Thread: The Tube Myth
View Single Post
Old 04-07-2009, 05:28 PM  
sortie
Confirmed User
 
sortie's Avatar
 
Industry Role:
Join Date: Mar 2007
Posts: 7,771
Quote:
Originally Posted by RevTKS69 View Post
If google can't monetize a tube site, with their almost infinite resources, who can? Tubes are nothing but fool's gold. Here is a quote from this article http://seattletimes.nwsource.com/htm...ubeloss04.html

"For a site that generates as much online traffic as YouTube, it would seem a no-brainer that profit is streaming in.

But according to a Credit Suisse analyst, the most popular video Web site ? owned by the richest Web site Google ? will lose $470 million this year because it sells advertising only on a fraction of its pages.

YouTube sells ads on less than 3 percent of the Web pages that could carry commercial messages, analyst Spencer Wang wrote Friday in a note to clients. To boost that percentage, Google needs to standardize ad formats and better demonstrate that ads on YouTube help sell products, he wrote."

The only reason youtube doesn't make a huge profit is because they are waiting!!!!

They are waiting until they can place the needed ads on the site without pissing off
their base clients who went ape shit over possible ads when google first bought the thing.

Further more, youtube is nothing to them except a "loss leader".
Do you think google search volume increased after they bought youtube???????????


Think about it.
What business is google really in?
__________________
sortie is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote