How advertisers can capitalize on vertical video

Vertical video has significantly impacted advertising by becoming the mainstream format across various industries. The shift from traditional 16:9 landscape video ads to vertical video is due to the rise of mobile-first social media and changing user behaviors. Engagement within the first three seconds is now critical, and content must feel organic to capture the attention of a dynamic, distraction-filled audience. Vertical video advertising is compelling brands and agencies to adopt a 'vertical-first' strategy, especially on platforms like Instagram, Facebook, TikTok, and YouTube Shorts.

To leverage vertical videos for advertising on platforms such as Instagram, Facebook, TikTok, and YouTube Shorts, advertisers should:

• Adopt a 'vertical-first' strategy, prioritizing vertical video content in their campaigns.
• Utilize AI tools and software like CapCut to convert traditional 16:9 videos into vertical format efficiently.
• Experiment with content variations that feel native to the platform, such as UGC-style videos, greenscreen effects, product demonstrations, and quick-cut edits to engage users.
• Test across multiple platforms and introduce a variety of video content to understand the audience better and achieve cost-effective results.

The benefits of using vertical video ads include:

• 100% Share of Voice (SOV): Vertical videos offer full-screen ads that minimize distractions compared to other formats, leading to better engagement.
• Increased Engagement: The format caters to mobile users' preferences, leading to higher engagement rates, especially when the content is designed to capture attention quickly.
• Platform Adoption: Major social media platforms have embraced vertical video, providing advertisers with a wide range of inventory and placement options.
• Cost-Effectiveness: During certain periods, such as the pandemic, the costs for vertical video ad slots decreased, leading to significant profits, especially in industries like ecommerce.
• Organic and Paid Content Synergy: Vertical video helps in creating a harmonious relationship between organic and paid content, often resulting in better performance.

According to TubeBuddy, there is a significant difference in RPM (Revenue Per Thousand Impressions) between YouTube Shorts and long-form videos. The average RPM for a long-form video is around $3, meaning 100,000 views could earn around $300 on average. However, for Shorts, the average RPM is around 5 cents, which means the same number of views might only bring in $5. This disparity raises questions for marketers about engagement or conversion rates and whether vertical video formats like Shorts are still in the early stages of becoming a profitable format.