YouTube raising ad prices in 2018 even after a brand-safety complaints | Business Insider

But the optics are less than ideal, some of these people said. After a string of PR messes, essentially Google is telling the marketplace, you need to pay us more if you want your ads next to the good stuff.

The price change will of course affect advertisers that run ads on YouTube. But it will also affect the many third parties that sell ads on the site.

That’s because companies that represent certain YouTube channels — whether that be a top digital influencer’s channel represented by Fullscreen Media or channels owned by traditional media companies such as Time Inc. or NBCUniversal — generally sell ads on these channels based on a Google-published rate card (like, say, $25 per thousand people reached by an individual ad).

Essentially, these middlemen pay YouTube a set price for this ad space. These companies can theoretically charge advertisers whatever prices they want. But when Google raises prices, they’ll likely pass those prices onto advertisers unless they want to take a big hit on their YouTube ad deals.

To be sure, not everyone sees these price hikes as a bad thing. One publishers praised such a move, hoping that high prices help further establish the premium value of running ads next to professionally produced content on a site loaded with user-generated videos.

In the meantime, Google is also getting rid of 30-second ads on YouTube that consumers cannot skip next year, which The Verge previously reported.

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YouTube raising ad prices in 2018 even after a brand-safety complaints – Business Insider.