Wednesday, June 19, 2024

Video Sreaming Ad Value Might be Between $8 and $10 Per Month, Per Subs on Those Accounts

How much financial value does advertising represent for popular content apps? Nearly 100 percent for ad-supported apps including Facebook and Google search or YouTube. 


A new wrinkle is the growing importance of advertising revenue for e-commerce or subscription-based streaming video products


And one way of quantifying advertising value is to compare the ad-free and ad-supported versions of streaming video services, where the price difference to the consumer is between $8 a month to $10 a month when choosing to use an ad-free version of the app or service. 


App/Service

Single-User 

Ad-Free Per Month

Single-User w/Ads Per Month

Implied Ad Value

Spotify

$12.00

$0.00

$12.00

YouTube

$14.00

$0.00

$14.00

Hulu

$18.00

$8

$10.00

Netflix

$15.50

$7.00

$8.50


And that is the implied value of the advertising.

No comments:

AI Stack Will be Based on Layers, Just Like All Other App Ecosystems

“Digital infrastructure” tends to refer to physical assets like data centers, fiber optic networks, cell tower networks and cloud computing ...