According to YouTube, which organized the press conference at its headquarters, sponsored video allows users to promote its video out to tender on keywords. How it works: First, YouTube users, whether individuals or corporations, will decide which of the videos you’ve uploaded wants to promote through search on the web. Then decide which keywords they want to focus. Google, YouTube’s parent company, was created automated tools that help users place bids for keywords in an automated on-line auction, as well as expenditure budgets. When people use when looking for keywords, terms of video, YouTube video appears beside relevant search results. If you have, say, a Hollywood film studio, you may bid on the word “movie trailer.”
Wow. Sales keywords to search on YouTube. What a great idea!
This represents only the single most important concept in online advertising, and is the inspiration for which Google built ad dynasty. So why is it taking so long for YouTube to adopt a similar strategy?
Website largest video has been casting about for ways to cash in its 80 million users. Google CEO Eric Schmidt said on several occasions this year, YouTube is not generating that kind of revenue the company hoped it would. Would not create Adsense-like the victim on YouTube was one of the first things Google did after the purchase of YouTube for 1.65 billion dollars two years ago?
As one reporter asked YouTube executives: “It was a no-brainer?”
It’s not as simple as it sounds, according to Matthew Liu, a YouTube product manager.
“You ‘re absolutely right,” Liu told reporters. “With hindsight, it’s a natural move for YouTube to make. We worked on this month. The key was, we wanted to make sure that we have the truth. There are many intricacies involved. YouTube is a video discovery platform. We are the integration with Google AdWords some time, and now we are in a place where you can win and win. ”
Sponsored video, marked as such, will appear when the search keywords, the prices on the cost-per-click basis. Currently, only U.S. users can bid on keywords video.
So how could this be to be Google? It is difficult to say at this point whether the answer Sponsored Videos on YouTube revenue problems, but they believe that the site recently surpassed Yahoo to become No. 2 in Web search provider Google.
To squeeze more money from YouTube, Google launched the other ad formats, such as posting links near the video, which allows visitors to purchase goods found in the clip. Google has also worked to repair his reputation in Hollywood and has recently signed an agreement which will have full-length TV and movie content on the web.
Google shares closed trading on Wednesday at $ 291, more than 6 percent. It was the first time, when stocks fell below 300 dollars for three years.