Meet Your New Employer: Google and YouTube

Twenty years ago did you ever imagine that you could have a well paying job without ever having to the leave the comfort of your own home?  How about sitting at home and playing video games all day while collecting a paycheque worth four million dollars?  Well fast-forward twenty years and you have today’s reality.  No longer do you have to work the traditional 9-5 office job, but instead you can actually be paid for what you enjoy doing.  You can now turn that hobby of yours into a career!

Online content creation has been growing exponentially in recent years.  With thousands of do-it-yourselfers, comedians, hobbyists, chefs, professionals, and countless others posting self-created content online, it has reshaped the way we use the Internet.

According to statistics provided by YouTube, there are over 144,000 hours of video content being uploaded everyday to their site alone!

As an active Internet and YouTube user myself, I have the ability to view hundreds of newly published videos from my subscribers all for free.  Whether I decide to view one of my subscriber’s new videos or search for an innovative video on YouTube, I have the ability to watch the video entirely for free in exchange for an occasional commercial or advertisement that would appear in the video.

From my perspective, this is a great example of how freedom of information is being utilized to benefit society by providing Internet users around the world with quality content.  This provides the best of both worlds as we get to watch videos for free while the creator of the video collects a paycheque for essentially publishing the video.  This is called a YouTube Partnership.

A Partnership Unlike Any Other:

Once someone’s channel has reached the specific criteria deemed by YouTube as “popular” and well received by its viewing audience, they have the opportunity to enter a partnership agreement with YouTube.  Upon being classified as a verified YouTube Partner, you have the ability to apply for the monetization of your videos.

As I browse YouTube daily, the advertisements have become something of the past.  I rarely even notice the ads that pop up from the bottom or the ones prior to being the video, as most of them have the ability to “skip” the ad after a certain period of seconds.

To myself the advertisement might not mean a whole lot, although to the person publishing their videos online, it means a completely different story.

The advertisements embedded within the videos are how the publisher collects a paycheque.  YouTube strategically places ads within videos based on a combination of the viewer’s preferences and the historical videos they have watched.

How It Works: 

So one day I decided to pay more attention to the advertisements being display in YouTube’s videos.  For example, recently, I was watching a few YouTube videos in a row regarding new cars that were going to be released later on this year.  Then, later on that day, I continued to watch more videos on YouTube and I started to notice advertisements that were being tailor directly to me based off of my previous videos that I watched.  I started to see ads for local car dealerships in my area.

While I certainly didn’t mind the ads at all, they probably had a greater impact on the person who published the video.  Assuming the publisher had a YouTube Partnership and monetized the advertisements in their videos, for every click on an advertisement that runs during their video, they would receive money.

Here is a basic example illustrating the video that I encountered.  The car dealership contacts YouTube to advertise in their videos.  Upon YouTube’s approval of the ad, they strategically place the ad in videos where they believe would attract the most viewers.  The ad then appeared in a video that I was watching and I clicked on it.

The dealership paid YouTube to advertise on their site and YouTube then made a profit.  From here, once I clicked on the ad, it shows that I’m interested in the ad and therefore the publisher of the video that displayed the ad receives a cut of YouTube’s advertisement profit since they helped gear my interest towards the ad thanks to their videos.

Providing advertisements within videos that users generate themselves, gives a great incentive to continue publishing quality videos that YouTube chooses to advertise in, while they simultaneously receive income for what they enjoy doing.

A Personalized Approach:

In my opinion, it really is a win-win situation: I can receive tailored advertisements specifically for myself, meanwhile the video creators can essential sit back and watch their passive income come in as they publish content that they enjoy working on, and probably would have published anyways regardless if they received money for it or not.

Within a matter of years, YouTube went from being “the new kid on the block” to producing self-made millionaires.  Some of the highest paid YouTube users include: Jenna Marbles (comedian; $4.3 million), Ray William Johnson (comedian; $4.1 million), and The Fine Bros (writer/director; $2 million).

In addition to having Google use it’s advertising ability on YouTube, Google can also publish advertisements on websites other than YouTube.

Outside of YouTube:

By using AdSense, Google can attract bloggers, travellers, and other content publishers (outside of videos) who post content on their website, in exchange for written advertisements.

Very similar to the way monetized advertisements work on YouTube, the content creators can opt-in for AdSense where Google will display ads on your site and you will be compensated on a pay-per-click basis.


Just like the above picture demonstrates (and no it’s not an ad on WordPress!), these advertisements are displayed on websites and allow the owner to be compensated for having the ads displayed, provided people actually click on them.

An Ever-Changing Industry:

Within the incredibly fast paced world of technology and the Internet, receiving money by displaying advertisements on your webpage or in your videos is always changing.  New competitors are looking to get a piece of the pie and tight regulations are always increasing.  Nevertheless, having the ability to do a hobby that you enjoy and sharing it with the rest of the world while getting paid for it is an incredible experience!

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