Youtube Time to Start Charging Users Case Study

Youtube Time to Start Charging Users - Case Study ExampleThe start was experimental first it offered five movies to help promote the Sundance Film Festival at a scathe of $3.99 for a 48 hour-viewing period. Under this plan, YouTube hoped to later allow producers to come up with their own prices to charge users (Elberse and Gupta). This was rattling much in line with the second revenue generation scheme fronted by Munster. The outline want to charge users for viewership similar to the way iTunes are operated, on subscription basis. However, like every new move, this strategy was adulterate with uncertainties mainly based on the users response to paying for a service that was initially free. Further more than, such a move would need to come up with the category of users and circumscribe that would be charged. This is in line with the item that not all fabric in YouTube would constitute value for money, a concomitantor that would prompt YouTube to appraise its kernel (Hartl ey, Jean and Axel 410). Under this consideration, YouTube would cook 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. The other strategy in monetizing YouTubes content is charging users for uploading videos. Charging users to upload their videos would provide the resources required to meet he assortment of cost that come with running and maintaining YouTube. These costs which include cost of bandwidth, site maintenance, and storage costs represent a significant part of YouTubes cost outlay, if this cost is offset fully or partly by users, YouTube would record significant net income (Elberse and...This is if the number of viewership and users are to be considered from a business perspective.At the moment, given the YouTubes popularity three executable options have been cons idered as potential sources of YouTubes 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 impertinent to the current Googles betrayers 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 YouTubes fortune. In conclusi on, 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.