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How to Make Money on YouTube Shorts: Unlocking YouTube Success

Find out how to make money on YouTube Shorts. Monetization insights and tips for creators.
How to make money on YouTube shorts

As short-form video content gains popularity, YouTube has made its mark by introducing YouTube Shorts. This exciting feature enables creators to effortlessly connect with a vast audience, amplifying their reach and impact. As of July 2023, YouTube Shorts boasts an impressive two billion monthly logged-in users. The incredible increase in user engagement within YouTube Shorts has presented a fantastic opportunity for creators to earn money by sharing their captivating short videos.

In this post, we aim to explore the world of YouTube Shorts and shed light on how to make money on YouTube shorts from your creative content. Whether you’re a seasoned content creator or just starting in the world of short videos, this guide is here to help you understand and navigate the available monetization options.

Additionally, this article will provide practical strategies and resources to transform your creativity into a profitable venture. If you’re eager to learn how to make money on YouTube Shorts and thrive in the ever-evolving digital landscape, you’ve come to the right place.

How to make money on YouTube shorts

Understanding the Power of YouTube Shorts

YouTube Shorts has swiftly become a dynamic platform for short-form video content. Its widespread popularity can be attributed to the accessibility and ease of consumption of short videos in a fast-paced world. Creators appreciate the platform’s appeal as it allows them to convey their message or creativity, often leaving a more significant impact. Simultaneously, viewers enjoy the convenience of quick, engaging content, making it an excellent choice for on-the-go entertainment.

Beyond entertainment, YouTube Shorts presents an opportunity for content creators to earn money through their engaging content. With the introduction of Shorts monetization, content creators can tap into a new revenue stream, turning their passion for crafting compelling short videos into a profitable venture. This transformation has made YouTube Shorts a robust and influential platform, reshaping how content is consumed and monetized in the digital media landscape.

How to make money on YouTube shorts

YouTube Shorts Monetization

YouTube Shorts, a relatively recent addition to the YouTube platform, has opened up monetization opportunities for content creators. While traditional long-form videos have been monetized for over 15 years, Shorts initially existed outside the YouTube Partner Program (YPP) scope. However, YouTube addressed this in late 2022 by introducing monetization options tailored explicitly to Shorts.

This update brought exciting opportunities for creators to generate income from their short video content, marking a significant shift in the online content landscape. Before that, Creators, artists, and media companies have collectively earned over $50 billion from their YouTube content over the years, reflecting YouTube’s commitment to supporting its diverse community of content creators.

With the introduction of YouTube Shorts monetization, short-form video enthusiasts can now start a journey to monetize their creative work effectively. For those wondering how to make money on YouTube Shorts, the platform now provides the means to do so, demonstrating YouTube’s dedication to empowering content creators to transform their creative passion into a viable source of income.

The Evolution of YouTube Short Monetization

The evolution of YouTube short monetization is a fascinating journey. Initially, YouTube introduced the YouTube Shorts fund in 2021, offering a $100 million fund to encourage creators to produce engaging content in this new format. Nevertheless, this fund was designed to be temporary as YouTube worked towards developing a more viable monetization model. The Shorts ad revenue-sharing model eventually replaced it in February 2023.

With this evolution, YouTube short creators now have various monetization options, empowering them with the thought of how to make money on YouTube shorts through their creative passion. Whether you’re earning through ad revenue sharing, premium subscriptions, shopping, or fan funding, YouTube Shorts provides a dynamic platform for creators to reach a broad audience and profit from engaging content.

How to Make Money on YouTube Shorts: How Does It Function?

Understanding the functioning of various money-making approaches or how to make money on YouTube shorts through monetization is crucial. Those are explained below:

YouTube Shorts Ad Revenue Sharing

YouTube Shorts ad revenue sharing is a primary method to monetize your content. This involves sharing the revenue generated from ads shown between Shorts videos in the feed. The process follows a four-step formula:

  1. YouTube combines all the revenue from ads displayed in the Shorts feed.
  2. A portion of this revenue is allocated to cover music licensing costs for the tracks used in Shorts and is paid directly to music partners.
  3. The remaining ad revenue goes into the Creator Pool.
  4. Each monetizing creator receives a percentage of the total Creator Pool based on their share of total views in each country. Creators ultimately get 45% of the allocated revenue, while YouTube retains 55%.

YouTube Premium Subscription Revenue Sharing for Shorts

If you’re wondering how to make money on YouTube shorts through monetization, which works with premium subscriptions, you’re in luck. This method lets you learn how to make money on YouTube shorts from Premium subscribers who watch your Shorts. The formula is as follows:

  • YouTube pays 45% of the net revenue from YouTube Premium allocated to monetizing creators for Shorts.
  • A portion of YouTube Premium revenues is set aside to cover music licensing expenses.

YouTube Shopping

Another exciting source of income is YouTube Shopping. By featuring products in your Shorts, you can tag them during the upload process. This generates a product overlay that enables viewers to explore and purchase items without leaving the YouTube platform, offering a seamless shopping experience.

YouTube Fan Funding

Once you’ve activated YouTube monetization, you can access various fan funding options, including Super Thanks, Super Chat, Super Stickers, and Channel Memberships. For creators focused on YouTube Shorts, Super Thanks and Channel Memberships are particularly relevant:

Super Thanks: Previously known as Viewer Applause, Super Thanks allows your most dedicated fans to express appreciation for your content. Viewers who purchase Super Thanks receive a one-time animation visible only in the Short. They can also post customizable and colorful comments in the Short’s comment section. Creators receive 70% of the Super Thanks revenue after taxes and fees.

Channel Memberships: This fan-funding program lets you reward paid members with perks such as badges, emojis, exclusive content, and live streams. You can set multiple membership tiers with different monthly price points and associated perks. Creators retain 70% of the revenue generated, while YouTube takes a 30% commission.

How to make money on YouTube shorts

Eligibility and Requirements to Make Money on YouTube Shorts

Monetizing your content on YouTube Shorts is a coveted goal for many creators, but it’s essential to understand the eligibility criteria and requirements for this process.

Eligibility for Full Monetization on YouTube Shorts

Specific benchmarks need to be met to achieve full monetization on YouTube Shorts. These criteria are put in place to maintain quality and commitment among creators. The following are what you required for this program:

  1. 1,000 Subscribers: A minimum of 1,000 subscribers is needed for your YouTube channel. Subscribers represent an audience that has chosen to follow your content regularly.
  2. View Threshold: In addition to subscribers, there are two options to meet the view threshold:
  • Option 1: Your YouTube Shorts should accumulate 10 million views within the last 90 days. This metric highlights the popularity and engagement of your Shorts content.
  • Option 2: If you create longer videos on your channel, you’ll need 4,000 watch hours on these videos within the last year. It’s important to note that watch hours from Shorts in the Shorts Feed do not count toward this 4,000-hour threshold. Therefore, the 10 million short views requirement is often a more attainable target for creators primarily focused on Shorts.

The Expanded Program for Smaller Creators

Recognizing that not all creators start with thousands of subscribers or millions of views, YouTube introduced an expanded program to empower smaller creators. This program allows creators to monetize their content before reaching the eligibility criteria. Here’s what’s required for this program:

  1. 500 Subscribers: You need at least 500 subscribers to your channel, a more achievable milestone for budding creators.
  2. View or Watch Hour Threshold: Similar to the full monetization criteria, you have two options:
  • Option 1: Your YouTube Shorts should accumulate 3 million views within the last 90 days.
  • Option 2: If you produce longer content, you’ll need 3,000 watch hours within the last 12 months.

Compliance with YouTube's Policies

It is crucial to understand YouTube’s policies for both programs. Policies to be aware of include:

  • Community Guidelines: Ensure your content complies with YouTube’s community standards, promoting a safe and respectful user environment.
  • Monetization Policies: Policies of YouTube’s monetization, what content is eligible for monetization, and what isn’t, are subjects to know clearly.
  • AdSense Account: Ensure you have an active AdSense account to receive payments; set it up if you still need one.
  • Regional Availability: The expanded program for smaller creators is available in specific countries, so aspiring creators should verify regional eligibility to participate.
  • Enhancing Security with 2-Step Verification: YouTube mandates 2-step verification for creators to improve account security, safeguard against unauthorized access, and protect monetized channels’ integrity.
  • Access to Advanced Features: Creators aiming for full monetization must have access to advanced features through channel history or identity verification, enhancing their YouTube presence and functionality.

You can easily track your progress toward eligibility by logging into YouTube Studio and requesting notifications when you meet the requirements. This ensures that creators, regardless of their current subscriber count or view metrics, have opportunities to explore monetization options on YouTube Shorts.

How to make money on YouTube shorts

Getting Started with YouTube Shorts Monetization

Are you interested in knowing the initial steps of how to Make Money on YouTube Shorts? Are you excited to monetize your YouTube Shorts content? A step-by-step guide to the YouTube shorts monetization journey is given below:

Step 1: Sign in and Access YouTube Studio

Log in to your YouTube account, click on your profile picture in the top right corner, and select “YouTube Studio.”

Step 2: Find the "Earn" Section

In YouTube Studio, explore the left menu, where you’ll find various options. Click on “Earn,” where you’ll embark on your monetization journey.

Step 3: Check Eligibility and Start the Process

After that, check the eligibility requirements for monetization and click on the “Apply” button. You can choose “Get Notified” to receive updates if you’re not eligible.

Step 4: Review and Accept the Base Terms

Upon clicking “Start,” you’ll be presented with the base terms for monetization. Take your time to review them thoroughly. After scanning, click “Accept” to proceed.

Step 5: Link or Set Up AdSense Account

If you already have an AdSense account, connect it, or if you don’t, click “Start” to create a new one. This account is needed to receive payment.

Step 6: Await YouTube's Review

After you’ve successfully applied for monetization, YouTube will review your application. This review process typically takes about a month, so patience is vital. While waiting, ensure your channel and content comply with YouTube’s policies to increase your chances of approval.

Step 7: Accept the Shorts Monetization Module

Once your application is approved, return to the “Earn” section within YouTube Studio. There, you’ll find the “Shorts Monetization Module.” Click to accept it, and you’ll be ready to monetize your YouTube Shorts content.

*** Important Note: The instructions above are only for desktop users; steps may vary for mobile users.

How to make money on YouTube shorts

Earnings from YouTube Shorts

How to make money on YouTube Shorts monetization can vary significantly and depend on several factors. The consensus among YouTube Shorts creators is that the revenue per thousand views (RPM) typically ranges from $0.05 to $0.07. This means you can earn about $50 to $70 for every one million views on your Shorts.

It’s important to remember that the revenue generated from YouTube Shopping hinges on your ability to effectively showcase and promote products within your Shorts and the price of those items. On the other hand, your Super Thanks earnings are closely tied to the extent of your audience’s appreciation for your content and the strength of the connection you cultivate with your viewers.

While YouTube Shorts monetization is a valuable addition, it’s important to note that it may only partially replace earnings from traditional long-form YouTube videos. However, the potential to increase your income through various monetization features in YouTube Shorts and the platform’s growth makes it an attractive space for creators.

How to make money on YouTube shorts

Alternative Methods to Monetize YouTube Shorts

After knowing how to make money on YouTube shorts, we should focus on alternative methods to enhance your earnings and diversify your income streams. This section will explore several strategies that can complement your Shorts revenue.

1. Join an Affiliate Program

How to make money on YouTube shorts along with affiliate programs? Affiliate programs can be a fruitful income source for YouTube Shorts creators. There are two distinct routes based on your channel size and location:

a. YouTube Shopping Affiliate Program

For creators with over 20,000 subscribers in the United States, the official YouTube Shopping Affiliate Program presents a chance to promote products in your Shorts and earn commissions. By tagging products within your content and using compelling calls to action, you can guide viewers to make purchases. Additionally, select brands may provide product samples to assist in your content creation.

b. External Affiliate Programs

Creators can join external affiliate programs directly, independent of subscriber count or watch time. By aligning with programs related to the products featured in your Shorts, you can earn commissions for driving sales to affiliated retailers. To lead viewers to your affiliate links, consider leveraging features like pinned comments to share relevant links efficiently.

It’s crucial to adhere to Google’s Ad Policies and Community Guidelines when incorporating affiliate content into your Shorts. Furthermore, the paid promotion disclosure option must be used during the upload process to inform viewers about the promotional nature of the video transparently.

2. Collaborate with Brands

How to make money on YouTube shorts and brand collaboration? Rather than relying solely on affiliate programs, creators can proactively approach brands for potential collaborations. When your channel gains sufficient traction, brands might contact you directly. Working as a YouTube Shorts influencer may entail various arrangements, including receiving free products or earning fees for producing brand-specific content. Remember to disclose these brand relationships through the paid promotion disclosure tool during upload.

3. Harness the Power of Patreon

How to make money on YouTube shorts with the power of Patreon. Patreon offers a modern twist on the age-old concept of patronage by enabling content creators to monetize their work through paid subscriptions. It aligns seamlessly with YouTube Shorts, allowing creators to offer exclusive content, early access, or personalized interactions. Use YouTube Shorts to share glimpses of your Patreon-exclusive content, encouraging viewers to become patrons. Patreon does not require minimum subscriber or watch time thresholds, offering flexibility for creators to design their monetization strategy.

4. Fuel Long-Form Video Monetization with Shorts

How to make money on YouTube shorts along with long YouTube videos? While not a direct method of YouTube Shorts monetization, leveraging Shorts to grow your viewership can significantly impact your long-form video earnings. YouTube Shorts serves as a fast track to expand your audience quickly. Once you’ve garnered a substantial following, you can create and monetize standard long-form YouTube videos, which tend to yield higher ad revenue per thousand views (RPM).

How to make money on YouTube shorts

Factors Affecting Earnings

Considerable factors on how to make money on YouTube shorts are described below:

Content Quality: The quality of your Shorts plays a vital role in determining your earnings. Engaging, high-quality content is more likely to attract viewers and keep them engaged, leading to higher ad revenue.

Niche Selection: The choice of your content niche matters. Niches with dedicated audiences often yield better earnings. Consider niches that align with your interests and expertise.

Audience Engagement: Building an active and engaged audience is crucial in increasing earnings. Respond to comments, encourage likes, shares, and subscriptions, and foster a sense of community among your viewers.

Promotion: Promoting your Shorts on other social media platforms can boost views and engagement. The more eyes on your content, the higher your potential earnings.

How to make money on YouTube shorts

Strategies for Optimization

Strategies on how to make money on YouTube shorts are given below:

Frequent Uploads: Consistent and routine uploads can keep your audience engaged. Aim for a regular schedule to build anticipation among your viewers.

Keyword Research: Use relevant keywords and hashtags to improve the discoverability of your Shorts. This can increase views and subsequently boost earnings.

Engaging Thumbnails: Eye-catching thumbnails can entice viewers to click on your Shorts. Create custom thumbnails that stand out.

Leverage Trends: Keep an eye on trending topics and challenges within your niche. Creating Shorts that align with these trends can attract a larger audience.

Interact with Your Audience: Respond to comments and engage with your audience. Encourage discussions and build a community around your content.

Promote Products: If your Shorts feature products, effectively promote them using YouTube Shopping. This can lead to additional revenue beyond ad earnings.

Encourage Fan Funding: Foster a strong connection with your audience to encourage Super Thanks, Super Chat, Super Stickers, and Channel Memberships.

Diversify Your Content: While YouTube Shorts offers monetization opportunities, it’s essential to diversify your content and revenue streams. Consider creating a mix of Shorts and longer videos, especially if you have an established audience interested in both formats.

Conclusion

How to make money on YouTube shorts? It is not just a dream; it’s a real possibility. By understanding it and its monetization options, meeting eligibility requirements, and implementing the right strategies, creators can unlock their earning potential on this dynamic platform. Whether you’re a seasoned content creator or just starting your YouTube Shorts journey, there are numerous avenues to explore and turn your passion into a lucrative endeavor.

Methods of how to make money on YouTube shorts are diverse, ranging from ad revenue sharing and YouTube Premium subscriptions to YouTube Shopping and fan funding. Content quality, audience engagement, and niche selection all play crucial roles in determining earnings, emphasizing the need for creators to focus on producing engaging and valuable content.

While YouTube Shorts may offer little earnings compared to long-form videos, it presents a significant stepping stone for growing an audience and potentially channeling viewers toward more lucrative long-form content. With dedication, creativity, and a strategic approach, YouTube Shorts can become a valuable platform for artistic expression and financial success in the dynamic landscape of digital content creation.

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About

Mahfuz M

It is with extreme enthusiasm that I express my fervor for assisting startups in their journey to conquering obstacles and reaching new heights. Working alongside one another, we can construct a marketing strategy that will bring your business to soaring heights. With an unwavering belief in the strength that comes from perseverance and vigorous labor, I have complete confidence that we will reach your objectives.

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