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Google Youtube And The Internet Video Essay

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Google, YouTube and the Internet Video Market
Market definition: Worldwide online video market | Market size: 36 billion unique visitors in 2007 1. Industry trends
o Internet video market experienced dramatic growth from 2006, with User Generated Content (UGC) accounting for 47% of this market. o News, comedy and music formed the bulk of online viewing across different age categories. o Ages 18-29 represented majority of the heavy users and content creators, whereas the 30-49 age categories represented the highest potential for growth in the future. o YouTube gained a significant first mover advantage in this UGC market. However, many competitors like MSN, AOL and Yahoo! Video followed and gained significant market share by 2007. o Online video advertising, the major source of revenue, was disliked by 31.8% of consumers.

SWOT Analysis of YouTube after its acquisition by Google
Strengths Evidence Implication

No. 1 Player in the internet video market YouTube hosted more than 60% of all videos watched online in 2006 and held 29% of US multimedia entertainment market. Economies of scale & scope and realising experience curve. Able to gain greater returns on investment. Strong Brand Equity through commitment to consumers Reputation for being the most easily accessib...

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