How Much Money Do Youtube Videos Make

How Much Money Do Gaming YouTubers Make from Ad Revenue?

Many are curious about how much money popular gaming YouTubers make from ads. Here's how to estimate.

Many content creators have been able to make a living with YouTube gaming content. One example is theMinecraft YouTuber known as "Dream," who has been able to grow their channel immensely and find financial success. However, predicting how much money a YouTuber makes from ad revenue can get tricky.

Many believe YouTube follows the same ad payout structure as Twitch, meaning streamer income is based on how many subscribers a channel has. The truth is, subscribers don't really matter when it comes to a YouTube channel's payout. Subscribing on YouTube is free, unlike with Twitch, so content creators do not get paid based on these numbers. That said, subscribers do matter for channels to meet YouTube's payout threshold, as well as for advertisers looking to sponsor streamers with large audiences.

The only thing that matters to a YouTube channel is the amount of views. Keep in mind, not all views are worth the same amount of money. The worth of a view and the amount of money viewership makes per video fluctuates based on many factors, from the age of the viewer to the genre of the video. CPM or "Cost Per Mille" is how advertising revenue is calculated on YouTube and it tells content creators how much money a video or channel makes per 1 thousand views. Note that YouTube takes 45 percent of the money earned, so creators don't see the full amount.

Therefore, to determine how much a gaming YouTuber earns from ad revenue, it's necessary to calculate their "true CPM." Simply put, by measuring how much money a channel or video has made per 1 thousand views, factors like ad blockers (which will prevent a view on a video from generating money) can be ignored. This is measured by taking the amount of money a video or channel has made and dividing by the total views of the video or channel, then multiplying by 1 thousand.

Few channels or creators publicly disclose their streaming revenue. However, a baseline can be established using the gaming channel MattCS, which focuses onCS:GO content. MattCS has revealed to viewers that based on their stats -- even on holiday seasons where advertising revenue is increased -- their true CPM averages 56 cents. For every thousand views, a decent gaming content channel like MattCS makes just over half a US dollar.

Comparatively, gaming has a much lower CPM than other YouTube categories. Videos about pets, business, or beauty/fashion have true CPMs that range from $2 to $24. This is partially due to gaming's popularity: It's the second highest trending content on YouTube after music. Other genres aren't as saturated or competitive. Plus, advertisers in other industries may be willing to pay more.

Of course, there are still ways to make a lot of money as a gaming channel on YouTube, even if the channel's true CPM is low. For example, even though MattCS has an extremely low true CPM for how popular the genre is, the channel still makes approximately $20 thousand annually.

Essentially, if a channel is able to successfully wrack up tons of views at a consistent pace, then it can still generate a lot of money. True CPM isn't a 100 percent accurate depiction of the amount of money a channel makes; it is simply a rough estimate. Large channels will have other ways of generating money, like sponsorship, partnerships and more. True CPM only calculates a YouTuber's earnings from the advertisements placed on their videos before YouTube takes a 45 percent cut and ignores factors like ad blockers or currency exchange.

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About The Author

Matthew Carbonell (108 Articles Published)

Graduated from CUNY Hunter College with a Bachelor's Degree in English Creative Writing. Spent many days self learning and academically learning skills relative to writing fiction, writing non-fiction, writing poetry, photography, film, and media/film editing. Also has experience with web development and is working on a project that acts as an interactive book trailer (linked in "website"). Aspires to be an author of his own work anywhere from articles and essays to novels and poetry. Loves to play video games, writing, making YouTube videos, streaming on Twitch, spending time with family/friends, and playing handball.