YouTube is making a big push for the latest attempt at a streaming service. At SXSW, Lyor Cohen, the company’s head of music, said according to Bloomberg, that YouTube would increase the amount of ads for those who use the platform like a music service. This would in theory nudge those people to the music streaming service.
“You’re not going to be happy after you are jamming ‘Stairway to Heaven’ and you get an ad right after that,” said Cohen.
So this would mean that those who use YouTube all the time to stream music will then be hit with a deluge of ads. This won’t impact everyone else on the platform.
“There’s a lot more people in our funnel that we can frustrate and seduce to become subscribers,” Cohen said. “Once we do that, trust me, all that noise will be gone and articles people write about that noise will be gone.”
A company spokesperson toed the PR line when clarifying what Cohen said at SXSW.
“Our top priority at YouTube is to deliver a great user experience, and that includes ensuring users do not encounter excessive ad loads,” a YouTube spokesperson said. “We do not seek to specifically increase ad loads across YouTube. For a specific subset of users who use YouTube like a paid music service today -- and would benefit most from additional features -- we may show more ads or promotional prompts to upsell to our paid service.”
YouTube has come under fire by the music business for low payouts on streams and not being quick enough to handle unauthorized uploads of music. They feel YouTube with its massive listener base and Google money should be doing more for artists.
There are a few questions that should be answered. What are their metrics for those who use YouTube enough to get extra ads? How many ads will you get?
YouTube has attempted to get more people to subscribe to its services. They launched YouTube Red in 2015 without much success. YouTube TV is available for those who want an ad-free access and live TV. They plan on launching another music streaming service soon.