Why Advertisers Go For Hulu Instead Of Youtube
Although for years Youtube has been the biggest video website in the world, indeed it is the third most visited website globally. And it receives almost 12 times as many visitors as Hulu, yet advertisers are willing to pay more to advertise an Hulu and it makes more money from advertising revenue than Youtube. So why is this?
Advertisers prefer Hulu
Hulu does not come close to Youtube in the number of videos served or viewers watching. But there is one area in which Hulu is currently blowing Youtube away, and that is in the content shown. Hulu consistes of professionally made NBC and Fox shows and movies from major Hollywood studios. The fact that its all nice and legal makes it more appealing to advertisers. Youtube by comparison are still tagged with the ‘silly videos’ reputation, and watching a guy stick a toothbrush up his nose does not appeal to advertisers.
Theres another way that Hulu is ”cocking a snook’ at Youtube, and that is when it posts clips, not full episodes but small trailers on Youtube. The clips of course all promote Hulu and its full episodes of shows and movies. This free advertising generates traffic to Hulu who in turn sell advertising.
The other big thing thats in Hulu’s favor is the international market. Youtube already streams worldwide, so it cannot really expand. And of course Youtube is still to make any money. As for Hulu, it still has a problem in turning a profit and biggest element restricting the growth of the Hulu viewer numbers is its limitation to the US market, although delayed there is still a UK launch planned for September 2010.
Both websites are still expected to generate around $180 million next year. The difference is that Hulu earns this much with a much smaller audience. So while there is hope for Hulu, will Google ever turn a profit with YouTube?
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[...] Although for years Youtube has been the biggest video website in the world, indeed it is the third most visited website globally. And it receives almost 12 times as many visitors as Hulu, yet advertisers are willing to pay more to advertise an Hulu and it makes more money from advertising revenue than Youtube. So why is this? View the Original article [...]