Key Facts About YouTube Red
* Ad-free videos on YouTube
* Save videos and playlists to watch offline
* Background video play
* Exclusive content available only on YouTube Red
* Works with TV connected devices
* $9.99 per month
* 30 day free trial available
In October YouTube launched a new paid subscription service called YouTube Red. The service aims to address one of the most common complaints about YouTube which is advertising.
YouTube Red Is Free Of Advertising
The most important benefit of YouTube Red is that it doesn’t contain any advertising. This includes not only the pre-roll ads that play before videos, but also video overlay ads, search ads and banner ads. YouTube’s financial model is built on the video advertising that it runs on the site. Consequently, once this advertising is removed it needs to charge in the form of the paid subscription. Part of these subscription payments will go to the creators of the videos
Save Videos And Playlist To Watch Offline
YouTube allows you to save videos and playlists so that you are able to watch them offline. This will be particularly useful for people who want to listen to music or watch videos on other devices like their phone or tablet where an internet connection is not available. As noted in this article on the growth of mobile video, there is a significant trend to watching video on the go.
Background Video Play
One of the clearest indicators the YouTube Red is meant as a competitor to Spotify is the background video play option. YouTube Red allows you to play videos while you are using other apps or while your screen is off. This allows users to listen to their favorite music while engaged in other activities.
Exclusive Content For YouTube Red
YouTube Red will also be making available original content that will be exclusive to subscribers. This exclusive content will be produced by popular YouTuber’s. Of course, the actual quality of this content and whether it will provide real value remains to be seen. However, for hard-core YouTuber fans this may be an added incentive to sign up for the service.
Works With TV Connected Devices
YouTube Red provides ad-free watching on TV-Connected devices. It currently works with Apple TV, Android TV, Chromecast, Roku, Xbox and Playstation game consoles, Roku and select other Smart TVs.
The Impact For Video Advertisers
The near term impact of YouTube Red for advertisers is likely to be limited. While there is almost certainly a market for an advertising free version of YouTube, and options like background and off-line play fill a need, the vast majority of YouTube users will prefer to continue to use the free version of the website. Evidence of this can be see in the almost 4 to 1 ratio of dislikes to likes on the promotional video for YouTube Red (see above). Despite this, YouTube is a significant first step in introducing alternative monetization models to YouTube.
You can learn more about YouTube Red (including sign-up information here)