ADOTAS – Last night’s big hoohah of Hollywood back-slapping, the Academy Awards, supposedly aimed to bring in a young audience by having hosts in their late-20s/early-30s. But do kids these days want to grow up to be stars of the silver screen, or even grace boob tubes nationwide? Hell no! Not when they can make a living as a YouTube star.
Well, “living” is a relative term. If eking out a middle class existence around $40,000 annually sounds appealing for the backbreaking amount of work it takes to keep up a brand via the social video site, does Google have a deal for you! Then again The New York Post finds that hundreds of YouTube stars are making six figures annually; some of them are millionaires!
Google, which according to Evercore Partners will increase YouTube revenue to $900 million in 2011 from $640 in 2010, is now running ads on three billion YouTube videos a week, a 50% increase over last year. Those special content makers that are signed up as YouTube partners get 50% of ad revenue generated; Google has more than 15,000 partners worldwide. NYPost does some math realizes that’s potentially a $30,000 payout for partner.
The newspaper found one person who quit her day job for her YouTube celebrity, but I doubt it’s because Google is sending her mammoth checks. Those stars making six figures? The majority of their income is not from Google’s petty cash box, but brand sponsorships, something NYPost only hints at. Google’s in-video advertising can’t be more than incremental income for them.
And advertisers should realize having a YouTube “star” market your product or service to his/her legions of followers is a lot stronger tool than text ads that users swat away like a pesky fly.
PS: David Fincher was robbed, but congrats to Trent Reznor! I’m blasting “Downward Spiral” today in your honor.