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Make Money Off YouTube, The Smart Way

When Google bought YouTube for $1.6 billion, a lot of people said they'd never make their investment back. Now a lot of people are hailing online video as the Next Big Thing. And a few average people are reaping the rewards.

In 2009, a few small breakthroughs happened with ordinary folk. The Beyonce Baby, the Keyboard Kitten, and a few others made some profits with YouTube's new ads. The video distributor has begun to show small text ads at the bottom of the video. So if you get enough views-- lots and lots of views-- you can make some money off YouTube.

Finally, getting 15 minutes of fame means you might make a few grand too!

Yet 15 minutes of fame is no business strategy. The ordinary folk who've had their successes will, in a few months' time, go back to being ordinary folk. Sure, they can chase another viral hit. Until their kids get sick of being on camera, at least. For a lasting way to make money off YouTube, you have to turn casual browsers into active customers. The only way to do this is with a business system. And a web site in itself is not a system.

(Neither is a TV show. The only reason TV shows have succeeded with advertising is because they've had a virtual monopoly on viewers. So, set aside the idea that television is a model to emulate. Ad sales work for huge broadcasters and publishers. However, as anyone with a few ads on a small blog will say, they don't work as well for the little guy. We're going for something different.)

So the problem is, how do we turn casual viewers into fans and customers? The solution is, build a relationship with them.

And the way to get this solution? Direct marketing principles.

Direct marketing, the ugly step-cousin of fancy TV advertising, uses "direct response" mechanisms. In other words, it asks people to do something. It's the world of infomercials and QVC and mass mailings. It is also the world of Google. This Internet giant has built itself on direct response ads. The little ads on the side of your search? Direct response.

So, when you make a video, use some direct response techniques. Include your web address and ask them to click through. When they do, don't just send them to any old site on your page and expect them to stick around. Send them to a page designed to get them on your mailing list. Offer a freebie and get them in the fold. Then you can build a relationship by giving them what they want-- and selling to them over time.

Does this mean you can't still make money off YouTube with ads? Of course not. The best businesses are designed to have multiple streams of income. So you can build a YouTube video channel with dozens of videos. Some work to actively recruit new visitors to your web site. Other can deliver a little entertainment and a little advertisement. Just make sure the ads don't cover up important parts of your video-- like the web address!

In sum, design the whole system to get viewers first and turn them into loyal customers second. You might not have as many views as the Keyboard Kitten, but it won't matter once you build enough paying customers with your YouTube video channel.

About the Author

William Randall of
DIY Video Marketing
helps small businesses and organizations spread the word with online video. Because most pro video services cost an arm and a leg, he
teaches you video creation and marketing
strategies. And he blogs about video marketing with wit and skill.

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