The definition of video marketing is evolving. Like love or product marketing, different perspectives offer varying answers. So, to avoid future confusion, this is what video marketing is, what it will be and why it matters to your business in 2017.
Video marketing is the ability to use produced video narrative as a way to communicate to any one of your businesses constituents – employees, partners or customers – in an ad hoc manner with consistent frequency and ROI positive results. It’s a digital native medium that combines the storytelling power of television, the ease and authenticity of social media and the analytics of traditional digital media. The result is one of the most powerful and prolific communication tools the world has ever known. Video marketing is a highly evolved form of storytelling and it’s having a profound effect on the way we do business and, more broadly, on how information is shared and how global culture is evolving.
Defining Video Marketing
Reid Genauer, Chief Marketing Officer, Magisto
The opportunity is massive. Conservative estimates put it at a $100B* market by 2020. When you consider the reality that video marketing is penetrating the entire customer journey, extending way beyond advertising into every component of earned owned and paid media the market is infinite. Video already plays a big role in disciplines as wide as day to day social engagement, lead generation, sales, CRM, HR, Internal Training and eCommerce. It is a uniquely powerful and intimate way to engage with any person, in any market and for any reason. It has the flexibility to be created by every business organization, shared and consumed across virtually any digital platform and as such, is redefining the very meaning of “target audience”.
According to venture capitalist Mary Meeker’s famed Internet Trends Report, 74% of all internet traffic will be video this year. What that means for businesses is that video marketing is a must have as opposed to a nice to have. Driven by a step function of new entrants, increased use cases and high frequency, video is one of the top 3 priorities for marketers in every company.
As an organization, if you don’t know how to “speak” video with authenticity, frequency and efficiency you’re behind the curve and your business is at risk. The problem is the that the surge in demand for video marketing is exponentially larger than the capacity of traditional market solutions. The value chain for video, like most marketing content, is creation, distribution and analysis. The problems are rampant throughout the entire video marketing value chain and with the chain as a whole. Creation is expensive. Distribution is complex. And the analytics are decentralized and lack industry standards. In summary the entire value chain is fragmented and inefficient, making it risky for most businesses to engage in video marketing in the way they need to in 2017.
Like all other forms of modern marketing, from email, to ad buying, to customer service, video marketing needs a centralized platform approach driven by automation and delivered as SAAS. With the admission that there is an element of drinking our own Kool Aid, in this assertion we see artificial intelligence as a way to create a platform solution that dramatically drives down cost and complexity of the entire video marketing process, starting with creation. By changing the unit economics of video creation, while maintaining professional quality, we enable marketers to put their video marketing strategy into ROI positive hyper drive. We are using AI to allow all businesses and business people to create and distribute high quality video communication as easily as they do PowerPoint presentation.
We imagine a world where communication through produced video, through story, is as easy as writing an email. We are Magisto, where stories come alive.
Here’s a recent low cost, high impact example from a rather charming fellow from TradePricCars.com, an auto finance and vehicle sourcing dealer in the UK. They are using this video as a form of thought leadership. It’s a review of the BMW Mini Clubman Cooper D that they published on Facebook (British accent not Included). What we love about it is he is speaking to his potential customers in a way that allows you to know him, his business and his product. Its authentic, its timely and best of all it was done on the fly. Check out the video and say hello to the good folks at tradepricecars.com on their Facebook page.
*Media Dive and Media Post