YouTube's Monetization Strategy

Monetization Strategies
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Monetization Strategies
What is the platform YouTube's monetization strategy?
Platform YouTube majorly relies on the advertisement to make money. Nowadays, most businesses sell their products online and target new markets daily. Since many people can now access the internet and watch YouTube content, google decided to use YouTube as an advertisement platform besides airing content and trying to make revenue out of it (Gardner & Lehnert,2016). The strategy has worked effectively as many people can access the information; hence, most brands have settled on it as their advertising platform. The platform uses a charge-for-user strategy to monetize all advertisements on YouTube videos. People, companies, and different brands post their products and services on YouTube for advertisement, and in return, they pay advertisement fees depending on the agreement with the advertisers. According to Gardner & Lehnert (2016), YouTube comes up with favorable advertisement rates whereby they agree with the content owners on how to incorporate the ads in between the videos and then share the revenues depending on the number of hours the content is played. The other strategy YouTube applies is subscriptions (Gardner & Lehnert,2016). People who wish to be members of YouTube and hold accounts pay some subscription amounts, which they are then approved as members. They will then earn a certain percentage for every member they bring to join. The members may post their content on their account, where they earn from how many hours their content has been viewed. It has also developed a strategy by introducing YouTube Premium, where people can pay subscr...