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It is no secret that being a YouTuber comes with a lot of financial gains. Successful creators of all backgrounds and content genres share a common thread: their wealth. But the question is, how do they do it? How are so many YouTubers making millions of dollars, driving fancy cars, and buying houses all over California? What often goes unnoticed, however, is how many moving pieces there are in being a monetized YouTuber. We have broken down how much YouTubers make from their videos!
The first step in becoming a monetized YouTuber is to get your channel to reach a minimum of 1,000 subscribers and 4,000 watch hours (total hours viewers have watched channel content). Once that is achieved and you are eligible to apply for monetization, your channel dashboard will give you access to all revenue information.
Although views may seem like the biggest deal when trying to earn money on YouTube, there are so many factors that determine how much you make. However, views are the general basepoint of how everything works. The simple math of more views equals more money does apply to this but, your number of views only makes a big impact when you are utilizing advertisements.
Every YouTube user has experienced the inconvenience of an advertisement popping up before a video begins. Although it may be frustrating to the viewer, it is a YouTuber’s key to earning money from a video. Those advertisements, when watched, add revenue to a video. This is when views become important. The more views you get means more people watching advertisements which overall means more money earned.
The best way to maximize profit from this feature is to make your videos a minimum of 10 minutes long. Of course, no one wants to sacrifice their content and if a video is best short, you want to keep your subscribers happy. But if you want the largest profit, making videos 10 minutes or longer will allow you to add as many advertisements as you want.
When said you can add as many as you want, this is very true. However, in a video that is 10 minutes long, most creators add two advertisements. The longer the video, the more accepted it is to add more advertisements without annoying your viewers. Being that most YouTubers have other sources of revenue, such as brand deals, sponsored content, selling products, etc., there often isn’t too much pressure placed on AdSense. But when used most effectively, it can be a great source of cash.
Types of Advertisements:
- 5-second “Skip” Advertisements
- Pre-Roll Advertisements
- Integrated Advertisements
- Closing “Pre-Outro” Advertisements
- Pop-Up Advertisements
A video’s CPM, or cost per thousand views, is really the overall factor that determines how much money YouTubers make from their videos. CPM not only ranges per video but per country, therefore making it very unpredictable.
When referencing your channel dashboard and seeing the stats of how much your video is making. A chart on this page displays how much CPM is earned from each country for a specific video. For example, if a video’s CPM from United States viewers is $4, then the video makes $4 per 1,000 views. The tricky part of CPM however, is that although the video makes $4, YouTube takes half the profit, so you are only really making $2 from that specific region.
Because a video’s CPM is unique to each video, it is often tricky to determine how much you will profit from a video. Over time, most creators can determine a potential range based on past content and patterns shown. It is often estimated that a video that reaches 1,000,000 views can earn anywhere from $500-$10,000. This wide range only further proves you never know what to expect from the infamous “YouTube algorithm.”
Example CPM Breakdown:
|Geography||YouTube Ad Revenue||Estimated Monetized Playback||Playback-based CPM|
4. YouTuber Spotlight: David Dobrik vs James Charles
David Dobrik and James Charles are two of the top YouTubers on the platform. Both creators have millions of followers and make a significant amount of money from their lifestyle. However, there is a huge revenue gap in how much they make on YouTube.
David Dobrik is notorious for his 4 minute and 20-second videos on YouTube. To his detriment, however, all his earnings on YouTube come from that one occasional pre-roll advertisement before his video begins. Dobrik’s average number of views per video ranges from around 10-20 million. Given that huge success, that does seem like significant revenue. However, when discussing AdSense on YouTube with other content creators, Dobrik is repeatedly said to be making the least amount of money on YouTube in comparison.
When compared to James Charles, their differences in content also extend to their differences in revenue. James Charles has similar stats to David Dobrik in subscriber count and number of views per video, however, James’ videos are both much longer and include more advertisements.
James Charles’ videos typically range from 15-20 minutes long and include 2-3 advertisements per video. Because his integrated advertisements sometimes triple compared to Dobrik, the revenue earned is also tripling. If view count and CPM are equal between both creators and the CPM earns the video $20,000, David Dobrik would make $20,000 while James Charles would earn $60,000.
Although the statistics may seem overwhelming, especially for a YouTuber new to monetization, how much YouTubers make from their videos is nothing more than a guessing game. Each video is unique and the CPM can be unpredictable. The key to success on the platform though is to create content you are passionate about and the rest will fall into place.
Other Sources of Revenue for David Dobrik:
- Sponsored Posting (on second YouTube channel)
- Paid Partnerships with SeatGeek, Honey, and more
- FanJoy Merchandise Line
- Podcast Touring
- Mainstream Media Events
Top Creators on YouTube:
|Name||YouTube Reach||Estimated Net Worth|