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Music News: First "hit" song to earn more from VEVO than iTunes download
Member Since: 3/7/2011
Posts: 2,187
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First "hit" song to earn more from VEVO than iTunes download
http://online.wsj.com/article/SB1000...googlenews_wsj
Quote:
"The old model cheapened the value of music videos," says Vevo President and Chief Executive Rio Caraeff. "We want to restore the premium lustre."
Money is trickling back to the labels: A label whose videos rack up 10 million streams on Vevo could collect around $70,000.
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200 million views = $1.4 mil check from VEVO
Jennifer Lopez - On The Floor ft. Pitbull
Music video by Jennifer Lopez performing On The...
by JenniferLopezVEVO 2 months ago 182,342,287 views
almost there to 200 million views and in just a bit over 2 months. It was released on March 4, 2011
In order to earn that much, the song needs to sell 1.55 million downloads from Itunes alone (Itunes account for about 70% of legal downloads)
1.55 million songs x $1.29 a song x 70% of Itunes revenue = $1.4 mil check from Itunes.
If Itunes = 70%, then 1.55 million Itunes = 2.21 million downloads for all sources (Itunes, Amazon, eMusic etc...) Has on the Floor sold 2.21 millions yet in the USA?
Just find it amazing that a song could earn more from VEVO than Itunes. VERY RARE to see it happens.
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Member Since: 4/6/2011
Posts: 31,849
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i was just thinking about this.
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Member Since: 3/3/2011
Posts: 23,567
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Quote:
Originally posted by Dust2
http://online.wsj.com/article/SB1000...googlenews_wsj
200 million views = $1.4 mil check from VEVO
Jennifer Lopez - On The Floor ft. Pitbull
Music video by Jennifer Lopez performing On The...
by JenniferLopezVEVO 2 months ago 182,342,287 views
almost there to 200 million views and in just a bit over 2 months. It was released on March 4, 2011
In order to earn that much from Itunes, the song needs to sell 2.21 million Itunes download.
2.21 million songs x $1.29 a song x 70% Itunes market share x 70% of Itunes revenue = $1.4 mil check from Itunes.
Just thought it was interesting.
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Not the first.
Justin Bieber - "Baby"
550,000,000 views
550 * 70,000 = $3,850,000
The song has sold a bit over 2 million copies.
If we assume 2.5 million, which I believe is more than the actual amount sold:
2,500,000 * 1.29 = $3,225,000
Rebecca Black's "Friday" is another great example.
I would like to note, since this is a difficult comparison, that it's hard to tell which views come through YouTube and Vevo. YouTube powers Vevo and all Vevo views originate on YouTube. Despite the fact that Vevo is growing in popularity, the majority of views for all videos come from YouTube users, not Vevo views. Hopefully, that makes some sense....
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Member Since: 3/7/2011
Posts: 2,187
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Quote:
Originally posted by RobynYoBank
Not the first.
Justin Bieber - "Baby"
550,000,000 views
550 * 70,000 = $3,850,000
The song has sold a bit over 2 million copies.
If we assume 2.5 million, which I believe is more than the actual amount sold:
2,500,000 * 1.29 = $3,225,000
Rebecca Black's "Friday" is another great example.
I would like to note, since this is a difficult comparison, that it's hard to tell which views come through YouTube and Vevo. YouTube powers Vevo and all Vevo views originate on YouTube. Despite the fact that Vevo is growing in popularity, the majority of views for all videos come from YouTube users, not Vevo views. Hopefully, that makes some sense....
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$70,000 out of 10 million views = effective CPM of $7 (or regular CPM of $10 if VEVO takes 30% cut).
However, VEVO CPM is reported to be around $30, not $10. Which mean Youtube views of VEVO videos are taken into account.
Youtube is said to have a CPM of around $8-10. Average out VEVO CPM of $30 and Youtube of $8-10, it sounds about right.
Forgot about that Bieber Song. It was released on Feb 19, 2010 (VEVO lauched in December 2009).
550 * 70,000 = $3,850,000 check from VEVO
2.5 million sold x $1.29 x 70% cut (remember that Itunes take 30% of each download) = $ 2.26 mil check from music sellers like Itunes, Amazon etc...
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Member Since: 3/3/2011
Posts: 23,567
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Quote:
Originally posted by Dust2
$70,000 out of 10 million views = effective CPM of $7 (or regular CPM of $10 if VEVO takes 30% cut).
However, VEVO CPM is reported to be around $30, not $10.
Which mean Youtube views of VEVO videos are taken into account.
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I was referring to another article posted recently on this website about slightly less money being earned per view for a view on the YouTube domain as opposed to Vevo. Ultimately, it's impossible for us to tell where the view originated; we can only know that the video was ultimately powered by YouTube. Either way, Baby has by far earned the most money total, and it has earned more money than single sales of the song by virtually any metric. I didn't even subtract the iTunes profits.
I will not forget about the Bieber song, because popular YouTube videos profited long before Vevo. It is even more notable since it is the most popular video of all time and surely has special advertising deals.
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Member Since: 3/3/2011
Posts: 23,567
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Quote:
Originally posted by Dust2
$70,000 out of 10 million views = effective CPM of $7 (or regular CPM of $10 if VEVO takes 30% cut).
However, VEVO CPM is reported to be around $30, not $10. Which mean Youtube views of VEVO videos are taken into account.
Youtube is said to have a CPM of around $8-10. Average out VEVO CPM of $30 and Youtube of $8-10, it sounds about right.
Forgot about that Bieber Song. It was released on Feb 19, 2010 (VEVO lauched in December 2009).
550 * 70,000 = $3,850,000 check from VEVO
2.5 million sold x $1.29 x 70% cut (remember that Itunes take 30% of each download) = $2.26 mil check from music sellers like Itunes, Amazon etc...
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Furthermore, if you want to get specific...
CPM has been rising on YouTube rapidly over the past year and is a very misleading statistic. Advertising is specifically sold for extremely popular videos from huge acts, making the average CPM for YouTube completely useless for determination of the amount of money that huge videos have made--say, Bad Romance or Baby. Bad Romance and Baby really are perfect examples of this. Visit YouTube right now, and visit either of the videos. There will not only likely be an ad before the video starts playing, but there will also be a banner covering the entire page. There will always be a banner, and premium prices are paid for these specific videos. If you visit another video, say Charlie Bit My Finger, you will not see the banner because it is not commanding the same high advertising prices. It's noteworthy that Baby and Bad Romance are still commanding this banner ad-space so long after their release, and that's another reason I would like to stress that the amount of money they earn per view is impossible for us to know and likely far higher than rudimentary calculations based on average CPM estimates.
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Member Since: 5/1/2010
Posts: 2,468
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Member Since: 2/17/2010
Posts: 21,811
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Rihanna is saved 
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Member Since: 5/10/2011
Posts: 1,657
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Good for her 
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Member Since: 10/8/2009
Posts: 35,527
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First? False tea

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Member Since: 11/20/2010
Posts: 12,356
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Nice to see "On The Floor" dominating another list of accomplishments.
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Member Since: 10/8/2009
Posts: 35,527
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Well I just read your post. First of all, it hasn't reached 200 mill views yet, its still like 20 mill away. Second, those are WW views and you're just counting US sales.
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