[0:00] when our youtube channels reach a
[0:02] certain level
[0:03] we get monetized which means
[0:06] youtube then starts running ads in our
[0:08] videos and we start earning money from
[0:11] it
[0:12] so that's when we might start hearing
[0:14] the terms rpm and
[0:17] cpm but what do they actually mean well
[0:20] in this video i'm going to give you a
[0:22] very simple answer to that and it's
[0:24] coming up right now
[0:33] so here we are on my youtube channel
[0:35] mark warner social media selling one two
[0:37] three and this video is all about
[0:40] explaining the difference between rpm
[0:42] versus cpm and these become important
[0:46] terms or metrics for us all to
[0:48] understand once our youtube channel gets
[0:50] monetized that's right once you have
[0:52] over four thousand watch hours on your
[0:55] youtube channel and a thousand
[0:57] subscribers youtube
[0:58] start putting ads in front of your
[1:00] videos or ads within the videos and
[1:02] that's when the term rpm and cpm come
[1:04] into play so i'm recording this video on
[1:06] the first of october the start of a new
[1:08] month here in sydney um and my cpm for
[1:10] the month was 24. and my rpm was
[1:14] 11.46 so for the month of um september
[1:17] i've earned um 706
[1:19] u.s
[1:20] dollars which will convert to about 900
[1:23] australian dollars in advertising
[1:25] revenue so cpm and then rpm is how this
[1:28] final figure is decided
[1:31] so cpm is the cost per 1000 ad
[1:34] impressions
[1:36] before youtube share with me some of the
[1:39] revenue so what does that mean so
[1:40] basically what that means is advertisers
[1:43] are paying from last month what was the
[1:45] figure it was twenty four dollars and
[1:46] eight cents so last month on my channel
[1:49] advertisers were paying twenty four
[1:52] dollars and eight cents per 1000
[1:55] impressions of their ad
[1:57] placed in my video that's right so when
[2:00] the advertisers have to bid and place
[2:02] their um they're at in my video it is
[2:05] worth to them
[2:07] um or the bidding for them is 24.08
[2:10] now from what i understand my channel is
[2:12] pretty high you know the average channel
[2:14] could be you know i'm i'm feeling um
[2:16] people tell me you know around 10 that
[2:18] type of thing so the advertisers are
[2:21] determining my content and the people
[2:23] who are watching my content a little bit
[2:25] more valuable hence why it's a twenty
[2:28] four dollars in eight cents um cpm now
[2:32] that means the rpm is always going to be
[2:36] lower than the cpm because the rpm
[2:39] is what is paid to me the revenue share
[2:42] or the revenue split for the month of
[2:44] september and i'm using this as an
[2:45] example is
[2:47] 11.46 and it includes all the views that
[2:50] were monetized on my channel so it's
[2:53] pretty straightforward so again
[2:55] the cpm is what the advertisers pay the
[2:59] rpm is what i get paid in
[3:03] at the end of each month and and this is
[3:05] a really live example because we've just
[3:07] ticked over the end of september for the
[3:09] month of september the rpm on my channel
[3:12] was 24.8 cents which means the um sorry
[3:15] the cpm was 2408 the rpm 1146 earning me
[3:19] 706 um dollars in ad revenue us dollars
[3:22] which converts to about 900 odd
[3:23] australian dollars probably 930 which is
[3:25] pretty good for me so simple explanation
[3:28] what i want you to do i'd love you to go
[3:29] to um the comment section below um and
[3:32] let me know what your cpm is and your
[3:34] rpm because it will be different on each
[3:36] particular um channel and there is no
[3:38] right or wrong um you know answer to
[3:40] that you know some people are no doubt
[3:42] are going to be way more than mine and
[3:44] i've seen that already
[3:45] other people i know will be
[3:47] significantly less as well so go to the
[3:49] comments let me know your thoughts on
[3:51] that and while you're there don't forget
[3:52] to hit that subscribe button as well