Online video boosts offline sales

3 September 2014

NEW YORK: A well-targeted and timed online video campaign can increase the number of visits to retail outlets and boost sales by 5% or more, according to new research.

A study from video advertising platform Videology – QSR: Getting diners in the door – looked at three case studies it had worked on involving fast food restaurants. The featured advertisers were all able to report measurable uplifts in sales that were a direct result of digital video advertising campaigns.

"Historically, TV has been the medium of choice for quick-serve restaurant (QSR) advertisers," said Scott Ferber, chairman and CEO of Videology. "But these marketers are now beginning to see that online video can offer all of the benefits of TV – plus the added bonus of offline sales measurement."

And it was that final aspect he saw as the clincher for all retail brands, not just QSRs, as online ad viewing was linked to anonymous offline purchase data. "The ability to tie online exposure to offline sales is a crucial link for brands," he stated, "and we see it as a critical driver of digital video adoption for a wide range of advertisers."

Among the various ways in which the study found that online video campaigns were adding to offline sales were in building awareness, increasing reach, targeting prime customers in the appropriate locations, and/or determining optimal frequency.

The three chosen examples covered a range of sizes, including a major chain which had run targeted video ads on premium full-episode player content aiming to upsell potential diners to a higher priced Family Meal. It reported a 9% increase in total spend per exposed customer.

A regional restaurant used a similarly targeted plan to drive an 11% lift in the number of visits, and a 5% increase in spend among customers exposed to the online video campaign.

Data sourced from PR Newswire; additional content by Warc staff