How YouTube Monetization Works

One of the biggest questions YouTubers ask when trying to become the next sensation is, “What does it take to make money on YouTube?”

This question comes from the drive to be the next viral star. There are a few things that aspiring YouTubers can do to start making money on YouTube.

1. Ask yourself the question of engagement versus the number of views.

Many people are confused whether they number of views they have on their videos equals the money they will receive. The real way to make money is the engagement that the viewers have with the ads at the beginning of the video.

There are a few types of ads that YouTubers can have on their videos: Cost Per Click (CPC), Cost Per View (CPV), Pre-Roll (preview where viewer can skip after 5 seconds), in search, or in display ads.

Here is a list of the ads that have the most money-making potential.

2. Take a targeted approach to your videos.

Most advertisers want a certain demographic when it comes to the ad placement. The easiest way to make the money is to cater to the demographic that the advertiser wants.

For example, one of the highest-grossing YouTube artists who has branched out into other endeavors is Michelle Phan. She started doing videos of makeup tutorials and had hundreds of comments from fans. She now runs a successful business and has a very successful fashion line.

Here is a video explains what a demographic is.

3. Target the proper keywords for your video.

CPC, or Cost Per Click, is the price that keywords raise in Google Adwords and on YouTube. Most CPCs average around $2. It is highly recommended to research the CPC words in order to understand how it will be associated with a video.

This video gives a basic definition of CPC advertising works.

4. Produce massive amounts of videos to make maximum profits.

Videos are definitely time-consuming, and many YouTube artists make it seem effortless. Companies that are looking for videos that focus on a specific demographic will be more inclined to associate their ads with more videos. The more videos produced in a certain time period will increase their profit, as well as put some money into your pocket as well.

This video shows how easy it is to make videos quickly without a lot of trouble.

With these simple steps, it is quite possible to make money on YouTube. Many YouTubers get frustrated when starting out because they are unaware of what is needed to create profitable videos. These steps are beneficial to YouTube creators who are either novice or experienced.

Interested in getting your YouTube video discovered by masses of targeted fans? Click this link:

Emily Thornton is an English Teacher who has a love of Journalism. She loves to read, write, and watch videos (music and fails).