YouTube enters the advertising business
The time has come: The YouTube platform is taking a slice of the advertising pie. Starting now, ads will appear on select videos. Advertisers pay $20 per 1,000 users.
The time has come: the internet platform YouTube is cutting itself a slice of the advertising pie. The Google subsidiary announced on Wednesday that advertisements will now appear in selected clips. However, advertising messages will only appear in films from selected partners such as Warner Music and Hollywood film studios that want to promote music groups and movies. Privately posted films would not be subject to advertising. In general, YouTube intends to proceed cautiously with the introduction of advertisements, according to SDA. Ads will only appear at the bottom of the video after a video has been running for 15 seconds. They should make up a fifth of the window.
Advertisers pay 20 dollars per 1000 users, which is shared between the internet platform and the owner of the video clip. With around 100 million users, YouTube has an enormous reach. According to a YouTube manager, an internal study shows that around 73% of users would accept advertising on the portal.
YouTube wants to improve its business results by entering the advertising business. Following the takeover last October, Google is still under pressure to justify the high purchase price of 1.65 billion dollars. According to experts, YouTube operated at a loss last year despite sales of 15 million dollars.
Advertisers pay 20 dollars per 1000 users, which is shared between the internet platform and the owner of the video clip. With around 100 million users, YouTube has an enormous reach. According to a YouTube manager, an internal study shows that around 73% of users would accept advertising on the portal.
YouTube wants to improve its business results by entering the advertising business. Following the takeover last October, Google is still under pressure to justify the high purchase price of 1.65 billion dollars. According to experts, YouTube operated at a loss last year despite sales of 15 million dollars.
