Humans see ads every day. They are everywhere — in our homes, on our commute to work, on the podcasts we listen to, the news we watch, almost everywhere we look. It is estimated that we see an average of 5,000 ads per day. That is a lot of ads, so brands have had to step up their game to capture consumers attention and turn them into buying customers.
Technology has given advertisers an improved way to meet their customers where they are, all through mobile phones. Mobile phones are changed the way advertisers reach us, using data and new technology to connect with consumers that, in turn, are given more buying options every day. Advertisers are now constantly innovating to better reach their targeted segment. A growing number of platforms and brands, in an attempt to set themselves apart, are turning to shoppable ads.
What is a shoppable ad?
The Interactive Advertising Bureau (IAB) defines mobile shoppable video ads as “interactive ads designed to connect consumers with products, services or merchants within the ad itself.” Shoppable ads aren’t just to facilitate a direct purchase via click-to-buy abilities, they can be used to educate on products and link to additional information.
Although a new ad format, social media brands have welcomed shoppable ads with open arms, with Snapchat introducing their form of shoppable ads, Collection Ads, to all advertisers this past October. Collection Ads are described as a “made-for-commerce ad unit [that] allows a brand to feature a series of products that users can tap to get more details”. Facebook was the first to bring shoppable ads to social media — they introduced their Collections Ads back in March of 2017. This ad format was introduced “to drive product discovery and sales through an engaging format in a fast-loading shopping experience.”
Do shoppable ads even work?
Do people really want to interact with something the exact moment they see an ad about it? Snap Inc’s research shows yes. Early testing with eBay showed a 5x higher engagement rate with Collection Ads compared to standard Snap Ads featuring the same products. Interactive video ads give consumers the opportunity to better understand the product and connect emotionally with its story. Video helps convert viewers into customers, with 64–85% more likely to buy after watching a product video.
According to “The Interactive Ad Effect: CTAs in Mobile Video Shoppable Ads,” a study from the IAB and its Digital Video Center of Excellence, research proves that mobile video interactive ads are effective at capturing user attention and driving brand lift. Using biometrics, eye tracking and survey, the study measured consumers’ response to multiple shoppable interactive video ads and found that the ads with a call-to-action (CTA) perform better.
Shoppable ads are a tricky thing, however. Brands need to use data and test these ads as IAB’s research showed they need to be selective with their CTA wording and overall ad set up. Through testing different CTAs, ‘Learn More’ was proven to be the most successful. As for ad set up, advertisers need to capture consumers attention early on in the ad, the first five seconds of interactive ads with CTAs gain the most attention. Advertisers need to be sure to include their brand message from the beginning to hold consumers attention.
What does the future hold?
Smart brands need to jump on the shoppable ad bandwagon! Trivver is excited to currently be developing a tool for brands that make shoppable ads a breeze to implement, but that’s all we can say for now….
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