MetaCafe Offers to Compensate Producers

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MetacafeIsrael-based YouTube competitor Metacafe announced the Producer Rewards program today which offers to compensate content owners and producers. While the idea isn’t new at all, this program is different to what has been tried in the past, and as a result has the potential to change the foundations of online video.

The payment system works like this. If you have a video on Metacafe that qualifies for the program, which generally means you own all the rights to it, you can get paid $5 for every thousand views you generate. This starts after your video reaches an initial of 20,000 views at which point you automatically gain $100. Say your video does well, a whole $1000 is yours when you hit 200,000 views and, when it becomes the next Internet fad with 2 million views, you could walk away with $10,000. That’s more than what YouTube pays you, folks.

Metacafe is a YouTube competitor which focus on and accepts the best videos rather than aiming for 60,000 new submissions each day, as in YouTube’s case. I have to admit, I have watched far greater videos on Metacafe than on YouTube — it’s not that YouTube doesn’t have it, but that it’s harder to find and come across where as on Metacafe you know each video will have its moment.

I think this is an excellent move by the company and if YouTube doesn’t do something quick, they are going to be in trouble. For starters, there’s far less lawsuit-potential content on Metacafe than on YouTube, especially in the top 10% range. So many companies are offering popular content creators a fair compensation, that in the end it’s what they will be going after (see Revver and GreedTube).

Not only is YouTube’s popularity predicated on ‘illegal’ content, but whatever ‘legal’ content they have, they’re going to find hard to keep. A prime example? The most popular video on Metacafe. It’s got more than 4 million views so far, that’s $23,000 to the owner and creator. And what has Judson Laipply got besides the fame? Well let me tell you this, if that video was on Metacafe, he’d have got more than $160,000 for the video itself.

Metacafe

[tags]Metacafe, Online Video, Compensation[/tags]


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