YouTube is offering up the tech behind streaming the videos, the storage, the bandwidth, the development work on both the client and server ends, and the ongoing payment processing. As well as the audience install-base. And this isn't a situation where the end users are paying for the software via buying hardware from Google (Pixels being the exception) like it would be with just an app store. YouTube provides far more than anyone else. And they make the money to do so via advertising. You're paying the money in place of YouTube's revenue stream in addition to the money going to the creators.
Patreon is mostly a payment processor and gatekeeper. They don't host videos or provide any of the other services mentioned above. To host videos, the creator pays another provider like Vimeo $84 a year for 5GB/week in uploads to $600 for unlimited video uploads. Live streaming is $900 a year.
Considering how much more complex and expensive video hosting is, and everything else YouTube offers, I don't think a 45% cut is unreasonable. In fact YouTube does have direct paid channel memberships (which is a much closer business model to Patreon), and for that they take 30%.
So, regardless of YouTube's cut, it's much more valuable to the creator, and valuable to you (no embedded ads). Win win, at least until an alternative arises.
The kind of people with disposable income to give for paid subscriptions are far better targets for nearly all adverts, since they are far more likely to buy the premium products that have a far larger and budget, and therefore give the creator more per impression.
I don't think YouTube reveals to creators enough information about which audience members generated which revenue for them to make that connection.
A simple google search revealed the following topical article.
https://www.dailydot.com/upstream/totalbiscuit-youtube-red-p...
The relevant quote: “... a Red view is on average worth 20x that of a normal ad view.”
Another youtuber i follow recently said that this is still true today.
I love supporting creators via Patreon. I hate feeding a giant that will any day turn against both creaters and viewers.
Not sure if I'm rationalising or defending creators.
If a service wants to ensure viewers pay, it would be easy enough for any organisation with the resources to offer large-scale video hosting in the first place to put the content behind a paywall and earn revenue actively from giving access to that content. That way, access without paying would be more difficult and, in most places, probably illegal.
But these services typically don't do that. Why? Presumably they have made a decision that offering the content openly is in their interests, even if they then have to rely on passive revenue channels such as ads, affiliate/referral payments, or promoting associated brands.
In that case, I don't think they have much right to complain when a lot of people access the content they make freely available in legal ways but without contributing to indirect revenue streams when they have no obligation to do so.
You can't be serious with this comparison. Patreon's bandwidth, storage, and processing needs are a rounding error compared to youtube, even after adjusting for the number of users.
Agreed. If we look at the Bandcamp model, they only take 10% to 15%, and that's still high compared to Patreon.
I would rather pay them nothing and complain how much someone else is takin as well.
1. I feel a 45% cut to YouTube is too big. Compare that to Patreon, which takes 5%. Granted YouTube offers a lot more for their cut, but the difference feels too big, especially given point 2 below.
2. YouTube is extremely untransparent about revenue sharing, so it feels like I'm paying Google, not the creators.
So give me more transparency and take a smaller cut, and I'll be happy to disable my ad blocker and start paying membership.