Video Killed the Radio Star: Reels & TikToks
Short‑form video has become the highest‑engagement content on major platforms, with marketers increasingly reallocating budgets toward Reels and TikTok to reach growth‑minded audiences.
In Australia, social and internet penetration now exceeds 91% of the population, making short‑form video a scalable channel for brands targeting national reach.
Why Video Now
Consumers prefer short videos when learning about products or services, with 73% indicating this format as their first choice in 2025 surveys.
Marketers echo this shift: two‑thirds consider short‑form the most engaging format, and nearly half expect virality potential to be higher than other formats.
Reels Benchmarks
Across industries in January 2025, the average Instagram Reels engagement rate sits around 2.8%, with verticals like media/entertainment at 2.7% and financial services at 3.1%.
Independent 2024 benchmarking shows Reels out‑engage all other Instagram formats, averaging 1.48% vs. 0.91% for carousels and 0.69% for single images, underscoring format superiority.
TikTok Ads Benchmarks
For conversion‑optimized campaigns, TikTok’s average CTR is approximately 0.84%, with average conversion rate near 0.46% and CPM around $3.21, offering cost‑efficient reach relative to other platforms.
Sector‑wide summaries place CTR medians in the 0.7–0.9% band, aligning with the above benchmarks and providing a realistic planning range for new campaigns.
Audience & Engagement Signals
Short‑form videos earn up to 2.5× more engagement than long‑form content, reflecting the attention advantages of concise storytelling.
Brands increased Reels production by 46% year over year, indicating creator and advertiser confidence in the format’s ability to drive measurable interaction.
Planning Targets
For Reels, setting engagement goals at or above 2.5–3.0% aligns with 2025 cross‑industry averages and top‑quartile vertical performance.
For TikTok, aiming for CTR ≥1.0% and maintaining CPM near $3–$5 sets achievable yet growth‑oriented targets against current e‑commerce benchmarks.
Recommended Tactics
Prioritize product‑led storytelling in 15–60 seconds, using trending audio and fast hooks to capture attention within the first moments of the video.
Run creative A/B tests across UGC and multi‑product scenes, as these formats consistently drive higher interaction and lower cost per click on short‑form placements.
Proof Points Table!
| Metric | Benchmark | Source |
|---|---|---|
| Reels engagement (overall) | 2.8% average (Jan 2025) | Hootsuite 2025 |
| Reels vs. other IG formats | 1.48% Reels vs. 0.91% carousel vs. 0.69% image (2024) | Socialinsider via summary |
| TikTok CTR (conv. campaigns) | ~0.84% | Lebesgue 2025 |
| TikTok CPM | ~$3.21 | Lebesgue 2025 |
| Consumer preference | 73% prefer short video to learn products | Yaguara 2025 |
How To Use These Stats In The Case Study
Frame the challenge as attention scarcity and stagnant engagement from static formats, then present short‑form video as the lever validated by industry benchmarks above.
Define success metrics ex‑ante—Reels ER ≥2.5–3.0%, TikTok CTR ≥1.0%, CPM $3–$5—then tie creative testing and iteration cycles directly to hitting or beating these numbers.
Takeaway
Between stronger average engagement on Reels and cost‑efficient CTR and CPM on TikTok, short‑form video provides a defendable path to scalable reach and interaction for 2025 campaigns.
