YouTube Reportedly Increasing Ads Before Music Videos to Encourage Paid Subscriptions

YouTube just announced an exciting new feature

He said: "You're not going to be happy after you are jamming "Stairway to Heaven" and you get an ad right after that".

The approach is a more strongly-worded version of a tactic Spotify has taken to convert users from its freemium to its paid service - many people become frustrated with hearing the same ads every few songs and eventually pay for a subscription.

He said: "Once we do that, trust me, all that noise will be gone and articles people write about that noise will be gone".

In a Tuesday blog post, YouTube group product manager Nick Rettke noted that typical costs for a half-minute ad can run $1,000 to $5,000, but YouTube is offering the Director services for free, albeit with one caveat. It seems like the company plans to increase the ads in music videos to prevent you from listening to music freely, or at least that's what Lyor Cohen, Global Head of Music at YouTube, said at the annual South vs. Southwest festival in Austin, TX.

Читайте также: Twitch streamer confirms he makes $500000 per month

Previous reports pegged a March launch, with YouTube not making any announcements at SXSW. The service is now being tested by "thousands" of Google employees according to today's report (via Engadget). The feature allows users to easily set up a live stream from their computer without any additional equipment, and the tool is due to roll out to other browsers "soon". The demographic they are targeting is ripe for an up sell to a premium service with genuinely beneficial features.

For YouTube, which has several subscription-based plans but continues to struggle to encourage adoption of them, the difficulty in persuading users who think of it as free could be even more significant. It's one thing to subtly "force" your customers into the new service, but it's a whole different story if you say it out loud.

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