There are many reasons video marketing is important to your business, such as establishing a brand identity, driving website traffic and generating leads. Increasing revenue is also at the top of the list, as marketing is pointless unless you’re converting enough sales to make your business viable. You can use video to attract a social media following, gain the attention of your target audience and earn the trust of potential customers, but these achievements are pretty meaningless if they don’t lead to revenue.

As such, it’s critical to understand the role video plays in generating income and appreciate how it’s more effective than other content formats in terms of boosting revenue.

Video helps your prospects make buying decisions. These days, more and more people are going online to research products and determine the best option for their needs. Video educates them on what’s available and guides them in making decisions. They need to see products in action to help them make wise choices, and text doesn’t demonstrate features and benefits as well as imagery.

Video encourages website or landing page visitors to linger longer. Those visitors who do consume your video content tend to stick around afterwards, navigating to other pages, reviewing other products and becoming familiar with your company. The more time they spend, the more they’re exposed to what you offer – which increases the likelihood that they’ll make a purchase.

Retention rates are higher for video than other types of content. When asked about videos they’ve viewed online in the last 30 days, the vast majority of internet users remember the information presented in the video content. Even better, many of them take action after watching. They conduct additional research on the subject matter, visit a website or search for more information about the company that published the video.

More people buy a product after watching a video. When they see a video about one of your company’s offerings, viewers are 64% more likely to buy it. Product demonstrations are an ideal format for video because your target audience sees how you solve problems and meet their business needs.

Video drives engagement, which in turn converts sales. It’s tough to liven up text content enough to encourage your prospects to read a long article, but the visual and audio components of a video will engage them. The important point to remember is that you need energy in your imagery and sound so that you capture attention and maintain it throughout the duration of the video.

You reach more mobile users with video. According to the Pew Research Center, almost two-thirds of Americans own a smartphone. They’re streaming a staggering amount of video on these devices every day, so you can effectively reach these users by presenting your material in the format they clearly prefer. You’ll grab your prospects’ attention and keep it – even more so than when they view video on a desktop or laptop.

When you consider that revenue is vital to your company’s existence, you can see why you can’t afford to miss out on the opportunities provided by video marketing. Of course, video also supports your other content marketing assets, making them more efficient and effective. This leads to an increase in your online exposure to reach more of your target audience. Because of its role in increasing revenue and meeting other business objectives, video is among your hardest working marketing tactics.