YouTube CEO Susan Wojcicki speaks on stage during the annual Google I/O developers conference in San Jose, California, U.S., May 17, 2017.

  • YouTube plans to raise the prices it charges advertisers on “reserved” inventory starting next month.
  • The move follows of string of mishaps at YouTube in which ads ended up next to questionable content.
  • The price jump seems aimed at capitalizing on increased demand among marketers for ‘premium’ video ad space that is considered safe for big brands to advertise with.

This is YouTube’s own version of surge pricing.

The web-video outlet is telling advertisers that prices for some of its top US channels could increase by nearly 20% next year. That’s according to people in the advertising industry who work with YouTube, help place ads on websites, or buy inventory for advertisers. YouTube owner Google has notified industry participants of the coming change in writing, these people said, asking not to be identified talking about private information.

YouTube declined to comment.

The price increase for premium channels comes as big marketers scramble to make sure their ads are presented against web-video content that’s been vetted by professionals. The ad-price increase is for so-called reserved inventory — that is ad space that is purchased ahead of time, in the same way it is for a television broadcast. These reserved placements guarantee an advertiser prominent placement and specific programming.

Other ads, the kind you can skip past as a viewer, are bought using technology tools, and advertisers using those risk having their promotion appear against content that could be considered by some viewers as racist, misogynistic, or just plain weird.

The surge in pricing for this high-quality video inventory comes after YouTube was rocked by a number of high profile stories about big advertisers being associated with such videos. Over the course of this year, more and more big marketers became concerned – at least publicly – with “brand safety” and the need to Read More Here