Point Oh!

Ok, maybe Business Week isn’t really saying that netizens are screaming for trash but they did try to make a compelling case that user generated video is on the way out in favor of content with higher production values. The article cites how some content platforms, like ManiaTV have shed their user generated channels in favor of licensed content from talent with at least some background in traditional media.

While it didn’t come as a shock to learn that more people want to watch CSI than Star Wars Kid, I was surprised to find out that, according to Blinkx, advertisers are willing to pay CPMs of $60+ to share the screen with professional content versus only $7 for consumer generated videos. That’s a disparity that will make any video platform change the way they do business.

This presents an interesting challenge for Long Tail believers. If the aggregate of impressions is really the same for the thousands and thousands of niche video providers, then they have a long way to go to convince advertisers that their content is engaging people and valuable for brands to latch onto. I’m curious which brands feel more comfortable advertising alongside Tom Green than they do rolling the dice with whatever consumers produce but I guess media buyers have never really liked being surprised.