Conde Nast has tried a variety of ways to keep up with its changing consumer demographic including publishing special issues and creating brick and mortar retail partnerships and book and movies. Its latest move is growing in the digital space.
Conde Nast Entertainment, the magazine publisher's digital video division, has been signing YouTube stars. As part of the agreement, Conde Nast will be the exclusive representative for the stars' digital deals, including ad sales on their YouTube channels. The YouTube creators will star in original programming to air on Conde Nast's properties and contribute to its various publications.
The first of these deals features Kandee Johnson, a make-up artist with over 2.4 million subscribers on YouTube. Conde Naste Entertainment will collaborate with Johnson on digital content creation, distribution, audience development and media sales. Johnson will star in a Conde Nast produced series across YouTube and Conde Nast channels including The Scene and Conde Nast syndication partners including AOL, Yahoo, Dailymotion, Roku, and Xbox.
Conde Nast will make money in two primary ways: first by selling brand sponsorships in the video and second by selling ads. This is particularly lucrative as YouTube does not take a cut of ad sales for branded content unless they are involved in the sales process.
This new partnership is indicative of just how closely entangled brands and content have become as consumers are developing higher ad blindness and ways to avoid sales pitches.
Sources: http://variety.com/2014/digital/news/conde-nast-signs-youtube-star-kandee-johnson-1201356797/
http://adage.com/article/media/conde-nast-entertainment-hires-youtube-stars-series/295849/
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