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| Here's why Google keeps pushing you towards YouTube Premium A real goose that lays golden eggs🤑 |
We suspected it, we now have confirmation, Google 's subscription services bring in a lot of money for Alphabet. Google's parent company shared its results for the fourth quarter of its 2023 fiscal year, Alphabet, Google's parent company, has Alphabet, Google's parent company, has revealed its latest financial results.
its latest financial results. We discover that the group has generated 15 billion dollars through the various subscriptions offered by Google... enough to explain why the firm encourages us so ardently to move to YouTube Premium and others.
the revenue generated by its range of digital subscription services. And they are copious: $15 billion in total for the entire 2023 fiscal year, according to data presented by Sundar Pichai to analysts.
These figures are in this case five times higher than those revealed in this area by Alphabet in 2019. That said, the group has not given the details of the revenues generated service by service. We therefore do not know precisely which of YouTube Premium , YouTube Music , YouTube TV or Google One brings in the most. Alphabet has no longer updated the number of subscribers that its various services count at the start of 2024.
Google will continue to play the strong role with YouTube Premium…
That being said, Sundar Pichai still explains bluntly that YouTube represents a more than substantial part of these revenues. “ YouTube is the main driver of our subscription revenue ,” said the Google CEO, adding that “ YouTube Music and Premium are on the rise. They attract passionate users and generate significant profits for the music industry and creators .” According to the person concerned, YouTube TV " is also doing well ", in particular thanks to the broadcasting in the United States of certain NFL (American football league) matches.
In France, it is obvious that Google's strategy will consist of increasing pressure on users to adopt YouTube Premium, in particular. To do this, two main levers: broadcast ever more advertisements on the platform to better promote the “ad-free” subscription model; but also offer an enhanced experience with ever more features exclusive to YouTube Premium.
For context, YouTube Premium and YouTube Music together had nearly 80 million subscribers in November 2022. YouTube TV had just over 5 million in June 2022. As for YouTube's advertising revenue in the fourth quarter 2023, they were $9.20 billion, an increase of 15.5% in one year. A sign that if the revenue margin offered to Google by subscription services is increasing... its crux still remains advertising placement.
