What kind of sales multiple does this fast-growing video juggernaut deserve? It's tough to think of a direct comparison. Netflix, which trades for over eight times its 2018 revenue consensus, relies on subscription revenue rather than ads. And whereas YouTube largely relies on ad revenue-sharing deals with content partners, Netflix directly pays its content partners for their material.
New challengers also add urgency to her task. Facebook and Twitter Inc., which routinely send traffic to YouTube, are building their own video offerings. Facebook, and startups such as Vessel, are trying to poach YouTube stars. Meanwhile, Amazon.com Inc. and Netflix Inc. are changing the image of “online video” by licensing Hollywood-produced content and creating original programming.
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21. Focus on stories instead of sales. “Before the rise of social media, if you wanted someone to see an advert, you had to rent space within a popular media channel like TV or print. On social platforms, brands can reach the exact same audience directly. This means that branded content (advertising) competes with entertainment, rather than interrupting it.
3. Choose your channel art carefully. “There will be two images that you choose. The first will be your account’s picture, which will work similar to Facebook’s profile pictures. The second will be your channel art, which will be displayed at the top of your channel much like Facebook’s cover photo. You need to choose these images wisely, as they’ll be one of the first things that users notice about your brand…
On October 9, 2006, it was announced that the company would be purchased by Google for US$1.65 billion in stock, which was completed on November 13. At that time it was Google's second-largest acquisition. The agreement between Google and YouTube came after YouTube presented three agreements with media companies in an attempt to avoid copyright-infringement lawsuits. YouTube planned to continue operating independently, with its co-founders and 68 employees working within Google.
Estimates for YouTube's annual revenue, nearly all of which still comes from ads, vary a fair amount. But many of the estimates are now above $10 billion. At different points, Bank of America and Mizuho forecast that YouTube would post 2017 revenue of $13 billion and $12 billion, respectively. And in February, Baird's Colin Sebastian estimated YouTube is doing around $15 billion in annual sales.
Hi! My name is Elijah and I have been creating content on Youtube for over 5 years! I know the ins and outs of the platform and can edit to make your videos look great, help you plan a YouTube content strategy, or even lend my voice for narration or a vlog! Whatever you are looking for I am active and ready to help! I possess a wide range of abilities relating to the creative content creation that will fulfill the roles that your team or project is looking for. I have proficient knowledge and experience in the entire Adobe Creative Suite (especially in Premiere Pro, and Photoshop), and Final Cut Pro X, along with experience working with the other user interface. I have worked with hundreds of content creators and brands to best refine and optimize their content and strategy, and am excited for the opportunity to share my skills and experience!
Link economics -- For years, people in media and tech proclaimed the link economy. The idea was that you'd give away material, welcome people to link to it, and those links would bring new audiences that you could then turn into customers. But there is a basic problem, in that very few people actually click links that require them to go to other sites. As the Journal pointed out, many people simply watch a video hosted on YouTube and embedded elsewhere and don't actually visit Google's site, reducing the ability to display ads.
Apply to join the YouTube Partner Program when you feel confident in the interest and following your videos have garnered. There is no set following numbers needed to become a partner, but YouTube must see that your videos have interest and are growing a following before you're accepted. Sometimes YouTube will contact you directly about becoming a partner, especially if your videos have gone viral quickly. If not, you can apply on the YouTube partner page by entering personal information, describing a marketing plan, and defining your video genre.
9. Know your audience. “Your audience has needs, and no two audiences are alike. This group of people that have started to follow your content, these are individuals that are interested in what you have to say. You need to be able to give them what they came for, while also being able to stay true to your brand. Finding that healthy balance between what your brand needs and what the audience wants is key to maximizing how you market your content. By using YouTube as a social media marketing tool, you’re connecting with the people who support you, while also growing your brand.” – Stevan McGrath, The 7 Key Ways to Be Successful on YouTube, BestTechie; Twitter: @besttechie
For people who dream of making money on YouTube, there are lots of online celebrities and channels to aspire to imitate. There's makeup superstar James Charles, who became the first male CoverGirl model. Liza Koshy's fame on Vine and then YouTube has led to traditional film and TV gigs, including a role in a Tyler Perry film. Even pop star Justin Bieber got his start on YouTube. According to YouTube, the number of channels that earned five figures or more grew by more than 50 percent from July 2017 to July 2018. Channels earning six figures per year increased by 40 percent.
Professional quality music and sound effects can often be the difference between a successful video and one that comes off as an amateur production. Fortunately, cinema quality sounds are now readily available, even if your videos don’t have Hollywood-size budgets. When selecting music for your video, it’s important to first consider the overall mood you’d like to create. Music is one of the most valuable tools for setting the tone of a video and often informs the editing style, camera movement, and on-camera action. If you’re introducing your brand to a new audience, you probably want to select music that is upbeat and energetic. The second key part to picking music is to make sure you have the necessary permissions to use the song. What you’re looking for here are songs marked as “royalty free.” This doesn’t mean the music will be free, but it does mean you only pay a flat rate to use the music and won’t have to pay additional royalties or licensing fees on top of that.
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But even if you discount YouTube's multiples a bit to account for its profit uncertainty, you're still left with a very valuable business. At six times Mizuho's revenue estimate, YouTube would be worth $90 billion. At seven times, it would be worth $105 billion. And those valuation figures would rise a little more if one tacked on a slight premium (say, $5 billion or $10 billion) for the potential of YouTube's subscription businesses.
Sharing your videos on social is an easy way to add additional insights to your video and engage with viewers. YouTube makes it incredibly simple for you and others to promote your video across other social networks. To share a video, just click the “Share” tab underneath the video. There you can select where to market the video. YouTube even provides a shortened URL to your video for convenient sharing.
For example if your YouTube Channel happens to provide valuable video content for a very specific audience. Say the channel teaches business owner how to organize their finances, track their expenses and save money on taxes. Any company who is trying to reach business owners would love to place their ads on that channel because you would both share the same demographic. The people who view that channel are their potential customers.
The good news is that income is rising, but efforts to generate a broad and loyal audience that turn to the service on a regular basis for original content appear to have hit a wall. The Journal points out how three years ago YouTube spent hundreds of millions of dollars on original content to build new channels, only to see many of them fail. Getting people to visit the site directly and regularly because there’s something specific they want to see, rather than dropping by occasionally via a link on another site or online service, appears to be a big challenge for the company.
All the estimates by research firms and analysts, says Kirjner, are "based more on belief and anecdotes than on truly representative data. What's more -- beyond anecdotes either shared by Google or collected through discussions with ad buyers, creators and multichannel network operators -- we know very little about what is available on YouTube, what people watch and how much it gets watched."
Still, one of the main ways (or easiest) to earn money on YouTube is through YouTube running ads on your videos. Once you get a certain amount of views, you can connect your account to a Google AdSense account, which will allow you to start earning money on your videos, according to USA Today. In order to qualify, you reportedly now need (as of January 2018) 4,000 watch hours in the past 12 months, plus 1,000 subscribers to join the YouTube Partner Program (which will get you ads and therefore cash from your channel).
Does your company have a relationship with another company that has a great YouTube presence? Ask them to collaborate! Collaborating with others is a fun way for both channels to gain exposure to another audience. Create a video or playlist together. There are a lot of options to creatively collaborate with other brands, just make sure that their audience and goal is similar to yours. The partnership should align with your marketing strategy.
YouTube is one of the most popular websites on the planet, receiving billions of views a year and paying out millions to the content creators that it hosts. Money earned through YouTube is generated by advertisements. Content creators who host ads on their videos receive about half of the ad revenue those ads generate, while YouTube takes the rest. Anyone can monetize their videos, as long as their videos do not break copyright law.
6. Meet up with fans in the real world: Meetups and similar events let YouTubers connect with viewers and sell merchandise. They’re usually best suited to those with active and engaged subscribers. Those with smaller audiences might want to skip ticketed events and bank on merchandise sales instead. Or if, for example, your videos teach viewers how to draw, you could set up a free class at a local park and sell your book of drawing techniques afterward.
Most successful YouTubers have a very strict publishing schedule – and they stick to it. These YouTubers also promote new videos to their audience on other social media platforms so that even those who haven’t subscribed to their channel can still know when a new video is coming out. While you’re setting up a YouTube marketing strategy for your business, consider how often you can realistically commit to posting new content and make sure you can stick to it.
Facebook and Twitter could pose new challenges to YouTube, because those social networks are creating their own video services. “If YouTube wants to move towards strong profitability, or to be profitable, they are gong to have to take that advertising and make it part of any actual programming,” Bajarin said. “And one way to have control over all that is to create their own content.”
How does a video streaming service with one billion active users per month and $4 billion in revenue not turn a profit? Ask YouTube, which couldn't break free from breaking even in 2014, according to a new report. Sources tell the Wall Street Journal that Google's video unit posted $4 billion in revenue last year, up from $3 billion in 2013, and that while the service accounted for 6 percent of Google's overall sales, it contributed nothing to earnings.
At the same time you’re creating your storyboard, you’ll also want to decide how long your video you should be. On YouTube, videos under two minutes receive the highest levels of engagement. Your video should be just long enough to deliver the key messages that align with the goal you set in step 1. If you do create a longer video, experiment with how you present content -- the pacing, story arc, and visuals -- to keep viewers interested throughout.