[0:00] so how much does YouTube pay for 1,000 [0:03] views well all of these guesses yeah [0:07] they're correct that sounds a little [0:08] crazy doesn't it and this is just the [0:10] beginning for example how much money you [0:13] make doesn't always depend on your Niche [0:15] this is a video from our Channel which [0:17] is all about YouTube education and it [0:18] has an RPM of [0:20] $3.38 this is also a video from our [0:22] Channel but it has an RPM of [0:25] $164 it's the same channel the same [0:28] month but five times rpn so how is all [0:31] of this possible in a minute I'll tell [0:33] you all of the things that affect [0:34] YouTube Revenue how much real channels [0:36] are making in different niches and how [0:38] to boost your potential YouTube income [0:40] but first and important YouTube [0:43] fundamental hang on I've already done [0:45] this RPM is not to be confused with its [0:49] close relative CPM while CPM or cost per [0:52] 1,000 views refers to the cost [0:54] advertisers pay on ad Revenue RPM or [0:57] Revenue per 1,000 views includes all [0:59] money monetization sources ads Channel [1:02] membership super chats and YouTube [1:04] premium Revenue in a nutshell CPM [1:06] estimates what advertisers are paying [1:08] while RPM estimates what the Creator's [1:10] take-home pay is after YouTube's C this [1:13] typically leaves the average creator [1:15] with 55% of the ad revenue or 70% of the [1:18] fan funding Revenue whether or not you [1:20] think this is a creative extortion or a [1:23] fair deal the bottom line is YouTube's [1:25] house and YouTube's rules and personally [1:28] I believe that YouTube leads the [1:29] industry when it comes to compensating [1:31] creators so you're already on the best [1:33] platform and of course you are more than [1:35] welcome to disagree and argue with me in [1:37] the comments below but just remember you [1:39] can store an unlimited amount of video [1:41] online and have it broadcast to a [1:43] potential audience of 2 and A2 billion [1:45] people every single month for free feels [1:47] like a fair deal to me anyway RPM lesson [1:50] out of the way let's get back to the [1:51] topic at hand Big Max bear with me on [1:55] this one imagine strolling into a [1:56] McDonald's in New York Tokyo or Delhi [1:59] craving that I IC Big Mac surprisingly [2:01] you'll find the price as varied as the [2:03] cities themselves This Global price [2:05] difference isn't random it mirrors the [2:08] economic landscape cost of living and [2:10] local purchasing power of each local on [2:12] the bustling streets of the financial [2:14] capitals of the world such as New York [2:16] and London where economies are bigger [2:18] the wallets open wider and that means [2:20] advertisers are much more willing to pay [2:22] top dollar to grab a spot on your video [2:24] much like a price a Big Mac budgets [2:27] swell in markets with potential driving [2:30] your CPM and ultimately RPM contrast [2:33] this with quieter economic Landscapes [2:35] where company wallets might not be as [2:37] thick reflecting a more modest Big Mac [2:39] price and similarly your video earnings [2:42] and to be crystal clear this has [2:43] absolutely nothing to do with your [2:45] channel settings or where you publish [2:47] the video it's the location of a viewer [2:50] who's watching it that matters and as [2:52] you can see cpms the amount advertisers [2:54] are willing to pay varies greatly even [2:58] more than the price of a Big Mac another [3:00] important factor is video length did you [3:02] Spot the Difference earlier on yeah same [3:05] Niche same channel same month but a [3:07] massive difference in video length now [3:09] there is a somewhat Tricky YouTube [3:11] equation to navigate here where your [3:13] video should be as long as possible but [3:15] also as short as necessary the longer it [3:17] is the more watch time you can get [3:19] therefore the more money you can make [3:21] but longer also means it's harder to [3:23] keep viewers attention and it could even [3:25] be a turnoff from the get-go I mean how [3:27] often have you seen a time stamp in the [3:28] bottom right hand corner of a thumbnail [3:30] and said to yourself I ain't got time [3:31] for this and so this is where the magic [3:33] number eight comes into play YouTube [3:35] lets you add more ads if your video is [3:37] longer than 8 minutes if you jump into [3:39] the YouTube Studio vent and monetization [3:41] you'll see this option called mid roll [3:43] ads where you can if you wish manually [3:45] Place more ads throughout your video in [3:47] this example I placed three manual ad [3:50] spots which theoretically means I've [3:51] just increased my potential revenue from [3:53] that one video but in reality it doesn't [3:56] mean that all of these ads will be shown [3:58] to viewers and if you try to abuse the [4:00] system YouTube will just laugh in your [4:02] face when I tried it on this video [4:04] Revenue simply went down so yeah don't [4:07] do that you don't have to place these [4:09] mid roll ads manually by the way YouTube [4:11] will do it for you so there might never [4:12] be a need to visit this screen but if [4:14] you do want to specifically place and [4:16] add at a certain point in the video [4:17] because you know you have them hooked at [4:19] least you've got that option so let's [4:20] get on to RPMs and niches and yes they [4:24] do play a big part so right here in this [4:26] column is my RPM and honestly compared [4:29] to other channels from what I've seen it [4:32] looks like it's pretty low I don't [4:33] really know the reason as to why maybe [4:36] it's because I don't make Finance videos [4:38] I know those have like a pretty high RPM [4:40] Rebecca Joy is pretty much spot on here [4:42] her Niche does somewhat dictate her RPM [4:45] as a lifestyle channel it's a pretty [4:47] broad topic with a wide audience appeal [4:49] it's more likely to be a younger [4:51] demographic too which means less [4:52] disposable income all of that it's not [4:55] as bad as the couch GM over in the [4:57] sports Niche who showed an RPM of just [5:00] $264 but we can go lower still Jack [5:03] Craig has a football channel called [5:04] nutmeg that's showing an RPM of just 50 [5:07] cents so are you a creator that puts [5:10] profit before passion there isn't [5:12] anything inherently wrong with this but [5:14] RPMs do become a very important metric [5:16] and that means there's a lot of niches [5:18] that you probably want to steer well [5:20] clear of cooking channels reaction [5:21] channels Fitness and music are all low [5:23] earners a prank Channel which may fall [5:26] under entertainment and comedy such as [5:28] the C Sawyer Channel reported earned [5:30] just $161 from each 1,000 views [5:33] according to the Business Insider but at [5:34] the same time there are always [5:36] exceptions within a niche gaming usually [5:38] gets a bad rap but Nifty is reporting an [5:41] RPM of $250 and then more impressive [5:43] still is Wick gaming with an RPM of just [5:46] under €5 which exchanges to just over $5 [5:50] and remember we mentioned music being [5:51] Dreadful earlier on well Mary spender in [5:54] the music Niche showed a CPM of [5:57] £8.48 which is over $10 true this is CPM [6:00] and not RPM but it's still an incredible [6:02] figure from a music channel after [6:04] YouTube's cut even if you do operate in [6:06] a particular Niche the amount you earn [6:08] May differ greatly from the average so [6:11] it's not really worth complaining to [6:12] YouTube if your figure is different to [6:14] somebody else's it's to be expected [6:16] anyway back to some examples what about [6:18] the niche that's exploding on YouTube [6:20] right now faceless channels the zini [6:22] studio which is a channel that shows [6:24] viewers how to make their own faceless [6:26] channels shared an RPM of just over $6 [6:29] but what about the other end of the RPM [6:31] Spectrum how much do high earners rake [6:33] in every 1,000 views Joshua Mayo one of [6:36] those fabled Finance channels has an [6:38] average RPM of over $20 that even Peaks [6:41] up to $40 on certain days this digital [6:44] marketing Channel reports at an RPM of [6:46] over $11 when you see this as 2 million [6:49] views over a year for [6:51] $22,000 you start to see why certain [6:54] creators made the decision to go into [6:56] certain niches making money and digital [6:58] marketing seem to be the most lucrative [7:00] of niches but what's this I see [7:02] educational videos with an average CPM [7:04] of [7:05] $989 but is this true well luckily on [7:08] this occasion we have a lot of data to [7:09] pour through cuz we can take a look at [7:11] our Channel it looks like we do well [7:13] above average for the niche with a CPM [7:15] of over $15 and yet our RPM is well [7:19] under $6 now my Mas isn't brilliant but [7:22] that feels like more than a 45% cut from [7:25] YouTube but this is where things can get [7:27] incredibly complicated incredibly [7:29] quickly I mean look at the variation [7:31] here in CPM between different videos one [7:33] about a faceless channel gets more than [7:35] double the CPM of a video it's about how [7:37] to start a gaming channel on YouTube and [7:39] look at this videos about how much [7:41] creators earn on YouTube do really high [7:44] cpms too kind of why I'm making this [7:46] video to be honest I need some more [7:48] money for my Lego [7:54] budget all right let's get down to the [7:56] real business of this video 1,000 views [7:59] C PMS RPMs is this what creators should [8:02] be focusing their attention on if they [8:04] want to make YouTube financially [8:06] sustainable you know what I think it's [8:08] time for a quick case study money Ortiz [8:10] is a self-taught photographer who used [8:12] to shoot weddings on the weekends while [8:14] working full-time as a police officer he [8:16] jumped on the YouTube bandwagon to [8:17] Showcase his work as a photographer as [8:19] it is for every Creator every month's [8:22] income is different so his an example [8:24] from September 2022 nearly [8:27] $23,000 and how much do you think came [8:29] from all of those ads I'll give you 5 [8:35] Seconds barely 10% you see the smartest [8:38] creators don't just rely on YouTube to [8:40] sell their content to advertisers they [8:43] Market themselves and earn way more [8:45] because of it Manny sells an online [8:47] course and presets for coloring filters [8:49] he represents Brands he diversifies and [8:52] is a business in his own right this is a [8:55] problem you see creators get so obsessed [8:57] with the scraps cpms RPM's ad Revenue [9:01] that they fail to see the real Financial [9:03] opportunities on YouTube yes absolutely [9:05] ad revenue is the easiest way to make [9:07] money on YouTube because you just flick [9:09] a switch and YouTube takes care of a [9:11] rest but YouTube also takes a lot from [9:13] this and advertisers work within their [9:15] own budgets you are at the very end of [9:17] this financial funnel and it's getting [9:19] squeezed by everybody along the way so [9:22] stop focusing on how YouTube is going to [9:24] monetize your content that will take [9:26] care of itself you need to start [9:28] researching how to I ize your audience [9:31] and maybe your audience isn't big enough [9:33] to do that yet but when it is the [9:35] rewards will be so much greater to get [9:36] you started down this road even YouTube [9:39] offers you features on this topic before [9:41] you even get ad Revenue they will help [9:43] you directly connect with your community [9:46] Through fan funding to find out more [9:47] watch this video right now