Want to know how much can you make on YouTube?
I know you’re intrigued to know this stuff right now.
Let’s get started!
You can start making money on YouTube once you’ve enabled monetization for your videos.
But there’s a lot to it!
YouTube pays only a share of what it earns through monetized ads on your video.Click To Tweet
The revenue share you receive has nothing to do with ‘how many subscribers you have?’ or ‘how many total views your video gets?’.
Basically, the amount of $$$ that you’ll make is majorly based on how insightful your partner places the ads, and how well they are converted.
Here’s a short glimpse of YouTube revenue sharing policy:
Each AdSense publisher receives a percentage of the revenue recognized by Google in connection with the display of ads on their videos. This percentage is referred to as the revenue share and is displayed within your AdSense account associated to your YouTube account.
- Youtube owned by Google takes 45% of revenue received from ads
- The rest 55% is given to the YouTube channel, which is then split between the YouTube partner and video creator.
Another interesting factor, you definitely need to know about is ‘YouTube Pay Per View‘, which we have discussed in our earlier post. Once you’re done with it, we can now start the math!
How much do YouTubers make per 1000 views?
Let’s consider two scenarios
- One based on keywords
- Other based on monetized video ads
Are You Aware that, of the different YouTube Advertising Formats, overlay and display ads are keyword oriented!
Targeting high CPC keywords would fetch more profit.
|Youtube Money Calculation||Product Review Videos||Financial Consulting Videos|
|No. Of Views||100000||10000|
|No. of Monetized Ads||1% of 100000 = 1000||1% of 10000 = 100|
|Monetized Dollars||1.25 x 1000 =1,250$||15.5 x 100 = 1550$|
|Deduct Google share||(-) 45% of 1250 = 562.5$||(-) 45% of 1550 = 697.5$|
|Final YouTube Payout||687.5 $||852.5 $|
Monetized Ads are the ads that have been clicked by the visitors.
The above CPC and CTR values are approx and have been adopted just for the sake of explanation. Here is a list of few High CPC keywords to get an idea.
Inference: From the above example, you can see how you might make $1 per 145 views (for low CPC keywords) or $1 per 12 views (for high CPC keywords). For the same number of views, a video about latest HD cameras might make less when compared to a financial advisory (like loans, mortgage etc) video.
Targeting the right high CPC keywords will ramp up your YouTube money and make a lot of difference.
Concentrate on producing videos with high CPC, for higher returns.
MONETIZED VIDEO ADS
Assuming pre-roll advertisements on half of the videos.
Considering only about 50% of views as a “paid views” since many of them skip. Based on this assumption a YouTube partner would have earned 0.5 X $7.60 X 55% = $2.09 per 1000 views.
Remember Google takes its share of 45% leaving your payout. This gives you about $1.
Paid views/Monetized views are the ones which YouTube charges advertisers when a viewer watches 30 seconds or more of the ad.
Now, imagine the amount of money you can generate if your video goes viral with millions of views.
Also Read: 6 Proven Free Ways to Increase YouTube Views
Here’s one such YouTube sensation! “Psy’s-Gangnam Style” became the first YouTube video to reach one billion views and has been the most viewed video on YouTube since
November 2012, with over 2,651,782,170 views (approx 2.7 billion views) by the end of September 2016.
It even surpassed the music video for “Baby” by Justin Bieber. Besides, these astounding stats what’s more interesting about this video is the money it generated through advertising!
Let’s calculate the money it might have bagged with true view in-stream ads and over 2.6 billion views.
Considering only 50% of views as a “paid views” as in the above case, the video creator would have made ($2.09 x 2,651,782,170)/1000 = $5,542,225 (approx 5.5 million USD).
On the worst case, even if he had received just 10% of paid views, it would have been 1 Million USD for just a single video.
This excludes the amount the channel receives through advertising formats (like overlay ads and in-display ads) and also other monetization methods.
Most importantly, videos without ads attached to them don’t count towards CPM totals.
Videos containing copyrighted content do not earn revenue for the video creator, and some topics may not attract advertisers.Usually no more than half of eligible videos have a pre-roll advertisement, due to a lack of interested advertisers.
You might also be interested In 7 Ways to Earn Money from YouTube
The money you make on YouTube has more to do with what the advertiser pays, how many views you get and lot more other factors.
Try this YouTube Calculator to Calculate money made from YouTube videos.
If you find this article helpful, don’t forget to comment. From the above, I hope you can now compute your YouTube money. Do let me know if you find any discrepancies.