YouTube Takes New Video Sales Model to Market

Online video giant now selling channel sponsorships

YouTube is pioneering a new ad model to support its batch of video channels—selling sponsorships rather than TV-style demographics. Ballpark value for the sponsorships (which include display, overlay and pre-roll) run to an annualized $4 million to $6 million, depending on the channel, with the pre-roll coming in on the high end of the industry average—about a $20 CPM.