Friday, September 20, 2024

YouTube Shopping Launches in Indonesia, Offering New Revenue Stream for Creators

YouTube Shopping, a new affiliate program allowing creators and brands to showcase and sell products directly within their YouTube content, officially launched in Indonesia on Wednesday, September 18, 2024. This feature, reminiscent of TikTok's shopping cart feature, enables viewers to discover and purchase recommended products, offering a new revenue stream for creators.

"YouTube Shopping is a new form of monetization for creators, where they can earn commissions on the products they sell," said Travis Katz, General Manager and Vice President of Shopping at YouTube, during the program's launch event in Jakarta. "This is a feature that creators in Indonesia have been eagerly awaiting."

Creators earn commissions for each product sold through their YouTube Shopping links. In the initial phase, creators will receive a 100% commission without any deductions. While YouTube hasn't yet disclosed the specific commission calculation method, it offers a promising new avenue for creators to capitalize on their content.

Eligibility Requirements for Creators

To participate in YouTube Shopping, creators must meet specific requirements:

  • YouTube Partner Program (YPP) Membership: Creators need to be part of the YouTube Partner Program, requiring a minimum of 10,000 subscribers. You can find detailed information about YPP membership requirements on the YouTube Help page.

  • Location: Creators must reside in a country supported by YouTube Shopping, currently including the United States, Korea, and now, Indonesia.

  • Channel Type: Music channels, official artist channels, or those associated with music partners are not eligible.

  • Content Restrictions: Content must not be designated as "Made for Kids." Channels with a significant number of "Made for Kids" videos are also ineligible.

Enrolling in YouTube Shopping

Meeting the above criteria allows creators to enroll in the program:

  1. Log in to YouTube Studio.

  2. Select "Earnings" from the left-hand menu.

  3. Under "Programs," click "Join Now."

  4. Review and agree to the YouTube Shopping Affiliate Program terms and conditions.

Once enrolled, creators can start adding products to their YouTube content, potentially turning their audience into customers.

YouTube Shopping: A Southeast Asian Premiere

Indonesia marks the first Southeast Asian launch for YouTube Shopping, previously available only in the US and South Korea. The program's arrival in Indonesia is strategically timed, coinciding with the region's booming e-commerce sector.

According to Ajay Vidyasagar, Regional Director for YouTube APAC, e-commerce is the leading digital sector in Southeast Asia, contributing 64% of the region's Gross Merchandise Value (GMV) in 2023. The eConomy SEA report, published by Google, Bain & Company, and Temasek, forecasts continued growth in the e-commerce sector, with a projected year-on-year (YoY) revenue increase of 22%.

YouTube Shopping is poised to tap into this dynamic market, offering a unique platform for creators to monetize their content and engage with their audience in a new and interactive way. As more creators embrace YouTube Shopping, it's likely to reshape the digital commerce landscape in Indonesia and beyond, driving further growth in the region's e-commerce ecosystem.

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