How Much Do Youtubers Make? 2023 Facts And Figures

How Much Do Youtubers Make? 2023 Facts And Figures – Do you run a channel on YouTube to earn extra cash rather than for entertainment? Then, you will be interested to know more about valid YouTube CPM rates. Keep reading to learn all the crucial nuances to not overlook the facts and examples and generate decent income on your YouTube channel.

To evaluate the efficiency of advertising campaigns, YouTube uses statistics and formulas. CPM is the keystone of measurement and the foundation for further tests and conclusions.

How Much Do Youtubers Make? 2023 Facts And Figures

CPM means the amount you can earn for the promotional content you place on this website in your video. Let’s look at the deeper essence of this concept and try to shed light on some discrepancies in its rates.

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While YouTube CPC means the amount you get for each click on a particular ad, CPM is an abbreviation for Cost per Mille, where “mille” means thousand views. Thus, you get paid every time your ad reaches this mark. The more views the ad gets, the more money you earn. That’s why this metric is crucial for monetizing your YouTube channel.

However, it is not so simple: you will not receive 100% of the promised income. YouTube takes the lion’s share of 45% (!) so you only get $55 out of $100, for example.

Note: It’s not a reason to quit, but to try to provide as many views as possible.

Keep in mind that the platform will mark a view only if an ad video has been viewed for more than 30 seconds. The views that are created from mobile gadgets are also meaningless. In addition, you can use YouTube’s special calculator to predict your potential income and see the real picture.

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CPM is a numerical definition to reflect the revenue you share with YouTube. This includes another parameter – RPM (Revenue Per Mile) which is used to calculate your personal income taking into account platform maintenance. Therefore, CPM is directly proportional to RPM. Both metrics are important for evaluating your future profits. However, CPM makes a lot of sense for advertisers and RMP is crucial for producers.

YouTube will not inform you about your potential RPM value, but one can handle it independently.

For example, you earned $200 for the last month and managed to get 50,000 views. So, 200/50,000 x 1,000 = $4. That means you got $4 for every 1,000 views.

Calculating CPM YouTube ad rates is a challenge because of its volatility. Each goes up and down at all times during the year. Mostly, the following factors determine the price:

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Of course, the CPM rate depends on many factors, but it is still possible to calculate the value. The formula is similar to the RPM calculation model, but we use the number of people (audiences) instead of the number of monetized views. The result is the cost per thousand impressions received by the advertiser.

For example, a $10,000 investment in an ad campaign has 4,700,000 views. Thus, CPM equals ($10, 000/4, 700, 000)x1000 = $2.13, which is the amount an advertiser must pay for one thousand views. For example, YouTube has an average CPM of $2.

In this guide, you’ll find tips and strategies for integrating affiliate tools into your content on YouTube, TikTok, and Instagram.

Sometimes the CPM rate crashes and the situation becomes hopeless. It may be due to the absence of proper work with your audience. For example, if your followers are located in the Middle East, you can hardly expect high earnings for swimwear ads. In any case, there is no need to discuss the reasons for reducing CPM rates, but it is better to tell how to increase them.

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You may have thousands of subscribers, but still, you are not getting much income. Their numbers drive awareness, popularity and rankings, but not revenue. Monetization is necessary to engage the audience to watch the video.

Note that to start monetizing your channel, you need to meet some requirements. For example, you must be a member of the partner program to monetize through Google AdSense. However, for this purpose, you must have not less than 1,000 subscribers and have reached 4,000 hours of total viewing time in the last 12 months:

In order not to get false hopes about the cost of YouTube ads, study YouTube statistics before creating and placing content on your channel. It will help to understand the current situation properly. In addition, it would be nice to analyze the channels of your direct competitors to see their development.

CPM is also dependent on geographic location. To earn more money, target videos in one of 11 countries with premium rates.

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The list of countries with the highest YouTube ad CPMs is rather stable, but some countries may trade places every year. So, here are the leaders:

We have already revealed the fact that YouTube ad spend is linked to content quality. However, some external factors are not dependent on the efforts of the creator. For example, if comparing educational and entertainment content, the former has a higher CPM rate. In this case, CPM is based on niche.

Why is the type of video so meaningful? The main reason is that video advertising is closely linked to consumer demand. To clarify the nuances, let’s consider the example of the UK – one of the countries with the highest CPM rates ($3–$6 on average).

Many British publishers use Ad Exchange platforms to sell media advertising. Its CPM rate depends on a bunch of factors (location, engagement, etc.) and ranges from $3–$8. The publisher can choose the type of ad to display. And, the network offers in-stream video ads that can be skipped but at the same time save the same revenue for impressions.

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Pre-roll ads are widespread and common. This is a message that you have to see before the content. In addition, they can be very irritating, as there is no option to leave them immediately. However, by presenting them in a witty and entertaining way, you can reach a CPM of $3–$8. The same is true for mid roll ads that play in the middle of a clip.

Outstream video ads are displayed in a limited ad space between images and other pieces of content. They boast a CPM rate of $4–$8. Such ads are highly viewable as there is no strict placement.

Original videos can fetch $5 or more because they aren’t annoying and are built into the channel concept.

This method is effective if you have managed to build your brand. In this case, you can sell t-shirts, bags, cups and other goods. In addition, you can create and sell original educational courses, e-books and classes. It is possible to promote products and increase sales when your goods are presented on Etsy and other similar platforms.

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It is also profitable to recommend goods – not directly – but through affiliate links, in order to receive a suitable reward after the customer places an order. For this purpose, you should add affiliate website to your channel and then get affiliate link. The next step is to direct the audience to a URL on your own resource that will redirect them to the affiliate’s website. The last thing is to insert affiliate links into the content. You can find suitable programs, especially for YouTubers, or explore travel niches.

With the partner programs of GetYourGuide, Viator, Tiqets and many other well-known brands, you can earn on flights, hotels and other services that are 100% necessary for travelers, such as tourism. After all, people don’t have to go far to visit places or hear interesting stories from guides. They can be tourists in their hometown or explore the suburbs. To earn on these services, join the partnership platform for free today.

Access exclusive tools and the best travel affiliate programs, including flights, hotels, car rentals, insurance, tours and activities, all in one place.

To learn more about how you can promote affiliate links on YouTube to earn steady income, check out this step-by-step tutorial.

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The main task is to produce content that your target customers will enjoy viewing. They should get a value that will increase from one video to another. For example, you decide to create a series about home renovations. The first clip might deal with building, the second might show the best ways to decorate, then you might talk about gardening, and so on. This example is a little schematic, but the idea is to engage your audience in watching the videos.

Take advantage of paid subscriptions for your channel and offer additional benefits to your subscribers. For example, this could be exclusive content, support, custom emojis and stickers, live chat access, etc. This option is open to YouTube creators who are part of the YouTube Partner Program, have at least 1,000 subscribers, create content not labeled as “made for children” and meet a few more criteria.

To grow a channel, remember to follow platform rules and restrictions

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