Why Some Sponsorships Pay WAY More Than Others

[00:07] this place is looking so cool check this out every room is insulated from each other isolated from each other with sound board then drywall the entire sound board then drywall the entire ceiling

[00:20] with these hat channels and iso clips and then two layers of drywall that i'm gonna have to do a tour as soon as maybe they finish all the walls which should be next week

[00:36] let's do a tour of this place you can see what it's looking like stream room so there's gonna be gonna be a lot of videos in here it's not gonna

[00:49] tock is kind of weird is that fair to say tick tock's a little weird like it just seems like everyone's so angry over there i made a tick tock this week in light of the twitch leaks talking about something

[01:03] that not a lot of people have spoken about i also posted it as a short on my if you haven't seen my live streams link down in the description below but i noticed something interesting about the twitch leaks which was that i wanted to

[01:15] see how far down the list you could go before someone was not making the national average income the american average income uh which i got to almost 1979 people started

[01:30] making below the average american income which then i got a lot of angry people american income it's skewed by the billionaires you should have used the median income this is not accurate and you know that's fair so i went to the

[01:42] 52 000 right so uh at number 1979 the person made beneath 104 000 because the leak was for two years of income the median

[01:55] that makes sense kind of gets rid of the billionaires off this they don't destroy the curve is what i'm trying to say the median income is about 31 000 for an individual which is an average of 15 an hour 40 hour work weeks that makes 31

[02:11] 000 a year still using the american median income we didn't get to even number 3500 before people were making less than that i'm not going to show the list not trying to expose anyone's income here i'm just trying to expose

[02:25] twitch streamer not just for fun if you're doing it for fun i don't know why into a career that only zero four percent of all the twitch streamers end up getting above

[02:39] when you hear people using an argument over what a livable wages fifteen and only point zero four percent of streamers are making that and if i can heart to heart with you guys for just a moment i really thought i was doing you

[02:54] information at all it wasn't even my opinion it was just it's important to know that this is how few people actually make a living on twitch and uh people kind of raged the biggest pushback i got was that this was not a

[03:07] fair assessment most of these streamers are also getting sponsorship money and income is which is what i want to talk with you about today let's give some general numbers just because there's no science to it about how much a streamer

[03:20] could expect to make and how that affects this list and how much these people in the median american income how much maybe it changes that number because there are three main factors

[03:32] let's talk about number one most important thing on this list what kind of content are you making for example number 3500 that was making about 31 000

[03:44] a year i looked up that streamer number 3500 who was making 31 000 a month the median income looked them up on twitch tracker to see what their general stats were and a stream and they had an average of 200 viewers which is really

[03:57] top 1.1 on the platform the biggest factor that's going to adjust this person's sponsorship amount is gonna be what other kinds of content do they make is this person a twitch purist someone who

[04:10] the grind for years up until they got the 200 viewers or do they also have a quite a bit and brought that following over to twitch do they have a tick tock following or instagram following because i know when i had 200 viewers on twitch

[04:24] i had around 20 to 30 000 subscribers on youtube and that's probably around the time i started getting my first brand deals on my youtube videos and the youtube is because youtube is so much more profitable for sponsors let's talk

[04:40] screen here by the time i left twitch about six months ago i was streaming for anywhere from 900 to 1000 viewers on average and my youtube channel had about 550 000 subscribers and my videos would get within the first

[04:54] 24 hours about 40 000 views if someone were to sponsor one of my twitch streams and they wanted me to do a 10 to 15 minute ad bit maybe because they wanted get as much exposure as possible maybe they had me do it three times throughout

[05:08] right so we're getting as much of an audience as we can if i'm streaming for there's gonna be some overlap there it's not like we're gonna get 3000 people thousand individuals seeing this sponsorship and then it goes into a vod

[05:24] doesn't really get viewed at least not enough for a sponsor to really count on so that ad is going to get about 2 000 impressions and that's maybe about where it's going to end now not every impression is equal those

[05:37] right those people watching my live stream are pretty dedicated but there are some problems along the way right like where do i put the link i could put it in the chat i could have a bot put it or i could paste it in the chat

[05:49] but for the most part you're asking viewers to leave your live stream which you can put it in a panel down in the description so they can check it out later but nobody really checks out twitch panels at least a very small

[06:01] might be strong i would venture to say the click through is not going to be and then of course the main issue is that it gets 2000 impressions and then really doesn't get any more impressions ever again it's stuck at that number

[06:14] of the gate within the first 24 hours this channel will get anywhere from 30 this channel will get anywhere from 30 to 40 000 views on average that is already 15 to 20 times more than we got in the

[06:28] the initial impressions going to be strong but if you have a channel where people continue to watch after the fact maybe you have evergreen content like we do on this channel with tutorials and gear reviews that people watch over a

[06:41] long period of time it's always relevant well we have some videos on this channel that still from years ago get a couple thousand views a month those are still getting views there are so many reasons to diversifying your

[06:54] content and more importantly there is a reason why all the big tick tockers are also trying to move over to youtube there is so much more money to be made influence there is more engagement you can see i did a video response to one of

[07:10] these tick tocks and i talked about this and i said that on average i make you sponsorships a month on the youtube channel and on twitch i believe i've only done a total over the three years that i was like full time on twitch i

[07:23] dollars the bottom line is most of the streamers on this twitch leak even the ones just two thousand three four thousand down on the list that have 200 viewers they're not making significant money

[07:36] on sponsorships because no company's going to pay good money for 200 people to see an ad and then never get seen again please diversify your content not just for the

[07:50] monetization you need to make a living doing this if there's nothing wrong with getting that bag i hope you get that bag number two because metrics and engagement on your content is not the

[08:05] only factor here another one is how much actual influence do you have over people's purchases because that's what an advertisement is doing at the end of to buy something when talking about

[08:18] sponsorships i like to use this example if shroud and i were both sponsored by not familiar with shroud he's notoriously one of the best fps gamers in the world if he was sponsored by logitech to advertise their mouse and i

[08:33] was sponsored by hyperx to advertise their mouse of us do you think is gonna sell more mice mouses is the plural of computer mouse also

[08:45] mice i feel like it is we're gonna say mice guys i'm i'm not terrible at games like i'm i'm pretty average i might even be a tiny bit above average are you sure about that nobody's gonna

[08:57] take my recommendation on a mouse you're going to look towards the person who pushes that piece of equipment to its extreme and knows it better than anybody and face it a lot of you guys are going to say if it's good enough for shroud

[09:09] rings true however if we were to flip this in the opposite direction and this because shroud is a phenomenal creator he's got way more reach than i do but still think it proves a point if we were to talk about audio interfaces and

[09:25] shroud were to advertise this brand new usb microphone and i were to advertise this usb microphone even though shroud pulls in way more numbers than i do i'm over that space because that's the reason you guys come here that's the

[09:39] you're trying to turn your content into a business that's something to be aware of how much pull do you have in an area how much value does your content bring to your viewers how much influence do you have over the people who watch you

[09:51] without that kind of hardcore influence i've seen massive gamers get sponsorships by vpns and stuff all the time stuff that's not perfectly related lower the rate because they're not paying for an influence anymore what

[10:04] they're basically doing is paying for a massive name recognition and exposure the last question something i wanted to address relatively quickly which is how do i get these sponsorships let me share with you my personal experience on

[10:21] mantra in this situation usually when we talk about sponsorships like this on stream agents and agencies management comes up and people ask how do i get my own agent my agent amber howard is responsible for

[10:34] bring in i've been represented throughout my career by four different agencies uh grape story was the first one which was i believe co-founded by gary vee wme was my first big agency when i was doing music with my wife i've

[10:47] been represented by abrams which is when i was signed by amber and then she moved there i didn't reach out to any of these companies in fact i've never been signed i've only reached out to one and they

[11:00] the industry is very easy to get caught up in and very easy to get distracted by being signed by an agent or sometimes joining an org for a lot of you gamers gives that sense of recognition validation right someone else recognizes

[11:15] of times if you jump in too early that's all you end up getting out of it you validation you were looking for by getting signed and all those emails you sent out to orgs and agencies was just a waste of time and a distraction from the

[11:30] to me even some of them when i was still pretty small i want to say abram signed me when i had maybe a hundred thousand subscribers on the content i was making my mantra has always been

[11:44] focus on the content focus on becoming as marketable and as influential as you to be signed they'll start reaching out to you in it's not always true but if you are spending time reaching out to agencies

[11:59] might be a little too early for you and if one of them says yes any money so take what you will with that go out and money on this channel because this channel is about taking your content

[12:14] taking your streams and turning it into a career and it's just it's not a career talk about money on this channel but only on a few rare occasions have i made it about me and about the money i've made i'm posting a video pretty soon

[12:28] industry i've had a couple ideas do really well business-wise and a video i've been meaning to do for a while is how i spent my first million dollars my only million dollars because that's about as far

[12:43] with my money has really defined my career and i'd like to talk more about it i'm going to do that video on my personal channel youtube.com down below it's where i post shorts videos and live stream if you enjoyed

[12:57] subscribe to the channel if you haven't already hit me up with any questions you have in my live streams again same hair cellar youtube channel and as always cellar youtube channel and as always happy streaming