How to Calculate YouTube CPM (Real Example)
60sProvides a clear, actionable formula for calculating YouTube earnings, which is highly searched and useful for creators.
▶ Play Clip"The title promises a calculator but delivers a manual explanation of the formula, which is close but not exactly a calculator. The content is solid and directly on-topic, though the title oversells slightly."
This video provides a practical walkthrough of how to check YouTube earnings and understand the key metrics behind ad revenue, specifically focusing on estimated monetized playbacks and playback-based CPM. The creator demonstrates how to navigate YouTube Analytics and explains the formula used to calculate revenue from these figures.
To check earnings, click on your subscribers, views, or video manager, then navigate to the analytics section. Specifically, click on 'Ad rates' under analytics to see revenue data.
The analytics show a playback-based CPM of $4.79, YouTube ad revenue of $24, and estimated monetized playbacks of 5,091. This is the raw revenue before YouTube's cut.
The formula for calculating revenue is: (Estimated Monetized Playbacks / 1000) * Playback-based CPM. This is because CPM is the cost per 1000 views.
The analytics provides a breakdown by geography. For example, the United States shows $18.47 from 4,147 monetized playbacks with a CPM of $4.45. Other countries like Canada, the UK, and the Netherlands have different CPMs and playbacks.
For the US: 4,147 monetized playbacks divided by 1000 equals 4.147. Multiplying by the CPM of $4.45 gives approximately $18.45, which matches the reported $18.47.
For Canada: 122 monetized playbacks divided by 1000 equals 0.122. Multiplying by the CPM of $11.41 gives $1.39, matching the reported amount.
For the UK: 359 monetized playbacks divided by 1000 equals 0.359. Multiplying by the CPM of $2.80 gives $1.47, matching the reported amount.
For the Netherlands: 17 monetized playbacks divided by 1000 equals 0.017. Multiplying by the CPM of $27.37 gives $0.46, matching the reported amount.
The formula can be used strategically to estimate potential earnings from different markets. For example, if 4,147 monetized playbacks came from a market with a $110 CPM, the revenue would be $459.
YouTube takes a cut of the revenue. The creator's actual earnings were $13.38 after YouTube's cut, which is significantly less than the estimated $24.
The video explains the core formula for calculating YouTube ad revenue and demonstrates it with real examples from different countries. It also highlights the significant impact of YouTube's revenue share, which can reduce earnings substantially.
What is the formula for calculating YouTube ad revenue?
(Estimated Monetized Playbacks / 1000) * Playback-based CPM
03:33
What does CPM stand for?
Cost per mille, or cost per 1000 views.
03:46
What was the playback-based CPM for the United States in the example?
$4.45
02:03
How much revenue did the creator actually receive after YouTube's cut?
$13.38
07:55
What is the estimated monetized playbacks for the US in the example?
4,147
02:03
Revenue Calculation Formula
This is the core formula that demystifies how YouTube calculates ad revenue, making it a key takeaway for any creator.
01:50Real-World Calculation Example
The step-by-step calculation for the US demonstrates the formula in action, providing a clear, practical example.
03:33Strategic Market Targeting
The idea of using the formula to estimate earnings from different markets is a valuable strategic insight for creators.
06:08YouTube's Revenue Cut
Highlighting the significant difference between estimated and actual revenue after YouTube's cut is a crucial reality check for creators.
07:22[00:19] okay how much so you gotta check your YouTube earnings okay so first you can click on either your subscribers your views are the video manager I was clicking on views views from the 6 thanks steer going to see er analytics
[00:33] thanks steer going to see er analytics hold over
[00:49] okay so under analytics we're going to click on add rates and then analytics click on add rates and then analytics we're going to click on add rate
[01:12] takes their cut or whatever and so let's see I have a playback based CPM of four see I have a playback based CPM of four point seven nine YouTube ad revenue $24 estimated monetized playbacks five thousand ninety one okay so how do they
[01:31] thousand ninety one okay so how do they calculate the revenue let's see
[01:50] gonna show you how it's done okay so they're looking at the geography got they're looking at the geography got $18.40 central United States and clear day in their remote thing is I met okay 18 hours that's what is ever since from
[02:03] the United States the estimated monetized playbacks was four thousand monetized playbacks was four thousand one hundred and forty seven and the CPM was four dollars and forty-five cents okay so wait you go to later it's
[02:24] okay so wait you go to later it's wearing my friend put my friend in the middle so you could stick it up these numbers make my friend look bigger
[02:36] numbers make my friend look bigger [Music] contra show you everything okay so let's say let's figure out ok so it's United States this is United States 18:47 Canada a dollar thirty nine United
[02:55] Kingdom a dollar forty five cents from Netherlands and OSH Australia Australia Netherlands and OSH Australia Australia for questions so Lisa figure out the
[03:08] United States of mate this is only 18 dollars and forty-seven cents monetized dollars and forty-seven cents monetized playbacks let me just
[03:33] four thousand one hundred and forty seven monetized playbacks divided by the seven monetized playbacks divided by the CPM oh no a notes are divided by 1000
[03:46] CPM oh no a notes are divided by 1000 because it is per 1000 views per 1000 because it is per 1000 views per 1000 monetized playback use so that's four monetized playback use so that's four point one then you multiply that by your
[04:01] point one then you multiply that by your CPM four point four point four five okay
[04:14] CPM four point four point four five okay so doing four one four seven divided by so doing four one four seven divided by 1000 equals four times four point four
[04:30] 1000 equals four times four point four five and that will get you $18.45 for five and that will get you $18.45 for 1847 okay so now let's look at um Canada
[04:42] 1847 okay so now let's look at um Canada and Canada had 122 estimated monetized and Canada had 122 estimated monetized playbacks divide that by 1000 times the playbacks divide that by 1000 times the CPM their eleven point four one that's a
[05:01] dollar thirty nine see cheetah and then okay so you take the estimated monetized okay so you take the estimated monetized playbacks and then you divide that by playbacks and then you divide that by 1000 and then you multiply that times to
[05:15] 1000 and then you multiply that times to playback base CPM let's try you 19 to $1 playback base CPM let's try you 19 to $1 okay I got 359 estimated monetized
[05:27] okay I got 359 estimated monetized playbacks divided by the 1,000 views playbacks divided by the 1,000 views multiply that times the playback base multiply that times the playback base CPM 2.8 2.8 you get $1 try 47 cents to
[05:50] CPM 2.8 2.8 you get $1 try 47 cents to the Netherlands 17 monetized playbacks the Netherlands 17 monetized playbacks divided by a thousand times twenty seven divided by a thousand times twenty seven point three seven 46 cent and so even
[06:08] with this like this could help you try to reach different markets or whatever to reach different markets or whatever let's say you wanted to do it big or let's say you wanted to do it big or whatever let's try let's see if you want
[06:27] to reach like a huge 20 different markets or whatever let's say you try to reach the one that made that pays back one hundred and ten dollars or whatever one hundred and ten dollars or whatever and so let's say let's say I got the
[06:40] monetized playbacks with these people let's see how much I wouldn't have kid for four thousand one wouldn't have kid for four thousand one hundred and forty seven divided by a
[06:54] hundred and forty seven divided by a thousand equals 1404 point one yeah thousand equals 1404 point one yeah basically guys and then on this basically guys and then on this multiplier times day I'm out that's four
[07:10] multiplier times day I'm out that's four hundred and fifty nine dollars so I mean as a strategic factor that plays into it or whatever so good luck good luck with
[07:22] getting your estimated monetization whatever your YouTube ad revenue also remember that YouTube will cut happiness let's see what I got really happiness let's see what I got really which sucks
[07:55] I only got $13.38 after you to takes his cut it sucks but this is YouTube you know it it is what it is accepting for what it is every penny counts this what it is every penny counts this passive income just enjoy I guess I'm
[08:08] not happy but I'm gonna try [Music]
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