YouTube is undoubtedly a household name, even globally. One doesn’t even need a standard computer to gain access to the content from the YouTube web site anymore. To stream video content, and the accompanying ads, from YouTube to an Internet connected device… well, there’s an app for that.
Smart TV’s like most of the Samsung line have YouTube capability whether their owners are aware of that fact or not. Set-top-boxes which stand between the Internet and the TV, aside from the Roku which doesn’t have native YouTube “access,” also have apps to stream YouTube videos. Plus, our smartphones have browsers and apps giving us access to the content. YouTube clearly has far reach.
The Ads Are Annoying And Pay Peanuts But YouTube Still Grows And Grows
YouTube is really still the go-to platform for sharing video. It is taught in many online marketing literature, plus is an obvious default choice, to share video content on YouTube to reach a large audience far and wide. Plus, YouTube videos have a great chance of ranking in Google search results.
Viewers complain about the somewhat annoying ads but they still spend lots of time browsing the video site. Programmers, mostly the folks putting out premium content, complain of low revenue shares, but the premium content on YouTube, at least at this time, continues to grow. That’s not to say that many of the big networks on YouTube aren’t looking for new reveue sources for their video content.
Some are looking for ways to monetize the video content in ways where they do not share the revenue with YouTube. Some are looking at sponsorships for example.
Low CPM Earnings For Video Content On YouTube
The amount of income generated from YouTube video views varies greatly but according to a piece on AllThingsD, after Google/YouTube gets their 45% cut of ad revenue the content producer/publisher is left with about $2.50 CPM (per 1,000 views). So, in order to generate $2,500 from a clip, it must generate 1 million views. With that said, some publishers report a CPM rate as high as $10.
Using YouTube As A Traffic Source For A Web Site
This may seem obvious to some, and to many this is how they always did things, but many are using YouTube now as a source to bring traffic to their own sites where they could monetize the traffic in many different ways. In this way, the revenue shares from YouTube are just “extra.”
Some are reporting $20 CPM’s when bringing traffic to sites that they own themselves and have full control over. The sky is almost the limit on monetization strategies when the webmaster is in control. Starting a subscriber list on day one is certainly a smart strategy that can compound the efforts.
The Future For YouTube Becoming A Valuable TV-Like Platform For Advertisers Is Hopeful
According to the article on AllThingsD, “some investors are betting that YouTube will get it right, and that programmers will end up building assets that are as valuable as today’s cable channels.”