Excessive Ads Going to Ring the Death Knell for YouTube: RMN Research

Impact of Excessive YouTube Ads: RMN Research

Excessive Ads Going to Ring the Death Knell for YouTube: RMN Research

By Rakesh Raman

RMN Research Highlights

• Many genuine creators are failing to earn money on YouTube and are leaving the platform due to issues like opaque algorithms and confusing policies.

• A high volume of “highly repulsive” advertisements is disturbing viewers, causing them to stop watching videos and develop dislike for advertised brands.

• The platform has a rampant problem with fake engagement, allowing some rogue creators to profit while genuine creators are unlikely to earn income.

• Many creators have reported a significant decrease in views and reach, with some seeing their video revenue go down up to 90%.

A significant number of video content creators are failing to earn money from their YouTube channels, with many ultimately deciding to abandon the platform altogether. This challenging environment means most YouTube channels earn nothing, or even larger channels fail to earn substantial income, prompting them to close or delete their content.

An article in The Times of India highlighted the experience of a woman YouTuber who deleted all her content after three years and significant investment without earning a single penny. She expressed frustration with YouTube’s opaque algorithm, which she felt unfairly favoured certain channels regardless of content quality. Hundreds of thousands of other content creators are also reportedly leaving YouTube, with many believing it is not an effective platform for viewers, creators, or advertisers.

Many YouTube creators have reported a significant decrease in views and reach on their channels, particularly since November 1, 2024. This includes a dramatic drop in views, especially for long-form videos, and a noticeable reduction in reach and visibility.

Some creators have seen their average views drop from thousands to hundreds within a short period. In the past couple of years, several YouTube creators claimed that their video revenue went down up to 90%. They state that the YouTube model is costing them between 50% to 90% of their income, putting their future as video creators in doubt and seriously harming their financial wellbeing.

Reasons cited for creators shutting down their channels include a lack of transparency in YouTube’s algorithm for prioritising content, ambiguous policies for hosting videos, and general confusion about monetization rules. The platform’s content management mechanism also lacks real-time interaction visibility for creators.

[ Why Most YouTube Video Makers Struggle to Earn Money: Inside the Platform’s Monetization Woes ]

One major issue impacting the viewer experience and potentially creator earnings is the abundance of advertisements. An ongoing Raman Media Network (RMN) survey indicated that 82% of respondents never prefer seeing ads in YouTube videos. Almost all ads on YouTube are deemed “highly repulsive” and are reportedly created by amateurish advertisers. The platform reportedly lacks a mechanism to check ad quality. Such ads disrupt the viewing experience and can lead to consumer anger and dislike towards the brands or corporates advertising.

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The RMN survey found that 84% of consumers felt disturbed by YouTube ads, and 76% stopped watching videos that displayed them. Alarming for brands, 80% of survey respondents revealed they develop a dislike for brands featured in YouTube ads. Some ads are lengthier than the videos that carry them.

Since machines can see with the emerging field known as computer vision, it is observed that YouTube shows ads when computer users are away from their computers so that YouTube could earn by showing full ads. It is suggested that YouTube’s need to show a high volume of ads may stem from stagnant ad revenues and pressure on profits, compelling the Google company to seek income aggressively. However, corporate brands may be hurting their own interests by placing “torturing ads” on the platform.

Another problematic aspect is the presence of a dubious advertising ecosystem where some rogue video creators profit from false popularity. The platform has a rampant problem with fake engagement, where creators buy artificial subscribers, views, and likes to appear popular.

Rogue creators profit from these fraudulent practices, while genuine creators who avoid trickery are unlikely to earn income. Earning money on YouTube is partly based on video watch hours. To artificially boost this, many creators upload short videos in unending loops, a practice YouTube reportedly has no mechanism to punish.

Fake YouTube subscribers are openly available for purchase, often cheaper than everyday commodities. Despite a “Fake engagement policy” of YouTube aimed at preventing fraudulent practices, frauds remain rampant, with the policy not appearing to work effectively.

Shockingly, some channels with this bogus engagement are earning money through ads. Some creators with fake followers even position themselves as social media influencers, potentially cheating companies that hire them for brand promotion. YouTube reportedly has no mechanism to detect or address this deception.

The author personally observed the “craze” for some so-called YouTube influencers with millions of subscribers and views on seemingly ordinary videos. This contrasted sharply with their own efforts on a newly built channel, receiving hardly any viewers despite being an experienced content creator. Further investigation revealed that YouTube, like other social media, is affected by significant deception, with fake engagement metrics readily available for purchase.

It is observed that earning substantial income from a YouTube channel may currently require engaging in fraudulent tricks. Genuine content creators who avoid such practices are likely to earn nothing and face the prospect of shutting down their channels, as many others are doing.

With excessive and intrusive ads that spoil the viewing experience, it appears that YouTube is actually an ad platform on which some content videos are also shown. It is believed that only 1 out of every 100 ads are watched in full by the users, if they are brief, interesting, and non-repetitive. YouTube exists because there is hardly any competition to it. If some big and known company creates a similar platform, YouTube will soon vanish.

By Rakesh Raman, who is a national award-winning journalist and social activist. He is the founder of a humanitarian organization RMN Foundation which is working in diverse areas to help the disadvantaged and distressed people in the society.