“YouTube To Try Out Paid Subscriptions” Jake Derrah Samantha Hua
YouTube Paid Subscriptions Beginning in April “Test Phase” ~ 25 channels $1-$5 per month Large media outfits Machinima, Maker Studios, Fullscreen Also looking for new producers
Strategy “Alternative to Traditional TV” Channels will have option to show advertisements Added revenue for YouTube – ad dollars, cut of subscription revenue
Strengths, Opportunities Large, established audience “pay as you go” Increased quality? Market for TV alternatives Plans for future additions Entire library of videos Live events Self-help, financial advice videos
Weaknesses, Threats Videos on YouTube channels viewed as “amateur” Paying for service that was free before Traditional TV and TV alternatives Licensing/legal obstacles
Discussion Questions Would you be more willing to pay if there were no advertisements? Are established YouTube channels worth paying for? Do you see YouTube as a possible alternative to traditional TV? What will YouTube have to add/adjust to make this strategy successful?
Questions? http://abcnews.go.com/Technology/report-youtube-launch-paid-subscriptions/story?id=18344933 http://mashable.com/2013/01/29/youtube-paid-channel-subscriptions/