Are You Capitalizing On YouTube’s Multi-Billion Dollar Ecosystem?
It’s no secret that brands and influencers can make major bank on YouTube. Between unexpected viral videos, creating ongoing organized content, and acquiring avid followers, advertising revenue can soar into the millions for savvy brands.
Fun fact: the number one highest-paid YouTuber is a 9-year-old boy whose nearly 30 million followers watch him make daily videos of himself and his family “doing lots of fun things like pretend play, science experiments, music videos, skits, challenges, DIY arts and crafts and more.” This kid has made almost $30 million since 2015!
In the last three years, YouTube has paid out more than $30 billion to artists, influencers, content creators, and media companies. In 2019, it’s estimated that the company contributed $16 billion to the United States gross domestic product — the equivalent of 345,000 full-time jobs.
If your business wants to get a piece of the YouTube pie, while also reaching prospects and customers with fresh and engaging content, here’s what you need to know.
First, Don’t Break The Rules
People and businesses have been making money on YouTube for more than a decade, and with the steady increase in viewership and interest in video over other media formats, that’s not slowing down any time soon.
The reason we’re suddenly hearing more about YouTube’s economic contribution is due to the mounting regulatory scrutiny surrounding the market power held by the video giant and the spread of misinformation about coronavirus. While the company has removed more than 500,000 videos since February 2020 that violated its COVID-19 misinformation policy, policymakers are demanding tighter control and stricter consequences for offenders. The result could be more stringent policies that affect all YouTubers’ regular revenue stream.
Bottom line: follow the rules, folks. YouTube has very specific rules and policies in place for content, and a lot of money to enforce them. Following the rules and creating helpful content goes beyond helping your subscribers — it benefits the YouTube community as a whole.
Next, Join The YouTube Partner Program
Anyone can make money on YouTube with a free AdSense account and by meeting some basic requirements to become a YouTube Partner. Once YouTube has reviewed your channel and ensured you have met the requirements, you can begin monetizing your channel in several different ways.
The most common monetization method is through advertising revenue. Through Google’s AdSense program, you will share the revenues paid by advertisers every time their ads are shown on your videos. You’ll make a certain amount of money every time an ad is viewed on your video – and even more when the ad is clicked. The amount varies and is based on many factors, but Influencer Marketing Hub has found the amount to be around $18 for every 1,000 ad views.
In addition to ad revenue, joining the YouTube Partner Program allows you to make money through:
- Channel memberships – You get a cut when subscribers pay a monthly fee for exclusive access and perks on your channel
- Merch shelf – Sell branded merchandise to subscribers. This is for the serious YouTubers with a diehard fan base (The 9-year-old multi-millionaire we talked about earlier? His merch is so hot it’s sold at Target, Walmart, and Amazon!)
- Super Chat & Super Fans stickers – Fans pay to have their comments and messages highlighted
- YouTube Premium revenue – Receive a portion of a Premium subscriber’s membership fee when they view your content
With the video streaming market piping hot, there’s no better time to start making money on YouTube. If your company is already creating helpful, relevant, and entertaining videos for your audience, go ahead and take the plunge to start monetizing your efforts.
Need help? UpTurn Agency offers a full suite of digital marketing and branding services designed to help your business thrive. Contact us at 775-772-3874 or email@example.com to learn more!