Learn from the experts at MuteSix on how to use YouTube to increase revenue for your eComm store. 6 months ago, YouTube didn't have the features to drive sales but now they do. Tune in to hear from MuteSix CEO, Steve Weiss and VP of YouTube Advertising, Harrison Phillips on how to launch profitable campaigns on YouTube.
Episode Transcript — Why You Should Be Advertising Your eComm Brand on YouTube
Speaker 1: You're listening to the Spend $10K a Day Podcast brought to you by the performance marketing experts at MuteSix. This is your source for cutting edge insight into the world of online advertising from the team with more Facebook case studies than any other agency on the planet. Here is your host, Steve Weiss.
Steve Weiss: Hello everyone. Welcome to another episode of Spend $10K a Day Podcast. Today we have an awesome guest, Harrison Phillips, our VP of YouTube. He is on the podcast talking specifically about preparing for the holidays and utilizing YouTube as a core customer acquisition channel for your e-commerce brand. Harrison, welcome to the... Welcome to the show man. I'm excited to have you.
Harrison: Thanks man. Yeah, so today we're going to talk about two different types of formats for YouTube. So both YouTube shopping and TrueView for action. We've had a ton of success recently with these two formats, and then we're actually going to talk about how to build out your YouTube campaigns from an audience level. So top of funnel, mid-funnel and lower funnel audiences. One thing that really gets Steve and I excited is the holiday season's coming up and we're already seeing a lot of success with our e-commerce clients here, D2C campaigns that are backing out from a row as perspective. So, excited to be on the podcast and talk a little bit about that.
Steve Weiss: Yeah. Let's talk a little more, because originally YouTube was a channel that Google couldn't figure out how to attract performance marketers. I'm sure a lot of people listening to this podcast have tested out YouTube and had kind of mixed results. How do they attribute conversions? You know, what are the different type of ad types? There's so many different options and levers inside of YouTube and it's really hard to figure out what's going to drive scale, what's going to drive an impact to the bottom line. So when you... When you tackle a new e-commerce site, something brand new comes across your desk. What's the first thing that you look for when you open up YouTube as an acquisition channel?
Harrison: Yeah, so you're exactly right. First of all, six months ago, I wouldn't have said that YouTube was a good channel for a small to medium sized business to advertise on and find wins unless you wanted to talk strictly brand lift. But if you're opening up YouTube from scratch, there's two or three things that you can do right away to find quick wins. So, you'd start with the lower funnel. Obviously, you can remarket to all of your website visitors with say like a UGC campaign, UGC videos. That's... You should be doing that 100%.
Steve Weiss: What's a UGC? Let's just... Just so the audience knows what...
Steve Weiss: When you say UGC video, specifically, you mean a piece of user generated content cut up specifically for YouTube, right?
Harrison: Yeah. Say like customer reviews, reviewing your product, quick snippets going back and forth with people talking about it. It could be 15 to 30 seconds. Very simple. And then what you do there is you actually link it to either your shopping campaign or you just run a strict TrueView for action campaign, where after they skip the ad, they actually still see the banner of the product on the video. So that's number one. 100% you should be doing that if you're running on Google. If you're running on shopping and search and you're finding success, you should have YouTube remarketing open either through the format of YouTube shopping or TrueView for action.
Steve Weiss: So what's the difference between YouTube shopping and TrueView? Like, why use one versus the other?
Harrison: Yeah, great question. So first of all, like let's use the example of a company that has a ton of product skews, right? But they focus specifically on selling leggings and they have video content around their leggings. So we want to open up a YouTube shopping campaign. So we're advertising their leggings, right? We show a video ad of say a more branded ad of a model in their leggings, doing different activities, working out on the beach, going out to nightclubs. And then, call to action is the actual shopping ad the product ad of the leggings. So the ad actually takes you to the product listing on their website. And then, let's say they skip the ad and they want to watch whatever their music video. The product actually still lives on the right hand side of the video the entire time. So they can go back and open it in a new tab and still go, you know, check out those leggings and they don't actually have to click out of YouTube.
Harrison: So I think that's the power of YouTube shopping. TrueView for action is more of... It shows you... The only difference really is instead of showing you a shopping ad, it shows you just like a display banner ad in the top right hand corner. So if you only have one product that could be a better fit for you or if you have many products and you don't want to showcase one specifically, that could be a better fit for you. You should test both though. YouTube shopping typically gives you a higher cost per view, whereas TrueView for action is where you can actually drive a ton of views for like say a penny, and it's a little bit less competitive.
Steve Weiss: Talk about what TrueView is. I think a lot of people don't understand the dynamics of what TrueView is and the kind of the thought process around that product.
Harrison: Yeah. So you mentioned it earlier, Google didn't really understand how to run ads on YouTube for a long time. Right? They opened up TrueView fraction as a format for them to be able to compete with Facebook. So it's just a pre-roll ad that comes, you know, five seconds scale skippable ad before your your video. And yeah, so... And then after that you skipped the video or you skip the ad and you're watching the video. It has a banner ad in the top right hand corner that you can click. So it's action oriented, I guess is really the-
Steve Weiss: And you only pay once someone watches 15 seconds of the video, right?
Harrison: Yeah. That is correct. Or if they click the ads.
Steve Weiss: So two differentiators. TrueView is more of a banner on the top right?
Steve Weiss: And to verify long-form view and then Google shop... YouTube shopping is... Explain that real quick.
Harrison: Yeah, shopping. You just connect it to your shopping feed. It's more... You want to run a YouTube shopping campaign if the product is, or the video is specific to a product. So if you're showcasing, if you're only a one product brand or you're showcasing one product in the video, that's when you would really want to connect it to your shopping campaign. And instead of a banner living in the top right hand corner, it's the actual shopping ad, which is pretty powerful with the price on-
Steve Weiss: So it actually pulls the shopping ad and puts it into the video?
Harrison: Exactly. Puts it in the video.
Steve Weiss: That's all a form dynamic remarketing-
Harrison: Right. And that's also a pretty recent, like that's-
Steve Weiss: Can you do YouTube shopping for prospecting, or not yet?
Harrison: Yeah, absolutely. So you were saying like, "What should you be doing right away?" Like right away, you should be doing remarketing. But we could talk about top of funnel, mid-funnel prospecting. So the two formats that we just went over, TrueView for action, YouTube shopping, not to be confused with how you can actually target within those formats. So this applies to both. So within those formats, the different type of audience that you have, say at the top of funnel you could use YouTube in-market audiences or YouTube custom intent.
Harrison: Custom intent is very new. It bases your targeting on the search terms that someone actually went and searched for on Google. So let's use the legging example again. Let's say you looked up mesh leggings or black leggings, right? You can actually now target that person on YouTube based on what they searched for on Google. So very powerful. What would the best case scenario that we've seen there is kind of like an upper funnel campaign is not only do you use non-branded generic search terms like a mesh lagging, but actually also use your competitor terms. Who else is selling this product, what competitors you are... What brands do you want to emulate? Who has your ideal customers?
Steve Weiss: So that's... And I think if you're a B2B company, you know obviously works really well targeting your competitors in YouTube, YouTube custom intent.
Steve Weiss: Obviously, even if you're a D2C company, you know, targeting your competitors, the people who've shown purchase intent. I'm sure you could rip a product feed from another competitor and just target all their products.
Harrison: Yeah, you can target all... Anybody that's searching for that competitor, which is extremely powerful.
Steve Weiss: That's awesome. So that's a really cool top of funnel strategy. So number one, YouTube remarketing. Number two for YouTube prospecting, leveraging custom intent. That's the-
Harrison: And the last part... The second portion of that was in-market when I mentioned it earlier. You actually within Google now, there's an audience insights tool. I don't think a lot of people know about this or leverage this, but you can go within Google, you can put in your customer email list and you can see what in-market audience. So Google has say, 500 plus in-market audiences. You can see which lists most indexes with your customer list, right? So which list most resembles your customer list? And what you're looking for there, it's on a one to 100 scale. You're looking for a list that an in-market audience that indexes for 10 X or more, and then you could test that, say top of funnel. And we've had a lot of success there as well with in-market audiences.
Steve Weiss: Interesting. So there's in-market audiences, there's custom intent audiences. And then, those are the audiences you really want lowest hanging fruit, first things to target along with your remarketing audiences.
Harrison: Yeah, I would say to build out a full funnel campaign on YouTube, top of funnel, in-market, custom intent, mid-funnel. We like to use video viewer audiences actually. So if we've already shown you an ad, let's say it's a more branded ad, then we think of that video viewer audience as like more of mid-funnel. Because now we can come back and show you a UGC ad where they're actually talking about the product, the customers are. And we've found that to be extremely, extremely profitable from just backing out within YouTube. So if you're spending a lot top of funnel, that's a really good strategy to take on.
Steve Weiss: Cool. So those are the three, you know, when you think of the first things you want to do. Your new brand at YouTube. Everyone's telling you, you know, you need to stop being so Facebook focused, you need to start opening YouTube-
Harrison: That's right.
Steve Weiss: At least need to start testing. You have all this creative that you're chopping up. Number one, open up YouTube remarketing, no-brainer, both TrueView as well as YouTube shopping. Number two, start you know, opening up top of funnel prospecting to audiences you want to target or the custom intent as well as the in-market. And I guess you open up both Harry, I guess the way you do it is you open up both, you know, TrueView as well as Google shopping on both of those specific audiences.
Harrison: That's a great point. Yeah, you should be testing both. You don't know what's going to work best yet, so you should figure out what your audience engages with most.
Steve Weiss: And I guess number three, start thinking of what your hero products are. Start figuring out which ones you have the most amount of content force, but really iterating that price testing. Start thinking of specific single products that you could start marketing on YouTube for YouTube shopping that you can build custom experiences around. There's another targeting too, which I think, you know, you talked about YouTube search ads. Remember I think we discussed that.
Harrison: Discover ads. Yeah, you can target based on what keywords people are searching for on YouTube and you can just target channels in videos that you think would be really relevant. I think the other point here too is, how do you measure YouTube, right? So we're not only measuring YouTube based on conversions we're seeing through the platform or view through conversions, which I think are very powerful. So I would set your conversions to, you know, whatever you want your conversion window to be. But for view through, you should set it to one day and you could see the power in that. So I think that also backs out. Take your AOV, times it by how many view through conversions you have, and add that to the revenue that you're seeing from the channel.
Harrison: And the last thing you should do is you should take your video viewers audience and apply it across search, shopping, and display. So you can see people that have seen a video of yours on YouTube and if they convert later on on a branded campaign, or on your shopping campaign, or through display remarketing. So those are really the three ways that you want to measure. And then the fourth way is brand lift. That's for another podcast. That's a huge, another huge topic. But measuring like the overall impressions increase that you're seeing in your branded campaigns, that's also a way that we're trying to measure the success of YouTube.
Steve Weiss: Yeah. I think... Just harping on one quick point, which I think is really interesting is thinking about driving top of funnel purchase intent with cheap view, using TrueView... Of really thinking, "How do I get new customers in the door and how do I spend that efficiency on YouTube?" Maybe splitting off a brand budget on YouTube and a DR budget. Obviously, we're seeing some good success with DR on actually a click conversion as well as a view conversion in a very short window, but maybe thinking of how to prospect in a very... You know, how to do prospecting at scale on TrueView and really leveraging some of the TrueView targeting and really getting those people to convert on other traffic mediums. So literally running TrueView and then using that data to hit people on search, to hit people on display, to hit people on-
Harrison: Yeah. The YouTube real estate is insanely cheap still. I mean it's at 1 cent per view and if you are on YouTube and you're a frequent user, you'll see the brands that are advertising on there aren't A utilizing these strategies or B really D2C brands. You know, they're much more... They're your Nike's and Adidas's of the world. So take advantage of it now because it's not always going to be this way.
Steve Weiss: Yeah. Cool. Just to wrap things up, the goal of this podcast is to talk about how you could easily and quickly get going on YouTube. How you could really start leveraging some of the new targeting and new placements, you know, for you to specifically to drive direct response and drive demand for your product. We're going to be getting more into YouTube. I feel like this is the first of many YouTube focused podcasts. YouTube is a big area focus for us as we start getting more and more good conversion data coming from it. Also, we're seeing a lot about Amazon, about, you know, different opportunities coming up on Amazon on the coming podcasts. But this has been awesome. Thank you so much Harry.
Harrison: Thanks for having me.
Steve Weiss: You know, to the future, we have a lot more new content coming up and the holiday season is very close by. Talk to you guys soon.