Facebook to start monetizing videos and give creators a 55% cut
Facebook has finally started testing ad breaks in videos to monetize videos and share revenue with video publishers. Facebook has confirmed that it will share 55% cut with publishers and will keep rest 45%.
Video publishers will be able to select the place where they want to insert the video ad break, but it must be after 20 seconds of video.
It was already reported that Facebook is considering brining ads in videos and share the revenue with publishers to take on YouTube. As of now, most of the publishers who are interested in making money out of their videos use YouTube. After this announcement, Facebook is finally ready to steal engagement from YouTube.
Not just normal videos, Live videos will also be having an option to monetize and show ads. For this, page or profile must have at least 2,000 followers and reached at least 300 concurrent viewers in one of their recent Live videos. But this is only available for US users for now.
In live videos, if you have broadcasted a video for at least 4 minutes and you have reached to 300 concurrent viewers, you will see an option “You can take an ad break”. Tapping on it will give you 20 seconds break and viewers will see the video.
For past few years, Facebook is pushing videos to users aggressively and used options like auto play videos and suggested videos to increase the engagement on videos. By 2016, the social networking platform has 100 million hours per day of video watch. But publishers have not earned anything even after spending a lot in making a video presence on Facebook.
Facebook also tested ads in related videos after you watched one purposefully, but that was also just a small step and didn’t earn enough for Facebook or publishers.
Last year, Facebook started allowing its video publishers to create sponsored videos that allow few big publishers earn significant ad dollars but this money was still not enough for publishers.
This new plan is better and will create an opportunity for many video publishers to earn money on Facebook by sharing videos. Facebook is also focusing on the watch time to give their advertisers best out of their spendings.