More CPG Brands Tapping Into Online Video

Marketers across categories are racing to take advantage of the proliferation of online video content and consumers’ increasing engagement with that content. The consumer products sector is no exception.

We recently spoke with eMarketer writer/editor Tobi Elkin about how the CPG sector is tapping into online video.

eMarketer: In your report “Consumer Packaged Goods Sector Taps into Online Video,” you mentioned digital video content being a two-way conversation. Can you elaborate?

Tobi Elkin: Consumer package goods brands that get into digital video content—either creating original video clips or repurposing existing clips from TV spots—see it as a way to establish an emotional bond with consumers whether they’re providing entertainment or helpful information. Digital video can also spark a dialogue between brands and consumers. For example, consumers may comment on video clips, rate them, pass them along to friends, upload their own video content or participate in polls and quizzes.

Brands are monitoring consumer participation and comments with respect to video content and in some cases they’re responding. Based on consumer comments and interactions, brands are gathering insight on preferences and online habits. We’re seeing more brands tying promotions and contests in with video clips and pointing consumers to Facebook pages, video communities and their own Websites.

eMarketer: What can CPG marketers do to ensure their online video content will go viral?

Tobi Elkin: Having your video clip(s) go viral is the holy grail for marketers. Consumer products brands want millions or at least hundreds of thousands of views. Think campaigns like “T-Mobile: Dance” or “Guitar Hero: Bike Hero” which each racked up millions of views within two months of launch. Brands can help things along by plotting a video content syndication strategy, doing keyword search and some promotion. Brands need to identify the right video-sharing sites that fit with the audience for the video content and then buy media to drive views. Spread the word to the press, brand loyalists and key bloggers. Use Twitter and social networks to drive video views. Use pass-along tools and widgets to enhance the viral possibilties.

eMarketer: How will CPG marketers go about producing video content that doesn’t come off as an ad?

Tobi Elkin: That’s a really good question. I think a lot of video clips come off as ads because so many ARE edited versions (or maybe not even) of marketers’ TV ads. My sense is more brands want to create their own original video content—whether it’s pure entertainment or education and information-driven such as “how-tos” and tips. They’ll hire production companies and branded entertainment agencies to do it in many cases.

I think consumers enjoy really good video content so repurposed TV spots isn’t going to cut it for much longer unless there’s some kind of entertaining hoax involved and the creative concept is based on a faux ad. Repurposing TV ads for online use may reinforce viewers’ awareness of the brand if they saw the ad on TV but the online medium is completely different—brands need to create different messaging and imagery. Most importantly, they ought to incorporate interactive and social hooks in video clips.

eMarketer: Is there a direct correlation between posting a video on YouTube in terms of brand lift?

Tobi Elkin: Not always. Brands can’t depend on that—you don’t just upload a video on YouTube and expect some action. That’s the worst possible strategy. You need to support any video content with adequate promotion.

eMarketer: Is this the time to enter online video? Or should CPG marketers wait for better metrics?

Tobi Elkin: Yes. Consumer packaged goods marketers and other consumer products brands don’t need to wait to join the online video party. Depending on their business objectives, online video content can be the springboard for strengthening brand loyalty, boosting awareness, aligning with pop culture, driving trial of new products and sell-through at retail and online.

Engagement metrics are an issue because there are any number of actions that consumers can take within and around a video. You have to establish at the outset that you will look at the level of engagement for each action whether it’s how many people clicked on “send to a friend”, made a comment, went to Facebook to redeem a limited time offer or opted in to a branded newsletter.

Related

• Making the Most of Earned Media
• What Works in Online Video