YouTube reports a 49% jump in ad revenue for Q1 of 2021. The platform credited the growth to YouTube TV and Shorts.
According to Neal Mohan, the Chief Product Officer of YouTube, the rise of TV viewing boosts advertising using TrueView ads. This is the reason why the platform enabled connected TV insights and living room impressions in their analytics. In the US alone, around 120 million people are watching on YouTube TV with top genres as cooking, education, humor, music, and travel.
YouTube also recognized Shorts as one of their features that triggered their revenue growth. Launched in 2020, this TikTok clone, now recorded 6.5 billion daily active users in India and the United States. Shorts have clearly matched the evolving consumer landscape. With a majority of YouTubers belonging to the millennial class, Shorts strongly impacted ads and campaigns among YouTube brands.
The 49% year-over-year (YoY) revenue growth of YouTube is one of the highest the platform ever recorded. The platform is looking forward to maintaining such growth in the coming days as video advertising booms.
Implications for Marketers:
YouTube’s 49% revenue jump proves that YouTube is still the number one video platform. Marketers should never leave YouTube videos in their marketing plan. YouTube clips with product tags have proven to boost awareness and conversion. As video marketing continues to grow, so does YouTube.