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YouTube Courts Small Business Ads with Directr Acquisition

By amancuso

Direct R Logo

Wouldn’t it be useful for your small business to have a way to produce short video ads without costing hundreds of dollars? And wouldn’t it be even more useful to have these advertisements already associated with the internet’s largest video sharing platforms, reaching hundreds of current and potentially new clients? Answering ‘yes’ to either of those questions is exactly what Google is banking on.

Earlier this week, Google sub-site YouTube bought the video production start-up Directr, whose app allows small businesses to both create and publish videos easily and affordably. The video production site is now part of YouTube’s video ads department. Directr has existed for two years previously, and provides a number of services that help small and medium sized businesses plan, shoot, edit, and publish their videos for websites, blogs, and social media—all with only an iPhone.

Video Clap Board

By providing storyboards which outline effective shot and scripting techniques, an app with music samples and stock footage, and other resources, Directr quickly proved itself a formidable resource for small businesses. Unfortunately, those resources came with a price tag; a smaller price tag than most video producing and editing software, but still a price tag of $250 per month. While both Directr and YouTube have promised that the services provided won’t be undergoing any major changes, there is one change that the acquisition has already caused—Directr’s services and app will soon be being offered for free.

It’s no question why YouTube would be interested in making video ad production more affordable for small businesses. After all, creating ads is a large monetary investment, and one small and medium-sized companies can struggle to cover. Between scripting, shooting, equipment, and editing costs, there is often little money left to purchase airspace to actually run the video. By helping small businesses keep the production costs down, YouTube hopes that more small businesses will be willing to use those saved dollars to purchase ads on its site.

This is part of a larger trend YouTube is undergoing to increase its own advertising power. Back in April, the site announced that it would be entering into deals for three of its biggest content producing channels—Michelle Phan, Bethany Mota, and Rosanna Pancino, all of whom have over one million followers—to run promotions across a number of Google properties, as well as TV and print ads. This in turn was meant to showcase to ad buyers the true power of its content draw: its incredible ability to reach a large number of viewers in very specific target demographics.

Youtube 2013 Logo

Their plan seems to be working: 2014 will be the first year YouTube generates over one billion dollars in video advertisement revenue. As YouTube’s advertising power grows, it indeed makes sense for smaller businesses to take advantage of these new resources and audiences YouTube seems determined to provide them.

If you plan to invest in creating your own video content, make sure it’s safe! Computer crashes, hardware damage, and data theft can all cause you to lose your important content and files. Protect yourself and your business with our disaster recovery and business continuity plans. Our Geeks are standing by to help!

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