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Web Videos Vs. TV Commercials

What’s the difference between a television advertisement and an online video advertisement? Let statistics tell you. “75% of ad agency executives cited web videos as equally or more effective than traditional TV advertising, direct response or display ads” (eMarketer report). And, to top that, online digital advertising is expected to grow $4.1 billion this year (with a larger percentage of growth coming in mobile video) and expected to rise to $8.04 billion by 2016 (Kluver).

Because companies are beginning to use advertising budgets on digital and online advertising, budgets for television advertising has significantly decreased. This occurs for two reasons: the actual cost of producing an ad and the demand for Internet content. This is the age of digital media! Everything is online—from reading magazines to purchasing products via the web, the Internet drives our culture; people demand Internet content. So, why wouldn’t companies turn to the web to advertise their product or brand?

In fact, some TV viewers stream television shows via the Internet because the Internet is a cheaper platform for watching shows in general. So even shows made for television are viewweb videosed via the web, thus giving way for more Internet ads in between shows. Check this out:

In 2010, Nielsen stopped reporting how many channels the average household received because the data was not accessible one, singular way. TV viewers access their content a variety of ways, including live streaming and accessing content online on various devices like tablets, iPhones and live streaming (Kluver).

So, yes, television still reaches a mass amount of people, thus justifying why TV commercials and advertisements are still successful. However, with television content being accessed via the web, advertisers have a huge opportunity, with a much lower price point—because let’s face it, an Internet ad costs significantly less than an ad on television.

So, from both an advertiser’s standpoint and a viewer’s pocket book, the Internet is much more cost effective. And, considering that TV commercials are not guaranteed successful, well-made web videos are adequate.

With the Internet being more cost effective, smaller companies have the ability to produce web videos and advertisements to promote their product or brand much easier. And, since the viewer is already on the Internet, it is much easier for that viewer to have access to the company’s website where they can purchase the product. In contrast, it is next to impossible to track how many people viewed a commercial on TV and then went to your website to purchase your product.

Now let’s talk analytics. Television makes analytic data hard to measure, tracking only viewer numbers or tracking the number of calls a certain advertisement receives. Web videos allow companies to track much richer data like who, when, where and how a viewer or consumer has been on the site or watched the video. In fact, platforms like YouTube allow you to measure how many people have clicked on your video versus how many minutes a consumer or viewer has watched your web videos. This shows true engagement. Capturing online analytic data makes it clear to see how your consumers interacted with your advertisement, and then also engaged in your website after viewing the video. Make sure to check out our next blog for specifics on analytic tracking!


“Ad Agencies See Effectiveness in Online Video – EMarketer.” Ad Agencies See Effectiveness in Online Video – EMarketer. N.p., 22 May 2013. Web. 02 Dec. 2014.

Kluver, Casey. “Online Video Ads VS Traditional TV Commercials.” Falling Up Media. N.p., 22 July 2014. Web. 02 Dec. 2014.