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Making money from YouTube used to be as simple as uploading great content, garnering millions of views, and earning a share of advertising revenue.
Now, content creators have access to a number ways to monetize their content. In addition to advertising, this can include corporate sponsorships from a major brand, fan funding or merchandise sales.
Google Ads
The first step to making money on YouTube is to join the YouTube Partner program. Partnership gives content creators access to special tools, such as the ability to monetize their videos via Google Adsense.
For qualification, content creators must have at least 1,000 subscribers and 4,000 hours of accumulated watch time over the prior 12-month period.
YouTube monetizes videos via pre-roll, display and other advertising formats. Advertisers pay based on clicks and impressions. YouTube gives the content creator 55% of this revenue and takes 45% for itself. Content creators must adhere to advertising guidelines. Content that contains foul language, adult content, violence and other subjects will not have ads placed against them.
Merchandise Sales
YouTube partners also have the ability to sell up to 12 items of merchandise to their audience by enabling this feature in their account. Jeffree Starr has made millions selling lipstick, highlighters and eye shadow palettes to his fans.
YouTube Best Practices
To increase their chance of attracting a large follower base, creators should follow established YouTube best practices. One of the most fundamental best practices is to create rich, engaging content. Viewers come to YouTube looking to either be entertained or for a solution to a problem they face. By creating great content, it’s more likely the video gets viewed and shared.
Fan Funding
Another popular way to monetize a channel is through channel memberships. Fans and followers make recurring monthly payments in exchange for bonus content such as badges, emojis, special videos, live chats and other content.
YouTube partners who have reached 30,000 subscribers can enable this monetization feature on their account. Third-party services such as Patreon also help video creators to monetize their fan base via monthly memberships. Top video creators earn as much as $40,000 per month from fan support.
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