YouTube Makes the Case That It Helps Build Brands
DESPITE online video and commercial-skipping DVRs, companies still spend 38 percent of their advertising budgets on television ads and just 1 percent on online video. YouTube is trying to change that.
In a bid to lure TV ad dollars, YouTube is making the case to brands that online video is the best way to reach customers. It is part of the YouTube’s evolution from a free-for-all Web site for goofball videos to, it hopes, a destination for professionally produced videos and the advertisers that want to appear near them.
“We would love YouTube to be a much larger part of brands’ advertising budget and mix in the next year and the future than it is today,” said Lucas Watson, YouTube’s vice president of online video global sales.
YouTube has been trying for two years to transform itself into a bigger revenue producer for Google by attracting advertisers with professionally produced videos and new kinds of ads. It now says it has 800 million unique viewers worldwide a month...
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