Let’s talk about YouTube. With over 2 billion users every month and more than a billion hours watched daily, YouTube is the largest video sharing platform in the world.
You already knew that though.
Maybe not as the fact, but we are all aware of how popular and binge worthy YouTube is.
But, did you know, more than 500 hours of content gets uploaded on YouTube every minute. Meaning 30,000 hours of videos per hour. 720,000 hours of videos per day. You would have to spend your entire lifetime just to watch all the content uploaded in a day.
There is a reason why so many content creators and influencers choose YouTube. They are all making money on YouTube. In fact, some have even managed to make a living off of it.
It’s not that simple though. The competition is very fierce and the road to succeed on YouTube is long and hard. If you are a new YouTuber and want to kickstart your YouTube earnings, you’ve come to the right place. In this post, you’ll learn :
- How much money do highest paid YouTubers earn? How do they do it?
- How can you make money on YouTube?
- Best tips and tools to increase your earnings
So, without further ado, let’s get started.
How Much Do YouTubers Make?
YouTube is a platform that is pocketful of opportunities. If everything goes well, you get to work on what you are passionate about, build your own brand, rise to stardom and of course, earn a lot of money.
It’s true, a lot of people have become millionaires on Youtube. But they make only 3.5% of all the content creators trying to make it. According to a research, 96.5% of YouTubers in the U.S. make less than $12,140 per year which is below the U.S. poverty line.
Why do you think it is so?
While not every video makes millions of views, videos with views in thousands is a much common sight. So, why are these videos not making enough money?
To answer that question, we will have to learn a little bit about how most YouTubers make money.
There are many income streams that you can tap into to earn more money on YouTube, but most YouTubers only use advertisements as their source of income.
How YouTube Ad Revenue Works?
You don’t get paid for the videos you upload on YouTube but for the ads you display on those videos.
Once you have set up a google Adsense account and enabled monetization, you can start running these ads in and around your videos. And for every ad view, you make some money.
But, there’s a catch. Not every video view counts as an ad view. An ad view is counted only when someone watches at least 30 seconds of the ad or the complete ad if the duration is shorter or makes any interaction with the ad.
So, if you get 1,000 views on your video and 900 viewers skip the ad before 30 seconds, you will be left with a mere 100 monetized views.
Now, for these 100 monetized views, different advertisers pay differently.
How much exactly do YouTubers make per view?
While the rate an advertiser pays varies greatly, YouTubers usually make anywhere between $0.01 to $0.03 per view through google Adsense.
These ads pay rates vary based on your content type, viewers’ country, targeted demographic, and many other factors.
To give you an example, YouTube videos with pranks and funny social experiments might have a lower rate than the ones with specific product reviews or business advice, because the later type of videos have more probability to generate leads/sales for advertisers.
Similarly, top YouTubers at times get a higher pay rate as more advertisers are willing to show ads on their videos.
While calculating the total amount of money you make through adsense, CPM is the metric that demotes all these factors. CPM is Cost Per Mille, where Mille is 1,000 in Latin; meaning cost per 1,000 views.
How much money do YouTubers make per 1,000 views?
YouTubers on an average earn around $3 to $5 per 1,000 views (CPM). But, from what we just learned, your CPM is no single magic number. Your cost per 1,000 views could get as low as $0.5 to as high as $6. You could calculate your YouTube earnings as –
(Total number of Ad views/1,000)*CPM = Money Earned
While this impossible to exactly calculate equation is enough to make our heads spin, there’s one more thing to consider.
CPM gives you earnings before revenue share. There’s a 45/55 split on the money earned. What that means is, YouTube keeps 45% of all the Ad revenue and you get the remaining 55%.
That is why it can get difficult for small channels to make a decent amount of money through YouTube ads alone and why it is important to have multiple income streams if you want to make money on YouTube.
Before we get into how you can actually make money on YouTube, let’s take a look at a few of the key factors that affect your ads revenue.
Important Factors that affect your YouTube Earnings
1. Location of Viewers
Countries from which you are getting viewers on your videos is a crucial factor in your Adsense earnings. Your YouTube ads revenue is calculated using CPM.
The value of CPM varies country-wise. If all yours viewers are from Maldives, then your CPM will be around $15, which is the highest.
Meanwhile, if your viewers are from, say, Jordan and Jamaica, your CPM ad rate could be as low as 0.02 and 0.03 respectively. Having a high CPM will yield you more earnings.
That is why, understanding your target audience based on location could be a big help.
2. Video Length
According to the Statista 2018 report, the average youtube video length is 11.7 minutes.
Content creators are always looking for a perfect video length, as Watch time (total amount of time viewer spent to watch your video) and Audience retention (how much of your video is watched) are key factors in ranking better on YouTube.
If your video length is too long, it gets harder to keep your audience engaged till the end of it. This results in poor Audience Retention rate.
On the other side, your video cannot be a short one either. This is because you can only put ads in the middle of your video, when the video length is more than 8 minutes.
Just think about it, if you put an ad in the middle and in the start as opposed to only in the start, your ad revenue gets doubled with no additional effort.
But, make sure to not put too many ads in the video, otherwise it will be a bad user experience for your viewers and ultimately affect your channel growth.
3. Clickthrough Rate (CTR)
YouTube’s complex algorithm is great at figuring out which viewers are likely to watch your content.
Once you upload a video, YouTube starts surfacing it to relevant audiences. Each of these thumbnail impressions are calculated by YouTube.
Clickthrough rate is nothing but the number clicks you receive on these impressions divided by total number of impressions.
A higher CTR means a higher conversion rate.
If your CTR is low, YouTube will stop suggesting your video to people. If it’s high, it will give your video more reach.
This is an important factor also because it will help you analyze your audience and understand what works and what doesn’t.
Steps to check your CTR metrics :
- Sign in to YouTube Studio.
- Select Analytics from the menu
- Select Reach, from the top of the page
This will give you overview about your CTR value, thumbnail impressions, how they led views and watch time, how many of your views came from YouTube recommending your video.
But don’t take CTR too seriously if your channel is very small. As a small channel, your number of thumbnail impressions and subsequent clicks received will be smaller as well.
This results in a fluctuating CTR with bigger spikes than usual. You won’t really be learning anything from those numbers.
Generally, clickthrough rate is between 2% and 10%.
How to Earn Money on YouTube?
Earlier, making money on YouTube used to be simple. You just had to upload videos and earn whatever share of ad revenue you were spared.
It is much more complicated now, but thankfully, a lot more profitable too.
Now, content creators have access to multiple ways to monetize their YouTube channels.
How to Choose a Profitable Niche on YouTube?
While it has in the past, uploading random videos on different topics doesn’t work anymore. Your content needs to be centered around a single niche.
So, if you are starting a YouTube channel, deciding your niche, meaning the topic of your channel, is the first and the most crucial thing you need to do.
If you don’t have a specific topic in mind yet, here’s some pointers to consider while choosing the right niche for you.
- Passion – As they say, passion leads to success. Everyone has different talent and capabilities. You might think a niche is profitable, but if it doesn’t genuinely interest you, you should never opt for it. Think about what you like to do. What are you good at?
- Demand – Now that you’ve thought over what you are passionate about, find out if it has enough demand. You can simply just analyze search results for your topic on YouTube and check if they are current or outdated, how many views they have. You should always find a middle ground considering, both your passion and audience demand. Suppose we both are passionate about cooking and you created a cooking channel on vegan diet while I did on The HCG diet. Your channel will grow much faster than mine as there is more demand for recipes for vegan diet, whereas far less for ones with HCG diet
- Competition – It’s always better to find a ‘High demand and Low competition’ niche. The best way to analyze your competition on YouTube is TubeBuddy. TubeBuddy is the YouTube certified tool that finds your niche competition level, its monthly search volume and helps to increase the growth of your YouTube channel.
Money Making Niches on YouTube
Did you know, the gaming industry is projected to be worth $256.97 billion by 2025 and there are millions who are part of the fast growing gaming community.
If you are a gamer, YouTube paves to be the perfect place to connect with other gaming enthusiasts globally.
In fact, gaming is probably the most popular and profitable niche on YouTube, with the majority of highest paid YouTubers including Pewdiepie, DanTDM, VanossGaming creating content in this niche.
There are many different types of gaming videos that you can base your YouTube channel on.
Some of the popular ones are game review videos, reaction videos, walkthroughs, live streams with commentary while playing trending games like Minecraft, Fortnite, PubG.
Top YouTubers in Gaming niche and their revenue:
VanossGaming – approx. $336,900 per month
Markiplier – approx. $288,796 per month
Jacksepticeye – approx. $286,213 per month
You don’t have to be an expert, but if you like to keep in touch with the latest fashion and beauty trends, this is the perfect niche for you. It’s a wide ranging niche.
As a Fashion YouTuber, you can create videos about dressing and styling tips, looks, product hauls and more. Or you can be the ‘beauty guru’ with makeup tutorials, skincare and haircare guides, product reviews and lifestyle advice.
Even YouTubers with small channels can reach the ‘influencer’ status pretty easily in this niche. Also, as most viewers here are actually looking for tried and tested product advice, it is very lucrative to be an affiliate marketer as a Fashion/beauty YouTuber.
Top YouTubers in Fashion/beauty niche and their revenue:
Jeffree Star – approx. $108,364 per month
Patricia Bright – approx. $7,733 per month
NikkieTutorials – approx. $42,849 per month
3. Fitness and Health
Fitness and health is a huge hit on YouTube and there is a reason for that. Think about it. Literally every demographic from every country in the world fits into this niche.
So, as long as you create quality content, you will have no problem in finding your target audience.
Additionally, as it saves the time and the cost of going to a gym trainer, dietitian or nutritionist, more and more people are turning towards YouTube to get their health and fitness in check.
You can create exercise and workout tutorials, healthy tips, diet plans and lifestyle advice type of videos.
Top YouTubers in Fitness and Health niche and their revenue:
Chloe Ting – approx. $74,200 per month
FitnessBlender – approx. $15,818 per month
Blogilates – approx. $12,576 per month
Traveling the world is almost everyone’s dream. So, what could be better than Traveling the world while making money?
You could make videos about the best cuisines and eateries to visit, top sites and hidden gems to explore or just vlog yourself roaming around different places.
Additionally, even with a lot of competition, ‘Travel’ niche makes it easy to establish your channel as your travel experience and thus, content is always unique unlike other niches.
While this niche could be an incredibly profitable, it will mostly require a larger upfront cost than any other niche due to traveling and accommodation expenses
Top YouTubers in Travel niche and their revenue:
Mark Weins – approx. $23,000 per month
The Food Ranger – approx. $16,700 per month
Whether you are a pet owner or not, everyone loves watching funny, cute animal videos and some of us even watch them for hours.
In fact, these cute animal videos were some of the first viral sensations on YouTube.
And they still spread like wildfire, making it an incredibly lucrative niche. So, if you are a Pet owner, you could create videos like animal training how-to’s, nutrition basics or just fun, goofy recordings of your pet.
Top YouTubers in Pets niche and their revenue:
The Dodo – approx. $274,302 per month
Maymo – approx. $165,336 per month
Talking Kitty Cat – approx. $55,323 per month
Unboxing videos are currently some of the most popular YouTube videos. New products are being released all the time and people these days turn to YouTube when they do.
Unboxing videos are simple fun style or review type videos about you opening a product right out of the packaging and your first impression of the product.
This is the only niche on YouTube where you can do away with little to no expertise in the product area.
For example, there is even a video of just opening 100 Apple Iphones and doing nothing else. While this niche is comparatively an easy one, it brings out millions of views and is sponsor favorite as well.
Top YouTubers in Unboxing niche and their revenue:
Ryan’s World – approx. $1,334,569 per month
Unbox Therapy – approx. $155,860 per month
Dope or Nope – approx. $107,239 per month
Now, just from the word ‘Entertainment’, you probably can’t tell what this niche is exactly about. It’s simple, though.
Be creative and provide entertainment to viewers. Anything artistic – dance, drama, story, fun, music, comes under this category.
Entertainment videos are highly shared videos on Youtube and a perfect ‘viral material’. But to succeed as a Entertainment channel, you might need more time than other niches till your brand gets visible.
Top YouTubers in Entertainment niche and their revenue:
Justin Bieber – approx. $3,795 per month
TheEllenShow – approx. $574,001 per month
The Slow Mo Guys – approx. $75,395 per month
Vlogs are culmination of videos and blogs, documenting your day for viewers through your lifestyle, work and relationships.
If you are someone who enjoys being on camera, this trending YouTube niche is perfect for you.
Vlogs are very personality driven and can be about any topic you like. You can record yourself going about your day while giving interesting commentary about current events or discuss your personal life, family, give advice or any other lifestyle related content.
Top YouTubers in Vlogs niche and their revenue:
Tana Mongeau – approx. $59,551 per month
Gabbie Hanna – approx. $33,845 per month
If you can make people laugh, Humor is the niche that can give you fans overnight and make you a celebrity.
You can create a YouTube channel with full focus on comedy like sketches and skits, parodies or you could have videos with commentaries, pranks and challenges with a comic spin.
Top YouTubers in Entertainment niche and their revenue:
PewDiePie – approx. $1,079,628 per month
Jenna Marbles – approx. $83,131 per month
Mikaela Long – approx. $4,524 per month
Food/Cooking is a very crowded niche on YouTube but it also comes with a huge audience base. Even if you are an amateur chef, you can make it on YouTube.
Just make sure to focus on a very particular sub-niche and create high quality, aesthetically pleasing videos.
It’s ok if you are not a cook though. The foodie in you will take care of that. Restaurant reviews, food reaction videos, trying out different cuisines are few of the popular video types in this niche.
Top YouTubers in Food/Cooking niche and their revenue:
Tasty – approx. $258,373 per month
Jamie Oliver – approx. $17,234 per month
Laura In The Kitchen – approx. $6,115 per month
Youtube Partner Program
Youtube Partner Program (YPP) is the first step most YouTubers make to monetize their channels. Being a YouTube Partner, creators get a greater access to special YouTube features and resources.
While you don’t need to be a YouTube Partner to make money on YouTube (you can still set up an Adsense account and start earning money), it makes things a lot easier.
In order to be eligible for the YouTube Partner Program, your channel must have more than 1,000 subscribers and more than 4,000 watch hours in the last 12 months. This is only an eligibility criteria though. After you apply to be a partner, YouTube will first review your channel.
Once you are approved, YPP can be an incredibly lucrative addition to your monetization streams.
Ways to earn money through YouTube Partner Program
- Advertisements – You can make money through regular video ads, display ads, overlay ads and more. You should be at least 18 years old and your content should be advertiser friendly. Most advertisers are not comfortable with controversial videos. Basically, the more advertiser friendly your videos are, the more advertisers will be interested in running their ads on them and the more money you can make.
- Paid Subscriptions – As your YouTube channel grows, you will start to have a fan base. You can then start channel memberships where you can provide special content to your fans for a recurring monthly subscription. To be eligible for Paid Subscription service, you should at least be 18 years old and have more than 30,000 subscribers
- Merchandise – You can create your own official merchandise that will be showcased on your video pages. Eligibility criteria for YouTube’s Merchandise Shelf is to be at least 18 years old and have more than 10,000 subscribers.
- Super Chat Payments – If you live stream your videos, this is a very profitable revenue stream for you. This feature allows viewers to pay money to get their comment highlighted on live chat streams. You must be 18 years old and live in a country where Super chat is available, to be eligible.
- YouTube Premium Revenue – You get a part of YouTube Premium subsciber’s fee when they watch your videos. Eligibility criteria for YouTube Premium is to be at least 18 years old and live in a country where this feature is available.
YouTube Affiliate Marketing
A lot of people have become millionaires on YouTube. So there obviously must be something more than the 30 second ads that we all are too eager to skip over.
YouTube Affiliate Marketing is one of the best and the easiest way to earn money on YouTube.
What is YouTube Affiliate Marketing?
Youtube Affiliate Marketing is creating videos on YouTube with links and information to products, with an aim of getting viewers to buy them from 3rd party sites.
For example, Amazon. You earn money, every time somebody buys a product using your link, through referral commissions.
Now at this point, you must be thinking, it is yet another thing reserved for big channels.
Can a YouTuber with a small channel earn money on YouTube through affiliate marketing?
The good news is yes, even small channels can use affiliate links on YouTube and earn money – and possibly a lot of.
What are the Best Affiliate Programs for Youtubers?
Earning money through ads on YouTube is hard. You will need to create tons of engaging content and gain thousands and millions of views, just to make a decent pay out of it.
High-paying affiliate networks help you unlock a better solution where even with a few thousand views per month you could make good money on YouTube.
Some of our favourite affiliate programs for YouTubers are –
- Amazon – Amazon Affiliates is the most popular affiliate network amongst bloggers as well as YouTubers. We don’t need to tell you this, as you must already know, you can find almost any product in the world on Amazon. That makes it an ideal affiliate program for any niche you want to start with.
Commissions rates on Amazon are relatively low and vary according to product categories, with 24 hours of cookie duration. Meaning, any purchase a viewer makes within 24 hours of using your link will earn you commission.
- Ebay Partner Network – Ebay is another long standing e-commerce company that has buyers all around the world and products that fit a range of niches. Better yet, using the Ebay affiliate program, you can earn money with a commission rate of up to 70%.
- ClickBank – ClickBank is one of the oldest and largest affiliate networks online, with thousands of digital products to choose from in almost every single niche. ClickBank also provides a good commission rate, usually ranging between 50% to 75%.
- Clickfunnels – Clickfunnels is the best recurring affiliate program you can join. It gives you 40% recurring pay for each person who signs up using your link, which means you get money flowing into your bank account each month without having to move a finger.
How to make money on YouTube with Affiliate Marketing?
Now, you can’t just directly put a link to a $1,000 product with no relation to your video, just to earn money through affiliate commission.
It not only is considered a spam according to YouTube policies but by doing that you will also be disappointing your viewers. You need to promote products or services that you actually recommend or use.
Don’t worry though. There are different types of YouTube videos that make it easy to put plenty of affiliate links and still keep the trust of your fans. Let’s check out a few of them :
1. How-to Videos / Tutorials
By creating Tutorial videos or How-to guides, you establish an authority in your niche. This in turn makes it so much easier to be a affiliate marketer and promote recommended products.
To give you an example, some of the YouTubers that use affiliate marketing in their tutorials are Daisy Marquez (promotes Makeup and skincare products), Ferdy Korpershoek (Web hosting, elementor pro).
2. Product Reviews
Before buying anything, we all check that product’s review to make sure it’s worth a buy. But did you know, according to mediakix, 62% of consumers watch product review videos before making a purchase.
There are a couple of ways you can create review videos. You can select a single product and create a video telling people about its features and what you like in it.
3. Best Of Videos
All you have to do is make a list of the best of whatever it is that you want to promote. It can be anything – Best in camping gear. Best running shoes. Top 10 Travel essentials to carry, options are endless.
Another big way to make money is through YouTube Sponsorships, where a company/sponsor pays you to promote or mention their product in your videos.
When most people think of sponsored videos, they tend to think of top YouTubers with a large fan base.
But, you don’t need millions of subscribers to get sponsors. Yes, it’s true that brands usually favor channels with bigger reach, but it is actually not that difficult to land yourself a sponsor.
How to Get Sponsors for a Small YouTube Channel?
- Reach out to Brands – Don’t waste your time in praying and waiting for some brand to approach you with a sponsorship deal. Instead reach out to brands that may have the same target audience as you. You would be surprised with how well it can work. Especially with product reviews.
Apart from how big or small the channel is, there are many other factors brands look at before offering a sponsorship like – Content quality, a similar target audience, audience engagement with your channel. And these are the things that can land you a sponsor.
- Grapevine – Luckily there are a few websites exclusively dedicated to help smaller channels get in contact with brands offering sponsorships. And Grapevine is the most popular one amongst all of them. It is well known for being an easy to use sponsorship platform for YouTubers and Instagrammers. While even major content creators can use it, it is mostly used by small channels to get their first sponsorship.
After setting up your account at Grapevine, you get to choose from a personalized list of products that may fit with your channel. While you can create a Grapevine account and look around any time, you need at least 10,000 subscribers to be able to use it.
- Content BLVD – Content BLVD is another brand integration platform that caters to YouTubers exclusively. They believe that true influence can’t be bought, that’s why they do not have paid sponsorships. They only offer product packages in exchange for review.
Content BLVD makes it very simple for you to get sponsorships. Brands list their product in BLVD’s product marketplace and YouTubers interested to feature that product can place a request. Brands accept ‘requests’ from influencers they are interested to work with and that’s it, a sponsorship deal is formed.
These products are generally featured within product reviews, hauls, tutorials, monthly favorites and product giveaway type of YouTube videos
YouTube Marketing for Your Own Products and Services
YouTube is giving you pennies from ad revenue after taking their lion share of 45%.
Your commission rate from Amazon affiliate marketing is as low as 1% – 2%.
And no matter how much you try, you just can’t seem to get a sponsor.
Well, don’t worry, we’ve got you covered. There is another way you can make a lot of money on YouTube even with a small channel and the plus part is, nobody is gonna take any share of your earnings.
That is – YouTube Marketing for your own products and services.
Did you know, 43% of consumers want to see more video content before buying. And, there is no better platform than YouTube to showcase your video content.
Now, you must be thinking, ‘But, what if I don’t have my own product or service?’ Well, this might be an insanely profitable way to make money, but it’s actually not that difficult at all.
Let’s get acquainted with all the ways you can your have own product or service and market it on YouTube.
Most Profitable Online Products to Create and Sell
1. Online Courses
Online education sector is booming by the day and more & more people are gravitating towards e-learning because of its time, cost and place efficiency.
Having an online course helps you reach your target audience not just from your locality but from all over the world.
So, are you ready to create your first online course?
Think of a topic that you’re passionate about, skilled at and would love to talk about. If you already have started your YouTube channel, this will be easy for you.
Just pick a topic that is similar to the type of content you upload, something that will be easier to promote on your channel.
The next step is choosing an online course creation and delivery platform. While many such platforms are available, there are two that top our list.
Teachable is an online LMS (Learning Management System) platform that enables content creators to build, market and sell courses.
Teachable is designed in a way that you get to focus on your main job that is creating the course, while all the technical stuff that comes into play like hosting, content security, online payments is taken care of by them.
Few of the features Teachable offers include:
- Easy to use course builder
- Powerful built-in course analytics and sales tracking tools
- Free subdomain, but you can also link the course directly to your website
- Learning tools like graded quizzes, content dripping, certificates, course compliance and more
As far as pricing is concerned, Teachable offers multiple plans ranging from $39 to $299 per month.
Thinkific is similar to Teachable in many ways and all the important features are available in both the platforms.
But if you’re tight on a budget or don’t wanna spend on your first course, you should opt for Thinkfic as it offers a beginner- friendly free plan along with the paid ones (ranging from $49 to $499 per month).
Also Thinkific provides better site design and customization tools than Teachable whereas Teachable has better sales and marketing tools.
2. Digital Products
If you properly market it on YouTube, selling digital products could become the perfect passive income stream that you’ve been looking for.
That’s because, digital products are infinitely scalable with no need for inventory and generally require low upfront cost.
There are endless ways you can create digital products. If you want to give them a go, we’ve put together some tried & tested and highly popular type of digital products you could create.
i. Software Products
If you want to build a software product, you would either need to be a developer or would have to hire one.
Nonetheless, that should not stop you from creating your own software product or service, as they are highly bankable and generally have long term gains with licensing deals and membership plans.
If you’re into Website design, you could try selling web plugins and themes and make anywhere between $500 to $30,000 per month.
The best platform to create these for would be – WordPress, as it powers over 61.8% of the internet’s CMS (Content Management System).
Other software products you could sell are Apps, Games, Browser plugins, Setting up online stores and websites, Hostings and more.
Ebooks are probably the most popular digital products among creators as well as consumers.
They are easy to make, require little to no cost with many trusted selling platforms available.
You could try self-publishing your ebook on large marketplaces like Amazon or you could just sell it on your website. Both ways have proven to be effective.
The best part about ebooks is that you get to generate income by only having to create written content, that too on topics that you’re passionate about and have expertise in.
Photography is another great sub-niche you can tap into to have a steady passive income. Many bloggers and website owners require professional looking, high quality photographs.
Even if it is just your hobby, you could still earn money by selling premium photographs on platforms like Shutterstock, istock, Adobe stock, Getty images and many more. For beginners, platforms like Pixabay, Pexels offer a chance to have donations and attribution on your photographs but by listing them for free.
If you are an expert in Adobe Lightroom or similar paid Image editing softwares, you can even make up to 6 figures selling LUTs (Look up tables) and Presets (Configuration of settings to achieve a certain look or style of your photo).
For example, check out Peter Mckinnon’s YouTube channel where he uploads various how-to tutorials on photography and cinematography while also promoting LUTs and Lightroom Presets designed by him.
3. Freelancing or Consulting Services
Selling a service online requires you to have credibility and authority in your niche and is pretty much similar to how you would sell a product.
Some of the high in demand online services are Financial consultations, Career consultations, Coaching/mentoring sessions, Language lessons, Social Media marketing tutorials.
Online services are often sold in two ways –
- Fixed Price Service – This is generally a prerecorded service where the cost is fixed and known to the customer before having any contact with you.
- Service On case-by-case basis – This kind of services are usually more personalized for the customer and include live sessions. If you are starting a consulting business, this type of service works best for you.
Vocal trainer Eli Prinsen gives online lessons to increase range, power and quality of your voice, using the Sellfy platform. Sellfy is an easy to use ecommerce platform that lets creators sell merchandise as well as digital products.
How to Effectively Market your Product on YouTube
Now that you know how to create your own product or service, it’s time to shift the gear to the marketing aspect of the business.
Most people consider YouTube as the perfect blend of a social media platform and content platform. That is why YouTube is the perfect place to market your products and services.
Around 43% of consumers are interested in watching more video content before buying anything. So as long as your product or service has some relevance to your YouTube channel, you can promote your product using videos.
Create a video or a short trailer dedicated to the product or service you provide, explain its features and the value it provides to them, compare it to similar products without being too salesy or superficial about it. We like to call it the art of selling without the selling. You can also embed this video on your website.
If you don’t want to create a video exclusively about your product, you can try incorporating it in your usual videos, watermark your videos with your brand logo, direct end credits of your videos to the product/service.
You can utilize your videos as well as video descriptions to drive traffic directly to the sales page of your product, as this has the highest probability of converting into sales.
Depending upon your brand and the kind of product you have, your sales page might be one of the following:
- Your own blog / website – Having a website helps you build your brand reputation and customer trust on a platform that you own. We would highly recommend you to have your own website even if you are selling your product through an online store. You can very easily create a website on the most popular CMS platform i.e.Wordpress, using Bluehost hosting.
- Email List – According to Mckinsey, Email is 40 times more effective at acquiring customers than Facebook or Twitter. Emails generate the highest ROI (Return on Investment) for marketers, with $38 in ROI for $1 spent. There are many email service providers tools that let you create landing pages for your products. Two of the most recommended ones are ConvertKit and GetResponse.
Both of these platforms let you create excellent sales funnel email sequences.
Landing pages will attract new subscribers while an email sequence will guide your audience through a series of emails that are targeted right to them.
- Online stores – Not everyone can design a website. Or even if you have a website, selling a product on it could be a big hassle as you would need to set up secure payment methods and provide constant customer support. Ecommerce platforms like Shopify let you focus on the selling part and take care of all the technicalities.
Ways to drive traffic to your sales page
1. Add links in descriptions and comments
Linking in description is the most commonly used method to send your audience to desired landing pages. It’s pretty easy and straightforward.
Even viewers expect links to the topics discussed in the video, in descriptions and comments section.
You can use URL shorteners like bitly or goo.gl to make your links easy to read and more presentable.
2. Create a custom link to profile banners
Your channel’s home page or profile page is like a visual representation of your brand. It’s the perfect place to put important links.
YouTube allows you to put up to 5 links, including social media, website or online store, in the top right corner of your profile banner. You can use this linking space to directly connect viewers to your product.
3. Use End Screens to drive traffic to your Sales Page
Only if you are a member of YouTube Partner Program (YPP), you can put end screens in your videos. End Screens are clickable thumbnails that are visible in the last 20 seconds of your video.
Using End Screens, you can have thumbnails with…
- Invitation to subscribe to the channel
- Different videos and playlists from your channel
- Link to external websites like your own website, merchandise and crowdfunding sites.
4. Use Cards in your videos
Cards is the section that appears after pressing ‘i’ in the top right corner of your video screen. Cards contain an image, a title and a call to action as well.
Therefore, they are a very powerful tool to drive traffic to your product.
You can add Link cards (for external links), video or playlist cards, donation cards, poll cards.
Cards is another tool that can only be leveraged by YouTube Partners.
Highest Paid YouTubers
Starting your own YouTube channel may seem daunting at first.
But with consistent quality videos and the right personality, you can make it big. Like, really really big.
A lot of people have become rich uploading videos on YouTube. And there’s so much you can learn from their journey.
If you are in need of some motivation and direction, here’s a list of highest paid YouTubers in the world and how they make money on YouTube.
1. Ryan’s Kaji
It’s almost unbelievable. What started out as a toy review and unboxing channel, has made the 9 year old Ryan highest paid YouTuber in the World. It all began when he was just 3 years old, opening his latest toys in front of the camera.
Now, along with toys, Ryan’s World, has also evolved into a kids education platform with videos focusing on school challenges and science experiments.
With 27 million subscribers, his impact on the toy industry is huge and advertisers are willing to spend a big chunk of money just to get Ryan to review their product.
Monetization – According to Forbes, Ryan’s earnings are estimated to be around $26 million.
His channel has partnerships and products with many big brands like Colgate, Nickelodeon, Bonkers Toys, Roku, Walmart. His revenue streams include – Ads Revenue, Merchandise Sales, Sponsored content.
2. Dude Perfect
Created by five friends, Dude Perfect stands tall with a whopping 51 million subscriber count. This channel mostly consists of these guys trying out crazy trick shots and stunts until they have nailed them.
For example, their most popular videos consist of seemingly impossible ping pong trick shots, water flipping shots, real life trick shots.
Monetization – Dude Perfect channel’s estimated per year earnings are more than $20 millions.
With around 265 million views per month on their videos, they easily make at least a million dollars in ads revenue each month.
They also make huge profits through Merchandise selling and endorsements (GMC, Nerf, Pringles). Due to their insane popularity, they even have a TV show called – The Dude Perfect Show.
3. Anastasia Radzinskaya
Anastasia, just a 6 year old, with her parents runs several YouTube channels. Her main and largest channel ‘Like Nastya’ has more than 63 million subscribers.
Her journey on YouTube started when doctors diagnosed her with cerebral palsy, claiming she might never be able to talk. Her parents made videos of her doing ordinary things to show family and friends her progress
Now, with videos in 7 languages, she not only makes it in the highest paid YouTubers list but also her channel is the 6th most watched channel on YouTube. Some of her other channels are Like Nastya Vlog,]]>
Monetization – Anastasia reportedly earns $18 million annually from her YouTube channels. Majority of it comes from six-figure sponsor deals with brands like Legoland and Dannon.
4. Rhett and Link
Known for creating and hosting talk show series – Good Mythical Morning, Rhett and Link are self-styled ‘Intertainers’ of YouTube.
This show usually consists of them playing food related games and answering absurd questions.
Many big celebrities like Daniel Radcliff, Felix Kjellberg, Hank Green, Megan Fox, Linkin Park have appeared on the show.
Monetization – Rhett and Link annually make about $17.5 million. Apart from usual ads revenue, they have made a lot of money from sponsored videos with brands like Gillette, Hot Pocket, sleepbetter.org, web commercials for McDonald’s, Coca cola, Taco Bell and their YouTube Premium series ‘Rhett and Link’s Buddy System’.
5. Jeffree Star
Jeffree star is a singer, makeup-artist, has his own cosmetic line, entrepreneur and Of course, a YouTuber. With 17.1 million subscribers on his channel, he is well known as a ‘beauty guru’.
Monetization – Jeffree’s cash flow is not solely dependent on his YouTube endeavours. His annual income from YouTube is estimated to be $17 million.
He rakes in about $4000 a day just from YouTube ads and also promotes his own makeup line and products through videos.
Live streamed gaming videos are extremely popular in the YouTuber community and that’s how Preston Arsement got his start on YouTube – playing ‘Call of Duty’.
Now in addition to his main channel -Preston, with 15.1 million subscribers, he runs 5 other channels. Some of them include TBNRFrags and PrestonGamez. His videos are usually centered around friendly pranks or gaming content on Minecraft & Fortnite .
Monetization – Preston’s annual income is estimated to be about $14 million. In addition to advertisements, he makes money from merchandise sales and sponsorship deals from big brands like Sonic, Hot Wheels, Hot Packet, Lil Spooky, and Elmers.
7. Pewdiepie / Felix Kjellberg
With a colossal fan base all around the world, this one probably needs no introduction. Pewdiepie is the 2nd most subscribed channel on YouTube with over 107 million subscribers. His video content ranges from live streaming gaming videos to Vlogs, comedy shorts and music videos.
Monetization – Pewdiepie has been consistently making it to the list of Highest paid YouTubers for many years. His current annual income is estimated to be around $13 million from YouTube alone. His income streams include advertisements, selling merchandise and sponsorships.
8. Markiplier (tie with Pewdiepie)
Mark Fischbach, famously known as Markiplier, is another highest paid YouTuber in Gaming niche with over 27 million subscribers.
While he produces different types of video content (Comedy, Vlogs), his channel is primarily focused on game commentaries of indie and horror games.
He often promotes his own high-end clothing line for gamers, co-founded with fellow YouTuber Jacksepticeye – Cloak.
Monetization – Tied with Pewdiepie, Markiplier also makes around $13 million per year.
Markiplier makes money through advertisements, lucrative brand deals, marchandise sales and tours.
9. Daniel Middleton
Daniel started his YouTube channel DanTDM (formerly TheDiamondMinecraft) back in 2012. Since then he has garnered 24 million subscribers through video game commentaries, covering games like Minecraft, Roblox, Pokémon.
He holds a Guinness World Record for Most views for a dedicated Minecraft video channel. Just like most of the YouTubers on this list, Daniel pursues other income avenues than just uploading videos on YouTube.
His graphic novel ‘Trayaurus and the Enchanted Crystal’ was on New York Times Bestselling list, at number one spot, for eleven weeks.
Monetization- Daniel’s earnings through his two Youtube channels are estimated to be at $12 million. His income comes from various avenues such as Ads, Sponsorship deals, tours and more. As per reports from SocialBlade, DanTDM can make upto $400K a month just from advertisements.
10. Evan Fong
Evan Fong is another Youtuber who reigns over the gaming community.
With over 25 million subscriber count, Fong’s channel VanossGaming, produces video game commentaries, montage or compilations of clips from various gaming sessions. Aside from this, he also produces music on his other YouTube channel ‘Rynx’
Monetization – Fong’s annual income is estimated to be at $11.5 million. According to SocialBlade, VanossGaming gets over 4 million views per day and earns anywhere between $1K -$16k just from Ads. He also makes a huge sum of money from Sponsors and promoting his own merch available on his website
Best Tools to Make More Money with Your YouTube Channel
The best way to maximize your income is to start a blog in unison with your YouTube channel.
Your channel’s growth and the number of views you get are solely dependent on YouTube’s algorithm, as this algorithm decides how many thumbnail impressions of your video viewers will see.
That is why having a website on a platform that you own is important to have some control and stability in your income.
The first step to creating a website is getting a web hosting plan. The best one, we would like to recommend to you, is Bluehost. Bluehost makes it quick and easy to get your website up and running by offering a 1 year free domain, free SSL certificate and a 1-click WordPress install.
Once you have set up your website, start writing blog posts relevant to your channel’s audience and then promote them in your videos.
You can monetize these blog posts in multiple ways including Advertising, Affiliate marketing or by creating an online storefront for your products and services.
A lot of people who are just starting out as internet content creators, often don’t realise the power of building your email list. When done properly, Email marketing has been proven to provide 4300% more return on investment (ROI).
So, which is the best platform for Email Marketing?
That would be ConvertKit – one of the fastest growing Email Service Provider (ESP) companies. There are a lot more features that ConvertKit offers in addition to building an Email list.
- Create customized landing pages without a website
- Email sign up forms for collecting subscribers
- Easily integrate tools like teachable and Shopify in your emails
- Embed your YouTube videos in your mails
If you want to sell your own products, building an online storefront for them could become a big hassle. You will have to design a website for your store, manage inventory, enable secure payment gateways, provide customer support and much more.
That’s where Shopify comes into picture. If you want to only focus on the selling part of your business and not deal with the technical stuff, Shopify is the best ecommerce platform that will do it for you.
Using Shopify’s easy to use and highly adaptable interface, you can set up your own store in a matter of minutes.
Once you’ve got your online store up and running, you can start selling products related to your YouTube channel like your own merchandise, products you’ve recommended in your videos or just products that you think your target audience will be interested in buying.
If you don’t want to sell on Shopify, there is one more easy way to make money using Shopify. You can join the Shopify Affiliate Program. The program pays an average of $58 for every viewer who signs up for a paid plan using your unique referral link.
Hosting a webinar is one of the best ways to showcase your expertise in any field and also build loyal followership and connect with your target audience. That’s not all though. You can also promote your products and services on webinar.
And the fact that attendees have gone through the trouble of registering for the webinar and have taken the time out to attend it, means they have a genuine interest in the services that you offer. This results in pretty much perfect sales leads.
Now that we know, webinars are great, this leads us to question – Which is the best platform to host a Webinar?
That would be, without a doubt, Demio. Demio is an all-in-one solution that not only provides a hassle free, no download webinar experience to your audience but also has tons of amazing marketing tools to get you better results.
Demio features include :
- Event types like Live, Series, Automated, On Demand, Hybrid event
Audiences can join webinars with one click on the browser. No need for any bulky softwares
- Easy integrations with Drip, ActiveCampaign, MailChimp, ConvertKit
- Effective marketing tools to drive more registrants to webinar
- Track your complete webinar campaign with excellent analytics
As you may already know, you need to optimize your blog posts for search engines. Well, the same goes for your YouTube videos. To make your videos more discoverable, proper YouTube SEO is important.
The easiest way to do it is using – SEMrush.
SEMrush is an excellent SEO and analytics tool that helps you analyze your YouTube channel by audience, activity and engagement.
You can monitor video metrics, track the audience activity as well as interesting trends for every video posted by you and your competitors.
A big part of how your videos on YouTube rank is dependent upon viewer engagement and interaction with your content. You might have aced all the YouTube SEO, but if you fail to create a high-quality video, there’ll be no use of that SEO
For a lot of YouTubers, post-production is a big hurdle though. Using video editing software can get really costly, whereas learning it, really difficult.
So, how can you as a small YouTuber create high-quality, budget-friendly, professional looking videos?
EaseUS Video Editor is a Windows based, beginner friendly editor that lets you trim, cut, split, merge video clips, apply stylish video effects, accelerate or slow down your video and much more.
For beginners and video enthusiasts who need to create slick videos, EaseUS is the best video editing software in the market.
There are two downloadable versions, the free version gives you access to all its features and the paid version of $29.95 has additional materials, 24*7 tech support, 1080p video exports and no watermarks.
Patreon is like a premium membership, only better. Patreon lets creators earn a monthly income by giving their subscribers access to exclusive content and custom rewards.
Using Patreon, even with a really small fan base, you can make significant earnings. Once you sign up for a Patreon account, you can launch membership only video channels through YouTube.
Additionally, joining it is completely free. You only have to pay when you earn some money using Patreon. Once you start making money, Patreon will take 5% – 12% of the monthly income you earn, depending on different plans.
YouTuber Suede is a small YouTuber with 18K subscribers and makes review videos of anime and pokemon but by leveraging the Patreon platform alone, he makes over $3000 per month.
How Much Do YouTubers Make FAQs
A YouTuber with 1 million subscribers makes around $8,580 per year. Consider, you have 1 million subscribers.
For each video you upload, let’s say 10% of your subscribers watch it and YouTube’s algorithm blesses you with, say, around 200K views from non-subscribers.
That makes a total 300K views per video. Now, assuming your CPM (Cost per thousand views) as $1 which means you earn $1 per 1,000 views, advertisers will have to pay $300 per video ($1 * (300K/1,000)).
After YouTube cuts their 45% share from this amount, you will earn $165 per video.
If you were to upload one video per week, in a year you will have 52 videos making you around $165 x 52 = $ 8,580.
While it may not seem like it, this is the simple answer. And quite possibly, a wrong one.
But a more complicated and accurate answer is, YouTube earnings are dependent on a lot of factors.
Some of them are Quality of ads, number of ads, viewers skipping the Ads before 30 seconds (as only then it counts as an ad view).
Even your CPM is not fixed. CPM can change dramatically between a usual range of $0.5 to $6 based on target location.
The only thing you can be sure about is your YouTube earnings have no direct correlation to your ‘subscriber count’.
According to Forbes, the highest paid YouTuber is Ryan Kaji, with estimated earnings over $26 million. Ryan Kaji is a 9 year old kid YouTuber who makes Toy review videos and educational videos on his channel – Ryan’s world.
Kaji whose real name is Guan has been consistently making it to the list of highest paid YouTubers for many years now.
As each of his toy review videos gets millions of views, he is favorite to the sponsors, especially in the toy industry, gaining him huge deals with brands like Colgate, Nickelodeon, Bonkers Toys, Roku, Walmart.
Ryan even has his own line of toys – called Ryan’s World, in cooperation with PocketWatch and Bonkers Toys.
A lot of people have become millionaires uploading videos on YouTube. So, the answer is yes, YouTube can make you rich.
But don’t think it’s easy.
You will need to dedicate a lot of time and efforts and consistently create high quality videos with awesome content that your target audience are interested in, in order to become rich on YouTube.
Ads from Google Adsense is the first step you can take towards making money. But you can’t only rely on advertisements on your videos though.
In order to really, really get rich on YouTube, you will need to increase your channel’s income sources. Few of the recommended ones are –
– YouTube Affiliate Marketing
– Sponsored Deals
– Selling your own products or services.
Most YouTubers fail because they don’t try enough. Creating your own presence in the highly populated and competitive world of YouTube is hard. It takes time, perseverance and of course, talent to succeed here.
Most YouTubers don’t make it because they get demotivated by the daunting lack of audience in their early days and stop trying before their channel has seen any amount of success.
But as long as you are consistent in your efforts, produce quality videos with great content, understand your target audience and slowly but surely build a loyal and engaged fan base, you should make it as a YouTuber.
So, don’t let the fear of failure stop you from being a YouTuber and just go for it.
When we see top YouTubers with their meteoric stardom, lavish lifestyles, we often forget that just like in a movie, we are seeing edited versions of them. It’s not that the version we see through videos is false but it’s often not the whole picture.
Yes, there are a lot of benefits to being a YouTuber, but it is a hard business and along with the good ones, it brings out some bad experiences.
So, before deciding to start a YouTube career, you should think over these disadvantages of being a YouTuber first and whether they are a game changer for you or not –
-There is a Lack of Privacy
–No guarantee for a stable income
-You might be misinterpreted
-Very Competitive and crowded
-Hateful comments by internet trolls
YouTube is not one of the passing trends. It is here to stay for a long time.
So,if you think it could be beneficial for you in any way, don’t think twice before jumping this bandwagon, as it is still very much worth starting a YouTube channel.
Youtube can help you earn more money, create your own brand or persona, reach out to people and talk about things that you are passionate about.
If you run a business, putting out content related to your niche on YouTube, can do wonders for your company’s growth.
Absolutely not. It might seem like YouTube has gotten over saturated with hundreds of content creators in every niche.
But along with content creators, YouTube has also seen a steady growth of user base over the years, with currently more than 2 billion users each month.
In addition to that, many channels die out as they get old, as viewer engagement and interests are continually changing.
A brand new channel could actually be advantageous for you. If you put out videos that are currently relevant and have a demand,
YouTube’s algorithm will help you rank up and make sure your content doesn’t get lost. So, no, it is not too late to start a YouTube channel.
Moreover, now, you have the benefit of so many YouTubers sharing their success stories and what works and what doesn’t work for them.
Many in-depth tutorials are available to teach you how to best take each step towards starting your own channel. It might actually be the best time to start a YouTube channel.
While it’s doable, it definitely is hard to make money on YouTube. You can’t just record, edit and upload videos and think your job is done.
Even to just enable monetization, every channel requires at least 1,000 subscribers and more than 4,000 watch hours in the last 12 months.
Once you do that, you might start earning through ads, but the pay won’t be much. To make a significant amount of money, you will need to grow your channel more and more.
To make things harder, competition in almost every niche is fierce on YouTube. You need to create videos that are better than yours peers, with your own unique perspective to stand out in the crowd.
As a YouTuber you can earn anywhere between $0.5 to $6 per 1,000 views which is considered as your CPM (Cost per 1,000 impressions).
If you want to get paid on YouTube, your Adsense earnings should at least be $100. So, If you want to get paid and your CPM is $2, you will need 50,000 views.
This is not a perfect value though. As your CPM is dependent on the country/ location of viewers, Quality and type ads, channel’s performance and more.
While the rate an advertiser pays varies greatly, YouTubers on an average make around $3 to $5 per 1,000 views.
Per video ad revenue is generally calculated as –
(Total Number of Views/1,000)*Your CPM =Your Video Price
CPM is Cost Per Mille, meaning cost per 1,000 impressions and usually ranges anywhere between $0.5 to $6. Even if you knew a perfect CPM value, there is no way to predict how many video views are ad views.
Also apart from ads, YouTubers often put affiliate links to products mentioned in the video and have their videos sponsored. So, earnings per video are very different from one YouTuber to another, depending upon their monetization model.
Absolutely nothing. A Youtuber makes $0 money per subscriber. While subscriber count may indicate and help promote channel growth, there is no relation between your number of subscribers and your YouTube revenue.
YouTube doesn’t pay based on how many subscribers you have but on how many views you generate.
Though, in a more indirect manner, more subscribers mean a bigger channel, which increases the possibility of getting higher viewership on any video you upload. And more views means more money through ads.
Also, every new visitor will base their opinion about your channel on the subscriber count you have. If the visitor sees your channel has 1 million subscribers, he/she will consider it to be reputed and establish you as an authority in the field. Few of the ways you can increase your subscriber count are –
Uploading Top-notch content – Nothing beats quality content. Provide the value, user came there for. Put your own unique spin and personality in the content you create.
Interacting with your audience – Interact with your audience. Thank them for every milestone you achieve. If you make it to 10,000 subscribers, create a video talking about your journey and their impact on you. Reply to comments about any questions viewers may have about your video.
Asking your viewers to subscribe – This is the easiest and most effective way. Simply asking your viewers to subscribe to your channel if they liked the content makes a difference. Every YouTuber, big or small, does it, as sometimes your audience just needs to be reminded to subscribe. But make sure that you don’t sound too salesy and let the viewer decide if they want to follow your work or not
Using YouTube’s clickable tools in your videos – YouTube provides many useful tools to display call to action at the end of your video. Branding Watermarks is a tool that puts a clickable subscribe button throughout your video. End Screens provides customizable ‘call to action’ still images at the end of your video to remind people to subscribe
On an average, a YouTuber earns $3 to $5 per 1,000 video views.
But this value does fluctuate a lot, even if you consider the same number of views on two different videos, as how much you earn through YouTube ads depends on many factors like Number of ad views, Ad Quality, number of ads in a video, countries and your channel’s performance.
YouTuber Shelby church earns about $2,000 – $5,000 for videos that have over 1 million views. But she says, this is just an average and she has had a video with 2 million views make $40,000 while another video with 3 million views that made only $1,275.
Ready to Start Making Money on YouTube?
Making money on YouTube is doable, but it can get pretty difficult to make money with just YouTube alone. Now you know, how you can find success by relying on multiple income streams and not be dependent on a single platform.
All that’s left is for you to start your creative endeavor, slowly working towards creating your own brand and loyal following. And always make sure to channel the entrepreneurial drive in you by exploring endless different ways to monetize your passion.
It doesn’t matter if YouTube is a side hustle or a full-time gig for you, as long as you put consistent efforts and follow even just 30% of this blog’s content, you should make it as a YouTuber.
We can’t wait to see where this journey takes you.