YouTube, commonly known as “YouTube,” is the largest video website in the world. Every day, 5 billion YouTube videos are watched worldwide, with users averaging 40 minutes on YouTube. People spend much more time watching videos than browsing the web.
Many Chinese people have started to make money on YouTube, such as the Office Xiao Ye channel, which features various creative office cooking videos, reportedly earning a monthly income of 4.5 million yuan; the famous Li Ziqi channel, which films rural life and food in China, earns more than 3.7 million yuan per month. Therefore, both Chinese and overseas Chinese have the opportunity to make money on YouTube.
The highest earner on YouTube is a child named Ryan, who utilizes his YouTube channel Ryan’s World, earning 26 million dollars a year through toy videos and unboxings. Thus, everyone has the opportunity to earn money from YouTube.
In this article, I will introduce various aspects of making money on YouTube and explore different ways to earn income on the platform.
Let’s get started.
First, let’s take a look at how much you can earn on YouTube?
According to a report by Forbes, from June 2018 to June 2019, these 10 channels were the highest-earning channels on YouTube:
- Ryan’s World, $26 million (25 million subscribers)
- Dude Perfect, $20 million (51 million subscribers)
- Anastasia Radzinskaya, $18 million (54 million subscribers)
- Rhett and Link, $17.5 million (4.91 million subscribers)
- Jeffree Star, $17 million (18.1 million subscribers)
- Preston (Preston Arsement), $14 million (13 million subscribers)
- PewDiePie, $13 million (104 million subscribers)
- Markiplier, $13 million (25 million subscribers)
- DanTDM, $12 million (23 million subscribers)
- VanossGaming, $11.5 million (25 million subscribers)
The above are the earnings of foreign YouTubers, which may seem out of reach for us. Next, let’s take a look at the income of Chinese creators on YouTube:
- Office Xiao Ye, monthly income of 4.5 million yuan (8.8 million subscribers)
- Li Ziqi, monthly income of 3.7 million yuan (10 million subscribers)
- Grandpa A Mu, monthly income of 3 million yuan (1.09 million subscribers)
- Xiao Ge from Dianxi, monthly income of 2.5 million yuan (5 million subscribers)
- TreeMan, monthly income of 1.2 million yuan (500,000 subscribers)
- Xiang Xiang Da Zuo Zhan, monthly income of 600,000 yuan (580,000 subscribers)
- Food Writer Wang Gang, monthly income of 500,000 yuan (1.38 million subscribers)
- Zhou Liu Ye Zoey, monthly income of 300,000 yuan (840,000 subscribers)
- Adventure Lei Tan Zhang, monthly income of 300,000 yuan (630,000 subscribers)
- Yu Ge Talks Movies, monthly income of 200,000 yuan (1.38 million subscribers)
- Teacher Li Yongle, monthly income of 200,000 yuan (1.31 million subscribers)
Even though the income data of these YouTube Chinese creators may seem exaggerated, their earnings are indeed substantial.
Next, let’s look at the core question:
How to Make Money on YouTube?
Compared to the relatively singular sources of income in China, such as the revenue-sharing mechanisms of Weibo, Douyin, and Kuaishou, YouTube’s income sources are more diversified, mainly including the following:
- YouTube’s Built-in Ad Revenue Sharing
- Affiliate Marketing Income
- Video Product Placement
- Selling Products
- Crowdfunding Creative Projects
- Fan Donations
- Licensing Videos to Media
Let’s take a closer look at these income methods:
1. YouTube Ad Revenue Sharing
For many YouTube users, ads are the most significant source of income.
YouTube Partner ads generally come in two styles: 1. Video ads that play during the video, and 2. Google AdSense banner ads displayed below the video.
However, to become a YouTube Partner, you must comply with YouTube’s ad policies and accumulate at least 4,000 watch hours and 1,000 subscribers or fans on your channel in the past 12 months to qualify for an ad account.
There are no specific requirements on how long it takes to reach 4,000 watch hours. You could upload 40 videos with an average watch time of 100 hours each, achieving a total of 4,000 hours, or any other combination, as long as you meet this minimum duration requirement.
For example, after opening the YouTube account of Dianxi Xiaoge, it reached 1 million subscribers in just three months, and the video views were enormous.
Once you successfully reach the 4,000-hour threshold and become a YouTube Partner, you can start earning money from ads.
However, relying solely on ads on YouTube is not enough. There are other ways to increase your income.
2. Affiliate Marketing Income
Just like promoting affiliate links on blogs, you can also post affiliate links on YouTube. This is a major source of income for YouTube channels that provide online tutorials and product reviews. Using affiliate marketing can also significantly increase your earnings. If you recommend products in your videos and users visit your links and make purchases, you will earn commissions.
However, it’s important to note that you need to provide videos that are genuinely useful to the audience to attract them to click and purchase. You should not provide irrelevant links just for monetary gain.
There are many affiliate programs to consider. You can find a lot of affiliate marketing programs in popular affiliate marketing networks like Shareasale or Flexoffers.
If you want to maximize your income, it’s best to start your own website or blog at the same time you open your YouTube channel. This can attract viewers to your website and increase customer retention. Moreover, if anything happens to your YouTube channel, you can still earn money through your website or blog. Don’t put all your eggs in one basket.
To create a blog or website, the first step is to purchase a hosting service. I recommend the Bluehost hosting server. Bluehost is the “official” web hosting platform recommended by WordPress.org, and you can check how to build a website with Bluehost.
3. Product Placement
Similar to product placement in movies, like those in Feng Xiaogang’s films, you can also have product placements in your YouTube videos.
Companies interested in your YouTube channel may want to place ads in your videos, and they will pay you for this placement. Of course, channels that can attract advertisers must have a certain level of popularity.
When placing ads in your videos, consider your audience’s experience. First, the product placement should be relevant to your video content; the more relevant, the better. Second, the quality of the placement must be good, and you should preferably have personally used the product and had a positive experience. Third, you must control the number and frequency of product placements, making them appear as natural as possible so your fans can comfortably accept them without feeling annoyed.
Generally, the income from product placements in YouTube videos is relatively high. This is because the production costs for YouTube videos are higher compared to posts on platforms like Facebook or Weibo, so the fees are relatively higher.
Please note that even with product placements, you must ensure compliance with Google’s advertising policies and legal requirements to avoid penalties from YouTube.
4. Selling Products
You can also make money by selling products through YouTube videos. You can sell items like T-shirts, coffee mugs, and backpacks, printing your channel’s logo on them to increase your channel’s exposure and enhance interaction with your fans.
To do this, introduce the products you have used in your videos and provide a purchasing link. Interested viewers may then decide to buy them. For instance, Ryan Kaji from the YouTube children’s channel Ryan’s World earns money not only through ads but also by selling toys, T-shirts, and other merchandise.
The physical products you sell can be manufactured by others based on your designs, logos, and other specifications to create unique items. Alternatively, you can sell your own downloadable content, such as eBooks or video tutorials.
Payments can typically be processed using online payment tools like PayPal.
5. Crowdfunding Creative Projects
If you have a great creative project idea, such as music, animation, or design, but lack sufficient funding, you can crowdfund this through your fans.
As long as your idea is compelling enough, you can call on your audience for support and use crowdfunding platforms to raise funds.
Before starting the crowdfunding campaign, you can create a teaser video to showcase what kind of project you plan to undertake, which will significantly increase your chances of success.
Popular crowdfunding websites abroad include:
Kickstarter – One of the most famous crowdfunding sites in the world, ideal for funding cool products and creative projects.
Indiegogo – Another well-known crowdfunding platform.
Domestic crowdfunding websites:
Modian – A cultural and creative crowdfunding community, the leading platform for product crowdfunding.
JD Crowdfunding – A platform with relatively low entry barriers for product crowdfunding.
Taobao Crowdfunding – Also quite popular in China.
6. Fan Donations
Of course, if you have cultivated a loyal fanbase, you can invite them to donate on YouTube.
If your content is good enough and viewers find it useful for their work or lives, they may choose to support you with donations.
Donations are made through the Super Chat and Super Sticker features, allowing fans to contribute directly during mobile live streams. Once they donate, their chat messages are highlighted in the chat window.
However, there are some prerequisites for using mobile live streaming; you must have at least 1,000 subscribers to your YouTube channel.
As long as your content is engaging or valuable, viewers will be willing to be generous.
7. Licensing Videos to Media
If your videos are interesting and popular, and if media outlets show interest in your content, you can license your videos to them for a fee.
You can also sell your videos on marketplaces like Jukin Media; if someone is interested, they may purchase your video.
However, producing such videos requires a certain level of quality and originality.
For example, a funny video of a dog riding a horse could be sold on the Jukin Media marketplace for profit.
How Much Can You Earn on YouTube?
Income varies from person to person.
You can maximize your revenue by showcasing YouTube ads, affiliate links, and sponsored content in your videos.
On YouTube, you can earn based on CPM, CPV, and CPC. Generally, the income per 1,000 impressions (CPM) is around $7, which is the primary income source for many YouTubers.
However, ad revenue differs by country. For example, if 1,000 viewers from the U.S. watch your video, you might earn $5, while 1,000 viewers from Vietnam might earn you less than $1. Therefore, try to attract viewers from the U.S. to increase your earnings.
According to Google’s policy, Google retains 45% of the revenue, while creators receive 55% from ads.
YouTube Income Calculator
To find out how much you can earn from your videos, you can use the YouTube Income Calculator tool to estimate your potential earnings.
The first tool on the page calculates daily earnings, and you can adjust the parameters to see your expected daily income.
The second tool allows you to check the earnings of other YouTube channels; simply enter their channel URL to estimate their income. This will give you a general idea of whether you can make money on YouTube.
What Types of Videos Are Easiest to Monetize on YouTube?
Some popular niches on YouTube, such as celebrity gossip, makeup and beauty, and food, can quickly attract followers and generate income. Here is a list of niches that are relatively easy to gain followers on YouTube:
- Life hacks
- Celebrity gossip
- Makeup and beauty
- Top X lists (e.g., top 10 funny videos)
- Food channels
- Unboxing and reviews of electronics and toys
- Tutorials and demonstrations
- Funny animal videos
- Parody videos
How to Start a YouTube Channel and Make Money?
For guidance on creating a YouTube channel, you can refer to this tutorial, which provides detailed instructions on how to register for YouTube and upload videos.
What Are the Tricks to Make Money on YouTube?
Of course, I still recommend creating your own content to earn money on YouTube, like food creator Wang Gang. This approach is more sustainable and can serve as a long-term career.
However, some people try to use shortcuts to make quick money. With effort, they can indeed generate a substantial income.
For example, some individuals curate and upload videos from others to YouTube for profit. They might compile popular Douyin videos into a longer format to attract followers and views, which can lead to significant earnings. A channel called Kristino Olsen does just that, curating videos from China and has amassed 2.38 million subscribers, with an estimated monthly income of around 500,000 yuan.
Others may also curate popular content from platforms like Bilibili to earn money on YouTube.
However, the fatal weakness of such channels is the lack of copyright. If the original video authors or platforms like Douyin and Bilibili report them, these channels could be shut down.
For insights on how to monetize channels that curate videos, you can refer to this article: Making Money Through Content Curation: Douyin Edition, which details how to earn from content curation.
What Tools Are Needed to Make Money on YouTube?
If you are overseas and have good English skills, you can skip this section.
If you are in China and have limited English proficiency, you will need two tools:
1. **VPN Tool:** Since YouTube is not accessible in mainland China, using a VPN is essential. I recommend using ExpressVPN, which is stable, fast, and allows for quicker video uploads.
2. **Browser with Translation:** If you are proficient in English (CET-4 or CET-6), you may not need a translation tool. If not, I suggest using Google Chrome, which has an accurate built-in translation feature.
Final Thoughts
You can earn money on YouTube, but relying solely on it is not secure. It is best to have your own platform, such as a blog or website, to attract YouTube traffic to your site. This way, once you have a stable user base, you can either completely detach from YouTube or simply treat it as one of your income streams to expand your business.
The best place to build a website that aligns with your YouTube channel is on Bluehost.
