How Do People Make Money From YouTube?
Have you ever wondered how people make money from YouTube? It was not too long ago that this was considered a crazy idea, but now plenty of people are earning extra money – sometimes a full income – each month from YouTube. When done correctly, posting videos on YouTube can become a source of income for just about anyone, and even grow to the point where it becomes your job. But how are they doing it? How are they turning this site full of cat videos and product reviews into a source of income? Here are the primary ways that people make money from YouTube.
YouTube Ads
First, there are YouTube ads. When you upload a video to YouTube, you have the option of displaying ads connected to your Google Adsense account on the video. Then, each time a person views your video, you get a little bit of money. The amount you get can range wildly, and since YouTube prohibits its partners from releasing their earnings figures, it is hard to gauge how much you can really make. But for the sake of argument, let’s assume you make $1.00 for every 1000 views that your video gets. If you upload 5 videos, and they each get 1,000 views per month, you are looking at $5 per month. Now, obviously, this doesn’t sound like much.
But again, keep in mind that the rates vary, and that some videos can receive millions of views if they go viral. Post a couple of videos with a few hundred thousand views each, and suddenly you’re making a decent amount of money. For more on how YouTube ads work, visit this article.
Sponsors
Another source of income is when a company directly sponsors you. Rather than making money through the ads placed before your video, you’ll directly pitch a product yourself. Let’s say a mobile phone company is releasing a new product, and they want to gain some exposure. Since you make videos reviewing tech products, they reach out to you about a sponsorship. They pay you to promote their new product, and to hype up all of its features.
Another way that sponsors operate is if you direct your viewers to their website, you will get a portion of any sale they make as a result. You may have noticed others doing this, directing you to a website with a promotional code that offers you a discount. This promo code allows the company to see who referred the customer, and provide a portion of the profits.
Here is a handy guide on finding sponsors for your content if you would like to go this route.
Patreon
When a YouTuber has built up enough of a following, they sometimes turn to Patreon to add to their income. With Patreon, loyal subscribers can chip in a few dollars a month to support your creative endeavors. Since YouTube provides free content, many people are more than happy to chip in a little each month so that you can continue to provide the content they enjoy. As an incentive, many creators will offer bonuses to their Patreon subscribers in the form of bonus materials, or early access.
Promote Other Ventures
Lastly, YouTube is an excellent place to market anything else you have going on. Recently created a commercial for your business? Post it on YouTube and drive more customers back to your website. Do you have a blog that explains DIY projects? Post some tutorial videos on YouTube. You can use YouTube to increase exposure for your other ventures, rather than making money from the YouTube videos itself. If you have something big going on with your business, make a video about it, and let the world know in a format other than text. It’s a great way to reach new customers, and provide traffic to your website for a small cost.
How To Make Money From YouTube
If making money through YouTube sounds like something you’d be interested in, then there’s a few things you can do to get started. First, remember that making money through YouTube is likely not going to happen overnight. Many people post several videos on YouTube, only to make a few cents back. To truly be successful with YouTube you need 4 things:
- A high quality product. Learn video editing and make sure your videos are easily seen and heard. Also make sure that the video is something worth watching.
- A loyal following. Build up subscribers who will watch all of your new videos when they come out.
- Consistency. Videos should be posted on a regular schedule, so that your viewers are always getting new content.
- Diversified income. While each approach above will work as a source of income, it’s better if you can combine several of them. Earning a little bit with each source will add up to a much larger sum, and be easier to achieve.
With these four ingredients you will be well on your way to earning an income through YouTube. Thousands of people have earned money through this site, and there is no reason that you can’t too. To get started, here is another guide we have written for more information on how to get started making money on YouTube.