Youtube Time to Start Charging Users - Case Study Example

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Youtube Time to Start Charging Users

This is if the number of viewership and users are to be considered from a business perspective.
At the moment, given the YouTube’s popularity three viable options have been considered as potential sources of YouTube’s revenues. The three are; a hybrid model where YouTube charges a portion of its users to upload their videos, charge users for downloading movies and lastly continue with the current strategy of depending on advertisement generated revenues.
YouTube would have to establish a completely new relationship with content owners who in this case would upload material based on commercial viability. In summary, getting this strategy to work would require decisions touching on users’ categories, content, and payment channels.
To augment their ad dollars, YouTube needs to constitute an able sales force as opposed to the current Google’s seller’s products. The other change YouTube has to enforce is shifting focus to sell individual shows and networks as opposed to the current focus on broad “audience” buys. These changes have been highlighted by YouTube programmers and very much represent the key changes likely to turnaround YouTube’s fortune.
In conclusion, the best strategy remains focusing on advertisement revenue. This presents fewer risks and has great potential as well. This is given the fact that lesser entities have been able to augment their ad money and now generate much more revenue that YouTube. This underlines the fact that it is not the business that has a problem but the approach and the adopted model. ...Show more

Summary

YouTube has for a long time allowed users to upload and access material free of charge. This has endeared the company and its parent company, Google, to billions of users worldwide who enjoy a variety of clips, music and other fun material at no cost.
Author : kesslerlucy
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