YouTube to Creators: Sell Your Own Ads
YouTube has a new plan to make money — let the creators do the work. The company will start allowing professional content producers that have their own sales teams start selling their own ads on their YouTube channels, according to Advertising Age.
Creators will be able to sell spots including video overlays and the display ads on the pages surrounding videos. Producers sell the ads, and YouTube takes a cut.
Despite doing the heavy lifting, the good news for creators is that it gives them control over which ads appear with their content and expands the inventory they can offer to a potential sponsor. According to Advertising Age, Revision3 is selling its own ads on YouTube with GoDaddy already on board.
And YouTube gets more than money out of the deal, it gets exposure in the ad agency world, and offers high-profile content creators another reason to join the YouTube family.
YouTube has always had the “how will it make money?” question hanging over it’s head, but as the site continues to pull ahead of the competition the pressure is on to generate revenue on those 4 billion plays a month. Shashi Seth, YouTube’s ex-head of monetization quit earlier this month, and just prior to that Forbes reported that YouTube will pull in $200 million in revenue this year. We were skeptical, estimating it’s actually more around the $70 – 90 million range. But even if those higher figures are correct, that’s just 1 percent of Google’s total revenue.
Disclosure: Revision3 produces The GigaOM Show.
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Very cool
David Rodriguez on June 8th, 2008 at 10:28 pm - Permalink
[...] | New Tee Vee Más información | Advertising [...]
La publicidad de YouTube gestionada por los propios creadores on June 9th, 2008 at 5:04 am - Permalink
[...] think that NewTeeVee is closer to mark however, in stating that, “YouTube gets more than money out of the deal, it gets exposure in [...]
YouTube invites video creators to sell their own ads ¦ Online Media Cultist on June 9th, 2008 at 8:34 am - Permalink
[...] broader distribution and ad sales — which recently got more interesting, since Rev3 can now sell its own ads on its YouTube channel. The deal follows Revision3’s nabbing of popular pop culture web show [...]
Wine Library Bringing the Thunder to Rev3 « NewTeeVee on June 9th, 2008 at 10:45 am - Permalink
At Revver, we’ve had this available for creators for about 8 months; they get to keep their revenue split from the advertising plus a commission on the ad sales. A number of folks have taken us up on it, with gratifying results.
Angela Wilson Gyetvan on June 9th, 2008 at 12:57 pm - Permalink
I think this idea it´s gonna gets youtube down, because the people will get tired see several ads before the videos them want to see.
We know that a lot of people wast a lot of time watching youtube, well, that people like a direct videos without being diturbing… they can accept one ads, but not two, three, four…
I think youtube has to think it before to change it.
carlos on June 11th, 2008 at 2:57 am - Permalink
[...] — upping its professional-content quotient — and has also allowed video producers to sell their own ads. With the brains behind Google trying to solve the advertising problem at YouTube, there’s a [...]
Panic {RE}_Programming » Blog Archive » Digging Deeper::Online Video Ads Finally Find Their Niche on June 26th, 2008 at 2:11 pm - Permalink