Infrastructure costs -- The concept of free user services and scaling to eventually make them pay depends on the negligible price of adding additional consumers. But video is demanding of bandwidth and storage. Even if those are cheap in general, once you're handling as much material as the service does, it means big expenses for infrastructure. Although those costs won't scale linearly with the increased number of users, they do grow.

"Whether your business is closer to Boeing or P&G, or more like YouTube or flickr, there are vast pools of external talent that you can tap with the right approach. Companies that adopt these models can drive important changes in their industries and rewrite the rules of competition"[134]:270 "new business models for open content will not come from traditional media establishments, but from companies such as Google, Yahoo, and YouTube. This new generation of companies is not burned by the legacies that inhibit the publishing incumbents, so they can be much more agile in responding to customer demands. More important, they understand that you don't need to control the quantity and destiny of bits if they can provide compelling venues in which people build communities around sharing and remixing content. Free content is just the lure on which they layer revenue from advertising and premium services".[134]:271sq


At the same time, YouTube is moving to develop subscription services. In November, YouTube announced a music-subscription service, similar to Spotify, that will offer ad-free listening and other tools for $10 a month. YouTube executives have discussed another subscription offering for non-music content, according to one industry official, which would be in addition to its existing ad-supported service.
Some industry commentators have speculated that YouTube's running costs (specifically the network bandwidth required) might be as high as 5 to 6 million dollars per month,[132] thereby fuelling criticisms that the company, like many Internet startups, did not have a viably implemented business model. Advertisements were launched on the site beginning in March 2006. In April, YouTube started using Google AdSense.[133] YouTube subsequently stopped using AdSense but has resumed in local regions.

Volume. Wins. Ask any full-time YouTuber, social celebrity, successful vlogger, or brand on YouTube and they will tell you that their viewership rose as soon as they started increasing their volume. Now, there is a tipping point, and you can’t simply be publishing rubbish content and expect it to perform well. The perfect intersection is quality content but published on an extremely regular basis—but it’s the regularity that often gets glossed over.
It wasn’t long ago that “content marketing” meant producing and promoting blog posts, infographics, white papers and other static media. But as the digital landscape continues to evolve, “content” is increasingly coming to be understood as “video.” YouTube—the original video platform—continues to be a big player when it comes to the most effective channels for video marketing.

The online-video unit posted revenue of about $4 billion in 2014, up from $3 billion a year earlier, according to two people familiar with its financials, as advertiser-friendly moves enticed some big brands to spend more. But while YouTube accounted for about 6% of Google’s overall sales last year, it didn’t contribute to earnings. After paying for content, and the equipment to deliver speedy videos, YouTube’s bottom line is “roughly break-even,” according to a person with knowledge of the figure.

Increase your YouTube revenue with Supp.me service. Supp.me allows to easily create polls & quizzes for free. Just create a question for your subscribers and invite them to answer it. The more people visit pages you created on Supp.me, the more you earn. This is a great way of getting feedback from your audience (you can ask for ideas for new videos and so on) and increase your earnings at the same time.
In early May, Amazon announced a new service initially designed for "professional video producers." Launch partners include media firm Conde Nast, the "How Stuff Works" website and Samuel Goldwyn Films. Amazon Video Direct could compete for the young creative talent attracted to YouTube. As does YouTube, Amazon offers revenue-sharing and royalties for content that attracts a certain level of traffic. 
The latest YouTube Marketing news, trends & tips. Here we share best practices maximizing YouTube, whether that means getting engagement, views, shares, conversions, or optimizing videos on YouTube for search, we’ll teach you all we know. We’ll keep you up to date on all the newest YouTube trends, features, strategies and best practices for YouTube videos and YouTube channels.
Let’s talk about YouTube. We’ve all heard of it, and chances are, we’ve all spent a wasted afternoon watching one silly cat video after another. YouTube is a great source for funny, entertaining content, but it’s also increasingly becoming an essential tool for marketers. In fact, nearly half of all marketers (48%) plan to add YouTube to their marketing strategy over the next 12 months according to the State of Inbound report.
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