GM Thought of the Week
Google launches YouTube TV – can it compete in the mainstream?
This month, Google announced the launch of YouTube TV in the US – a monthly subscription-based service that will allow users to stream live and On-Demand TV via online devices.
It’s an interesting move from Google, and one that may not seem entirely logical at first, considering the competition it will face from already established streaming services such as Netflix and Amazon. However, I think it makes sense that Google would try to position YouTube as a partner that can offer it all in the hope of appealing to more advertisers and gain a larger share of their AV budgets.
Particularly in the kid’s market YouTube, and in fact digital channels in general, are used as an additional channel to reach lighter TV viewers or as a secondary touchpoint for audiences already exposed to a TV campaign, but are rarely able to deliver objectives as a standalone channel as efficiently as TV. With the launch of services such as YouTube TV and the likes of YouTube Kids, Google is offering advertisers an opportunity to keep up with the ever-changing way that people of all ages are consuming media.
As specialists in youth, we know that kids and parents are using online to watch content more and more frequently, and we can’t ignore this shift in behaviour. Whilst YouTube TrueView has provided us with an opportunity to begin capitalising on this viewing behaviour, it has come up against many challenges to do with brand safety and accuracy of its targeting. These newer platforms are Google’s way of being able to deliver more robust targeting of specific audiences in safe and contextually relevant environments.
Whilst YouTube TV is unlikely to pose any immediate threat to TV and VOD services yet, with the rate of change in both consumer behaviour and choice for accessing content it is a question of ‘when’ rather than ‘if’ this will have an impact on the media landscape.
Rebecca Price, 13th April 2017