YouTube has increased its e-commerce functions in the last few years, such as shoppable links, which allow creators to include products in their videos. However, YouTube is currently phasing out this feature, which had been under development since the year 2021. Instead, the site is moving towards a traditional model based on a percentage.
We’ll look at the fate of YouTube’s shoppable links feature, how it didn’t go as planned, and what YouTube plans to take next steps to assist creators to establish a business using YouTube.
Why is YouTube Phasing Out Shoppable Links?
Creators participating in the test for shoppable links were compensated a flat amount of between $50 and $100 per month for the inclusion of the tags on their videos. But, YouTube announced that in the near future, it would end the ability to label products that come from different brands as well as related programs for transient motivating force.
According to Insider, The affiliate model for shoppable links may not have worked. YouTube has said in a letter to creators saying that it believes that an affiliate model will be the most effective method to help creators earn money in a way that is scaled and intends to invest money into the program to provide an ongoing solution.
What’s Next for Creators?
YouTube is causing a shift away from the usual payouts for shoppable connections and is moving to move towards a more standard rate-based system. YouTube has launched its YouTube Shopping affiliate program in November 2022. This program lets creators from the US earn commissions from sales of products tagged in their shorts and videos.
YouTube plans to introduce the program for shopping affiliates to more creators in 2023. The company believes it is YouTube is the ideal place for creators to create businesses, and shopping is just one aspect of the puzzle.
In the end, YouTube is phasing out its shoppable link feature to make way for an older model based on percentages. Although the flat-rate affiliate model that is used for shoppable links may not have worked, YouTube believes that an affiliate model remains the best way for creators to make cash on a large scale. YouTube has invested in affiliate programs to provide a long-term solution and plans to introduce its YouTube Shopping affiliate program to more creators through 2023.