Sponsors vs. Youtube Ads

    If you were to guess how many hours a week you spend on YouTube, would it be over 10? Over 20 even? It's hard to imagine our society today without the video sharing site. Statistics prove that 81% of the internet has used YouTube and it is the world’s second most viewed website. The people who have learned how to tactically capture and entertain small percentages of these audiences are able to reap the benefits of sharing content to the site. These YouTubers are without a doubt the future of video media. Content creators on YouTube can quite literally produce anything they want. There are hundreds of thousands of niches and places for your expertise, or personality to shine. As a matter of fact, 694,000 hours of video are being streamed on YouTube each minute. All of those videos that are being streamed also have one thing in common…they all have some sort of advertising in them. Usually there are ads that YouTube runs (which can reach 2.86 billion people) where they sell space on their platform to advertisers. As content creators become more popular and develop large audiences, brands will sponsor the content creator. These sponsorships tend to be the most interesting types of sponsorship because the whole concept of the content creator and the “influencer” are still relatively new. That being said, these sponsorships are interesting because content creators have different ways of shouting out these brands, based on their agreement with the brand of course. Some are known to take a check and just give a 3 minute spiel in the middle of their video about why that product/service will change your life, while others incorporate the brand into the video itself. YouTubers like Mr. Beast do this very well. For example, Mr. Beasts’s main channel gets about 10,000,000 views per day and his gaming channel gets about 6,000,000views/day thus making him one of the top content creators on the site. He is known for putting the money he makes from sponsorships and ad revenue and reinvesting that money back into his content, which I believe has catapulted him into the star he has now become. 


    However, with Mr. Beast pulling in daily 7 and 8 figure audiences his channel now rivals that of a national television broadcast. It's no secret that cable is the past, but

YouTube is #1 in ad-supported reach among cord-cutter and cord-never households on connected TV devices in April 2020 in the U.S., according to Comscore. In other words, if a company wants to build brand-awareness they should be looking to streaming instead of airwaves. Let's examine the SuperBowl for a second. If you're not a fan of Tom Brady, you are likely watching the broadcast for the commercials. There’s always that one friend who brings up how much money these companies pay to run a 30-sec ad on the program, which as a result has garnered itself the reputation of having funny and memorable commercials. I can’t remember any of the commercials from this past Super Bowl, but I’ll tell you what I do remember. I remember watching Mr. Beasts “Squid Game” remake on YouTube, and how he kept shouting out this Brawl Stars app and a few days later I found myself downloading the game because I wanted a new game to play on the train. That particular Mr.Beast video currently has 265 million views. It was reported Super Bowl LVI averaged an audience of 112.3 million at a cost of $5.5 million/30 sec of air time. Brawl Stars gave the 500K to sponsor the video and doubled the number of eyes that saw their brand. That particular sponsorship wasn’t dumb luck either. The video came out while Squid Game was the topic of conversation (guaranteed clicks), Mr. Beast is known for having crazy videos that get crazy views, and his audience is mostly gamers (people who will actually download and play their app). I guess what I’m trying to say is that there are a lot of ways to build brand awareness, and more people should consider one of the most popular sites in the world (that's only growing more everyday) to their advantage.


https://www.searchenginejournal.com/super-bowl-ads-worth-it-youtube-alternative/392733/#close

https://medium.com/the-capital/how-this-22-year-old-built-a-77m-business-on-youtube-44cb3a083057

https://blog.hootsuite.com/youtube-stats-marketers/

https://www.youtube.com/watch?v=0e3GPea1Tyg


 

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