How does YouTube make money and YouTuber makes money? Explain the mechanism related to "YouTube money" in an easy-to-understand manner

YouTuber exceeding ¥ 100 million in annual revenue appeared, it became the time to make money by uploading the movie to YouTube. "How do you get money when the uploaded YouTube movie is played?" "A movie that explains easy-to-understand system on YouTube's money" such as "How to sharing generated money with YouTube and movie makers?"This Video Made $ 1,437 at Auction. How Ads Work on YouTube"Has been released.

This Video Made $ 1,437 at Auction. How Ads Work on YouTube. - YouTube


YouTube is made up of advertising revenue.


"Advertisement" that appears on the screen when viewing this movie.


There are three people involved in YouTube's money. "Creator" to create movies and upload "advertisers" who wish to advertise ... ...


And this is "YouTube" that connects these two.


In the advertisement distribution on YouTube, a traditional advertising company-like method of thinking and scheduling which advertisement is arranged in the content by humans is not used.


In the first place, there is no concept of schedule itself for YouTube which will not stop for 24 hours.


As much as the phrase "viral media" is born, popular movies on YouTube have powerful diffusing power.


The total time of the movie uploaded to YouTube on 1st day is 65 years.


Uploaded movies will be watched for 1 billion hours a day.


The current situation of YouTube is that the movie pours in like the water of Niagara Falls.


It is impossible for humans to decide advertisements for these movies one by one.


Therefore, the bot (computer) will do the job of displaying the advertisement.


When the movie created by the creator is uploaded to YouTube, the bot will receive it.


Bots are clues about movie titles, keywords, categories, comments, ratings etc. ...


It roughly judges what kind of category the movie belongs to.


On the other hand, advertisers also use bots. The advertiser lets the bot learn what the category of the movie the advertiser wants to advertise and what category the advertiser does not want to advertise against.


When a YouTube movie is clicked ......


The YouTube bot presents predictions about the category of the movie and the content of the movie, and invites bids. On the other hand, the advertiser bot will bid according to the intention of the advertiser.


In this way, the system of YouTube is that the advertiser who judged that YouTube bot "the most profitable" will win a bid. This auction will be held for only a few milliseconds.


The point here is that not making an auction is not necessarily an advertiser who presents the maximum amount.


Because there are various mechanisms for generating advertisement fees. For example, in the case of an advertisement movie that can be skipped ......


If viewers skip ads, no advertising fees will be charged.


Advertisement fee will be paid only when advertisement is clicked or advertisement movie is watched.


In other words, even if the advertiser Bot appeals "to pay high advertising fee" ...


In the case of contents which are skipped, YouTube side can reject it as a boring advertisement which does not produce profit.


Both YouTube and creators are "principles of being profitable for the first time they click".


Even if the advertisement fee is cheap, advertisement with a high click rate is better advertisement for YouTube side than advertisement which is not clicked even if the advertisement fee is high.


"Boring or not" is a very important element on YouTube.


To prevent viewers from getting bored, the YouTube bot will examine what the viewer likes.


We estimate age, gender, income, place of residence, interest etc from the viewing history of YouTube movie, terminal used, activity and so on.


Information on users watching this YouTube is also subject to auction.


By teaching Bot to the user information you bought, advertisers will be able to display more targeted and effective advertisements.


Because it is the above mechanism, advertisements displayed before the movie is played are not predetermined in advance.


The contents of the movie, user information, and even the advertiser's intention are reflected, and the displayed advertisement is determined each time.


Therefore, the same advertisement is not displayed every time.


Various advertisements will be displayed for each viewer and each viewing time.


In short, the mechanism by which advertisements are displayed can not be said in a single word.


Advertisement auction and ...


Content of the movie


Attribute of viewer


Advertisement fee


Number of advertisers participating in the auction


The various elements as above will be combined and the best advertisement will be displayed as a result.


Even with the same number of views the money paid to creators may be many times different.


Although it differs for each condition, everyone wants to know is "average value"


How much money will be 100,000 views?


Although it is a rough average value that is inferred to the last, when YouTube's movie is played once, 0.25 cents (about 0.3 yen) of advertisement fee will be paid.


You will share this advertising fee with YouTube and creators.


Of course, the rate of how much you pay to creators also fluctuates.


After all it is rough, but think about the case where the movie was played 1000 times. The advertisement fee paid at this time is about 2.5 dollars (about 300 yen)


It is estimated that 45% of YouTube and 55% of creators will share advertising fee, although it is average.


That is, in the case of 1 million playback ...


YouTube is $ 1100 (about 120,000 yen), and creators generate revenue of $ 1,400 (about 150,000 yen). However, the average value estimated only.


It depends on the result of the auction as to how much revenue will actually rise.