A watermark is a security feature. It’s there to ensure that no one can steal your content and pass it off as their own. This may be a concern of yours if you are producing original content, particularly if charging a fee for access it. Watermarks make that theft tough to do because they’re directly onto your source file, so even if someone pulls your file from the player, it follows the video wherever it’s played.
Brand Overlay is a marketing feature. It’s primary purpose is to promote your brand. Brand Overlay is visually very similar to a watermark, in that it’s a small image, typically a logo, that appears on the video. The difference lies in the fact that we stamp the brand overlay on the player, not the video files itself. Why does that matter? Because it actually allows for greater customization, meaning you may adjust the transparency levels to achieve a more subtle effect, but more importantly, it’s linkable. You can link your brand overlay to your homepage, to a product page, to anywhere you like. Brand Overlay is actually more similar to other marketing features like End Text and Brand Text than watermarks.
Now that you know, go forth and watermark and brand overlay wherever and whenever appropriate!