular options are YouTube TrueView and local video display advertising. Both have their merits, but which one should you choose? Let's dive in.

YouTube TrueView

Pros

1. Wide Reach: YouTube has over 2 billion logged-in users per month, offering a vast audience pool.

2. Cost-Efficiency: You only pay when someone watches your ad for at least 30 seconds or clicks through, minimizing wasted spend.

3. Targeting Capabilities: You can target based on demographics, interests, and even specific channels.

4. Analytics: Detailed metrics help you understand who's watching and how they're interacting with your ads.

5. Flexibility: Ads can be as short as 6 seconds or as long as you need, allowing for creative storytelling.

Cons

1. Competitive: You're competing against a global market, which may not be ideal for local businesses.

2. Higher Production Costs: To stand out, high-quality videos are often necessary, which can be costly.

3. Learning Curve: YouTube advertising can be complex to navigate without prior experience.

4. Single Audience: True View is ONLY targeting Youtube users. You're missing out on opportunities to target with video outside YouTube

Local Video Display Advertising

Pros:

1. Localized Targeting: These ads are designed for local audiences, making them excellent for location-based businesses.

2. Lower Production Costs: Local ads often have lower production requirements, allowing for smaller budgets.

3. Community Connection: Local ads can help establish your business as a community staple.

4. Less Competition: Your ad isn't competing with global brands but is more likely being shown to a targeted, local audience.

Cons:

1. Limited Reach: Geographically limited, these ads won't help you if you're looking to expand beyond local clientele.

2. Cost Per Thousand (CPM) Fees: Local display advertising often uses a CPM model, meaning you pay for every thousand impressions, regardless of interaction.

3. Less Sophisticated Analytics: Local platforms may offer fewer data points to analyze your campaign's performance.

Recommendations for Small Business Owners

1. If You're Hyper-Local: Consider using local video display advertising. The targeted, community-based approach is excellent for businesses like local cafes, boutiques, or service providers.

2. If You Want to Scale: YouTube TrueView is a better option if you aim to expand your reach beyond your local area. Ideal for e-commerce businesses or services that can be provided remotely.

3. Hybrid Approach: If budget allows, a mix of both platforms could offer the broad reach of YouTube with the localized focus of display ads.

In summary, your choice between YouTube TrueView and local video display advertising should align with your business goals, target audience, and budget. Both platforms have pros and cons, but understanding these can help you make an informed decision for your small business.