Few people are unaware of YouTube, and its impact on popular culture has been as pervasive as Google. So the purchase of YouTube by Google a few years ago seems logical in hindsight.

For many, YouTube’s success has often been associated solely for its entertainment value. However like other Web 2.0 technologies such as social networking web sites, a growing number of businesses are discovering the value of freely hosted, streaming web video to support a variety of their objectives. Here are some examples:

New product launch - movies, video games, consumer electronics, all have used YouTube to host videos to reach their target market and generate excitement for their products.

Market development through education - hosting instructional videos on YouTube can be an effective way to educate a potential customer and perhaps turn them into a loyal customer. Want to build a deck? A hardware retailer could show you how, what products you need and where to buy them in a video. This is also a far more cost-effective broadcast method than television.

Influencing public opinion - businesses may need to create a more favourable environment for their operations. The goal may be so that public opinion encourages elected officials to act in a particular manner, to counter negative media attention in times of crisis, or as a way of improving the public’s perception of an industry. A recent example of this is “A case for GM” by Rick Wagoner.

Search engine optimization (SEO) - businesses spend tremendous resources in finding ways to improve their Google search rankings. Video hosted on YouTube is an effective method to drive more traffic to a web site.

These are just some of the ways that businesses have exploited the opportunities provided by YouTube.