YouTube creators should read “Twitter monetization, now at your fingertips,” which was posted last week on The Twitter Media blog. Yes, I realize that you are busier than a two-finger typist right now. And I also understand that your schedule is already set from now until Christmas. But, the folks over at Twitter have just announced the expansion of their creator revenue programs, which will provide you with the ability to monetize your content in a couple of ways and generate some serious new revenue. Right, I thought the words “monetize” and “revenue” would capture your attention. So what's the lowdown on Twitter's Video Monetization?
Brands and agencies will also want to look over the shoulders of their favorite YouTube creators as they read about Twitter’s new programs, which feature an “industry leading revenue share model.” If a significant number of YouTube creators in your target categories start creating more Twitter videos, then there are going to some very interesting new advertising opportunities … just in time for the holidays! We're going to answer the following questions in relation to Twitter's new revenue-generating feature:
- How do you earn revenue with Twitter video uploads?
- What makes video on Twitter different from video on other platforms?
- What types of video attract audiences that attract advertisers?
- Should creators go it alone or split the risks and rewards with a brand name partner?
- What are the metrics that matter to not only to creators but also to advertisers?
Twitter: Video Publishers to Get 70% Revenue Share
According to CNBC, here’s the inside skinny on Twitter’s new deal: “Creators who publish videos on Twitter will get about 70% of the ad revenue, according to a source close to the situation.” Now, that's potentially a better deal than YouTube’s Partner program, which gives creators 55% of ad revenue, and keeps 45% for itself. Facebook also offers a 55/45% split, but only to larger content creators like the NBA, Fox Sports, and Funny or Die. In contrast, Twitter is offering the 70% split to “creators of all sizes.”
So, this could be bigger than the Klondike Gold Rush of 1896-99, which attracted 100,000 would-be prospectors, of whom about 30,000 to 40,000 actually made to a place that was “just far enough away to be romantic and just close enough to be accessible.” Of these, around 15,000 to 20,000 finally became prospectors. However, no more than 4,000 actually struck gold and only a few hundred became rich.
5 Big Insights into Twitter Video
So, before YouTube creators stampede to Twitter to stake their claim, it is worth learning how to earn revenue with Twitter pre-roll ads or by creating content with brands. Then, it is worth knowing what makes video on Twitter different from video on other platforms. Next, it is worth speculating on the types of video that attract audiences that, in turn, attract advertisers.
After that, it is worth digging into whether to go it alone or split the risks and rewards with a brand-name partner. Finally, it is well worth discovering the metrics that matter to not only to creators but also to advertisers. This old prospector’s guide will map out the strategic opportunities for creators and equip you with the tactical advice to dig out valuable answers to all of these questions.
#1 How Do You Earn Revenue with Twitter Video Uploads?
Shortly after the Klondike Gold Rush began in 1897, the Canadian government introduced some rules and regulations that required anyone entering the Yukon Territory to bring a year's supply of food along with them. After adding camping equipment, tools, and other essentials, the putative prospector needed to transport as much as a ton of supplies.
In contrast, Twitter only asks creators to make a couple of picks before they can monetize their content. The first pick is whether or not to join the Amplify Publisher Program, which provides approved creators in the US with the ability to monetize their videos on Twitter. Then, by simply “checking a box” prior to Tweeting. Pre-roll ads will run against their content and 70% of the ad revenue will be shared with creator. Program participants can either opt-in each video Tweet-by-Tweet, or pre-set monetization for all of their Twitter videos. Content can also be opted-in for monetization “100% non-exclusively,” which means creators can monetize it on other platforms as well as Twitter.
The second pick is whether or not to join Niche, the Twitter platform that helps creators work with leading brands on a campaign-by-campaign basis. A part of the Twitter family since 2015, Niche has already helped 35,000 creators worldwide work with top brands to develop authentic and engaging branded content as well as monetize their social presence across major social networks.
Last week, Twitter also announced some product upgrades that it claimed will make publishing and monetizing on Twitter “as effortless as sending a Tweet.” Creators can now upload, manage and publish videos across both Desktop (via the new Media Studio, which replaces video.twitter.com) and Mobile (via the Twitter Engage app, which now has a new “Earnings” section).
#2 What Makes Video on Twitter Different from Video on Other Platforms?
Some people believe that a video is a video is a video. This is as mistaken an assumption as thinking that winter mornings in the Klondike are the same as they are in San Francisco or Seattle. For example, you use hashtags, not keywords, to help your videos get discovered on Twitter. You will be prompted to edit your Twitter videos to 2 minutes and 20 seconds or less in length. And you’ll need a different set of tools to identify Twitter influencers, who rival friends in building consumer trust. But, don’t just take my metaphorical word for it. Check out what Ameet Ranadive, Twitter’s VP revenue product, said recently about what’s unique about video on Twitter for brands. He boiled it down to two powerful things.
First, “Twitter is the most live, dynamic platform out there and it’s this ‘liveness’ that drives results,” Ranadive said. “Anytime brands put something on Twitter, that message is in a hyper-relevant, addicting, lean-in environment and gets echoed and shared in spades.”
Research has found that audiences who are emotionally connected are more responsive. For example, TV viewers who are emotionally invested in a show tend to recall ads they see, on TV and on Twitter — and this drives a response. Of course, relevance also plays an important role. In an eMarketer study, subjects were shown a variety of ads and the most relevant and interesting ones received the most positive responses from viewers.
“Second, brands tell us they really value our premium audience,” Ranadive added. “We have over 800 million people come to Twitter each month, and they’re this influential, discovery-oriented bunch who are highly receptive to new content and ideas.”
For example, research shows that moms are 67% more likely to research products using Twitter and 45% more likely to make purchases based on Twitter. Mothers control 77% of household purchases and they’re 3 times more likely to be high spenders of packaged food and household goods. More importantly, “Twitter moms” are also 3 times more likely to be early adopters, making them a highly desirable consumer segment that’s critical to a brand’s success.
— Whole Foods Market (@WholeFoods) August 3, 2016
#3 What Types of Video Attract Audiences That Attract Advertisers?
The vast majority of the people who participated in the Klondike Gold Rush had no experience in the mining industry. They were hoping to get lucky. Well, getting lucky isn’t much of a business strategy. So, before creators of all sizes rush to make videos on Twitter, they might want to get their hands on a map showing what types of video attract the kind of audiences that attract advertisers. Hey, you’re never going to monetize your content without getting the lay of the land.
And the first thing that you’ll see is that 92% of Twitter video views happen on mobile. Next, you’ll notice that video views on Twitter have grown 220 times year over year. And if you look closely, you’ll discover that videos are six times more likely to be Retweeted than photos, and three times more likely than GIFs. This explosive growth in video consumption and sharing in a live environment like Twitter makes this as good a place as any to stake a claim and begin some exploratory digging.
But, if your goal is to strike gold, then the “Twitter moms” mentioned above also represent the “mother lode” to the advertisers who will ultimately monetize your content. Why am I so confident that this target audience is the key to your success? Well, I’ve seen the results of some recent studies that were conducted for Twitter by Millward Brown and Crimson Hexagon.
According to the Millward Brown survey of women who had recently purchased household staples, Twitter users planned to spend 21.7% more than nonusers over the next six months, and had made nearly twice as many purchases in the past month. And on average, female Twitter users shopped online 6.9 times a month, while nonusers shopped online just 4.3 times a month.
The Millward Brown survey also showed that 49% of these women shoppers said Twitter content had influenced their purchase decisions. And female Twitter shoppers are 160% more likely to stay up-to-date on brand news and promotions, 120% more likely to search for deals and sales, and 240% more likely to converse with a brand than retail shoppers on the average social network.
Crimson Hexagon found that while users turn to Twitter at every stage of purchase for every retail category, the share of conversation for each stage can vary. For example, 51% of apparel-related Twitter retail conversations indicated users were in the “awareness” phase — but this was true for just 8% of grocery/pharmacy conversations. Crimson Hexagon also identified the “purchase funnel hot spot” and “top sales driver” for each retail category. The “hot spot” is the area of the purchase funnel where a high proportion of Twitter conversation happens relative to other retail categories. The “top sales driver” tells you what is driving the most purchase-related conversation in each category.
These insights reveal five areas of opportunity for content creators who want to attract valuable audiences that attract brand-name advertisers.
- In big box retail, the purchase funnel hot spot was brand or product evaluation. In fact, 25% of the Twitter conversation in this category was around evaluation, which was higher than for any other retail category. And the top sales drive was customer service.
- In consumer electronics, the hot spot is post-purchase chatter and the top sales driver is – believe it or not – advertisements.
- In apparel, the purchase funnel hot spot is purchase intent and the top sales driver is price.
- In home improvement, the hot spot is conversion and the top sales driver is seeking suggestions.
- Finally, in grocery/pharmacy, the purchase funnel hot spot is interest/consideration and the top sales driver is recommendations.
Now, you could always get lucky by creating other types of video on Twitter. Then again, you could also end up being unable to make a living on this particular video platform. So, spend a little time thinking about what you’re going to do before rushing out to do it.
#4 Should Creators Go it Alone or Split the Risks and Rewards With a Brand Name Partner?
While joining Twitter’s Amplify Publisher Program is an easy pick to make, joining Niche may also be a smart choice, too. So, imagine how quickly you’ll move to the top of the list of Twitter influencers in this category if you created videos about your most recent purchases and retweeted your favorite ads for computers, smartphones, tablets, TVs, cameras, headphones, wearable technology, and home technology. Then ask yourself if it might actually be smarter to work with @JBLaudio to capture the attention of its target audience around a significant tent-pole event like Coachella.
Imagine how popular your videos on Twitter would be – to moms as well as to brands and their agencies – if you made videos of deals and sales on women’s apparel. Then ask yourself if it might actually be smarter to work with @Gap to encourage users to visit its website by offering them a 40% discount.
New season. New shoes.
— Gap (@Gap) August 31, 2016
Also, imagine striking gold by creating home improvement how-to videos, and including links to product pages where your followers can easily convert to purchase within a click or two. Then ask yourself if it might actually be smarter to work with @HomeDepot to alert its audience to a new trend, and direct them to a page where they can buy the necessary materials to pull it off.
Aim to become a Twitter Star by sharing product recommendations that align with seasonal trends – from Halloween to flu season. Then ask yourself if it might actually be smarter to work with @Safeway to share an idea for a romantic meal for Valentine’s Day.
#5 What Are the Metrics That Matter to Creators & Advertisers?
Now, it’s good to know that over half of all brand videos posted to Twitter get their first views within 10 seconds of being posted. But, at the end of the day, creators will want to be able to show the metrics that matter to advertisers if they want them to buy more pre-roll ads that will run against their Twitter content. Creators will also need to measure key performance indicators (KPIs) to show the brands who work with them on a Twitter campaign.
So, creators as well as brands will be happy to find out that Twitter has full integrations now with Nielsen DAR and Moat. Twitter also has a brand survey capability that makes it simple to measure brand metrics before and after a campaign. And creators as well as brands and agencies should invest a serious amount of time thinking about whether or not to join Twitter’s new video monetization programs. Yes, I realize that you’re busy right now. And I also understand that your schedule is already set through the end of the holidays. But, you don’t want to wait until the beginning of next year to discover that other creators and brands have already found the mother lode.