JAKARTA - YouTube has started testing ads within Shorts, a short video feature the company has introduced since 2020, which is similar to what TikTok and Instagram offer.
According to The Verge, Google's Head of Business Philipp Schindler told investors on Tuesday that the company is specifically experimenting with app install ads and other promotions.
"We've had a bit of a drag on revenue growth as Shorts views grew as a percentage of total YouTube time," said Alphabet CFO Ruth Porat. “We are testing monetization on short films, and the advertiser's feedback and early results are very encouraging.”
According to Google, YouTube's Shorts can generate 30 billion daily views, which is a fourfold increase from last year.
According to Google's first-quarter revenue report, YouTube's advertising revenue growth rose, reaching 6.86 billion US dollars (Rp. 95 trillion), but it was still below analyst expectations. The video-sharing site said it was also seeing a decline in direct response ads, such as app install campaigns.
YouTube announced in August that it would pay popular video creators up to $10,000 per month. At the time, the company considered it an alternative way of advertising from paying content creators while the company perfected a scalable, long-term monetization program for them.
Recently, YouTube also added a feature that allows content creators to remix videos for their Shorts. The feature will be available to all users on iOS in the coming weeks, and will be coming to Android later this year.
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