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You Tube – Google’s Expensive Burden, Or Sleeping Giant?

April 8th, 2008 by

In October 2006 Google handed over a huge amount of shares for the control and ownership of video site You Tube. The purchase of the fastest growing community site came at the high price of $1.65 billion. Since then the video site has gone from strength to strength in terms of traffic volumes, publicity and content.

There have been some low points as well, from constant copyright infringement cases and the big question looming over the you tube/Google management team. How to use the site for profit?

It has been quite apparent Google are pushing for advertisers to utilise the content and site targeting options, that will drive revenue through the site. As an agency we have received several info packs and webinairs offering a wealth of info.

The stats make for some impressive reading. For November 2007 You Tube had over 10.8 million unique visitors and more than 850 million page views. This kind of reach and exposure is huge. The growth of users outstrips all but facebook.

The option for targeting the ads have become more varied after some testing carried out through 2007. Along side the ever-present text ads and IAB standard image ads there are now “in video” ads. An in video ads presents an image at the bottom of a playing video allowing the user to click in the video to see the relevant content.

Another feature available to advertisers is a branded channel. This would be a dedicated page and video stream on the You tube side, with customisable layouts, and URLs. While the branded channel is effectively free, it does require a spend commitment to You Tube site advertising.

At the core of all Google advertising plans, is to ensure the product or platform is good for users, much like the original search engine. Now the marketing is available, Google are hoping for another adwords scale marketing platform. You Tube could be one of the few sites that has the potential to deliver.

RSS GlobeThis entry was posted on Tuesday, April 8th, 2008 at 4:34 pm . You can follow any responses to this entry through the RSS feed.

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