YouTube still doesn't make Google any money
Thanks to a premium ads push last year called "Google Preferred," the video-streaming increased its revenue to $4 billion in 2014 from $3 billion in 2013, but it's still only roughly breaking even.
YouTube's main problem is that people generally only watch its videos when they're embedded in other sites.
Instead, Google wants people to start coming to YouTube's homepage in the same way they would turn on the TV - expecting that they'll find consistently high-quality content on different channels.
That's why the company has poured big bucks into helping its original content creators, like Michelle Phan, Bethany Moto, and Epic Rap Battles of History, build their followings and create better videos. The company also redesigned its homepage and tried to improve its video recommendation to hook users into staying longer.
But "people close to YouTube say the site still struggles to attract users directly, rather than via links," Winkler reports.
To help boost revenue, though, the company plans to roll out more auto-play videos and a new way to target ads using Google search data, Winklers sources say.
- I quit McKinsey after 1.5 years. I was making over $200k but my mental health was shattered.
- Some Tesla factory workers realized they were laid off when security scanned their badges and sent them back on shuttles, sources say
- I tutor the children of some of Dubai's richest people. One of them paid me $3,000 to do his homework.
- Why are so many elite coaches moving to Western countries?
- Global GDP to face a 19% decline by 2050 due to climate change, study projects
- 5 things to keep in mind before taking a personal loan
- Markets face heavy fluctuations; settle lower taking downtrend to 4th day
- Move over Bollywood, audio shows are starting to enter the coveted ‘100 Crores Club’