How to Make Money on YouTube to Boost Your Income

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Over two billion monthly active YouTube users earn lucrative incomes from this platform’s audience. If you’re here, I know you want to learn how to make money on YouTube, which you can turn into passive income. That’s right!

It may not be an overnight success, but if you know how to do it right, you can join the legion of top-paid YouTubers. The best about this? Anyone can do it, whether you’re a creator or an entrepreneur.

But the question is, are you ready to learn how to make money on YouTube? If so, keep reading this guide to earn money from YouTube videos.

How to Make Money on YouTube

Did you know that YouTubers are in demand nowadays? That’s no wonder. With their influence over traditional authorities and mainstream markets, their voices are being heard. Because of that, they can bolster ad space while giving them the pull to set prices independently.

Not only that but if you know how to make money on YouTube, it’s one of the top fun jobs that pay well even without a degree. There are several ways to start making money on YouTube, and I’ll walk you through each one.

1. Join the YouTube Partner Program

One of the most common methods of making money on YouTube is through the Partner Program. It’s easy to start earning from this—all you need is to join the program. From there, you can monetize your YouTube videos with ads.

But first, you need to meet specific requirements to be eligible for the YouTube Partner Program:

Having at least 1,000 subscribers.
Accumulating at least 4,000 valid public watch hours in the last 12 months.
Complying with all of YouTube’s policies and guidelines.
Ensuring that your Google AdSense account is linked to your YouTube channel.

It’s easy to meet the eligibility requirements. However, don’t take it as a guarantee that YouTube will accept you into the Partner Program. That’s because they carefully scrutinize applicants to ensure the channel aligns with its monetization policies and values.

How Google-Placed Ads Work

But how does the YouTube Partner Program (YPP) bring in extra cash? In general, you can earn advertising revenue through Google-placed ads—the backbone of YouTube’s monetization system. Here’s how Google-placed ads work:

Variety of Formats: Saw those pop-up ads appearing on the YouTube video you’re watching? Those are the ads we’re talking about, and they come in different formats:
- Display Ads: Banners or text ads that appear alongside the video content.
- Overlay Ads: The ones appearing on top of your video content in a semi-transparent form are overlay ads.
- Video Ads: Short video ads that play before, during, or after the main video content (some viewers can skip these).
Revenue Sharing: If you’ve clicked or watched these ads, the content creator can receive a portion of the revenue generated. How much do you earn from it if that’s your video? For long-form content, you can receive 55% and 45% for short-form content, also known as YouTube shorts.

Is Google-Placed Ads Worth It?

Imagine one video—high-quality, engaging content—with millions of views. What could happen?

Passive Income Potential: It may be tedious to produce one video, but once you do and enable ads, you can potentially earn revenue even while you sleep or work on other projects. Not bad, right?
Scalable Earnings: What if those views keep on getting more each month, if not each day? The more views your videos get, the more ad impressions, which means the higher your earning potential is.

Sweet! However, let’s be honest here. It’s not a walk in the park because the effectiveness of Google-placed ads depends on several factors. Consider your content niche, audience demographics, and viewer engagement, so creating high-quality, engaging content that resonates with your target audience is crucial.

If your first video flunked, don’t give up. Just work on the next ones after analyzing why the first video isn’t a success. With grit and focus, you can develop a successful YouTube channel that generates income through the YouTube Partner Program over time.

2. Sell Products or Merchandise

Selling products or merch is another way to make money on YouTube. The good thing about this is that you can do it simultaneously while you’re recording any video. Besides, selling merch to remind viewers of your high-energy content or your vlogs is common—knowledgeable viewers love a memorable parting gift, so take advantage of it.

Doing so opens up additional income streams. But what should you sell?

Don’t just sell anything. You have to consider your target audience and the content you create.

Classics with a Twist

You can start with these classics:

T-shirts and Hoodies: These are timeless merch staples where you can add a personal touch with your logo, a funny catchphrase from your videos, or a unique design related to your content.
Mugs and Tumblers: Coffee mugs or water tumblers are practical items fans can use daily. You can design them with your logo, a funny quote, or an inside joke from your channel.

Beyond Clothing

Besides clothing, you can also have merch ranging from:

Stickers: These are versatile and affordable, perfect for fans of all ages. However, you must consider your content’s theme. Say, a tech review channel might offer stickers with robot illustrations, while a pet care channel could have adorable animal stickers.
Phone Cases: Here’s a merch suitable for an audience who wants to personalize their phones. Of course, the design depends on your channel’s style. For instance, a colorful pattern reflects an art channel or a minimalist design for a productivity channel.
Pins and Patches: If your target viewers are collectors and fans, pins and patches are perfect. For instance, feature characters on pins for an animation channel while trendy designs for a fashion channel are great.
Art Prints and Posters: If your channel has iconic moments that your target fans appreciate or request, art prints and posters are suitable. For instance, artists, gamers (with high-quality screenshots), or vloggers with stunning travel locations will be perfect for posters.

Content-Specific Merch

While generic merch staples can work, it’s still best to connect with your audience. Even in merch, you can still do this by considering ones that directly tie back to your content and niche. Here are some creative ideas to make your merch stand out:

For Gamers (Keychains, Mousepads, Phone Cases): Gamers who are fans of your channel may want to carry your brand when they’re in their game mode. Thus, you can feature character avatars, funny in-game moments, or the streamer’s logo on keychains, mousepads, or phone cases that gamers are more likely to use when in-game.
For Musicians (Sheet Music, Lyric Books, Guitar Picks): Creating music-related content? Then, it may be best to sell sheet music, lyric books, or guitar picks with your logo for dedicated fans who want to learn your music or showcase their fandom.
For Educational Channels (Notebooks, Planners, Water Bottles): If you’re into an educational channel, why not offer something your viewers can use in relation to your niche? Say notebooks with inspirational quotes from your channel or budget planners with a matrix for a finance-related channel like us.

By considering these ideas and tailoring them to your specific audience, you can create merch that resonates with your viewers. As a result, you can expect more viewers to buy this merch since they can use it.

However, to ensure that your success isn’t just a one-time experience, consider the quality, variety, and relevancy of merch. You’d want to sell your merch, but you should also attract them to become repeat customers.

The Merchandise Shelf

You can use the Merchandise Shelf feature on YouTube, as it allows you to showcase and sell merchandise directly on your channel page. However, you have to partner with approved merchandise platforms like Teespring or Shopify. After that, you can easily integrate your merchandise into your channel and earn money from sales.

Why use the Merchandise Shelf? While your YouTube video is playing, your merchandise appears below the video player. The best part? It features up to 12 products, providing a convenient way for viewers to purchase your branded items and support your channel.

3. Let Your Audience Support You Through Fan Funding

No merch to sell yet? That’s fine because YouTube has other ways to let you earn an income. You can use its built-in features to encourage your viewers to directly support your channel financially—also known as fan funding.

Here’s how you can tap into fan funding:

Channel Memberships: For a monthly fee—like a YouTube premium, your viewers can subscribe to your channel. It’s like a VIP pass since you’ll be offering exclusives, such as early access to videos, behind-the-scenes content, community badges, or personalized shoutouts.
Super Chats & Super Stickers: Do you have live or interactive YouTube videos? For a minimal fee, you can allow your viewers to highlight their messages in the live chat with animated graphics. Avid fans are usually into this since they want to stand out and get your attention during live streams.
Super Thanks: Other viewers want their message to get noticed and show their appreciation through fan funding as well. Here, they can buy a short animation and message that appears prominently in your video comments.

Building a Strong Foundation for Fan Funding

Well, we know that asking people to “fund” our content isn’t that easy. That’s why, before you can go for fan funding, you must build a loyal audience—the ones who feel invested in your channel. To do that, be sure to:

Deliver High-Quality Content: Content is king, so you must deliver high-quality, engaging videos. How will you know that it’s high-quality? You can say so if your videos provide value to viewers, especially if they build trust and encourage them to support your endeavors.
Interact with Your Audience: One way to connect to your audience is to respond to comments, answer questions, and participate in discussions. By doing so, you’re creating a sense of community, and, of course, it shows that you care for them, which can foster loyalty.
Be Transparent About Fan Funding: Fans don’t like being blindsided—who would want to, anyway? That’s why you should inform your viewers about your fan funding and show gratitude for how their support helps you continue creating content. Explaining how their contributions allow you to keep making great videos is also a key here.

If you thrive on a sense of value exchange, fan funding is a way to go. By offering exclusive content, recognition, and a way to connect directly with you, you’re incentivizing viewers to support your channel financially. This not only generates revenue but also strengthens your relationship with your audience.

4. License Your Content to Media Outlets

Another reason why you should produce high-quality YouTube videos is not just to attract viewers but to show authority in your niche. When people recognize your channel as an authority, media companies are more likely to approach and collaborate with you.

It’s one of the best ways how to make money on YouTube because you’re hitting two birds with one stone—the audience and media companies. These opportunities can also help you reach an audience, especially if you’ve partnered with another authority in your niche.

How it Works

For instance, your YouTube video is about beating inflation with side hustles, and a business or finance channel needs a clip about this. Of course, what they’ll search for is an informative, well-produced video on such a topic.

If you meet their quality standards, you’re more likely to be a good candidate here. And when they contact you to license your video clip for their news report, expect to be compensated.

Besides this benefit, you’ll also receive:

Dual Revenue Stream: Earn money beyond ad revenue on YouTube.
Credibility Boost: When your content is chosen, it reinforces your authority in your niche.
Potential for Collaboration: More collaborations with other media companies can be on your way through licensing.

Optimizing Content for Licensing

To ensure that you’ll be up to the media outlet’s standards, you must:

Maintain High Production Quality: Videos must have professional visuals, clear audio, and engaging editing. Doing so enhances your video’s appeal for licensing.
Target Trending Topics: Think about newsworthy topics to increase your chances of media outlets finding and wanting to use your videos.
Use Clear Titles and Descriptions: Remember to include relevant keywords that media outlets are more likely to use when looking for content.
Highlight Your Expertise: If you’re an expert about something, showcase it in your videos. In-depth content is much better than generic content that doesn’t highlight your knowledge and authority in your niche.

Position yourself as a valuable content source for media outlets by consistently creating high-quality videos and strategically optimizing them. This can be your starting point for collaborating with other personalities in your field.

5. Work With Brands as an Influencer

When creating high-quality content, you’re not only attracting media channels but as well as brands. We all know the power of being an influencer these days—brands go for channels that have a broad following. That’s because they’ll interpret it as you have established an authority in your niche.

We call that influencer marketing, a powerful tool for businesses. If your channel has a good following and resonates with a brand, they’ll be more likely to ask you for a partnership. This means you’ll be promoting their products or services in your videos.

Here are some types of brand collaborations you can venture into:

Sponsored Videos: In this collab, you’ll be creating videos to showcase or review brands’ products or services. In exchange, you’ll receive compensation—one of the best ways how to make money on YouTube.
Affiliate Marketing: You’ll also be promoting the brand’s products, but more on being an affiliate partner. It’d be up to you if you include the product in your video to show it to viewers, then add the affiliate link on the video description or just the link. For this, you’ll earn a commission for every sale generated through your link—the reason why many are into affiliate marketing.
Brand Ambassador Deals: Or you can become a long-term partner for a brand! Here, you’ll be representing them in multiple videos and potentially attending events. That’s a great way to grow your network as well while earning money from these promotions.

How to Work with Brands the Right Way

When you’re promoting a brand, whatever kind of business that is, you need to ensure the following:

Maintain Transparency: Your viewers will appreciate it if you disclose any sponsorships or brand partnerships clearly. Besides, being transparent can add to your credibility and transparency.
Align with Your Niche: If you promote branded content, remember to partner with brands that fit your content and resonate with your audience. Imagine if your channel is all about the green environment and you’re promoting a brand that’s known to sell not-so-environmentally-friendly products. This would be a contrast to what your channel is all about, and that can lead to viewers unfollowing you because you’re not living up to what your content is all about.
Focus on Quality: We can’t stress this enough. Even in sponsored content, you should provide value to viewers.

If you want to become a magnet for brands, build a strong reputation and audience through high-quality content. Again, doing so lets you achieve two things simultaneously: generate revenue and leverage your influence to promote services and products that you genuinely believe in.

Think of your YouTube channel like a multi-lane highway: instead of relying on a single revenue stream, diversify your income streams to maximize earnings, from the YouTube Partner Program and ads to selling products, fan funding, licensing content, and affiliate marketing.

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Maximizing Your YouTube Earnings Potential

Knowing the basics of how to make money on YouTube is just a start. Since we aim to help people achieve more me time while earning, I’ve listed down strategies to help maximize your earnings on YouTube.

1. Diversify Your Income Streams

Like other investments, diversification is an answer if you want to maximize YouTube earnings. As finance experts say, “Don’t put all your eggs in one basket.”

While ad revenue is great on YouTube, why not simultaneously use the other ways to monetize your YouTube channel? This means considering offering channel memberships, selling branded merchandise, or creating sponsored content with brands.

For example, MrBeast earns millions from merchandise sales, ad revenue, and sponsorships. He’s just one of the many YouTubers who earn millions from YouTube because of diversification.

Not only that but reading news about him, he diversifies his YouTube earnings into other ventures—from grocery stores to spending money for a contestant. And he said, “Whatever we make, we reinvest.”

2. Optimize for Watch Time and Engagement

Another is to optimize YouTube videos. You need to keep audiences tuning in and coming back for more, which YouTube’s algorithm favors. This means that videos that resonate with viewers on a deeper level usually end up being recommended to new eyes.

To optimize for watch time, create compelling content that hooks viewers from the beginning and keeps them watching until the end.

Moreover, you have to use eye-catching thumbnails, engaging titles, and storytelling techniques. That way, you can keep viewers invested in your content.

3. Analyze and Adapt Based on YouTube Analytics

Here, you need to know what’s working and what’s not. With YouTube Analytics on your side, you can learn about your channel’s performance. That means monitoring your performance with watch time, audience retention, and engagement metrics.

Use the insights from this data goldmine to forge connections with your audience and tune in your content strategy. Of course, you may have to shift your focus to the types of videos that resonate with your audience. Then, adjust your strategy accordingly to maximize your earnings.

4. Adapt Strategies of Successful Creators

Having your own strategy is good, but learning from the success of others is wider. In general, successful YouTubers use the following strategies:

Being Consistent: Successful YouTubers post new content regularly to keep their audience engaged and coming back for more.
Branding: They create a strong brand identity that sets them apart from other channels in their niche.
Diversification: Again, top YouTubers don’t rely solely on ad revenue—it’s on YouTube alone. They diversify their income streams through sponsorships, selling merchandise, and other business ventures.
Focus on Engagement: They actively engage with their audience through comments, social media, and fan events to build a loyal community.

5. Learn Lessons from YouTube Entrepreneurs

Besides strategies, creating a successful YouTube channel demands dedication, creativity, and perseverance. Here’s what I’ve noticed from different successful YouTubers that we can learn:

Focus on creating high-quality, engaging content that provides value to your audience (the one we’ve been reiterating throughout the article).
Be authentic to yourself. Don’t try to be someone you’re not just to gain popularity.
Collaborate with other creators in your niche to cross-promote and reach new audiences.
Feel free to experiment with new formats, topics, or monetization strategies.
Stay humble and grateful for your success. Remember that your audience is the reason you’re able to earn money doing what you love for a living.

These lessons are not just for the taking; we should apply them, too, if we want to maximize our earnings. Mainstream YouTubers have already cracked the code to earn big bucks, so why not follow in their footsteps?

Understanding YouTube’s Policies and Guidelines

Besides strategies to boost your earnings on YouTube, you also need to understand its policies and guidelines. Without knowing these, you won’t get far on YouTube since you may not be familiar with the things you need to comply with.

In fact, ignoring these rules can result in losing your video’s earning potential. Or, in extreme cases, your YouTube channel may even get suspended or shut down. No one wants that, so here are the YouTube Policies and Guidelines that aren’t mentioned above.

1. Community Guidelines

Besides knowing how many views and followers you should have, it’s essential also to know the limits set by YouTube. Some of these are:

Excessive aggression
Disrespectful commentary
Crude depictions
Damaging rhetoric

Anything of these gets flagged and removed. That’s because social media platforms like YouTube fosters harmony that begins with wholesome shares.

If someone violates such guidelines, their YouTube content can be removed, and the channel can receive community guideline strikes. Just like in some sports, three strikes and they’re out. But here, the three strikes cover a period of 90 days and result in the termination of the channel.

To be on the safe side, you must read YouTube’s Community Guidelines before you start posting a video. That way, you can be part of a social media platform that promotes a respectful online experience.

2. Copyright and Fair Use

Another serious matter that requires attention is copyright infringement. Thus, you should never use someone else’s content in your video without permission. In case someone files a claim against your YouTube content, it might be taken down.

But when is it okay to use copyrighted material? If it falls under the doctrine of fair use, then it’s okay. For instance, you can use short clips for the sake of criticizing, commenting, or parodying original content.

But if in doubt, always stick to the general rule: Only upload YouTube content you’ve made or that you’re authorized to do so.

If you use copyrighted material, understand the fair use guidelines first. Remember to credit the original owner of the content in your video description as well.

3. Ad-Friendly Content Guidelines

For the financial aspect, your earnings may be reduced if your content isn’t in the “ad-friendly” spectrum. Imagine giving your all when creating content, only to have reduced ad revenue when it’s pay time.

That’s why, before creating content, you need to ensure that you shy away from substance abuse, tragic events, adult content, harmful acts, and other heated topics.

As you strive to maximize your ad revenue, remember to thoroughly review the ad-friendly guidelines to ensure your content aligns with the requirements. Moreover, leveraging YouTube’s Self-Certification feature can add an extra layer of transparency and provide feedback on the suitability of your video for ads.

Don’t take any chances with your channel’s monetization policies. Understand and abide by YouTube’s rules to safeguard your account from suspension or monetization issues.

Grow your YouTube channel by 10X by creating engaging content that your target audience can find valuable, optimizing your videos for search, collaborating with other creators, and analyzing your channel’s performance to identify areas for improvement.

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Conclusion

If you want a get-rich-quick-scheme, that’s possible with YouTube. That’s if you make YouTube content that can go viral in a couple of days. However, most of the successful YouTubers I know had dedication, creativity, and a solid strategy before YouTube became a lucrative and fulfilling career.

Remember MrBeast? He’s been doing YouTube since he was 13 and is 26 as of this writing. Could he have been successful if he had stopped after one or two unsuccessful videos? Well, I don’t think so.

Besides grit, diversifying your income streams, consistently creating valuable videos, and engaging with your audience can build a loyal following. With these, you can attract more opportunities to monetize your channel.

But again, earning through YouTube is only possible if you start now. Use the knowledge you have now to create a channel. Let us know what your channel is like below!

FAQs

How many views do you need on YouTube to make money?

If you’ve ever tried filling a jar or a piggy bank with money, then that’s like YouTube views. For channel monetization, you need to hit 4,000 watch hours and 1,000 subscribers—like filling that jar to the brim. When you’ve reached the brim, YouTube’s algorithm will start tossing in some ads, which could be the start of your passive income.

How much will YouTube pay me for 1000 views?

Here’s the deal: YouTube doesn’t pay-per-view. You need thousands of views and clicks to generate substantial ad revenue. For instance, with an average CPM (cost per thousand impressions) of $2, you might earn around $2 for 1,000 views.

How to make $1,000 a month on YouTube?

When you know how to make money on Youtube, it’s easier to reach a $1,000-earning per month. Start with consistent viewership, high engagement, and multiple income streams. If you have a loyal audience, drive significant traffic, and optimize your videos for search, you might hit more than that goal. Just remember to apply the ways to make money on YouTube, and you’ll be good to go.

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