Fascinating article about Youtube stars’ business models
It’s getting hard for many of them to make the money needed to fund their production efforts based on Youtube ad revenue, alone.
Musicians make their money primarily by selling their music outside of Youtube (e.g. iTunes) – and use Youtube for the promotion of the music.
For others, the “stars” are branching out with sponsorships and paid product placements (a lot of videos now have hidden ad placement – some like the endless fashion/hair/makeup videos targeted at tweens through age 20 or so feature products the star was paid to show), merchandising and the latest is books, movies and even TV deals. Others, like Devin Graham, do sponsored videos that get shared with his millions of subscribers, featuring people having fun with products and services. He just announced he’s off to Istanbul courtesy of Turkish Airlines (and then probably other destinations as well).
Youtube is rapidly turning into something other than what it has been. Whether it ends up in a good place only time will tell. Obviously, Youtube and its content creators cannot sit still.