#AskGaryVee Episode 29: Shifting Ad Budgets to Digital Video

TL;DR

Omnicom advises moving 25% of ad budgets to online video, but Gary Vaynerchuk warns about the risks of ineffective distribution and annoying customers.

Transcript

• On this episode, I talk about shifting TV budgets to video, I talk about wine. Yeah, I still talk about it. And I talk about how do I stay on top of technology from San Francisco. You keep asking questions. I will continue to answer them. (light music) Everybody, this is Gary Vay-ner-chuk and you're watching episode 29 of the #AskGaryVee Show. Fu... Read More

Key Insights

• ☄️ Online video advertising offers potential benefits but also comes with risks and challenges.
• ✋ Businesses should allocate budgets wisely, focusing not only on distribution but also on creating high-quality video content.
• 🥹 Traditional television commercials still hold value for certain audiences.
• 🎮 Native distribution methods, such as Facebook dark post video, can be more effective than intrusive pre-roll ads.
• 👨‍💼 Small businesses and entrepreneurs can learn from the advice of large agencies like Omnicom but should also consider their specific needs and target audience.
• 🆘 Keeping track of industry news through newsletters and blogs can help businesses stay on top of emerging trends and rising companies.
• 😀 Examining top app rankings in the iTunes App Store can provide insights into emerging trends and popular new companies.

Questions & Answers

Q: What is Omnicom's advice regarding ad budgets and online video?

Omnicom advises businesses to allocate 25% of their ad budgets to online video, recommending a shift from traditional TV advertising.

Q: What concerns does Gary Vaynerchuk have about moving TV budgets to online video?

Gary Vaynerchuk is concerned about businesses spending too much on distribution and not enough on creating high-quality video content. He warns against annoying customers with intrusive ads.

Q: What does online video typically mean for most people?

Online video often refers to pre-rolls on YouTube or ads that pop up on websites, blocking users from their intended content consumption. Gary Vaynerchuk finds these types of online video ads annoying.

Q: What alternative distribution method does Gary Vaynerchuk suggest for online video?

Gary Vaynerchuk recommends using Facebook dark post video, which is native to the platform and allows users to choose whether they engage with the content.

Summary & Key Takeaways

• Omnicom advises businesses to allocate 25% of their ad budgets to online video.

• However, Gary Vaynerchuk points out that many businesses are allocating too much of their budget to distribution and neglecting the quality of the video content.

• He suggests that businesses focus on creating great video content and finding native ways to distribute it.