Facebook, like YouTube, earns revenue from video ADs. At present, Facebook provides video plug-in advertising services in more than 40 countries and distributes a certain amount of revenue to creators and partners, similar to YouTube.
Facebook said that the number of pages earning more than $1,000 a month in advertising revenue on the watch platform has increased 8 times in the past year, and the number of pages earning more than $10,000 a month has also increased 3 times.
However, as Amazon and other competitors have entered the mobile advertising market, Facebook's mobile advertising revenue has been eroded. To increase its revenue source to make up for its potential loss in advertising sales, Facebook plans to implement the paid subscription model on the watch platform and has launched a small-scale test project (only open in the United States).
"We explore video subscriptions to support a new business model that can bring more content to Facebook." "Watch will always be a platform supported by a range of business models, such as AD periods, and most of the content in the watch is free and advertising supported," a Facebook spokesman said.
In the test phase, subscribers can watch a large number of video programs provided by funny video websites such as CollegeHumor, BBC, and ITV, and also participate in online parties and chat with other users.
Facebook will charge a certain fee according to different content: it plans to charge a subscription fee of $4.99 per month for dropout, which belongs to CollegeHumor, a monthly subscription fee of $6.99 per month for BritBox, a streaming media platform of ITV, $4.99 per month for MotorTrend and $2.99 per month for Tastemade Plus.
It is worth mentioning that Facebook, as the world's largest social platform, makes watch's video subscription mode have strong social attributes. The platform allows subscribers to join different discussion groups, share information and feelings about recent episodes, and participate in the "live party" of the watch platform, which allows multiple users to watch videos at the same time and communicate in real-time.