The times they are a-changin': YouTube's monopoly over kids ...

In early January 2020, YouTube introduced the policy changes that every ... FX Digital question whether YouTube's time creating content for ... Livenow:ReadallaboutTheGreatDataReckoning Skiptocontent ModernMarketingAgencyBusinessCreativityFutureofMediaWork&WellbeingDigitalTransformationFestivalsMoreDigitalTransformation20202021CreativeTransformation20202021B2BWorldFest20202021Agencies4Growth20202021DigitalSummit20202021Predictions20212022MerkleB2B Trending CreativeWorksBrandStrategySocialMediaCreativityAdOfTheDayFastFoodAdvertisingBurgerKingGamingTourism DeepDives Followourmonthlyeditorialdeepdivesintothebigtopicsshapingtheindustry. Thegreatdatareckoning Nov14th-Nov21st2021 NowLive A-ZTopics AdoftheDay Adspend Adtech Agencyculture Agencymodels Agencyperformance Awardscasestudies B2B Brandpurpose Brandsafety Brandstrategy Businessofmedia CreativeWorks Data&privacy Diversityandinclusion E-commerce FutureofTV In-housing Influencermarketing Martech Mediaplanningandbuying Mentalhealth Mergersandacquisitions Newbusiness Socialmedia SoYouWantMyJob Thefutureofwork TheMakingOf... Today'sOffice WorldCreativeRankings TheDrumAwardsforB2B2021 Livein-hours-minutes RegisterNow Opinion Thetimestheyarea-changin’:YouTube’smonopolyoverkidscontentisfinished TheDrumNetworkspeaks ByRamseyMarwan- March19,2020 ThiscontentisproducedbyamemberofTheDrumNetwork,apaid-formembershipclubforCEOsandtheiragencieswhowanttosharetheirexpertiseandgrowtheirbusiness. FXDigitalquestionwhetherYouTube'stimecreatingcontentforchildrenisover. TRENDINGTODAY InearlyJanuary2020,YouTubeintroducedthepolicychangesthateverychildren'scontentcreatorhadbeendreading.Thechanges-whichwereannouncedbackinSeptember2019-aimtobettercomplywiththeUSFederalTradeCommission(FTC)whofoundthatYouTubewasinviolationoftheChildren’sOnlinePrivacyProtectionAct(COPPA).YouTubehasfinallyagreedtoplayballandcomplywiththeFTC’sregulations,howeverthenewruleshaveleftchildren’scontentcreatorsreeling,withmanybrandsreportingthatrevenuesaredownbyupto50%. Companiesthatspecialiseincontentforchildrenarenowlookingfornewrevenuestreamsandanewhomefortheircontent.ThisarticlewillhelpyouunderstandthesechangesandtakealookattheviablenewalternativestoYouTubethatcouldbethenewrevenuestreamyourbrandneeds.TheFTC:1;Youtube:0InSeptember2019,YoutubeanditsparentcompanyGooglehadtopay$170milliontotheFTCforillegallycollectingpersonalinformationfromchildrenwithouttheconsentoftheirparents. YouTubeharvestedinformationfromchild-directedchannelsonitsplatformandusedthisinformationtoservetargetedadverts,violatingthetermsofCOPPA.Post-settlement,YouTubehasbeenforcedtointroducemeasurestoensurethatthispracticedoesnotcontinue.YouTubereleaseditsownstatementoutliningthechangeswhichstatesthat:“AllcreatorswillberequiredtodesignatetheircontentasmadeforkidsornotmadeforkidsinYouTubeStudio,anddatafromanyonewatchingavideodesignatedasmadeforkidswillbetreatedascomingfromachild,regardlessoftheageoftheuser.”Thislandmarkrulechangehasbeenheraldedforsafe-guardingchildren’sdataandparentseverywherewillcertainlybehappytoknowthatthereismoreprotectioninplace.InEurope,theEUhasintroducedGDPR-K,aversionoftheGeneralDataProtectionRegulationaimedatprotectingchildren’sdata.GDPR-KisverysimilartoCOPPA,howeverGDPR-Kdeemsachildasanyone16andunder,asopposedtoCOPPAwhodeemsachild13andunder.Theknock-onimpactisthatkid’sbrandsandchildren’scontentcreatorsarelosingrevenueaspersonalisedads,comments,click-throughinfocards,endscreensandotherfeatureshaveallbeendisabledoncontentaimedatchildren.SeekingalternativestoYouTubeChildren’scontentbrandsareingreaterneedofnewrevenuestreamsnowmorethanever.Ultimately,manycontentcreatorsarenowlookingtocreatetheirownOTTapplications,totakecontrolofhowtheyservetheircontenttotheiraudience.CreatingacustomOTTapplicationoffersbrandstwoviableoptions.ThefirstistocreateanAVOD(AdvertisingVideoOnDemand)platformandthesecondistocreateanSVOD(SubscriptionVideoOnDemand)platform.ThebenefitsofanAVODOTTapplicationWhenacontentcreatorhoststheircontentonYouTube,theygeneraterevenuethroughtheadvertsservedtoviewerswhoarewatchingthatcontent.YouTubetakesahefty45%ofalladrevenuegeneratedonitsplatform.Thisisahighermarginthanthirdpartyadplatforms,suchasFreewheel,takefromitscustomers.MorebrandsareturningtotheirownAVODOTTapplicationstokeepalargershareoftheirhardearnedadrevenue.Notonlydocontentcreatorswiththeirownappskeepalion’sshareofadrevenue,buttheyalsohavemuchgreatercontrolovertheadvertsthatareservedtotheircustomers.Forbrandsservingupcontentaimedatchildren,thisallowscontentcreatorstoservemorerelevant,contextualisedadsandalsoensurethatnoinappropriateadvertsareservedtotheiraudience.OneofthedrawbacksofanAVODsolutionisthatgeneratingsizeablerevenuesrequireshugeaudiences.Ontheotherhand,audienceacquisitioniseasierthanSVOD,becausetheuserdoesnothavetopaytoaccesscontent.Brandsutilisingthisoption,ofcourse,havetoensuretheyarenotcollectingchildren’spersonaldataandcomplywiththeFTCandCOPPA/theEUandGDPR-K.ThebenefitsofanSVODOTTapplicationAlternatively,brandscangoad-freewithasubscriptionstyleservice(likeNetflix).SVODisbecomingmoreandmorepopular,withdedicatedfanbaseswillingtopayamonthlyfeetogainaccesstofullcontentcatalogues,bonuscontentandexclusivereleases.Theaudiencealsogetsabetterexperience,withaccesstolargeamountsofcontentuninterrupted,inacontainedandsafeenvironment-perfectforchildren’scontent.Removingadvertisingeliminatesamultitudeoffearsaroundchildren’sdataprotectionandbeingonacontainedplatformstopskidsaccidentallystumblinguponage-inappropriatecontent.Ifabrandcantapintotheirkeytargetaudiences,theycanstandtogaingreatfinancialbenefitsfromthisapproach.SVODplatformsallowforbrandedexperienceswhicharegreatforuserretentionandbrandawareness,whereasbrandsthathosttheircontentonYouTubecanfindtheirbrandovershadowedbytheYouTubebrand.ThisalsoleadstobrandassociationwithYouTubewhenthingsgowrong(seetheFTCissueabove!).SVODaudienceacquisitioniscertainlymorechallengingthanAVOD-convincinguserstosign-upforpaidsubscriptionsrequiressufficientmarketingandhigherexpectationsfromcustomers.However,thebenefitisthatbrandsrequiresmalleraudiencestomakeanSVODsolutionprofitable.IsYouTube’sdominancecomingtoanend?ItwouldbeanexaggerationtosaythatYouTube’srelationshipwithkid’scontentisover.InresponsetoitstroubleswiththeFTC,YouTubeispushingYouTubeKids-aplatformthatremovespersonalisedadsinfavourofgenericones.However,ifbrandsreallywanttotakecontrolofhowtheircontentisdelivered,theywillneedtolookoutsideofYouTubefornewrevenuestreams.Thetwoarenotmutuallyexclusive-brandscankeeptheircontentonYouTubeKidsandstillcreatetheirownbrandedOTTexperience,aslongasthebrandedOTTexperienceprovidesextrabenefits(suchasthosementionedabove).Thereissomuchengaging,funandinformativecontentmadeforchildrenoutthere-itistimeforbrandstogivetheiraudiencestherightplaygroundinwhichtoenjoyit.RamseyMarwan,marketingmanageratFXDigital. Thisarticleisabout:World,DigitalAdvertising,Entertainment,ModernMarketing,FutureOfMedia,Advertising,Media,Technology,Agency //Featuredinthisarticle FXDigital FXDigitalisaLondon-basedConnectedTV-firstandOTTapptechnologycompany,helpingyourbrandreachmillionsofnewcustomersbybuildingandlaunchingpremiumqualityCTVapplicationsacrossSmartTVs,Set-Top-Boxes,gamingconsoles,webandmobiledevices. Findoutmore SharetoTwitter SharetoLinkedIn SharetoFacebook Likewhatyousee?Wecanemailittoyou Choosefromaseriesofgreatemailbriefings,whetherthat’sdailynews,weeklyrecapsordeepdivesintomediaorcreative. Signup TheeasiestwaytoreadTheDrum JoinhundredsofthousandsofmarketersinsigningupforTheDrum’semailbriefings.Letoureditorstalkyouthroughstoriesweknowyou’lllove. Signup Related OpenMic AddyourowncontenttoOpenMic FromourNetwork TheDrumarticlessuggestedby Helpingpublishersincreaseengagement,improvemonetizationanddrivenewaudiences. 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