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How Much Money Does 100 Million Views on YouTube Make: Understanding the Youtube Monetization System

Shawn Bradley September 11, 2023 3 min read
2665
how much money does 100 million views on youtube make

How Much Money Does 100 Million Views on YouTube Make

Cracking the code of how YouTube pays its creators can seem like a daunting task. Yet, understanding this digital gold mine is easier than you might think. If you’ve ever wondered just how much 100 million views on YouTube could translate into dollars, I’m here to shed some light on that.

YouTube’s monetization system revolves around ads and it’s these ads that fill up your bank account. The key term here is CPM, or Cost per Mille, which essentially means the cost for 1,000 ad impressions. This figure varies but for the sake of simplification, let’s consider an average CPM of $2.

With an estimated $2 CPM and 100 million views, you’re looking at a whopping $200,000 before any deductions! But remember, YouTube takes its cut too – usually around 45%. So in reality, from those impressive numbers you’d be pocketing about $110,000. Not too shabby for sharing your videos with the world!

Understanding YouTube’s Monetization Model

I’m sure you’ve often wondered, just how much cash can a popular YouTube video pull in? Well, to answer that question, we first need to get a grasp on YouTube’s monetization model.

At its core, YouTube’s monetization is built around advertisements. It’s the ads you see before your video starts or those pesky ones interrupting your favorite song halfway through. These are known as pre-roll and mid-roll ads respectively.

Now, here’s where it gets interesting – not all views earn the same amount of money. The revenue earned depends on several factors:

  • Type of ad: Different types of ads pay differently.
  • Viewer demographics: Advertisers may pay more for certain target audiences.
  • Video length: Longer videos have more opportunities for ads, which can increase earnings.

As an example: If you’re making content aimed at financial enthusiasts and investors, there’s a good chance finance companies will want to advertise on your videos. They’ll likely be willing to shell out extra cash for this targeted advertising opportunity.

With all these variables in play, pinning down an exact number is tricky but generally speaking, YouTubers make between $0.01 and $0.03 per advertisement view. This translates into approximately $1k-$3k per million views after YouTube takes its cut.

Cracking the Code: How YouTube Pays for Views

I bet you’ve wondered how those YouTube stars rake in cash with their viral videos. Well, it’s not as straightforward as you might think. While it’s true that views are a part of the equation, there’s more to the story.

YouTube primarily pays through ad revenue. Every time an advertisement is viewed or clicked on a video, some money changes hands. However, not all views are created equal in this scenario. If the viewer skips the ad before 30 seconds (or before the end for shorter ads), no dime is dropped into your piggy bank.

Let me take you down a little deeper into this rabbit hole. The pay-per-view model isn’t quite as direct as it sounds either. Instead of getting paid per view outright, YouTubers make money based on their CPM (Cost Per Mille). This term essentially means how much an advertiser is willing to pay for 1,000 monetized views – and trust me when I say these figures can vary wildly!

Just to get a sense of numbers here:

CPM Range Earnings for 100 million views
$0.25 – $4 (Low) $25k – $400k
$4 – $10 (Average) $400k – $1M
Over $10 (High) Over $1M

Please note that these figures are rough approximations since there are numerous factors at play which can affect your actual earnings – such as demographics of viewership, whether ads were skipped or not and so forth.

That’s why merely focusing on increasing your view count isn’t necessarily going to inflate your wallet size; quality content that engages viewers and keeps them watching will ultimately serve you better.

Moreover, remember that YouTube also takes its cut from ad revenues earned by creators – currently standing at a steep 45%. So, if you’re dreaming of YouTube riches, you’ll need to factor in this significant deduction as well.

Yes, it’s a rather complex system. But once you’ve cracked the code and understand how things work behind the scenes, you’re one step closer to turning those views into valuable dollars.

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