5 things to know before getting rich with videos on the internet ...
At a recent training, I was stopped by a student who asked how we could quickly make money with YouTube videos (or any other platform practicing sharing advertising revenue).
In the event that other people would think to do as well as PSY, Cyprian or Pewdiepie, here are a few important things to know.
At a recent training, I was stopped by a student who asked how we could quickly make money with YouTube videos (or any other platform practicing sharing advertising revenue).
In the event that other people would think to do as well as PSY, Cyprian or Pewdiepie, here are a few important things to know.
1. A simple economic model
The principle of monetization of video is pretty simple: an author offers its content to a video platform (Youtube, Dailymotion etc.) that will accommodate but above that will act as an advertising agency in charge of finding advertisers to "fill" advertising space that the author agrees to monetize.
Potential advertising revenue will be directly based on the number and type of advertising sold. The most common format is the most profitable is the pre-roll (the video is played before the main content), but on some platforms it is also possible to more or less intrusive banners that appear superimposed video content.
Advertising and author will share the revenue generated by an allocation key fixed in advance but depends on many factors.
the formula for getting rich with videos on the internet
R = Revenue / Tc = Completion Rate / CPM = Cost per Mille / Crp = advertising fee, C1, C2 etc. = Potential intermediaries Commissions.
2. Quality of content
An advertiser wishes course advertising to be seen by as many people, but it is not as long as it accepts that its mark is associated with any content. Video taken at the GSM of a kitten wearing a bra will perhaps thousands of views, but may not be compatible with the universe of the advertiser.
Quality content (premium) will have not only more likely to attract an advertiser but the CPM paid by this publisher will also be higher. On YouTube, the CPM for premium content would be 18 to $ 24 more when he would not exceed 5 to $ 8 for standard content.
Get rich with his videos on internet
3. A video view is not sold video.
It is not enough to count the number of shots made and divide it by the CPM to know his income ...
Firstly because the coverage rate (fill rate) is not always 100%. In other words, the demand for advertising space is not always sufficient to cover 100% of the supply of spaces ... Certainly the demand has risen sharply (40% annual growth according emarketer.com) but supply still explodes more with millions of videos uploaded every day.
The coverage rate varies by site, content and period + - 30 to 100%.
1,000 views and month X can earn 3 times more (or less) than 1,000 views made on the same video but a month later.
Then to generate income, it is necessary that the pub is seen. If it can be zapped (skipable) it will only be charged if it is seen to the end ... which represents less than 20% of cases.
4. Intermediates and assigns.
The generated advertising revenue to be shared between the video platform and content producer ... but also with the possible advertising and assigns.
If you are part of the YouTube partner program you can expect to earn up to 55% of revenues (much less in other cases). But on your part you will have to deduct any commission of media planning agency and / or an MCN (Multi Channel Network) - 15% on average for each.
Also remember that if your video contains music, images of a movie or a video game etc ... you strictly touch anything! In this case, Youtube and its system "content id" assign all revenues directly to the person identified law.
If you are not on Youtube, you can count on copyright collecting societies (SACEM, SACD, Sabam etc.) to present the note ... that can quickly exceed a hundred dollars per video!
5. In the end ... how much?
As we see, the calculation of advertising revenue depends on many factors, some of which are variable in time and depending on the case ...
Referring to the web literature, this is the figure (gross) of 1,000 per million views monetized videos & that is most often cited. Is the view ... 0.001 (CPM 1).
According www.socialblade.com site that is based on the analysis of over 3 million Youtube accounts, the CPM would rather be 0.6 to $ 5 ... or 375 to 3,000 dollars per million sold views.
Finally it remains to know that according to TubeMogul 53% of online videos are less than 500 views and 30% do not even exceed 100 views.
Get rich with his videos on internet
in conclusion
Monetization "in sight" is far from being a profitable busniess model for content producers. Especially for the "lambda" producer who can develop a marketing strategy that can both make it visibility (very) important but also optimizing content monetization.
In most cases, successfully achieve profitability requires reliance on other sources of income such as product placement, sponsorship, native advertising, sale of derivative rights, etc.
The principle of monetization of video is pretty simple: an author offers its content to a video platform (Youtube, Dailymotion etc.) that will accommodate but above that will act as an advertising agency in charge of finding advertisers to "fill" advertising space that the author agrees to monetize.
Potential advertising revenue will be directly based on the number and type of advertising sold. The most common format is the most profitable is the pre-roll (the video is played before the main content), but on some platforms it is also possible to more or less intrusive banners that appear superimposed video content.
Advertising and author will share the revenue generated by an allocation key fixed in advance but depends on many factors.
the formula for getting rich with videos on the internet
R = Revenue / Tc = Completion Rate / CPM = Cost per Mille / Crp = advertising fee, C1, C2 etc. = Potential intermediaries Commissions.
2. Quality of content
An advertiser wishes course advertising to be seen by as many people, but it is not as long as it accepts that its mark is associated with any content. Video taken at the GSM of a kitten wearing a bra will perhaps thousands of views, but may not be compatible with the universe of the advertiser.
Quality content (premium) will have not only more likely to attract an advertiser but the CPM paid by this publisher will also be higher. On YouTube, the CPM for premium content would be 18 to $ 24 more when he would not exceed 5 to $ 8 for standard content.
Get rich with his videos on internet
3. A video view is not sold video.
It is not enough to count the number of shots made and divide it by the CPM to know his income ...
Firstly because the coverage rate (fill rate) is not always 100%. In other words, the demand for advertising space is not always sufficient to cover 100% of the supply of spaces ... Certainly the demand has risen sharply (40% annual growth according emarketer.com) but supply still explodes more with millions of videos uploaded every day.
The coverage rate varies by site, content and period + - 30 to 100%.
1,000 views and month X can earn 3 times more (or less) than 1,000 views made on the same video but a month later.
Then to generate income, it is necessary that the pub is seen. If it can be zapped (skipable) it will only be charged if it is seen to the end ... which represents less than 20% of cases.
4. Intermediates and assigns.
The generated advertising revenue to be shared between the video platform and content producer ... but also with the possible advertising and assigns.
If you are part of the YouTube partner program you can expect to earn up to 55% of revenues (much less in other cases). But on your part you will have to deduct any commission of media planning agency and / or an MCN (Multi Channel Network) - 15% on average for each.
Also remember that if your video contains music, images of a movie or a video game etc ... you strictly touch anything! In this case, Youtube and its system "content id" assign all revenues directly to the person identified law.
If you are not on Youtube, you can count on copyright collecting societies (SACEM, SACD, Sabam etc.) to present the note ... that can quickly exceed a hundred dollars per video!
5. In the end ... how much?
As we see, the calculation of advertising revenue depends on many factors, some of which are variable in time and depending on the case ...
Referring to the web literature, this is the figure (gross) of 1,000 per million views monetized videos & that is most often cited. Is the view ... 0.001 (CPM 1).
According www.socialblade.com site that is based on the analysis of over 3 million Youtube accounts, the CPM would rather be 0.6 to $ 5 ... or 375 to 3,000 dollars per million sold views.
Finally it remains to know that according to TubeMogul 53% of online videos are less than 500 views and 30% do not even exceed 100 views.
Get rich with his videos on internet
in conclusion
Monetization "in sight" is far from being a profitable busniess model for content producers. Especially for the "lambda" producer who can develop a marketing strategy that can both make it visibility (very) important but also optimizing content monetization.
In most cases, successfully achieve profitability requires reliance on other sources of income such as product placement, sponsorship, native advertising, sale of derivative rights, etc.
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