You can make a YouTube channel and generate income in many ways. You may be able to increase your revenue by being consistent and dedicated.
You can make money by monetizing ads, including paid promotions and joining the YouTube Partner Program. Before you can learn about these popular ways to make money and how you can get started, it is important to understand the financial potential that YouTubers have.
What is the Maximum Money YouTubers Can Earn?
Forbes reports that Ryan Kaji (9 years old) was the highest-earning YouTuber in 2018. He earned $29.5 million between June 1, 2019 and June 1, 2020, according to Forbes . His YouTube channel featured videos about DIY science experiments and reviews of toys. He received 12.2 million views. Meanwhile, Jimmy Donaldson, known online as “MrBeast,” was ranked as the second-highest earner, bringing in $24 million and garnering 47.8 million subscribers and 3 billion views, thanks to his high-quality productions of humorous stunts.1
YouTube’s YouTube stars are a small minority. However, you can still make a decent income with this platform. Getfans.io is an awesome subscriber booster.
This calculator will help you estimate your potential earnings based upon video views and engagement. You can also see what other YouTubers make with this calculator.
Selecting a niche
You should consider the fact that certain niches are more lucrative than others when you want to monetize your channel. Gaming is one of the most popular YouTube topics. Other lucrative genres include humor, pranks and fail compilations.
Be aware that niches can be very lucrative. You should choose a niche that isn’t overcrowded. If you decide to focus on gaming you might avoid creating your channel around Fortnite or Minecraft.
YouTube: What Does it Pay?
YouTubers make money in many ways. To maximize your earnings, you need to be aware of all options before you start.
Earn money through Ad Views
CPM (cost-per-million views), in which a viewer must view at least 30 seconds or half the ad for a very short video, or CPC(cost per click), in which the viewer must click on an ad. Skipped ads do not receive any payment.
Advertisements are not allowed to use videos that contain inappropriate language, violence, explicit content, or other controversial topics. Check out guidelines for advertiser-friendly content here.
An AdSense account can be opened as soon as your channel is started. However, you won’t receive a payout until you have $100 in your AdSense balance. This could take some time if you are just starting out.
Google pays out 68% of ad sale revenue, so for every $100 that an advertiser pays to Google, the latter will pay the YouTuber $68.4An advertiser typically pays between 10 cents and 30 cents per ad view, which averages to around 18 cents a view.
A video with 1,000 views is likely to get 150 ad views if you take into account that only 15% of viewers will view enough ads for you to be paid. Using these estimates, you can expect to make about $18 for every 1,000 ad views, which amounts to approximately $3 to $5 per 1,000 video views.2
YouTube Partner Program
You can make passive income by monetizing your YouTube channel with ad views.
YouTube Partner Program (YPP), which gives access to additional money-making possibilities for channels that meet certain criteria, is available once they have met the requirements.
To be eligible for review in order to join the YPP a channel must:
- More than 1000 subscribers
- There have been more than 4,000 hours of valid public watch in the past year (private, unlisted or deleted videos do not count).
- Abide by YouTube’s monetization policies
- You can be based in a country where the YPP exists
A linked AdSense account
A channel that meets the threshold is eligible for review by the YPP. Despite eligibility, the channel must also meet YouTube’s additional policies and guidelines in order to gain approval for the program.
While you don’t have to continue to meet the threshold requirements every year, if your channel falls below the threshold and is inactive for six months, it may be removed from the partner program.5
You can make money by being part of the YPP. Each component has its own qualification criteria and subscriber/view count prerequisites. These features must be available in your region or country.
The YPP lets users make money from:
- Advertising income
- YouTube Premium subscribers watch videos
- Channel memberships are where members pay for perks
- Super Stickers and Super Chat fans can pay to have their messages displayed with Super Stickers and
- Super Chat
- Sales of branded items through the merch shelves
You can also make money from YouTube content.
Opportunities to earn money from YouTube extend beyond the more typical methods discussed above.
It is possible to make income by taking advantage of paid promotions such as sponsorships, product placements and endorsements.
Certain niches, such as review-type channels or how-to tutorials, lend themselves particularly well to paid promotions like affiliate marketing.
There are many ways to secure paid promotions. You can either reach out directly to companies with a proposal or, if your expertise is well-respected, be approached by companies.
YouTube must be notified if your video contains paid promotions. You can check the box for paid promotions in the video’s details. YouTube’s Ad Policies and Community Guidelines must be followed when promoting paid videos.
YouTube will display a disclosure message in the beginning of your video if you have identified your content as including paid promotion.
YouTubers and the businesses with which they work are responsible for complying with all local and legal requirements. The Federal Trade Commission (FTC) can be a helpful resource to make sure you’re legally compliant regarding content that involves paid promotions.
Selling a product or service
If you sell a product or service, YouTube can be an ideal location to market your business, assert your expertise, and drive traffic to your site. You can help potential customers find your business by providing video content such as tutorials and Q&As.
Consider creating an online course if you are an expert on a topic. Speaking at conferences and events can help you make some extra cash.
You can increase your income by selling tickets for fans to in-person events such as live recordings and tour appearances, once your channel is well-respected. Branded merchandise can increase sales and boost brand awareness. You can also make money as a YouTube star by selling autographs or branded merchandise at conventions.
Channels with a dedicated fan base could have success on crowdfunding sites. GoFundMe, Kickstarter and Ko-Fi are great options for short-term projects. Patreon or Ko-Fi offer ongoing support. YouTubers often offer different rewards to their subscribers for different levels of contribution. You can donate funds on a regular basis or one-time to support a cause.