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Creators as money-makers: YouTube’s new features

There’s no doubt that YouTube relies on its content creators to drive revenue. From amassing huge viewing figures to lucrative brand partnerships, influencers are the platform’s bloodline. So how does YouTube hope to take this further in 2017?

One of these ways is through the introduction of Super Chat, a feature that will be added to video live streams. On YouTube, live streaming can be started by any channel that has the “Live” functionality set up- prominent creators have so far benefitted from hosting these thanks to Fan Funding, a tool which allows money to be earned in the process. And now, Super Chat will enable additional revenue to be made from viewers, who will essentially now be able to purchase “engagement” with their favourite stars. The feature works by enabling fans to pay to have their comments featured prominently on a YouTuber’s live stream. Highlighted comments are called “Super Chats”, and will remain visible at the top of the live stream chat for up to 5 hours, guaranteeing that the YouTube star will see the viewer’s comment. While this is guaranteed to help stars monetise, we can’t help but dislike the idea that eager fans are essentially paying to be noticed. However, it is a good way for streams to generate engagement, and for stars to of course monetise from their time and work. A number of top YouTubers have already partnered to test the feature, which is expected to launch at the end of this month in over 20 countries.

While YouTube hasn’t revealed that it will take a cut of any revenue generated from Super Chat, it knows that by further incentivising its stars, this will encourage them to produce more content and remain active on the platform, therefore indirectly benefitting the site. And another way that YouTube appears to be driving creator growth, is through plans to update its discovery feature, which will see it promoting new and prominent stars. Rolling out to viewers in the US, YouTube will be featuring these creators in its Trending tab, and change those featured on a weekly basis. The criteria for promoted stars takes into account a subscriber number minimum of 1000, rate of growth, view count and watch time.

YouTube knows that it has to continue to appeal to and stay relevant with its creators- competitor platforms such as Twitch and Facebook Live are also attractive alternatives especially for rising stars, or those occupying niche areas such as gaming. According to recent data from SocialBlade, there has been a reported drop in viewership, with a 10% decline between July and September of last year, and a 5-7% drop for the last part of the year in comparison to the first part. Therefore, highlighting their content and offering fresh monetisation options will be crucial. However, the downside we envisage with Super Chat in particular, is the fact that this might offer another outlet for viewer abuse or trolls, especially presenting the option for trolls to pay for hurtful comments. This is a current problem associated with YouTube videos themselves, yet we imagine creators won’t want to disable comments, since this will provide the revenue source. Only time will tell if increased trolling will occur as a result, although we of course hope that Super Chats will only be used for positive purposes.

What do you think about YouTube’s new features? Do you think they will prove successful from creators, brands, and the platform itself? We’d love to hear your thoughts, so please tweet to us @PracticeDigital  and share your comments on our Facebook page.