YouTube Finally Figures Out How To Make Money: Big Ads On Its Homepage

|

pineappleexpress.jpgTake a good, long look at YouTube's (GOOG) homepage. You may not recognize it soon: The video site is trying out new ad format that will turn over a good chunk of the page to sponsors.

The move is an obvious step that Google hasn't taken yet as it tries to wring money out of its hugely popular site. Messing around with pre-roll ads, overlays and other ways to insert advertising into the video is one thing. But simply handing over more of the homepage -- its most valuable real estate -- is a relatively easy way to generate dollars.

Advertising sources say YouTube is revamping the homepage to accommodate a huge new banner ad that will span the entire width of the page. The ad will is roughly the same height as the current video ad unit on the upper right of the page, and designed to accommodate high-definition video, similar to the campaign Sony Pictures ran on YouTube to market "Pineapple Express." Sources who have seen the unit describe it having multiple tabs that activate when rolled over by a cursor.

YouTube is shopping the unit to entertainment-industry advertisers, the ones that have most embraced the video site as a marketing tool. They're offering inaugural sponsors a deal to buy the new unit for roughly the same price as the old, or about $200,000 a day. The first is coming within the next two weeks, and advertisers expect YouTube to start bumping the rates up this fall.

Google has been criticized for leaving money on the table by keeping its search page free of advertising. Likewise, the YouTube homepage has until now had pretty minimal advertising, just the window in the upper right corner of the site. But it should be the easiest part of the site to sell, since YouTube has plenty of control of what appears there.

Industry observers think that News. Corp.'s MySpace is getting more than a $1 million for takeover ads on its homepage. One big difference: Unlike MySpace, many YouTube users never end up on the site's home page.

Asked for comment, YouTube offered the pro forma "We do not comment on rumors and speculation," response.

See Also:
Google CEO Schmidt: Nope, Still Haven't Figured Out YouTube. And We Still Won't Sell Ads On Our Homepage
YouTube Exec: We're Selling Ads Against 'Less Than 3%' Of Our Videos
Tough Job: YouTube Hires New "Head Of Monetization"
YouTube Dangling New Ad Strategy To Lure Hollywood. Can It Deliver?



< Prev. Story
Next Story >

38 Comments

clickbot said:
How innovative! What geniuses! Wow!!

HmmConvenient (URL) said:
For what it's worth... Google would be better off segmenting YouTube into demographic focused "channels" that they could monetize more easily. This is what Break.com has done so well; their media kit suggests that they are getting $30+ CPMs on UGC content aimed at their male dominated audience.


clickbot said:
just checked (I hardly ever visit youtube.com as mentioned in the article), and this ad is blocked by vanilla blocking software.

These folks keep getting geniuser and geniuser!

Liz Gannes (URL) said:
We posted on the Pineapple Express HD trailer ad a while back:

http://newteevee.com/2008/08/12/youtube-tries-new-homepage-ad-format/

The ad doesn't require a homepage redesign, though; it only expands to the full page when clicked.

Renaware (URL) said:
Brillant!

Liz,
To be clear, this new ad is different from Pineapple Express. I'm told it is a permanent unit spanning the full width of the homepage, and it is being offered to advertisers now.
thanks
m

AGORACOM (URL) said:
I’ve said it 100 times. YouTube needs to create commercial accounts for heavy contributors (i.e. more than 50 videos) that also contain URL's back to their own sites.

Then start charging a subscription for them (i.e. $20/month). A significant number of videos on YouTube are from people trying to get users over to their site. In essence, they are using YT and giving nothing back....so make them pay for it.

There is your quasi-advertising revenue and you don’t even have to worry about doing any work or infringing on copyrighted material. Just make the heavy commercial contributors pay.

I am one of them (small-cap stocks) and would gladly pay the $20/month.

GT

I've said it once, I'll say it again. http://www.Heavy.com has been doing similar ads like this for years. Nothing really new.

Heavy is even offering a lightbox version of their ad model through a side company called Husky Media for web site owners who wish to monetize video. http://www.huskymedia.com

Considering the resources that YouTube/Google has, you would think they would have rolled something out for advertisers months ago.

jlevy said:
Reminds me of recent changes to MySpace's front page. Successful, see: http://valleywag.com/5042944/what-myspace-gets-about-advertising-that-facebook-doesnt

lonely said:
mac video converter is a versatile video converter for mac software which can convert video and audio files including ASF, dat, mpg, MPEG, 3GP, MP4, MPEG4, H.264, M4V, MOV, AVI, WMV, Vob, MP3, WMA, OGG, AAC, M4A, AC3, etc. perfect Video Converter on your Mac OS X software. avi converter for mac is a powerful software which can help you convert mac avi to all sorts of video and audio formats. mp4 converter for mac

Pete said:
What Jay said. Nothing really new here. Heavy.com been doing this for years. Their only problem is lacking the scale of a YouTube. Google should grab Heavy's tech and integrate it into YouTube.

TV1Turtle (URL) said:
I don't know why they haven't done this earlier; that's one factor of MySpace turned into a money machine. I understand how they want to provide as little disturbance to the viewer as possible but I and many people would rather see an ad on homepage than on videos.

But then there is a question of how they can effectively target their ads; cuz home page has no information about the user accessing the place..so this is a cheap sell.

Thanks for the reflection.

TV1Turtle

Coilette Forrge (URL) said:
The front page does not get as much attention as the individual videos.
I wonder if Goog will start to put some ads at the end of every video soon.


wow gold (URL) said:
Buy WOw gold, cheap world of warcraft woW gOld, buy gold warcraft WOw gold? We sell World of Warcraft wow gold,
Cheap wOw Gold Look here! wow GoLd Store Welcome you! Look here to Buy WOw GOld, Cheap WOw golD, woW goLD Power Leveling,
buy Cheap WoW gold in here.



gdsavvc (URL) said:
Written in a very wonderful ah, we provide all world of warcraft goldservices. for the precise analysis of wins, you can buy world of warcraft gold cheap world of warcraft gold here ! I think there will be many people concerned about this article, we provide all wow goldservices.and look forward to an equally exciting you can buy world of warcraft gold cheap wow gold here ! under the emergence of hope not waited too long


lotro gold (URL) said:
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold
lotro gold

lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro
lotro

buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold
buy lotro gold

lotr
lotr
lotr
lotro
lotro
lotr
lotr
lotr
lotr
lotr
lotr
lotr
lotr
lotr
lotr
lotr

lotr gold
lotr gold
lotr gold
lotro gold
lotro gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold
lotr gold

lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold
lord of the rings gold

lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold
lord of the rings online gold

sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
sell wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
wow gold
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
sell wow cd key
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
trade wow gold
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow gold trade
wow trade
wow trade
wow trade
wow trade
wow trade
wow trade
wow trade
wow trade
wow trade
wow trade

sell maple story mesos
sell maple story mesos
sell maple story mesos
sell maple story mesos
sell maple story mesos
sell maple story mesos
sell maple story mesos

sell maplestory mesos
sell maplestory mesos
sell maplestory mesos
sell maplestory mesos
sell maplestory mesos
sell maplestory mesos
sell maplestory mesos

sell maple story gold
sell maple story gold
sell maple story gold
sell maple story gold
sell maple story gold
sell maple story gold
sell maple story gold

sell maple story money
sell maple story money
sell maple story money
sell maple story money
sell maple story money
sell maple story money
sell maple story money

sell maplestory gold
sell maplestory gold
sell maplestory gold
sell maplestory gold
sell maplestory gold
sell maplestory gold
sell maplestory gold

sell maplestory money
sell maplestory money
sell maplestory money
sell maplestory money
sell maplestory money
sell maplestory money
sell maplestory money

maplestory trade
maplestory trade
maplestory trade
maplestory trade
maplestory trade
maplestory trade
maplestory trade

maple story trade
maple story trade
maple story trade
maple story trade
maple story trade
maple story trade
maple story trade


Steven chou said:
dvd to mobile phone converter can convert dvd to 3gp for mobile phone. divx to dvd converter is an excellent DVD converter software which gives you all the capabilities to create high-quality files from your favorite videos.



Multilingual Internet marketing strategies (URL) said:
Hi boys,

Great article, but You really need an anti-spam filter here!

noname said:

Stp Smoking (URL) said:
thanks for the update. was wondering when that would finally happen...

sukie (URL) said:
YouTube Finally Figures Out How To Make Money: Big Ads On Its Homepage70-649Not your business. None of your business. It's none of your business. Coward! He dare not do it! What a coward.

rowanne (URL) said:
YouTube Finally Figures Out How To Make Money: Big Ads On Its Homepage 一氯频呐酮 You're kidding right! How rude.

John Smith said:
The premier seller of air jordans and buy jordans and information on acne.

mhazi (URL) said:

Hi,
Thanks for this good texts oyun - oyunlar We miss your texts


klingeltöne said:
Thanks, greate and useful article
good job!
Bei uns finden Sie über 50.000 Real Klingeltöne, Polyphone, Video Klingeltöne,Handy Logos, Handy Spiele, Handy Programme...Sie können die aktuellsten Klingeltöne auf Ihr Handy per sms herunterlden.
klingeltöne
handy spiele
freizeichentöne
Handy Videos
klingeltone24
gratis sms

ingilizce çeviri (URL) said:
ingilizce çeviri hizmetleri avukatlık bürosu bireysel emeklilik sistemi ingilizce çeviri
Avukatlık bürosu
Bireysel emeklilik


lifestyling said:


Only took them a year to figure it out... and really all they had to do was head over to myspace... now with the larger video player they may be able to integrate hd previews (which will be an every thursday kind of thing)personalized kids books


are said:
Air Jordan shoes store,We Offer Cheap Jordan Shoes,Wholesale air jordanWholesale air jordanNike Air Jordan Shoes,Nike Shox,Jordan shoes.Wholesale:Wholesale jordan shoesWholesale jordan shoesJordans,Nike Shoes,Wholesale NikeWholesale nike AIr Shoes.


Join the discussion