Company Name: Youtube ,LLC
Owner : Alphabet Inc.
How It All Started
YouTube, LLC is an American video uploading website headquartered in San Bruno, California. YouTube website was created by Chad Hurley, Steve Chen and Jawed Karim. All three were former employees of PayPal. Hurley had studied design at Indiana University of Pennsylvania, Chen and Karim studied computer science together at the University of Illinois at Urbana–Champaign.
According to a story they had experienced difficulty sharing videos that had been shot at a dinner party at Chen’s apartment in San Francisco, Hurley and Chen developed the idea for YouTube during the early months of 2005, after this incidence. Chen commented that the idea that YouTube was founded after a dinner party was probably very much supported by marketing ideas around creating a story that was very much believed. Work on the website started on February 14, 2005, and an opportunity to experience it before it was officially available was offered to interested parties in May 2005. However, prospect YouTubers had to wait for another 6 months to use it independently across web.
Initially the website was funded by an angel investor, Sequoia Capital and Artis Capital Management between November 2005 and April 2006. Its early office space was situated in San Mateo, California. Further investment YouTube received was in April 2006 after growing in popularity in its first few months.
A sentimental YouTube company history landmark comes in the form of its first upload.
The first YouTube video, titled “Me at the zoo”, showcases co-founder Jawed Karim at the San Diego Zoo. The video was uploaded on April 23, 2005, and still it is available to view. The video represents the spirit in which the site was created. It also signified the importance of user generated content and the power of video sharing.
Marketing strategy and Interesting Facts behind its Success.
The videos that are offered to users in many fields is the product of YouTube. These videos are divided into various categories from entertainment, news, sports, current affairs, cooking, movies, music, documentaries, and reviews among others. All individuals across the world are allowed to view video available on the channel. Account holders, on the other hand, are allowed to upload their videos. In some cases, time duration is also considered.
If you end up having a good track record through the compliance of YouTube’s Community Guidelines, you stand the chance of being offered opportunities of uploading videos up to 12 hours in length. The acceptance policy of video upload involves formats mainly those within the following: MPEV-PS, FLV, MP4, QuickTime File Format and AVI. The files’ compatibility allowed for video uploads from mobile phones is 3GP and WebM. Progressive scanning videos and Interlaced scanning, can be uploaded with the progressive scanning videos producing the best uploads quality.
YouTube has a partnership, with video creators to allow them to claim a share of the revenue collected by YouTube. The video creators’ work is to create videos that make adverts on YouTube to be more responsive. As a result, 55% of the revenues collected from the adverts are rewarded to the video creators. Copyright holders also earn revenue from videos uploaded on YouTube.
YouTube uses the increasing pricing strategy on adverts, where an advertiser is charged per the number of views. The average cost of advertisement is about $7.60 per 100 views.
The company has a different range of products hence different pricing strategies. The advertisement and sales is one of the most important revenue generators for the company.
YouTube provide its users with the ability to upload videos, watch them, share them and also download them. Unlike previously when you were required to have installed an Adobe Flash Player plug-in before you could be able to view its videos, as from 2010, viewing is made possible by anyone as the HTML5 standard inbuilt multimedia capabilities that are supported by web browsers are now used to view the videos. Internet Explorer, Chrome, and the Safari 8 are the supporting browsers.
In partnership with many advertising companies YouTube has done a number of advertisements and marketing promotions to improve its visibility. NBC was one of the partners but it got stuck due to some internal issues and reasons. YouTube entered into another agreement with BBC in the following year with other agreements subsequently being reached at with CBS, MGM and Lions Gate Entertainment. These companies were allowed to post TV episodes and full-length films on YouTube, partnered by adverts in the Shows – a US viewer section.
Other promotion features have included partnerships with video creators. The main promotion partnership here is the attractive deals that allow the video uploaders to share the revenues collected by YouTube from one’s uploaded products. This encourages video creators to upload more quality videos that can attract more traffic.
YouTube is the largest search engine in the world, approximately 33 percent of all online activity is spent watching video content, and that 75 percent of users visit a marketer’s site after viewing a video. Furthermore, four out of five internet users remember the video ads they watch online and 64 percent are more likely to purchase a product from an e-commerce site after watching a related video.
Those are captivating statistics and show just how powerful video is as a marketing channel in coming years and beyond. If you aren’t currently using video, or don’t believe your strategy is effective or appropriate, today is the time to shift your thinking and tap into the incredible power of YouTube.
YouTube shows that video is a very effective medium to present a situation and showcase your work. You can invite viewers to gain a valuable insider’s view into both your work and personal life. Creation of any short video is fun to create; the process doesn’t involve much cost and can be afforded. YouTube has connected people all over the globe virtually though the sharing medium, made people popular and also generated employment for many.