Youtube Ads Types & Cost | How Much Youtube Ads Cost

YouTube ads can be really effective for your business but how much do they cost? We’re going to get into all of it. If you want to transform your website into a customer or lead generation machine we’ll tell you all the best tips tactics and secrets to get there fast.

 So basically right now there’s a lot of talk about Facebook Ads but the thing is the prices for Facebook ads are pretty much skyrocketing yet YouTube remains a very affordable way to pinpoint your ideal customer with lots of really interesting targeting options. What we like best about YouTube ads is you really only pay for them when you know someone has viewed it usually for 30 seconds or more compare that with Facebook where they define a view as 3 seconds which is pretty useless when you think about it, you’re not really going to get your brand out there in 3 seconds.

 It’s important to know that YouTube ads are basically a bidding system just like Facebook so you can basically set the total amount you’re willing to pay per view as well as setting a daily cap or a lifetime budget for the ad so after you’ve done your targeting you know exactly what group of people are going to be eligible to see your ad so whenever someone in your targeted group watches a monetized video YouTube’s algorithm starts to work and they basically weigh your bid the highest price you’re willing to pay for the video against how relevant they think your video is going to be to the viewer.


The smaller the group is, the more you can expect to pay in general e.g if you show your ad to a really large group like just everybody in the United states, your cost will generally be lower because YouTube’s probably just going to show your ad to the people that nobody else is really advertising to. On the opposite end if you get really specific, it’s going to drive your costs up because basically now you’re competing against a bunch of other advertisers that may be running ads to that same group of people,it might help to think of this like a dating app.  Let’s say you’re willing to go out with just about anybody on the app, well you’re probably going to get a lot of dates that way but at the pickier you are and if you’re only willing to go out with those 9s and 10s you’re going to have a lot more competition for those people, so it works the same way in the auction system with YouTube ads.

 In-Stream TrueView Ad

It’s the,ad that runs before a video that you can skip after five seconds , if the viewer skips it in five seconds you’re not charged for it, infact they have to watch up to 30 seconds of the ad before you are ever charged for it, Unless your ad is under 30 seconds. So let’s say you wanted to try to beat the system and make an ad that’s only 29 seconds, in that case if they were to finish the ad at 15 seconds if it’s done then or 20 seconds if it’s done then you’re still charged for it. So for that reason you’re definitely going to want to make your ad more than 30 seconds.

Discovery Ads

 These are the search engine results within YouTube. So if someone were to type in a keyword phrase about dog training and it came up as a clickable thumbnail either in those search results or if someone’s watching another video and it shows up in the right sidebar as a related video. These ads are charged a little bit differently because they’re not automatically shown to a viewe, instead they have to click on them. If anyone clicks on those ads, you’re charged for it regardless of how long they watch it.

Non skippable in stream ad

These  are the annoying ads that come before a video that you don’t have the opportunity to skip usually these are 15 to 20 seconds and they’re pretty much dominated by the big brands like Geico or movie trailers. These kinds of ads are mostly for brand awareness from larger companies.  We actually do not recommend them for small businesses as they’re very expensive.

Youtube ads costs

So now that you know all the different factors and considerations, Let’s talk about numbers and exactly what you might expect to pay and as you may expect there is a range here,  No one can really tell you the one specific number, but we can say we’ve seen them as low as $0.3 – $0.5 per view.
If  you are more specific into your targeting, that generally ends up settling somewhere more in the 0.5$- 0.10$ per view range.  The more people watch your ad and the longer people watch your ad the lower the cost is going to be because they basically determined that this ad is very relevant to that audience so they feel better showing it to them knowing that their user experience is going to be better.  So that’s why it’s really important to set your targeting correctly so that the people that are viewing your ad are definitely looking for the service or product you provide.

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