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Big Orange Slide

Tuesday, April 21st, 2015

What’s on the Tube?

July 10, 2012 by JJ McGill

Gif (!) by Kate Laudrum
For a few years now, YouTube has openly discussed aspirations to position themselves as the leading content provider for the projected Internet TV revolution. Their plan: leverage their 160 million followers into greater advertising opportunities by establishing an online television network. Advertisers will be able to acquire revenue based on ads, product placement and sponsorship. The biggest benefit of custom-generated content for YouTube is that in order to watch, users are required to register, allowing for demographic segmentation and data acquisition.

Brands can also afford to hone in on their audience from a psychographic standpoint, due to the sheer quantity of content to choose from on YouTube. Because there’s so much out there, users can pinpoint exactly what type of content they want to view, forcing brands to orient their channels to a more specific target.

So, what does this mean?

It means there’s an opportunity to carve out a new, active audience base. Imagine sponsored channels dealing with equity content, or allowing on-premise or retail partners to tap into a sponsored radio station. This opportunity to create quality online television with interesting and premium content will influence users to stick around longer, while only targeting those who want to be exposed.

What do you think? A natural evolution of online content, or a flash-in-the-pan revenue gambit?

4 Comments on "What’s on the Tube?"

  • Hannah
    July 10, 2012 @ 2:05 pm

    I am really excited about the direction YouTube is going, I am about to enter my third year in Advertising and Digital Comms and am hoping to focus my dissertation around advertising on YouTube and the benefits it will bring to brands.
    YouTube is really exciting, all the content that is created for viewers, with companies such as Maker and Defranco Inc paving the way forward its going to be really exciting and I can’t wait to watch the progression.

  • Oli
    July 11, 2012 @ 11:19 am

    It’s probably great for youtube, and I can see the potential for the advertisers. But in reality it seems that it’s awful for the user; I see the same few ads all the time (which seem to have no relevance to me), and they obstruct my use of the site to the extent that I’m becoming much less likely to watch youtube videos.
    If you’ve got to sit through an advert before you can even see if the video is watching, I think a lot of users just won’t bother. Advertising models that severely impair the usability of a site or service just don’t seem to be a good long term solution.

  • Andrew
    July 12, 2012 @ 11:36 am

    I can’t remember the last time I sat down to watch a television show at a specific broadcast time. I’ve switched my entire viewing habits to streaming content either via Youtube, Netfix or Hulu. Using a VPN you can get all the content you want normally barred by geographic blocking.

  • Andrew C.
    July 16, 2012 @ 3:51 pm

    To Oli: They seem to want sites to host stuff and display it on their own site as a “channel”. I don’t foresee the main site itself ditching the popular “random” format and search it has now. This is just a natural way and evolution for them to leverage all of their video assets and capabilities in to cohesive packages.

    And it’s the internet – we don’t like it we start a new video sharing site! (you and me personally!)

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