1. Increased Conversion Rates
People are more likely to buy a product after having seen the video, this according to Internet Retailer.
An example is Dropbox. Dropbox was banked on their 120-second explainer video which resulted in a10% increase in sign-ups. That’s right—the explainer video led to a 10% increase in conversions. That may not seem like much, but when you do the math with 100 million users, that’s 10 million extra customers simply from using an explainer video. With an estimated $4.80 of revenue per customer (based on estimates from 2011), that’s an extra $48,000,000 in revenue per year. Not bad for a “mere” 10% increase in conversions.
2. Simplify introducing your product/services
With the attention span of internet users on the decline, it has become even harder to hold the attention of visitors by simply placing text and images on a webpage. Visual content that is memorable and catchy simplifies the process of explaining what your startup does. The ‘What’s in it for me?’ statement for your target audience gets answered easily by making use of an explainer video. A message that is resonant and actionable will compel your visitors to learn more about your products and are more likely to subscribe to one of your premium services.
3. Improved Organic SEO and better Google results
YouTube ranks #2 in search engines and that just shows how popular videos are to Google. A much larger emphasis is given to better converting videos on the search engine, and having an introductory video for your startup would help you on the SEO fronts too. Videos are more likely to show up on the first page of a search result at Google, and having a thumbnail of your video snippet on the front page significantly improves your startup’s organic search rankings.