- YouTube monetization is something I get
a lot of questions about.
I know a lot of you care about
how to make money on YouTube,
how you're going to make it as a content creator.
Some of you want to be full-time content creators
but there's something important you need to know.
Some videos just flat-out make more money than other videos
and there are a lot of different reasons why.
I want to talk about that in this video.
So you already saw the thumbnail in the title.
It is possible for me in this situation
to get $40 CPMs directly from
YouTube AdSense and monetization.
That means that advertisers are willing to pay
up to $40
for every 1000 views
that I get
on some of these videos.
Not all of them, but enough of them.
And most YouTubers, you may not realize this,
do $2 to $5 CPM rates on average if they're lucky.
There are even content creators that have seen
a 30% drop in their ad revenue
when it comes to the quarantine that we're going through
because there are a lot of advertisers
that pulled out of the platform because frankly,
they just don't have money anymore.
Today's video is going to talk about YouTube monetization,
YouTube AdSense, and I'm gonna be
super transparent with you, I'm gonna do something
that almost nobody does, I'm gonna show you
the actual numbers in my YouTube dashboard,
you will see 100% of exactly what you're looking for,
and how much money I make
on these specific YouTube videos,
and why some videos earn much more than other videos,
even if those videos get more views.
It is possible for a video with less views
to earn more money,
and there are a lot of reasons for that,
and we're gonna talk about that in this video.
Hey everybody, this is Roberto Blake
helping you create something awesome today.
Welcome back to the channel.
So today, we're talking about YouTube monetization,
and for the new people here,
this is not a YouTube tips channel.
This channel is all about how to be a creative entrepreneur,
how to make money online so you can make
cool things that you care about,
learn how to market them and build and audience,
and then, monetize them so you're not
a broke, starving artist living with regrets
about how it could have been.
And so that's what we do here on this channel,
I try to just help you with realistic advice,
be as transparent as I can,
and kind of just show you the ropes
the way I wish somebody had done for me.
So if you're into that thing,
go ahead and subscribe.
Go ahead and just take care of that right now.
And hit the notification bell
or you will never see any of the content,
swear to you.
So the way YouTube monetization works
is if you're in the YouTube Partner program,
which you get to apply to
once you get 1000 subscribers on YouTube
and 4000 hours of watch time,
you have the ability to have ads play on your videos.
You get paid for the views and for those ads
when people see them, and so not every single view
is a monetized view, that's gonna be very important later.
But you do average out getting paid
for every 1000 views on your videos,
and what the advertisers pay is called a CPM rate.
Now YouTube introduced a new metric
where we actually get to see how much money
we get to keep from that,
'cause in the YouTube Partner program,
we get 55% of all the ad revenue
and YouTube takes 45% of it,
which is super generous, there's not really
a better deal on the internet than that right now.
Now, YouTube introduced revenue per mille,
revenue per thousand views,
so you get to see how much money you are actually paid
per 1000 views, not just what the advertiser paid.
And we've always been able to see the raw number
in terms of how much money we made,
but not how much money we made per 1000 views,
we were having to try to figure that out on our own,
and now we get to actually see those numbers,
so that's actually really cool that we can see that
in our YouTube analytics dashboard.
What I'm gonna do is I'm gonna show you
a couple of different videos and how much money
they actually earned me.
We're gonna look at those CPM rates
and you're gonna see that they can be drastically different.
It all really comes down to a couple of factors.
So before I jump into showing you
some of these individual videos,
here is what determines how much money you get paid
when it comes to your videos.
The topic of your video actually matters quite a bit.
So does the age, and demographics of your audience,
and the geography of your audience, where they live,
and what language they speak.
There's also the advertiser-friendliness of your videos.
Now, all this matters because advertisers do not want to
pay for content that doesn't align with them,
either in terms of the content not matching,
for the audience that they sell to,
the audience not having disposable income and cash
to even be able to buy their product in the first place.
Also, a factor in this is,
"Are you aligned with the brand
"in terms of the brand's values?
"Does your content go outside of what would be
"appropriate for that brand, or misrepresent them,
"or would it be a bad look for them to be
"associated with you?"
These things matter, and you see it happening
more and more on YouTube,
you see advertisers pulling out of YouTube
over this kind of thing, so it is really important,
and these things all play a role
in how much money you can make.
But I really feel that the biggest thing that plays a role,
and this is why some of my videos can get $40, $20,
$30 CPM rates, is the fact that
if you have an audience that isn't younger
and has disposable income, is a little bit more affluent,
then you stand to make more money
and you stand to reach a certain type of advertiser.
And frankly, there's just less content on YouTube
competing for the attention of older, more affluent people.
Popular YouTube content is designed
to appeal to young people,
and I don't know about the rest of you,
but when I was a kid, I was broke as hell,
I didn't have disposable income.
So, you can't really imagine that there are
these huge advertising budgets
to cater to an audience that can't buy anything.
So you have to ask yourself,
"Do you have a buying audience?"
Now, a lot of you watching this channel,
most of you are not young,
unless you're somebody who just clicked on this video
for the YouTube tips side of things.
Most of you who I've cultivated
and brought into this community, into the Awesome Squad,
you guys are usually between 24 and 44.
You're in a transition of your career,
or you just entered a new career,
or you're trying to do a side-hustle,
make some extra money to support your family,
or you finally want to start that business
that you've been dreaming about
so you can get away from your chucklehead boss.
That is who the demographic of this community,
of this channel, typically is.
Now advertisers are smart
and Google has supplied them with the tools to know that,
and that means that when I talk about
the camera equipment that I use on this channel,
when I talk about the software, the hardware,
the things that I use in my business,
when I talk about the tools that I use
to help me grow that online business,
those are advertisers that have high budgets,
that have high valued services
for an audience with disposable income.
The thing that I'm bringing this up for
is the simple fact that this positions me
to be with advertisers on this channel
that have larger budgets,
and it means that as a community,
we have a lot of buying power as a community,
and the advertisers and brands recognize that.
Now if I were in another niche,
we talked about different niches
and we touched briefly on some niches paying
more than others in previous videos.
The fact is that if I was doing a gaming channel,
I'd have much lower CPM rates,
probably between $2 and $6 per 1000 views,
and then I'd only be taking around half of that money home.
So even if I got a lot of views,
it wouldn't necessarily mean I was making a lot of money,
and that's a secret that a lot of YouTubers don't share,
and it's fine because not everyone's comfortable
talking about money.
I've just been getting comfortable over the last few years
talking about money, it's still kind of awkward
because it always comes off either as
you're bragging, or people think you're being fake-modest,
but the reality is that for a lot of people,
it's just a struggle to talk about money.
If you're like me and you grew up in an immigrant family,
or if you're a minority, you're a person of color,
you already know that it's extra awkward talking about money
and it's not encouraged at all.
It's kind of this taboo in our society,
but if we have an honest conversation about money,
and that's what I want to be transparent with you
about YouTube is people have reasonable expectations
people will know how this stuff actually works,
and it means that they can actually
look at whether or not they have a good deal
or whether they need to do something differently.
Now, speaking of transparency,
when we look at my YouTube dashboard here,
and we look at my videos,
there are a lot of topics here that vary,
so when I have YouTube-related topics,
I still make decent money in terms of a CPM rate,
it's still a better CPM rate than most
YouTube content creators actually make
and I'm super grateful for that,
but at the same time,
there are some videos that just straight up
make more money than others.
There are just some videos that are wildly
more profitable than others.
Now, when I did the video on finding your niche
and narrowing it down, that had a CPM rate of $17.60,
which is amazing, that's fantastic,
and it had a RPM of $7.19,
so that is pretty good in terms of being able to say
"That is how much I'm gonna make for every 1000 views
"on this video," that's fantastic.
However, if we look at another video,
if we look at my video in terms of making passive income,
"10 Passive Income Ideas For 2020,"
well that video has a wildly different CPM rate.
The CPM rate on my passive income video
has a $40.54 CPM rate.
That's insane when you consider that most YouTubers
are between $2 and $5 CPM rates.
The revenue per 1000 views on that is gonna be $20.
A strategy I often use is
rather than just trying to promote my newest videos,
I will continue to drive traffic to the videos
that have the highest overall earning potential,
and if you need to make more money on YouTube,
that's definitely a tactic that I think works.
And so if we look at it, 1000 more views on this video
is worth a lot more than 1000 more views on my latest video,
and that's because of the topic.
So I want you to take a look at that
when it comes to your own content,
and if you are trying to make more money
on YouTube specifically, if that's how
you're making your living, you might need to
prioritize the topics that have
the highest earning potential for you.
When I look at this other video about making money online,
this video has a CPM rate of $33.69, okay?
I'm getting an $18 revenue per 1000 on that,
so for every 1000 views that video gets,
I'm gonna make almost $20,
and that's what I actually get to keep.
So when you really look at this
and you look at YouTube monetization differently,
you can see what videos in your inventory
have the most earning potential,
you can see what topics have the most earning potential.
I would make that a much bigger priority
if you're trying to make a full-time income on YouTube.
Now what I'm not telling you to do
is sell out and forget about your audience
and what they want, but I do think that
to make this sustainable, and to make this a living
that can provide for you and provide for your family,
you have to take it seriously,
and that means you have to look at where the money is
and where the money isn't.
And when it comes to a lot of this,
one of the issues that I see all the time is
what is popular doesn't always pay well.
I have friends who have over a million subscribers
who have straight up told me
that they can get a million views on a popular video
and make, like, $500.
And it breaks my heart because I know
sometimes they spent more money
than they made on that video
to make cool, interesting, amusing content for people.
When you look at the amount of money
MrBeast spends on a video, it is astronomical,
it is absurd.
He's spent up to a million dollars on a video.
And in his case, he's in a position where I can say
that that business model might work,
but for most people, they do YouTube at a loss.
A lot of you in this community
probably are net negative when it comes to
the money you've invested in YouTube,
you haven't made it back yet,
you haven't made the money back on your laptop,
your camera, or whatever else you're doing to make content,
and so I make this video not to brag
or not to flex about my high CPM rates,
but to show you that even if you're not getting
a ton of views because you don't do the sexiest,
most exciting, outlandish content in the world,
I certainly don't, that there is a pathway
to making money on YouTube
and to earning a lot more in some cases
than you would get for a viral video
if you position it correctly
and if you're reaching the right market.
If you have a buying audience,
the rest largely takes care of itself
as long as you're giving them value.
Now I definitely suggest you watch my video
on finding your niche in YouTube
because I actually tease some of the most
profitable niches in YouTube in that video,
and I talk about it, but I will give you
another hint here because we had a little bargain.
We said that if I got, I think it was 2000 likes
on that video, that I would make a dedicated video
telling you the most profitable niches,
like the top 10 most profitable niches in YouTube
and giving you a range of their CPM rates,
and guess what, we still need to get
2000 likes on that video before I do that,
so that's gonna be thing,
but I will give you a few more hints here.
Obviously, videos where I talk about entrepreneurship
make me the most money on this YouTube channel,
regardless of how many views they get.
I could get more views on YouTube tips content,
I could get more views on covering social media news
when it happens, and guess what,
I would not make nearly as much money
as making an evergreen video or tutorial
and having that constantly bring in
new traffic to the channel,
new views and subscribers slowly
instead of getting 30,000 views in a week
and making you all feel like I'm a legitimate YouTuber,
making you feel like I have a good view-to-subscriber ratio
and an active audience.
(snorts)
That's funny.
That's cute because by not doing that,
I can create a revenue funnel
that keeps making sure that I don't have to be
on this YouTube treadmill forever
because it means that even three years later,
I have a video that's useful and helpful to somebody,
and that video still could be earning me
$10 or $20 per every 1000 views
years after the fact,
and keep growing the stack.
And that is one of the secrets of my YouTube channel
and its success, is that I think about the long game
and I don't chase anything, I don't chase views,
I don't chase virality,
I know that it's something that, for me,
is not sustainable.
I know that it's something that is not as interesting to me
because I'm 36 years old, I don't really relate
to that younger audience that wants to watch
that kind of content, and so I can't fake it.
It's better for me to do content
that is authentically me and is helpful and useful
to somebody like me, maybe somebody a little younger than me
or even a little older than me,
and be able to also make it really practical
so that I can make this all worthwhile
and make it all work out,
and so that I can invest in my future,
and so that when I do finally start a family,
I know that I'm not gonna be competing between
the ability to make money on YouTube
and spending my time where it really matters.
And so now you know a little bit more
about YouTube monetization, now you understand why
paying very close attention
to the revenue-per-1000 metric that YouTube introduced
is really important for you,
and you see why looking at the videos
that earn you the most money per 1000 views
could actually be a great strategy to help you
earn a little bit more out of the content
you've already made, and it can give you great ideas
for topics that you can cover
that you know will make enough money
to justify doing YouTube and push you on that path
to being a full-time content creator
if that's what you really want to do.
Question of the day. (bell ringing)
What other YouTube Tips videos do you want me to make?
What other money-making videos do you want me to make?
Do you have more questions about YouTube money,
YouTube monetization?
Let me know in the comments section.
Also, do you want me to do a breakdown
of what YouTubers make?
Because I have a very interesting idea for a video.
I actually think it'd be interesting
to figure out how much money MrBeast makes in a day.
How much money does MrBeast make in a day?
I think that'd be a very interesting video
and I actually know how to figure that out,
believe it or not.
So anyway, if you want to see that video,
let's get 1500 likes on this video
and then I'll make that one.
Anyway, like this video if you like it,
don't forget to subscribe, check out the other
awesome content here on the channel.
As always, you guys, thank you so very much for watching,
and don't forget,
go out there and create something awesome today.
Take care.
(funky music)