Recently, the popular video-streaming website YouTube announced that it would be placing new product advertisements on its videos. With one click, the viewers would be able to visit the company’s website and purchase that featured product. This new service can put the advertisement on any video, not just videos about that product.
One point I found to be interesting was that social networking sites, along with YouTube, such as Instagram and Pinterest are implementing, “buy button” functions that will allow the users to easily buy the products that they see in the photo. Not only will it make it easier for the customer, but the company who posted the picture will surely see an increase in sales, due to the simplicity of the purchase. YouTube and these other sites will also receive a share of the money.
The article later mentioned that since 2006, “the site has introduced skippable ads as one
way to raise more advertising dollars” (1). The video-streaming site has also done numerous other things to get viewers to visit a product’s website. Over the years while I have seen these methods, I thought they were effective and liked the way companies advertised. However, I am glad to see that YouTube is taking it even a step further.
A third interesting point the article mentioned at the end was that this service could allow the users who upload videos to receive revenue, and viewers could shop in a discreet way. Although it should have been obvious to me throughout, this upped my likeness of the new service. Users can be paid, and viewers like myself could watch a funny video, then easily shop if we like the product we see. Not to mention, it was a great way to end the article.
Although I think very highly of this service, I would like to know more a couple more things. First, I am wondering if they are putting the ads on videos that get a certain amount of views it. For example, I think it should be placed on users whose videos usually receive 500,000 views or more. Secondly, I am wondering if the user whose video gets an ad placed on it likes it. Sure they will receive revenue, but chances are the viewer will click the add and not watch the whole video. Lastly, although the article may not wish to mention this, I would like to know what share of a purchase each party receives: YouTube, the user, and company whose advertisement the user clicked on.
Overall, I think this new service is fantastic and will benefit each party involved. Not only is it great for YouTube and its users, but the companies must be thrilled as well–with a couple of clicks, anyone can purchase their product. It is simplistic yet very clever. The only con I could see is for users–viewers may only be clicking on certain videos just to look at the product ads, not for the video itself.
TABUCHI, HIROKO. "YouTube to Expand Shopping Links to More Videos." The New York Times 29 Sept. 2015: n. pag. Web. 30 Sept. 2015.
Watch the GIF and judge for yourself!