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About YouTube
YouTube is an American online video sharing and social media platform launched by Steve
Chen, Chad Hurley, and Jawed Karim in February 2005. Its users watch more than one billion
hours of videos each day. YouTube content creators, popularly referred to as You Tubers, upload
over 500 hours of content per minute. Also,
● YouTube generated $19.7 billion revenue in 2020, a 30.4 percent increase year-on-year
● Over 2.3 billion people access YouTube once a month
● YouTube’s most subscribed channel is T-Series, however Ryan’s World generated the most
revenue in 2020.
● YouTube Premium reached 30 million subscribers in 2020.
YouTube revenue -
Year Revenue
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YouTube channels revenue -
YouTube users -
Year Users
2013 1 billion
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2018 1.8 billion
2019 2 billion
Year Subscribers
2016 3 million
2018 10 million
2019 18 million
2020 30 million
Note: YouTube launched Premium in 2018, after failing to gain subscribers with
YouTube Red.
Revenue Model -
● YouTube's main source of revenue is advertising. Additionally, they earn money from their
monthly subscription businesses such as YouTube Premium. We've also developed tools to
help eligible creators earn money in a variety of other ways, such as Super Chat, channel
memberships and merchandise. In most cases, creators and YouTube share revenue
generated from these channels.
● The statistic shows the development of YouTube audiences worldwide from 2016 to 2021.
According to the source, the number of global YouTube users grew 9.2 percent in 2017
compared to the previous year. In 2021, the user growth rate is projected to slow to a 4.9
percent year-on-year.
● In the U.S. alone, YouTube will make 5.56 billion dollars in advertising revenue in 2021.
● Revenue source:-
1) Sponsored video
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2) Embedded adv
3) Landing page adv
4) Youtube premium
5) Channel membership
6)Youtube TV (live)
7)Affiliate earning
Partnership with corporations-
● YouTube entered into a marketing and advertising partnership with NBC in June 2006. In
March 2007, it struck a deal with BBC for three channels with BBC content, one for
news and two for entertainment.
● In November 2008, YouTube reached an agreement with MGM, Lions Gate
Entertainment, and CBS, allowing the companies to post full-length films and
television episodes on the site, accompanied by advertisements in a section for U.S.
viewers called "Shows". The move was intended to create competition with websites such
as Hulu, which features material from NBC, Fox, and Disney.
● In January 2010, YouTube introduced an online film rentals service which is only
available to users in the United States, Canada, and the UK as of 2010. The service offers
over 6,000 films.
Funding –
YouTube has raised a total of $83.5M in funding over 2 rounds. Their latest funding was raised
on Mar 30, 2006 from a Series B round. YouTube is funded by 2 investors. Sequoia
Capital and Artis Ventures (AV) are the most recent investors. YouTube has acquired 4
organizations. Their most recent acquisition was Subarctic Limited on May 1, 2016, Band page
on Feb 12, 2016, Vidmaker on Dec 18, 2014 and Next New network on Mar 7, 2011.
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Percentage growth per year –
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Usage of consumer vs. different age groups of World -
Stats -
● 45.8% of YouTube’s total advertising audience is female & 54.2% of YouTube’s total
advertising audience is male.
● As of February 2021, 16.6% of YouTube site visits come from the United States, 9.4%
comes from India, and 4.9% comes from Japan.
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Usage of consumer vs. different age groups of India –
India: -
Head Office – YouTube offices in India are located in Hyderabad, Bangalore, Gurgaon and
Mumbai.
Premium cost - YouTube Premium in India starts at a price of ₹79 per month. For an
individual user, YouTube provides a subscription at ₹129 per month. YouTube offers a student
plan at ₹79 per month. For now, YouTube Premium subscription is available in two prepaid
options - a monthly plan priced at Rs.199 and a quarterly plan priced at Rs.399. For now, there is
no annual plan for subscribers who choose YouTube Premium subscription in the country.
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Subscribers –
Brazil 83 million
Japan 60 million
Russia 58 million
YouTube Premium: -
● Plans: Free trial for 2 months, family plan & student plan.
● Revenue sharing: YouTube shares some of its Premium revenue with creators. Whatever
the portion may be, the platform distributes this money to creators based on how
much Watch Time they earn from Premium subscribers.
● Premium subscription: YouTube has only 8 lacs paying subscribers in India across its
YT Music Premium and YouTube Premium tiers out of 256 Billion users using YouTube
(quite less as compared to other countries).
Way forward -
● In 2021, YouTube's user base in the World amounts to approximately 2,240.03 million
users. The number of YouTube users in the World is projected to reach 2,854.14 million
users by 2025.
● Percentage of U.S. internet users who use YouTube as of 3rd quarter 2020, by age
groups.
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How to Increase Market Size?
1. Innovation –Innovation is an excellent method of increasing market share. Innovation can be
in the form of product innovation, production method innovation, or simply introducing new
technology to the market that competitors are yet to offer. With innovation, a company can gain
an edge over its competitors and dominate the industry.
2. Lowering prices - A company can also expand its market share by lowering its prices.
Lowering prices will attract more customers and help widen the customer base and increase
sales, hence increasing the market share of the company.
4. Advertising –Advertising is an expensive yet effective way to increase market share. With
heavy, cutthroat competition in the market, advertising is an excellent way of gaining an upper
hand over competitors.
5. Increased quality -Customers are getting increasingly conscious about the quality of a
product in addition to its price. By ensuring higher quality standards, a company can increase its
market share.
Features: -
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● Create playlists to organize videos and group videos together
● Block Users
● Report Abuse
● Disable Comments on YouTube
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