Have you been pondering with this question, at least I have. After flipping through several websites, blogs and vlogs there is, so to say, a simple answer to a simple question. But before revealing what it is, certain foundations need to be made.
A bit more than seven years ago YouTube ended the era of Windows media and Real media as ruling displaying options for online video. In 2009, four years after it was established, YouTube had 81.9% market share while Vimeo was a distant second with 8.8%.
While everyone must give credit to YouTube for pioneering the field of online video, and despite the size difference, certain groups of people are seeing Vimeo as a thought-worthy alternative. These people are artists, musicians and filmmakers sharing their creative work. Why aren’t they using YouTube? The reason isn’t important, but what is, is that they started sharing their work and giving quality feedback to one another, something that is rarely seen in YouTube. So Vimeo is the option for groups mentioned above who seek for feedback from users like themselves, but would it be the right choice for most companies?
If your company wishes to receive higher position in search engines and a lot more viewers, as I think most companies do, then YouTube is the only real option for you. The reason YouTube videos are getting more views is not only due to the fact that it gets a Google hit ratio of 86 to 1 in comparison with Vimeo, but also because YouTube itself is the second biggest search engine in the world with more than 2 billion searches per day.
To answer the simple question I placed in the beginning, you should consider using them both: Vimeo for better feedback and experience and YouTube as a first source of spreading the content. Or if you are to make a decision between them two, it all depends on what you want to achieve with your video.