Video is key to buying decisions

As more retailers tap into video to inform, entertain, educate and aid in selling products, a new report into the role video plays in influencing customer behaviour has been released by US-based video specialist Invodo and consultancy The E-tailing Group.

The aim of the study was to understand current product video consumption habits and the role these videos play in consumers’ online browsing and buying behaviours. It found that among consumers, viewing product videos boosts confidence, engagement and purchasing along with subsequent loyalty towards websites. Videos can also be inspirational and in line with a company’s brand values—for example, the report’s authors highlighted how luxury brands engage cross-channel shoppers with behind-the-scenes footage of photo shoots and fashion shows that connect customers to the labels they love.

The study underlined that videos are integral to the buying decision and that videos that educate and demonstrate are given the greatest attention, with consumers watching multiple times prior to purchasing. What’s more, a third of all respondents to the survey said they spent more than three minutes watching educational and demonstrative videos.

The main reason consumers watch videos more than once is to better understand a complicated product (54 percent), closely followed by gaining confidence to make a first-time purchase in a new category (52 percent). Product price is another major consideration, as well as familiarity with a company—highlighting the importance of a video that looks professionally produced to instil trust in a business.

“Video is rising quickly as an investment priority among retailers and product manufacturers, and our findings validate the huge impact product videos are having on shoppers of all ages,” said Craig Wax, chief executive of Invodo. “In looking at real feedback from our study, it is crystal clear that consumers expect video as part of their shopping experience, and rely on it when making purchase decisions.”

Other notable findings in the study include that almost a third of consumers bought products from a website as a result of being influenced by a product video, with 44 percent confirming they felt more “engaged” with a brand thanks to the product videos it produced. Further, the study showed that introducing product videos to ecommerce websites can reduce returns rates. More than half of those surveyed (52 percent) said they felt more confident in making a purchase after watching a video and therefore less likely to return the purchased item.