Yahoo CEO Marissa Mayer is finally awakening
from her slumber. Best of all, if this news is real her plan is genius and
she’s found her Guns that she left behind when she left Google and became CEO
of Yahoo these past two years!
People
queue the song Bang Bang by
Jessie J, Ariana Grande, Nicki Minaj as Yahoo
CEO Marissa Mayer FINALLY draws for her guns!
This
as it now appears that Yahoo does indeed
have plans for Tumblr, the everlasting
blogging platform that center around the delivery of subscription Video Content
powered by poached YouTube Stars as noted
in the article “Marissa
Mayer's Secret Plan For Tumblr Revealed: Make It YouTube”, published OCT.
9, 2014, 1:55 PM by NICHOLAS CARLSON, Business
Insider.
Yahoo had purchased Tumblr, a little known yet steadily growing
multi-Social Media Blogging Platform, back in May 2013 for some US$1.1 billion
dollars as noted in the article “Yahoo
confirms $1.1B Tumblr buy”, promises 'not to screw it up'”, published May
20, 2013 5:14 AM PDT by Don Reisinger, CNET News.
Headed
by little known Tumblr CEO David Karp who
founded the company in 2007, Tumblr,
which I recently joined which searching for some pictures for an article, has
some 300 million unique monthly users.
Under
the deal which was finalized in June 2014, Tumblr
will remain a separate entity instead of being scuppered and their technology
being integrated into Yahoo as noted in the
article “Yahoo
completes blockbuster $1.1 billion Tumblr acquisition”, published June 20,
2013 9:44 AM PDT by Don Reisinger, CNET News.
Sorta like YouTube…….
Marissa Mayer's Tumblr
- YouTube Stars Money Carrot to lure Grassroots fans and attract Value Brands
So
now almost a year later, this about-turn in strategy will result in Yahoo poaching YouTube Talent from YouTube isn’t much of a surprise. Whoever
originally came up with this idea (it’s
me actually!) is a genius.
Currently
YouTube Stars are more popular with
Teenagers (ages 13 and 17) and Millennials (ages 18 to 28) than Hollywood stars
for the reasons relating to the iCarly Effect as explained in my blog article
entitled “Variety
Survey says YouTubers more popular than Hollywood Celebrities – Popularity
driven by Teenage Fandoms and iCarly Effect”.
However,
they are underpaid, as YouTube Videos
don't pay much, based on the research
of YouTube Analytics Company Social Blade. Here's a listing of the most
popular YouTubers and their estimated Subscriber and Average viewership.
They’re
paid on a CPM (Cost Per Impression) basis similar to Blogger or any other
Social Media Platform that has Advertising on it, be it banner Ads,
interstitial Ads or even Ads placed before or after the Video.
CPM
is paid out for every 1000th time your YouTube Video is viewed each day, which
makes the logical assumption that your ad package from Google Adsense, which
also manages YouTube Video Ads, is also
being viewed 1000 times each day. This
isn't necessarily true. Plus as a YouTuber, you earn more if viewers not only
click on Ads but also purchase products from these advertisers, effectively
like an affiliate program.
Each
1000 views per day results in a CPM payout of between US$0.60 to US$5.00,
depending on whether the Ads are banner Ads, pre-roll, interstitial Ads or even
Ads embedded within the dialogue of the Video.
Brand
value also influences the payout of the Ad on your YouTube Video and depends on the advertising
account that Google Adsense handles. Pre-roll, Ads, Videos placed before and sometimes
at the end of the Video, make more money.
If
the YouTube Star decided to include all
of the advertising packages, they can make as much as $20 to $25 for every 1000
views per day. Take note of those CPM figures, as to a Jamaican that’s a lot of
money!
In
the YouTube world as in the Telecoms
World, dedicated customers i.e. business Customer are more valuable than casual
viewers, as they subscribed to receive updates when you put up Content. To this
end, if you reach 1,000,000 viewers, Google will start to cash in at this point
by inviting you (actually making you) a part of their Partner program.
Under
this scheme, you get paid the usual $20 to $25 per 1000 views per day, but this
time Google takes 45% of your earnings and you keep the other 55% as noted in
the article “The
25 Highest Earning YouTube Stars”, published March 9, 2014 By Brian Warner,
Celebrity Net Worth.
Despite
this, the popular YouTubers with huge subscriptions in the millions of
followers are racking up some serious cash. The figures presented in the
article “We
Ranked YouTube's Biggest Stars By How Much Money They Make”, published MAR.
10, 2014, 9:22 PM by HARRISON JACOBS, Business
Insider will make you think twice about getting a college education.
YouTubers as a business
- More popular than Movie Stars but More money needed to be sustainable
Thus
if you really wanna make money via YouTube
Videos as a YouTube Partner, your Content
has got to be some really compelling Content to make thousands views per day or
higher, like a thousand view per hour, to really start making more money.
Also
it works better in your favour if your Videos are not only original Content
(like duh!) but also posted on a regular basis e.g. every weekend for example,
when most subscribers to your channel have the leisure time to sit and watch
your Videos.
Those
kinds of low earnings yet high traffic demanded to make money means that many YouTuber
channels may oscillate from the funny to the outrageous, making for great entertainment
from these very hard-working Social Media entrepreneurs.
With
streaming for Mobile Computing Devices such as Tablets and smartphones thanks
to the launch of 4G LTE Network and supporting of Fiber Optic Networks powered
by Google Fiber, AT&T U-Verse and Verizon FiOS across the US of A as noted
in my blog
article entitled “YouTube
and the Lyrics Videos Trend - How Lyrics Videos ride the Streaming Trend as
Musicians Cash in on Sing-Along Craze”, the infrastructure is now in place
for many creative minds to make money from Video Streaming powered by Social
Media in general.
So
for that reason, YouTubers don't make the majority of their money from YouTube, but from direct endorsements from
brands that want to be advertised on their channel, often with the intent to
cut out Google as the middle man and contact the YouTube star directly. Specifically these
other sources of revenue are not much different from bloggers:
1.
Merchandise
2.
Licensing
3.
Affiliate programs
4.
Sponsorships
This
is where the bulk of the revenue of the YouTubers come from, and it's very lucrative
as listed below, ranked from highest to lowers in terms of Salary per annum:
1.
Pewdiepie – $7 million (5.4b views)
2.
BlueXephos – $6.7 million (2.4b views)
3.
Smosh – $5.7 million (3.4b views)
4.
DisneyCollectorBR – $5 million (2.6b
views)
5.
BluCollection – $4.8 million (1.78b
views)
6.
JennaMarbles – $4.3 million (1.5b views)
7.
TobyGames – $4.2 million (1.7b views)
8.
RayWilliamJohnson – $4 million (2.7b
views)
9.
UberHaxorNova – $3.5 million (1.3b
views)
10.
RealAnnoyingOrange – $3.4 million (2.1b
views)
11.
CollegeHumor – $3.3 million (2.7b views)
12.
CaptainSparklez – $3.2 million (1.5b
views)
13.
ERB – $2.4 million (1.1b views)
14.
Nigahiga – $2.3 million (1.8b views)
15.
BoyceAvenue – $2.3 million (1.4b views)
16.
SkyDoesMinecraft – $2.3 million (2.1b
views)
17.
AdamThomasMoran – $2.2 million (703m
views)
18.
TheFineBros – $2.2 million (1.9b views)
19.
Tobuscus – $2 million (1.02b views)
20.
TheWillyRex – $2 million (838m views)
21.
HolaSoyGerman – $2 million (1.3b views)
22.
TheBajanCanadian – $2 million (817m
views)
23.
SpeedyW03 – $2 million (943m views)
24.
FreddieW – $1.8 million (1 billion
views)
25.
Sxephil – $1.7 million (1.27b views)
26.
TheLonelyIsland – $1.7 million (1.4
billion views)
27.
WhiteBoy7thst – $1.7 million (609m
views)
28.
Vegetta777 – $1.6 million (1.1b views)
29.
Potemi926 – $1.6 million (655m views)
30.
TheDiamondMinecart – $1.4 million (1.01b
views)
31.
MichellePhan – $1.3 million (985m views)
32.
FPSRussia – $1.3 million (600m views)
33.
EpicMealTime – $1.3 million (721m views)
34.
PrankvsPrank – $1.3 million (788m views)
35.
EvanTubeHD – $1.3 million (766 million
views)
36.
Vsauce – $1.2 million (656 million
views)
37.
ElRubiusOMG – $1.1 million (917m views)
38.
TheRadBrad – $1 million (1.03b views)
39.
Shane Dawson – $1 million (1.1 billion
views)
40.
SHAYTARDS – $1 million (1.01 billion
views)
41.
TimothyDeLaGhetto – $1 million (578
million total Video views)
So
folks, like I said, if you’re a Jamaican reading this, now would be a good time
for you to look into making money as a YouTube
personality online as explained in my blog article
entitled “JANN
to host Intellectual Property Workshop at UTECH – How Independent Animators can
Make money from Animation and thwart Copyright Infringement”.
That
is, once you have a Proxy or VPN account to upload your Videos in order to take
advantage of the Advertising earning potential as explained in my blog article
entitled “Surfing
the Internet Anonymously using VPN - How to use Streaming Set Top Boxes over
VPN”.
Currently
YouTube is mainly use for Branding and
SMM (Social Media Marketing) as per the example of our local Telecom Providers Digicel
and LIME who are currently engaged in a YouTube
Video War as per the exampled in my blog article
entitled “Digicel's
Operation Bigger Better Value YouTube Ads - LIME Value Comparison with Ity and
Fancy Cat as Yendi Phillipps does Somersaults”.
Yahoo Tumblr Partner
Program - 30-70 Split to attract YouTube Stars as their Kingdom Crumbles
Many
are actually opting to host Videos on their own websites and collect adverting
revenues themselves directly, cutting out Google as the middleman after YouTube made them famous in the first place as
noted in the article “Video
Producers Explore Options as YouTube Revenues Disappoint”, published Mar.
17, 2014 7:24 AM PDT by Tom Dotan, The
Information.
For
that reason, Yahoo is planning to lure
brands to Tumblr to make advertising revenue
from these premium brands setting up Tumblr
channels that integrate not only Videos hosted on Yahoo Cloud Servers but also Social Media so
as to have direct feedback from their customers – just like YouTube.
But
the special secret sauce is apparently poaching YouTube stars, many of whom are disgruntled
with YouTube Partner program. Many YouTube stars are claiming that they're not getting
enough money from their Video Content, a problem that really due to Advertisers
not wanting to pay Google for YouTube Ads
at the same rates as they do for Television or Cable Ads as explained in “YouTube’s
Show-Me-the-Money Problem”, published MARCH 4, 2013 AT 3:00 AM PT by Peter
Kafka, All Things Digital
Most
likely Yahoo CEO Marissa Mayer is working
up deal with advertisers that'll result in higher payouts to attract the
Teenagers (ages 13 to 17) to Tumblr on
the promise that the YouTube Stars will
be paid more Ad revenue.
Possibly
more like a Yahoo-YouTuber split of 30-70
in a so-called Yahoo Tumblr Partner Program as suggested strongly
in the article “Ready
for Marissa’s Closeup? Yahoo Is Considering Creating Its Own YouTube (And
Poaching YouTube Stars)” published March 28, 2014, 3:03 PM PDT by Peter
Kafka and Kara Swisher, Re/code.
They'll
also have to treat them more like movie stars as well, as they'll drive more
traffic to Tumblr. In that way, Yahoo CEO Marissa Mayer can demand greater Ad revenue
for advertising on Video. But she'd better hurry, as other Social Media
Platforms have similar plans to integrate Video Advertising into their Social Media
pages directly possibly even pay admins of Profile pages and Groups more money
for Advertisements on Video.
Already Amazon is allegedly looking into starting
their own Streaming service to complement their Amazon
Fire TV Service as noted in the article “Amazon
Considers Streaming Media Service”, published March 27, 2014 11:08 p.m. ET
By GREG BENSINGER CONNECT, Wall Street Journal.
Yahoo CEO Marissa Mayer Yahoo Tumblr
Partner Program will work, IF she gets the ball rolling and executes her plan to
negotiate with the YouTube stars before
the end of 2014. A Video Streaming War is coming and it is a Battle to attract YouTube Stars and the Advertising dollars as
YouTube’s Kingdom crumbles and becomes divided.
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