There are several YouTube marketing strategies, and each has a different cost.
In this article, How Much Does It Cost To Advertise On YouTube, we will discuss the costs to advertise on YouTube and more importantly how to get the best ROI possible.
Watch the video version of this article below:
How Much Does It Cost To Advertise On YouTube
So how much does it cost to advertise on YouTube?
This question is not as straightforward as it may seem to be. To be able to fully understand the pricing on YouTube ads, you need to know first the factors that affect its pricing:
- Budget: YouTube ad cost depends on the amount of budget you set. To set your budget, you will need a Google Ads account. You can set your own budget and how much you want to spend per day.
Note: You can put a YouTube ad online for as little as $1 per day.
- Cost Per View (CPV): YouTube ads have an average cost-per-view of $0.05 – $0.30 per view, including your view count. The average CPV we see is about .03 cents per view.
Note: Your video costs are determined by your bids, budget, advertising goals, and the competition for the audience you target.
- Cost Per Impression or (CPM): is the amount you pay for 1,000 impressions of your video ad. The average CPM we see is about $9.00 per thousand.
Types of YouTube Ads
When setting up your ads, you’ll have to start with a goal. You can focus on ‘Awareness and Branding’, ‘Growing Consideration’, ‘Interest, or ‘Driving Actions’ like generating leads.
Some of the most common YouTube ad types are:
- Skippable TrueView Ads – Viewers can skip the ad after 5 seconds and you are not charged if they skip. But you still get awareness in those first few seconds for free.
You are charged after 30 seconds or viewing or for clicks with skippable in-stream ads
- Non-skippable YouTube Ads – Are short ads, with a maximum of 15 seconds. Viewers cannot skip your video with non-skippable ads. Your YouTube ad cost is charged on CPM or cost per 1,000 impressions.
- Bumper Ads – Can be up to 6 seconds long. You are charged on a CPM basis also.
- Discovery Ads – are triggered by search results and watch pages. The ad consists of an image thumbnail and three lines of copy. Your YouTube ad cost is based on CPC or cost per click.
- Outstream Ads – are only offered as a mobile option. It’s charged on a CPM basis; but only if your ad is viewable when 50 percent of the ad screen space is visible for two seconds or more of continuous video play.
How YouTube charge you with ads?
You’re automatically charged after your ads run, either 30 days after your last automatic charge or when you reach a preset amount (known as your threshold), whichever comes first.
You can make a payment at any time to control your costs.
Controlling YouTube ad costs
To control your costs, you can select the geographic location where your ads are seen, and who sees them based on their age and interests (in topics like food or travel).
YouTube is a good platform for your business. You can advertise on YouTube to expand your reach. With the advertising options available to you, you can definitely acquire more leads for your business.