Los Angeles, California.- In just three years, YouTube has generated profits of 50,000 million dollars that it has distributed among creators, media and artists. Now, the company is betting on having greater growth in this economy, presenting both new tools and looking for its youtubers to continue growing.
“We cannot tell YouTubers to have original content only for our platform, but we can give them tools that allow them to earn money for this content and we teach them how to achieve it,” said Kevin Ferguson, director of operations and partnership at YouTube. Shorts.
The company is looking to grow revenue for creators and is launching new products, such as more equitable revenue sharing and bringing more YouTubers into its special partner program.
“To reward this new creative class, beginning in early 2023, we will be moving away from a fixed fund and doubling down on a unique revenue-sharing model for Shorts aimed at current and future YPP creators. Because ads run between videos in the Shorts Feed, each month revenue from these ads will be added together and used to reward Shorts creators and help cover music licensing costs. business.
Creators will keep 45% of the profits, distributed based on their share of total Shorts views.
The profit share remains the same, regardless of whether they use music or not and the ads will work between content and content, which is intended to prevent users from being overwhelmed by ads.
Unlike what happens in the long format, the creators of short content were not clear about how the profits were distributed according to the views.
In addition, it presented its Creator Music tool, with which it seeks to generate new agreements with the music industry.
“We are promoting fair earnings for independent artists, but for creators, because something that has become very complex is music licenses in long videos. That is why, with this new tool, payments are fairer for creators, but music companies have another source of income for their songs. Now that we’ve launched the tool, we hope to add more companies and record labels,” said Eduard Castello, head of the independent music development and partnerships business at YouTube.
Creators can now purchase affordable, high-quality music licenses that give them full monetization potential, while keeping the same revenue share they would normally get on videos without music. And for creators who don’t want to buy a license up front, they’ll be able to use songs and share revenue with the track’s artist and associated rights holders.
In the event that an independent record company seeks to work with the platform, all they have to do is approach their YouTube representative and seek to create a work synergy, since so far they are only working with Empire, Believe, Merlin and Downtwon.
¿Es rentable YouTube Shorts?
A SignalFire report notes that more than 50 million people around the world consider themselves creators, despite the fact that the creator economy was born only a decade ago. While a survey from the same portal found that more American children want to be a YouTube star (29%) than an astronaut (11%) when they grow up.
This momentum has generated influencers on all platforms. Tubis data indicates that YouTube has 51 million channels on YouTube, while Instagram has 1 billion accounts with more than 500,000 followers and Twitch accounts for 3 million channels with more than 3,000 users.
“The profits that exist in this economy are not only through the ads, but also in the agreements that exist with other brands after we become better known,” Jason Derulo, one of the artists who has managed to have more interaction with its audience through Shorts.
YouTube CEO Susan Wojcicki stated that in 2019, the number of YouTube channels with more than 1 million subscribers grew by 65%. Since then, every day, four YouTube channels reach this milestone of one million subscribers. The total number of channels with a million subscribers has multiplied by eight, in just three years, so the opportunity to create exists and is profitable.
