View-Through Rate (VTR)
What is View-Through Rate (VTR)?
The view-through rate (VTR) is a metric used to measure the effectiveness of video ads. It calculates the percentage of viewers who watch a video ad from start to finish. This is particularly relevant for ads placed on streaming platforms like YouTube and Hulu, where capturing viewers' attention is crucial.
Why is VTR Important?
Typical video ad metrics include views and impressions, which indicate how many people were exposed to the ad. However, these metrics do not show how engaged viewers were or if they watched the ad to its end, including the call-to-action (CTA). VTR fills this gap by providing insights into the ad's effectiveness and viewer engagement.
How to Calculate VTR
VTR is calculated using the following formula:
VTR= (Total completed views\Total measured impressions) ×100
For instance, if a video ad is shown to 1,000 viewers and 10 viewers watch the entire video, the VTR would be:
VTR= (10\1000) ×100=1%
How Does VTR Work?
VTR is most relevant for skippable ads. Un skippable ads typically have higher VTRs, but this can be misleading because viewers do not have the option to skip. In contrast, for skippable ads, a low VTR can indicate that the ad failed to capture or retain the audience's interest.
Using VTR to Improve Ad Performance
To gain deeper insights, you can measure VTR at various points in the video, such as 25%, 50%, and 75%. This helps identify where viewers are dropping off, which can inform adjustments to make the content more engaging or to place the CTA earlier in the video.
Tracking VTR involves embedding a code in the video player to measure how far viewers watch. Additionally, cookies can track viewer behaviour after the ad, such as visits to your website.
Benchmarks and Improvement Strategies
A VTR of 15% is generally considered successful, but this can vary depending on the ad's goals and the product being promoted. High-value products might still benefit from lower VTRs if the ad leads to sufficient sales.
Key factors influencing VTR include:
• Platform and placement of the ad
• Viewer demographics
• Video title and thumbnail
• Style, tone, and subject of the video
• Video length
To improve VTR, consider the following:
• Target the right audience: Ensure your ad resonates with the viewers based on demographic studies.
• Optimize video length: Shorter videos (under 30 seconds) often perform better.
• Capture attention quickly: The first eight seconds are critical. Ensure they are engaging and high-quality.
VTR vs. VCR
Video completion rate (VCR) and VTR measure the same metric: the percentage of viewers who watch a video to the end. These terms can be used interchangeably.
VTR vs. CTR
Click-through rate (CTR) measures the percentage of viewers who click on the ad, providing insights into the ad's effectiveness in driving traffic to your website. VTR and CTR together offer a comprehensive view of a video ad's performance. A high VTR with a low CTR may indicate that while viewers watch the ad, it does not drive engagement. Conversely, a low VTR with a high CTR suggests the ad captures attention and prompts action even if not watched in full.
Key Takeaways
• VTR measures the percentage of viewers who watch an entire video ad.
• Embedded codes in the video help track viewing behaviour.
• Effective VTR varies based on the ad's length, placement, and content.
• VTR and CTR together provide a holistic view of a video ad’s performance.