As some of you who view our video reviews might have noticed, we have turned on advertising for the video reviews. The reason for this is because we have realised that the reviews just aren’t doing what they are meant to – generate more customers for us. It’s rather obvious when you view where our customers are coming from compared to where viewers are on the videos. Even though we have more viewers than ever, our actual visitors to the site from the Youtube visitors have dropped.
A Marketing Vehicle
Basically, the effectiveness of the Youtube videos have disappeared. There are numerous reasons for this, but at the end of the day, it looks like the audience for our videos are just not interested in supporting the production of the videos via buying from the site.
It was always a danger with an internet vehicle like this which was not / could not be targeted to a specific geographic region. It’s always been somewhat tenuous as a line item, with its effectiveness hard to judge. Still, we were willing to let it coast for a time when we saw an upward trend in visitors / sales / etc. What that means is that as a marketing vehicle, the videos are being written off for 2015.
Advertising as a Stop Gap
Since the videos can no longer be counted as a valid marketing expense, the next step is to make them (at least) revenue neutral. To do that, we need to generate direct income from the video reviews. As such,we have turned on advertising on the video reviews in stages, with the latest update turning it on completely.
We will see if this generates sufficient revenue to keep doing the video reviews. The likelihood of that is quite slim due to the nature of the payouts for advertising. Still, it is worth a shot since it is the least obtrusive way of generating revenue.
The Next Steps
What are the next steps if advertising doesn’t work? Well, the system that makes the most sense to us is Patreon. Subscribers can pay directly for the creation of the video advertisements and only pay when we actually release a video. It does require us to fund the videos first, but it does at least make it viable for us to continue the videos if enough people are willing to pay for it. And considering we have over 18,000 subscribers, you would think that would be viable.
We’ll launch the Patreon subscriber drive in a month or so after we check the amount of revenue we’ve generated from advertising.