Millennials are changing the world. And that is no longer news. Their habits, way of thinking, and occupations are completely different from previous generations. According to research, they are the largest consumer body and as such create the market. They are also changing the perception of the media.
Television shows are no longer the main source of entertainment. You won’t find the funniest videos by changing channels, and that was one of the most-watched types of shows in the world. Family fun has moved online. It is no different when it comes to educational shows. You will find everything you are interested in on YouTube – from how to make a table yourself, to an explanation of Einstein’s theory of relativity.
Additionally, this seemingly simple “hobby” is becoming a serious business. Young, smiling, and talkative YouTubers with hundreds of thousands of followers are the fastest way to a younger audience, which companies targeting young people have use of. Although there is no official figure of the exact revenue vloggers generate per year, we can say with certainty that the total revenue is higher than the yearly budget of probably half the countries throughout the world.
Earning Potential From Blogging
Late last year, Forbes published a list of the highest-paid YouTubers in 2020, and in the first place was Ryan Kaji with earnings of 29.5 million dollars. At the very beginning of the same year, his earnings amounted to seven million. He was closely followed by Mr. Beast with $24 million and Dude Perfect team with $23 million. The other 7 channels in the top 10 all have over $15 million of earnings per year.
Will you immediately earn this much? Definitely not.
Of course, this is not something that everyone can do. The examples mentioned above are incredibly popular YouTube channels that provide unique content. In case you are not a celebrity already, the path to the top is incredibly long and requires a lot of time and hard work.
According to an analysis by a German survey, even someone in the top three percent of the most popular YouTube channels can still earn only $16,800 a year. So, think twice if you want to quit your job and start shooting videos for YouTube in hopes of making big money. The first baby steps can be frustrating but this should not demotivate you. There are numerous ways to earn by vlogging even at the beginning. Here is what you need to know.
Firstly, we need to distinguish one thing – there are different types of earnings on YouTube. How much just YouTube pays to a vlogger is a completely different matter from the total earnings a YouTube creator can make. It is important to know that the number of YouTube views is not the only factor that affects earnings.
What everyone needs to do is monetize their channel with Google AdSense. AdSense displays ads on your YouTube channel, and you get paid every time someone watches or clicks on that ad. This is actually the easiest way to make money on YouTube. Google is still a mystery about how much money vloggers make per ad display, and some ads are worth more than others. However, estimates range from about $3 to $10 per 1,000 views. Some of the most famous YouTubers in the world earn between $5 and $10,000 a day just from ads on their channels.
This is the best and easiest way to make money if you already have a channel built that is often visited. There is also the option of concluding temporary cooperation with a brand or public figure. This works by having your brand or person pay for their name or product to appear briefly in the video. This type of earnings is more typical for regular YouTubers as it is more adequate for channels that are not exclusively singing-oriented.
Earnings are closely related to the engagement of viewers in the advertisement itself, that is, how many people who watch the video actually click on it. Engaging means clicking on an ad or reviewing it for more than 30 seconds. YouTube ads are managed through the AdWords platform. Advertisers can choose CPC (cost-per-click) or CPV (cost-per-view). So, there are two types of advertising.
Earnings on YouTube: CPC (cost per click)
This option means that the advertiser will pay the vlogger any time someone clicks on their ad. So, if a certain keyword has a CPC of 3 dollars for example, and someone clicks on that ad, the advertiser will pay 3 dollars. These text ads pop up at the bottom of the screen during the video itself, and can also appear as pop-ups on the right.
Earnings on YouTube: CPV (cost per view)
CPV is when an advertiser pays by the number of views. One review means that someone has reviewed the ad for more than 30 seconds or half of the entire ad, depending on what happens first. If the advertiser chooses this type of advertising, the viewer will be able to click 50 times on the ad itself, and the advertiser will not be charged for it.
Types of Ads
- Pre-Roll commercials are the ones that appear just before the start of the video and which we can skip after 5 seconds.
- In-Search ads appear during a search and are surrounded by a light yellow frame.
- The In-Display type of ad appears on the right side of the video, in recommended videos.
* There are also third-party pre-roll commercials, which force users to watch the commercial for a certain period. Since this type of advertising is not always present, we left them out in the basic division.
So, advertisers actually pay only when the desired action occurs on the ad. This is also the main reason why we cannot directly link the number of views and earnings. If the video gets 10 million views, and no one watches or clicks on the ad, you won’t earn anything.
The amount of earnings varies drastically depending on where the reviews come from, the type of video, and the popularity of that YouTube channel itself, among other factors. We initially clarified that YouTube ads are not the only form of revenue for creators on YouTube. In addition to advertisements, you can also earn money through sponsorships, ie. paid cooperations. In fact, the vast majority of YouTubers and Bloggers rely on paid collaborations.
This is what people mean when they say that a large amount of money is easily made on YouTube. This is indeed a good way to earn a larger amount of money in a shorter time, but it is far from easy. You need to choose the right product, create a creative video that will present it in the best way, and get viewers to buy it.
There is no written rule for paid collaborations either, the salary is very individual and depends on many factors. These factors are the value of the product being marketed, the CTR (click-through rate), the conversion rate, and, of course, the person marketing the product. As with advertising, it is almost impossible to predict the earnings from paid advertising. Roughly speaking, this type of earnings can vary from a few tens to a few thousand dollars, depending on your area.
It should be borne in mind that a YouTuber reviewing a new technology is very likely to have better-paid collaborations than other YouTubers, just because the technology is more expensive than, say, cosmetic products. However, how successful a YouTuber is in business negotiations also plays a big role.
Frequently Asked Questions About Blogging Income
In the following section, we will cover some of the most frequently asked questions when it comes to making money from vlogging. Let’s dive right in!
What is a YouTuber?
Many people imagine that only those who have a successful YouTube channel can be referred to as YouTubers. But regardless of how many subscribers you follow on your channel, if you produce video content on this network, you are already considered a YouTuber. It doesn’t matter if you’ve created a channel to promote your brand, to talk about everyday topics, or to broadcast educational material. Just posting your videos on YouTube already makes you a YouTuber.
What sets you apart from people like Pew Die Pie and channels like Dude Perfect is the number of followers and their commitment to those channels, which makes them better known than you.
How difficult is it to earn money on YouTube?
All in all, making money on YouTube is not easy. The cost of time and money on equipment, editing, lighting, studio or adaptation of the recording room, etc., is not low, and the return on investment will not arrive quickly. If you feel you have the potential for this job, start with what you have or borrow what you need to get started. If you decide that this is what you want to do, invest in it and be patient. Don’t expect too much in the beginning, but don’t be modest in your desires for the future either.
How to become a paid vlogger?
In order to be paid well, persistence is needed, as well as the ability to understand what people need and to know how to address them. It is important to determine your target group – who you are addressing and in what way. After that, everything else will go much easier. You have to keep in mind that constant work on video and content quality is necessary. Never forget that this is the fastest-growing branch and that some videos can easily become uninteresting to the audience.