What do new YouTube's monetization terms changes mean for content creators?

Clam-

Clam-

I've Got It
I'm having a hard time understanding what does new monetization term agreement mean, could someone elaborate? Is YouTube introducing an (optional) subscription system with no ads and then we get a cut from that as well, if such user visits our channel?

"Subscription Revenues. YouTube will pay you 55% of the total net revenues recognized by YouTube from subscription fees that are attributable to the monthly views or watchtime of your Content as a percentage of the monthly views or watchtime of all or a subset of participating content in the relevant subscription offering (as determined by YouTube). If your Content is included in and viewed by a user in multiple subscription offerings, YouTube will pay you based on the subscription offering with the highest amount of net revenues recognized by YouTube, as calculated by YouTube."

Also, does this mean payments will no longer be possible after ~30-40 days, but rather after two months, even from networks themselves?

"Payment Terms, Limitations and Taxes. YouTube will pay you for any revenues due within approximately sixty (60) days after the end of any calendar month, so long as your earned balance is at least US $100 (or its equivalent in local currency) at the time payment is due."
 
Hmmm... I have also been confused to the revenue situation. They say that your going to start getting 55% of the ad revenue from what I understand, but I don't know what the percentage was before hand. It must be pretty low because I've only received around 5% of my total ad earning. It seems a big jump from 5% to 55% but on the other hand if I am correct it jumping up that much, it'll make it easier for smaller channels to make a little earning for their efforts. I know it's not all about the money but to make a little earning for you time and efforts would be a nice little reward for yourself.
 
Razer said:
Hmmm... I have also been confused to the revenue situation. They say that your going to start getting 55% of the ad revenue from what I understand, but I don't know what the percentage was before hand. It must be pretty low because I've only received around 5% of my total ad earning. It seems a big jump from 5% to 55% but on the other hand if I am correct it jumping up that much, it'll make it easier for smaller channels to make a little earning for their efforts. I know it's not all about the money but to make a little earning for you time and efforts would be a nice little reward for yourself.
Click to expand...
It it was going from 5% to 55% , Imagine how much a big channel would make :eek:


Im not too fussed on the changes because they dont effect me right now, but I would like to see a simple breakdown of whats changed
 
Wait, that's not ad revenue.

YOUTUBE HAS ENABLED (or just going to enable very soon) IT'S SUBSCRIPTION system, subscription for ad free viewing.

Ad earning will be same as before. I'm happy that YouTube also going to share the subscription fee money with us, i.e content creators based on watch time and some other criteria.
 
Razer said:
Hmmm... I have also been confused to the revenue situation. They say that your going to start getting 55% of the ad revenue from what I understand, but I don't know what the percentage was before hand. It must be pretty low because I've only received around 5% of my total ad earning
Click to expand...
It is currently and has always been, 55%.
 
Clam- said:
I'm having a hard time understanding what does new monetization term agreement mean, could someone elaborate? Is YouTube introducing an (optional) subscription system with no ads and then we get a cut from that as well, if such user visits our channel?

"Subscription Revenues. YouTube will pay you 55% of the total net revenues recognized by YouTube from subscription fees that are attributable to the monthly views or watchtime of your Content as a percentage of the monthly views or watchtime of all or a subset of participating content in the relevant subscription offering (as determined by YouTube). If your Content is included in and viewed by a user in multiple subscription offerings, YouTube will pay you based on the subscription offering with the highest amount of net revenues recognized by YouTube, as calculated by YouTube."
Click to expand...

I think what we are seeing here is how YouTube is going to pay us in light of the launching of paid subscriptions to YouTube. I'm not focused on the percentage that I receive. I'm more worried about what I earn as my subscribers become paid content YouTube users.

Paid users will not see ads. Therefore they won't click on ads and I will see a reduction in my revenue based on reduced ad views and clicks. If YouTube is NOT successful converting viewers to paid users, no big deal. However, if they do convert a ton of people to paid content users, then my revenue would tank.

If I convert my channel to a paid content channel, I get a higher rev share but the reverse is true as far as users. If most viewers convert, then great, I might make more money. If few convert, I loose out. And I don't think you can go back.

I understand why Google/YouTube is doing this. YouTube is trying to become a 'content provider'. With Netflix, Hulu+ and now HBO, more and more content providers are switching to paid subscription models. As a user, if you sign up for HBO directly, they get all the money rather than having to share it with Verizon, ATT or others. Since HBO has compelling content, like Game of Thrones, they are pretty sure they are going to get a huge number of people to sign up for their direct offering. If YouTube doesn't do this and use their content as a incentive for paid subscriptions, they loose some of the advertisers to HBO, etc.

I'm taking the wait and see approach. I'm not converting my channel just yet. I'm waiting until the last minute to see if things change. If they allow us to convert after the date, then I'll see if I loose a lot of subscribers/revenue. If not, then I'll stay as is. If there are reports of how successful YouTube paid subscriptions are, then I'll probably convert.

I might miss the initial launch and associated advertising, but I guessing I won't compete that much against the large, million+ subscriber content providers.

We'll see.

Old Guy Geek
 
  • Like
Reactions: RBG
I'll break it down as simply as I can.

Let's say the sub fee is $10, because that's an easy number to use.

User X is a YouTube subscriber. User X then watches a total of 10 hours of content on YouTube in a given month. Of those 10 hours, they spent a half hour watching content from your channel. So, $10 for 10 hours means that a half hour has a gross revenue of $0.50. You are to be paid 55%, so since you had a half hour of watch time, you get 55% of $0.50 which is about $0.28.

Now, that doesn't seem like much, but keep in mind that this example only considers one viewer, and depending on your content, as low as a single view. To get $0.28 from normal ads, using an average $8CPM and 50% monetized view rate, you'll need around 120 views.

The part that says "or a subset of participating content in the relevant subscription offering" is referring to YouTube being able to offer multiple independent subscription tiers, possibly done in a way that a single person could actually be subscribed multiple times for varying benefits. And all it goes on to say is that you'll get whatever the highest rate is from those subscriptions.

Now, obviously those people who perceive a lot of value in this subscription service are also going to be people who watch A LOT of content. So my $0.28 number is not going to be a normal example of a half hour of watch time from them. I just used it to illustrate the point.
 
so no raise / lower of the revenue cut? everything remain same right? I remember youtube took 45% as always before the latest terms and condition
 
XiaoK said:
so no raise / lower of the revenue cut? everything remain same right? I remember youtube took 45% as always before the latest terms and condition
Click to expand...

All the terms of this new subscription feature do is match the existing YouTube monetization rates of 55/45 channel/youtube for percentage cuts.
 
You must log in or register to reply here.
Back
Top