How Online Video Is Affecting Businesses

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The first video recorder was designed by John Logie Baird and was tested between 1918 and 1930. A decade later, in 1941, video was used as a marketing technique for the very first time. Bulova published a commercial video advertisement on the New York TV channel while a Yankee game was being held. Since then, video started to grow quickly, and in 1981, video was officially considered to be more popular than radio. In 1995, the first example of viral video was seen after a VHS tape was distributed throughout the United States. While these dates hold important memories for the history of video, the true revolution of this advancement in technology occurred on the 14th of February 2005 - when YouTube was launched. The company developed a platform that took videos to the internet. Even though YouTube was a very basic video sharing platform, it quickly grew in popularity - even Google noticed this and bought the platform in 2006 for a total of $1.65 billion. After acquiring YouTube, Google started to monetize the platform to further increase its value.
A lot of influencers in the online marketing industry have been utilizing video as part of their strategy and they found that implementing an online video strategy can have a powerful effect on their presence and success. These are some quotes by influencers that have used online video:

"Video marketing is, without a doubt, one of the biggest reasons I’ve been able to create a multiple six-figure business online"
- Katie Freiling

"Video can seem like just another challenge to overcome, but I see a major increase in my business and brand awareness all from the power of video"
- Lewis Howes

"Videos can attract a different audience, one that might not want to take the time to read a white paper or an article."
- Brick Marketing

Vital Statistics About Online Video

The use of online video is growing year-after-year. Video platforms like YouTube aren’t only used by individuals who like to watch videos anymore, but also by businesses, executives, employees, internet marketers and more. Videos are also used for many different purposes. While some people simply enjoy watching funny videos to have a laugh, others are utilizing this video platform to drive more traffic to their website, to increase their brand engagement and to take their business to new heights.

Before we go into more details about how businesses are utilizing online video to help them grow, let’s first take a look at some vital statistics that will give you a better idea of just how much of an impact video currently has on the world-wide-web. All of these statistics are relevant to 2018.

Online Video

  • As much as 74% of the traffic sent to websites, landing pages and blogs are coming from videos.
  • Approximately 50% of every person with internet access first consults YouTube and other video platforms to find information related to a specific service or product before buying the product or hiring a company for a specific service.
  • Up to 80% of consumers watch videos that provide more details about a certain product, also known as "demo videos". These videos also increase the chance that the consumer will buy the specific product by as much as 181%.
  • As much as 55% of consumers report that they learn better when viewing a video when compared to reading a blog post, informative piece or an e-book.

Now, let’s take a look at some platform specific statistics. Since YouTube is not the only platform where video can be uploaded and viewed, we also need to consider social media networks like Facebook and Twitter.


Online Video

  • The number of videos that are posted on Facebook is growing by around 94% every year.
  • Approximately eight million videos are watched on Facebook every single day.
  • There are about 1.71 billion Facebook users, with 1.13 billion logging in and checking their Facebook wall every day.
  • Approximately 62% of Facebook users are educated and hold a University-level degree or at least some kind of University-obtained education. This means that the majority of the audience is well-educated and should be able to understand you easily.
  • As much as 85% of all Facebook videos are watched with the sound muted or turned all the way down.
  • Facebook is paying celebrities and influencers as much as $50 million to use their live video feature and to upload videos to their platform.


  • Twitter has an estimated 319 million active users, and that number is growing daily.
  • Up to 82% of Twitter users use Twitter to watch video content as well.
  • In January 2009, Twitter became more popular than any news publication or TV channel after a photo was posted about a US Airways airplane that crashed in the Hudson River in New York City.
  • As much as 500 million internet users visit Twitter every single month without an account or without signing into their account.
  • Twitter is an excellent platform for promoting mobile-related content as 80% of all the active Twitter users are accessing the platform from their smartphone.
  • Approximately 6,000 Tweets are made in each second of the day, calculating to 500 million Tweets per day.


  • Even though SnapChat started out as an app for people to send photos to each other that gets deleted after viewing, marketers have also started to use the platform as a way to reach a new audience.
  • Even though the platform only launched in September 2011, SnapChat already has over 300 million active users, and as much as 158 million users log in to the platform every single day.
  • Approximately 18% of all social media users in the United States use SnapChat.
  • About 9,000 photos are sent with SnapChat every second of the day.
  • Up to 10 billion videos are watched on SnapChat every day, which calculates to as much as 300 billion videos being watched per month.

Online Video As A Marketing Tool

Online Video

The statistics we’ve shared are astounding. Who would’ve thought that video will grow larger than text, images and audio – in some cases online video even beats the combined figures of the other marketing tactics. Businesses from all over the world have tapped into online video as a marketing channel – creating how-to videos, product demos, instructional videos and promotional content to help increase their reach and boost their brand engagement. One of the best features that online video has for businesses is that it can be used for almost any purposes and virtually any industry.

Digital Information World reports that 65% of internet users who watch videos regularly watch at least 75% of the videos they view. The also report that 33% of tablet users watch approximately one hour’s video per day and 28% of people with a smartphone watch at least one video per day. This covers the regular consumer, but if you are into B2B marketing, then you would also be happy to known that 75% of individuals in an executive position watch videos related to the industry their company is in and the work they specifically do at least once a week. Another interesting fact is that 54% of individuals in a senior executive position share videos they find interesting with their colleagues and, 59% of these individuals prefer watching a video over text content – if both are present on the same page.

How Businesses Are Utilizing Online Video To Sell Their Products

The majority of marketers (93% to be more accurate) utilize video as a way to reach more customers to increase their sales, promote their brand, products and services, and to better communicate with their target audience. At least 96% of B2B businesses that are not yet utilizing video as part of their online marketing campaigns also report that they plan to use this tactic within the next year.

Businesses are using online video to sell their products and services in many different ways. Less than 50% of businesses utilize video content as a direct lead generation tool. Most companies rather use video to boost brand awareness and online engagement. Around 18% of businesses also find that video marketing is very efficient, and that it is even better than most of their other promotional strategies. Let’s consider the different ways in which a company can utilize video content to promote their products and services, and ultimately gain more sales.

Promotional Videos

Promotional videos are one of the most popular types of video that companies use to advertise their own products and services. These videos often utilize animations, such as whiteboard animated videos, to “tell a story”. The videos usually focus on what the company does, who they are and what problems they can solve.

Product Reviews

Another popular way that brands are utilizing videos is by creating product reviews. Sometimes they review the product themselves, but recently the latest trend has been to find a popular person on YouTube that’s already reviewing products and get a product review from them. The company would contact the “YouTuber” and ask them if they would be interested in reviewing a specified product. If the “YouTuber” is willing, then they would send their product to the individual who enjoys a large following. The "YouTuber" would then use the product in front of a camera and give their opinion about the product. A lot of companies are making sales this way.

Online Video

Video Demos

We’ve already discussed the use of video demos and how they can increase the rate at which consumers buy a certain product or service. A video demo can be a lot of different things, but, essentially, it provides a basic overview of how something works – it could be an overview of how a dashboard for an online system works or even a general guide on how a product works. When consumers watch the video and see that the product or service is easy to use, then they will be more likely to make a purchase.

Q&A Videos

Another type of video that companies often utilizes is Q&A videos, or questions and answer videos. These videos basically provide answers to some of the most frequently asked questions they receive. For example, a company that manufactures a vacuum cleaner may provide answers to questions like “how do I change the attachments” or “how do I clean out the filter”, and then demonstrate on the video how these tasks are done. These videos also add a lot of value for the consumer and it shows the company really cares about solving the consumer’s most common problems.

Product Reviews

Another type of video that companies often utilizes is Q&A videos, or questions and answer videos. These videos basically provide answers to some of the most frequently asked questions they receive. For example, a company that manufactures a vacuum cleaner may provide answers to questions like “how do I change the attachments” or “how do I clean out the filter”, and then demonstrate on the video how these tasks are done. These videos also add a lot of value for the consumer and it shows the company really cares about solving the consumer’s most common problems.

How Online Video Is Being Integrated Into Social Media Marketing Campaigns

Even though YouTube is considered to be a social media network, it is important to also take a look at how online videos – even those that are originally uploaded to YouTube – can be used as part of a social media marketing campaign that also targets Facebook, Instagram, Google Plus, Twitter and more. This was a milestone not only for Facebook, but also for other social networks, such as SnapChat, that was planning on making online video an important part of their platform. The fact that most social networks have also started to implement technologies that allow videos to be integrated in an easier way than ever before also has a lot of benefits for the business owner.

The following social networks are making quite an impact in the online marketing world and can be utilized as part of a video marketing campaign for better results:

Online Video

  • Facebook – During August 2016, Facebook officially surpassed YouTube’s desktop video view count with an estimated one billion views. Facebook is also the "original" fully-featured social media network and is now utilized by millions of users and businesses for promotional purposes. Videos can be added to a person’s timeline, to groups, and to a company page. These videos can then easily be shared and, if a business knows what they are doing, even become viral. Facebook also announced a new “Facebook Live” feature that allows individuals and companies to stream videos live to their audience. Even though the platform is new, thousands of Facebook users have already started to use it, and millions of users are watching these live videos daily.
  • Instagram – Instagram introduced their video feature in 2013. Within 24 hours of announcing the addition of a new video feature, over five million videos were shared. Between 2013 and 2014, the platform’s user count grew by over 400% and Instagram now has over 400 million users that are active. Videos can be uploaded to Instagram and tagged with hashtags. This allows other users to discover the videos, watch them, like them and comment on them. Instagram videos can also be shared with the user’s contact list and integrated on websites or blogs via an embed code.
  • Twitter – The network that lets you share a message in 140 characters or less have also launched support for videos a couple of years ago. Similar to Facebook, Twitter has announced a live video feature and official launched the feature on the 21st of March 2017. The platform is also excellent for posting viral videos. On the 19th of March 2017, a video about a strangely large chicken was posted and quickly went viral – with over 40,000 ReTweets and over 50,000 likes – this is solid proof that even the simplest of videos can go viral – imaging that amount of tweets and likes for a video that promotes a link to a company’s website.

How Video Advertising Is Changing The Way Businesses Promote Themselves Online

Companies are making videos and sharing them on their YouTube channel, Facebook page, Twitter profile and even on their Instagram account. They are gaining a lot of new followers by utilizing these strategies, but these are not the only ways that video can be used to promote a business online. Video advertising is another method that companies are using to get their business in front of millions. This type of advertising is available on different platforms – and the use for video advertising differs mostly from one platform to another. Hubspot reports that companies are already spending as much as $5.4 billion on video advertising and this figure is continuously increasing. In fact, they report that video advertising now accounts for as much as 35% of all online advertisements that companies and marketers buy.

Online Video

YouTube is the original video advertising platform. After finding that the platform is doing exceptionally well, Google bought YouTube, and soon after introduced a new advertising platform. Companies who want to advertise their business on YouTube can create a promotional video and then pay YouTube to play their video before regular videos are played. Any person that uploads regular videos to YouTube can then sign up for their monetization platform – the video advertisements will then play before the actual video starts to play on the channels that are being monetized by their owners.

Facebook, Instagram and Twitter provide video advertising services that are similar to each other. Their ad platforms can be loaded and the company can create a “video ad”. The advertisement will then pop up in the timeline of their target audience (they have quite a lot of targeting options, including age, location, gender, interests and more). The social user can then play the video to find out more about the company that is paying Facebook, Instagram or Twitter to put it in front of the user.


Online Video

While the "original" way of advertising was via printed media, today we see all kinds of advertisements and marketing strategies being used. From blog posts to banners, audio files, infographics, photos and more. Video is one particular marketing strategy that has gained a lot of interest over the past decade, with more and more businesses investing in creating videos that promote their company, products and services, to ultimately reach a larger target audience, attract more website visitors and land a lot more sales.


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