eCommerce video is nothing new. Clickable videos and sites like Joyus are making it easy for video viewers to click on a product and purchase it fairly quickly. However, now that U.S. e-commerce leader Amazon has joined the fray, a greater number of brands will have the opportunity to influence immediate purchase decisions with online video content.
Introducing Amazon Video Shorts: free video clips including music videos, film trailers, concert clips, author interviews and how-to tutorial videos for technology, food and beauty. The e-commerce catch, each video is accompanied by a sidebar filled with related products viewers can buy on, yup you guessed it, Amazon.
Recent reports have shed light on the relationship between online video and purchase intent. Animoto, for example, conducted a survey in December 2013 and found that:
- 96% of consumers find videos helpful for making online purchase decisions
- 73% of all consumers are more likely to make a purchase after watching videos explaining a product or service
Both e-commerce and online video consumption are seeing tremendous growth. eMarketer predicts that this year, worldwide B2C e-commerce sales will increase 20.1% to $1.500 trillion. North America alone is expected to see $482.6 billion in sales.
In June, 186.9 million Americans watched online content videos (comScore) and according to Cisco’s Visual Networking Index, IP video traffic will be 79% of all global consumer Internet traffic in 2018, up from 66% in 2013.
Taking all of these facts into consideration, it’s understandable that we’re seeing more brands invest in e-commerce video. Though there are existing sites that present products alongside related content, Amazon’s e-commerce videos have their own solid differentiators.
- Amazon brings an audience of 237+ million to the table
- These active users have accounts = easier, faster check out
- Click on a related product and you’re taken to a typical Amazon page with competitive pricing.
Many other sites have been comparing Amazon Video Shorts to YouTube. YouTube is a video-based site that has slowly introduced e-commerce, and Amazon is an e-commerce-based service that has now incorporated video, so the comparison kind of makes sense. However, because people associate Amazon with online shopping, the company may have a leg up on YouTube when it comes to converting video views into a purchase. Either way, both companies are showing increased interest in catering to brands’ e-commerce video needs.
If you’ve read any article about the release of Amazon Video Shorts, you’ll know that people have been mentioning its weak points, which is great! It’s a new offering so these weak points are to be expected (and reviewed). But if you take a closer look at these supposed “weak points” you’ll notice that each one is something YouTube offers and Amazon doesn’t. Well, Amazon is not YouTube; it’s not a video sharing site, it’s not a social media site. It’s an e-commerce site.
This is its selling point. It will create a closer tie between video views and purchase decisions, and it may just help brands and advertisers justify increased spending on online video marketing.