By 1of10 Team in YouTube Strategy — Jan 31, 2025

How To Make Money With YouTube

YouTube creators are redefining fame in the digital age, attracting large audiences through entertaining, educational, and informative videos. Once you've achieved success on the platform, there are plenty of opportunities to monetize your content.

YouTube creators have become modern-day influencers, building large followings by sharing content that entertains, educates, informs or simply highlights the endless possibilities of the internet.

If you've already achieved success on YouTube, you're in luck. There are numerous ways to monetise your YouTube videos and channel. Some methods tap into YouTube’s built-in tools, while others direct your audience to external platforms.

Let's explore these strategies to start earning money on YouTube.

The Requirements For How To Make Money From YouTube

YouTube’s Monetisation Criteria To Make Money From YouTube

YouTube has become a powerful platform for content creators looking to generate income. However, before you can start earning, your channel must meet specific eligibility criteria set by the YouTube Partner Program (YPP). This program allows creators to monetise their YouTube videos through various methods, including Google AdSense, Super Chats, channel memberships, and more.

The Minimum Requirements to Earn Money on YouTube

The first and most important step to making money on YouTube is qualifying for YouTube monetisation.

To do so, your channel must meet a set of baseline requirements. These include reaching at least 1,000 subscribers, accumulating 4,000 valid public watch hours in the past 12 months, and ensuring your content adheres to YouTube’s community guidelines and YouTube monetisation policies.

Why YouTube Requires 1,000 Subscribers and 4,000 Watch Hours To Make Money From YouTube

The 1,000-subscriber requirement is in place to ensure that a channel has built a dedicated audience. YouTube wants to prioritise creators who have established a level of consistency and engagement with their content.

Similarly, the 4,000 public watch hours requirement is an indicator of audience interest and retention. Only views from public YouTube videos contribute to this threshold, meaning private, unlisted, or deleted YouTube videos do not count.

You can also check our other blogs where we discuss how to get 4,000 watch time hours as well as how to get your first 1,000 subscribers!

Another key requirement is having an active Google AdSense account. AdSense is the platform that processes YouTube payments, making it essential for receiving ad revenue.

If a creator does not have an AdSense account, they will need to set one up and link it to their YouTube channel before YouTube monetisation can begin. Additionally, channels must enable two-step verification for security purposes and have no active community guideline strikes.

How to Apply for the YouTube Partner Program To Make Money From YouTube

Once these requirements are met, creators can apply for the YouTube Partner Program. This is done through YouTube Studio, where applicants must agree to YouTube’s monetisation terms and policies.

The application process includes a manual review by YouTube, where the platform evaluates whether a channel complies with its advertiser-friendly guidelines. Channels featuring misleading content, excessive profanity, or reused content may face delays or even rejection in their application.

What Happens if Your Application is Rejected?

If a channel is rejected, creators have the option to reapply after 30 days. During this time, they should review their content to ensure it aligns with YouTube’s policies and improve any areas that might have led to the rejection.

Tips for Meeting the YouTube Monetisation Requirements Faster

For those who are just starting out and have yet to meet these requirements, growing a YouTube channel requires a strategic approach. Creating high-quality content that provides value to viewers is essential.

Focusing on niche topics, optimising YouTube videos for SEO, and maintaining a consistent upload schedule can significantly boost subscriber count and watch hours. Encouraging audience engagement through comments, likes, and shares also plays a crucial role in increasing visibility on the platform.

How to Turn On Ads on YouTube and Start Earning from Ad Revenue

Once a YouTube channel meets the YouTube monetisation requirements, the next step is to enable ads and start earning through Google AdSense. Ad revenue is one of the most common ways creators make money, but it requires proper setup and an understanding of how YouTube advertising works.

This section will cover how to enable ads, different ad formats, and best practices to maximise earnings.

Enable YouTube Monetisation in YouTube Studio

To start showing ads on YouTube videos, creators need to enable YouTube monetisation settings within YouTube Studio. Here’s how to do it:

Sign in to YouTube Studio.
Click on “Monetisation” in the left-hand menu.
If approved for the YouTube Partner Program (YPP), select “Start” to review and accept the Monetisation Terms.
Connect a Google AdSense account if you haven’t already.
Once linked, go to “Videos” in YouTube Studio and select the YouTube videos where you want to enable ads.
Click “Monetisation” and toggle it on for eligible YouTube videos.
Choose the types of ads you want to display (skippable, non-skippable, bumper, etc.).
Save changes and publish the settings.

Once these steps are complete, YouTube will begin serving ads on monetised YouTube videos based on audience behaviour and advertiser demand.

Understanding YouTube Ad Formats for Monetisation

YouTube offers different ad types, and understanding them can help maximise earnings.

Skippable Ads – Viewers can skip these ads after 5 seconds. Creators earn revenue if the viewer watches at least 30 seconds or interacts with the ad.
Non-Skippable Ads – These ads must be watched in full (usually 15–20 seconds) before the YouTube ideo plays. They typically offer higher CPM rates.
Bumper Ads – Short, 6-second non-skippable ads that are designed for quick brand messages.
Overlay Ads – Semi-transparent banner ads appearing at the bottom of a YouTube video (desktop only).
Mid-Roll Ads – These appear within longer YouTube videos (8 minutes or more). Viewers must watch the ad to continue watching the content.

Creators should experiment with different ad placements and formats to optimise their earnings while maintaining a good viewer experience.

Best Practices for Maximising Ad Revenue On YouTube

Turning on ads is just the beginning. To increase earnings, consider these strategies:

Create Longer YouTube Videos – Videos over 8 minutes allow mid-roll ads, which can significantly boost revenue.
Focus on High CPM Niches – Some topics, such as finance, tech, and business, attract advertisers with higher ad budgets, leading to better earnings.
Maintain High Audience Retention – The longer viewers stay on a video, the more likely they are to see ads, increasing revenue potential.
Optimise Video SEO – Using keywords in titles, descriptions, and tags helps attract more views, leading to more ad impressions.
Ensure Advertiser-Friendly Content – Videos must comply with YouTube’s ad policies to avoid demonetisation. Content featuring excessive profanity, controversial topics, or copyrighted material may have limited or no ads.

How YouTube Ad Revenue is Calculated With Videos

YouTube earnings are based on CPM (Cost Per Mille) and RPM (Revenue Per Mille).

CPM refers to how much advertisers pay per 1,000 ad impressions.
RPM is what creators actually earn per 1,000 views, after YouTube takes its share (45% of ad revenue).

CPM rates vary depending on niche, audience location, and advertiser demand. Channels in lucrative industries like finance, health, and technology often see higher CPMs.

Common Issues When Enabling Ads On YouTube

Some creators face issues when trying to monetise their YouTube videos. Here are a few common problems and solutions:

“Limited or No Ads” Warning – This happens when YouTube’s system detects content that isn’t fully advertiser-friendly. To fix this, check YouTube’s ad policies and request a manual review if needed.
AdSense Account Not Approved – If Google rejects an AdSense application, review their eligibility requirements and ensure the website information is correctly linked to the YouTube channel.
Monetisation Disabled – This can happen if a channel violates YouTube’s guidelines. If monetisation is removed, creators must appeal or reapply after 30 days.

Also, keep in mind that Shorts channels will have different requirements, which we also cover how Shorts creators can get their videos and channel monetised, as well as how short-form content receives revenue differently to long-form content.

How to Earn Recurring Revenue from Subscribers Using YouTube Channel Memberships

YouTube Channel Memberships offer creators a way to earn recurring revenue by allowing subscribers to pay a monthly fee in exchange for exclusive perks. This feature is similar to Patreon but is built directly into YouTube, making it easier for creators to monetise their audience without relying solely on ads.

In this section, we’ll cover how to enable memberships, what perks to offer, pricing strategies, and best practices to increase conversions.

How to Enable YouTube Channel Memberships

To activate Channel Memberships, a creator must meet certain eligibility criteria. These include:

Being part of the YouTube Partner Program (YPP)
Having at least 500 subscribers (previously 1,000, but YouTube lowered the requirement)
Being 18 years or older
Having no active community guideline strikes
Operating in a country where memberships are available

Once these requirements are met, follow these steps to turn on memberships:

Open YouTube Studio and go to the Monetisation tab.
Click on "Memberships" and review YouTube’s terms.
Set up membership tiers with different pricing levels.
Customise badges, emojis, and perks for paying members.
Publish the membership offer and promote it to your audience.

Once memberships are enabled, a "Join" button will appear next to the Subscribe button, allowing viewers to sign up for paid perks.

What Perks Can You Offer to YouTube Members for Money?

To encourage sign-ups, creators must provide exclusive content and benefits that add value. Some popular perks include:

Loyalty Badges – Special icons displayed next to a member’s name in comments and live chats to show their support level.
Custom Emojis – Unique emojis that members can use in live chats and YouTube video comments.
Exclusive YouTube Videos – Content available only to members, such as behind-the-scenes footage or early access to uploads.
Members-Only Live Streams – Private live sessions where members can interact directly with the creator.
Community Posts and Polls – Special updates, polls, and Q&A sessions that engage members.
Shoutouts in YouTube Videos – Public recognition of members in YouTube video content.

Creators should experiment with different perks to find what resonates most with their audience.

Pricing Strategy for Channel Memberships

YouTube allows creators to set multiple membership tiers, each with different pricing. The most common pricing strategies include:

Basic Tier ($1.99 – $4.99 per month) – Provides entry-level perks like loyalty badges and exclusive emojis.
Mid-Tier ($9.99 – $19.99 per month) – Includes extra benefits such as members-only YouTube videos and live chats.
Premium Tier ($24.99 – $49.99 per month) – Offers high-value perks like personal shoutouts, 1-on-1 calls, or exclusive mentoring.

Choosing the right pricing depends on audience engagement, niche, and content type. It’s best to start with a lower-tier option and introduce higher-priced tiers as demand grows.

Best Practices to Increase YouTube Membership Sign-Ups

To maximise membership revenue, creators should actively promote the feature using these strategies:

Regularly mention memberships in YouTube videos – Remind viewers about perks and how to join.
Use pinned comments and YouTube video descriptions – Include direct links to the membership page.
Showcase exclusive content – Give non-members previews of what they’re missing.
Engage with members frequently – Respond to comments and host special Q&A sessions to build loyalty.
Create urgency – Limited-time perks or discounts can encourage more sign-ups.

Building a strong sense of community is key to retaining members and increasing monthly earnings.

How Much Can You Earn from YouTube Memberships?

Membership earnings depend on subscription volume and pricing tiers. YouTube takes 30% of membership revenue, while creators keep 70%.

For example, if a channel has:

500 members at $4.99 per month, the total revenue would be $2,495/month before YouTube’s cut.
After YouTube’s 30% share, the creator takes home $1,746/month.

Channels with dedicated fanbases can earn significantly more from memberships than from ad revenue alone.

How to Make Money from YouTube Merchandise

Selling merchandise is a popular and profitable way for YouTube creators to monetise their content and engage with their fanbase. With the YouTube platform supporting merchandise integration, creators can seamlessly promote and sell their custom products, ranging from t-shirts and hats to mugs and phone cases. Merchandise not only helps diversify revenue streams but also strengthens the connection between creators and their audiences.

In this section, we’ll dive into how to set up a merch store, what types of merchandise to sell, and best practices to increase sales and boost brand visibility.

How to Set Up Merchandise on YouTube

To sell merchandise on YouTube, creators need to meet a few basic criteria and then integrate their merchandise store with their channel. Here’s how to get started:

Meet YouTube’s Requirements – You must be part of the YouTube Partner Program and have at least 10,000 subscribers.
Choose a Merch Partner – YouTube works with approved merchandise companies, including Teespring, Spreadshop, and Represent, which allow creators to design and sell custom merchandise.
Set Up Your Merch Store – Once your merch partner is selected, you can upload designs and select which products to offer on your channel.
Enable the Merchandise Shelf – After connecting your merch partner to YouTube, you can enable the Merchandise Shelf feature directly in YouTube Studio, allowing fans to shop products directly from your channel’s homepage or YouTube video pages.

Once everything is set up, the merch store will appear as a tab on your YouTube channel, and viewers can explore your products while watching your YouTube videos.

What Types of YouTube Merchandise Should You Sell?

Choosing the right merchandise is crucial to ensuring it resonates with your audience. Here are some popular product ideas that creators often sell:

Apparel – T-shirts, hoodies, caps, and socks with custom designs, slogans, or channel logos.
Accessories – Mugs, water bottles, phone cases, and bags that feature unique designs or catchphrases from your YouTube videos.
Prints and Posters – High-quality prints or posters showcasing your artwork, photos, or memorable moments from your channel.
Collectibles – Limited-edition items, such as autographed products, special event merch, or custom-designed plush toys.

Your audience’s interests, preferences, and your niche will determine what kinds of merchandise will be the most successful. It’s also important to keep your product offerings fresh by periodically releasing limited-edition designs or seasonal items.

Best Practices for Promoting Merchandise on YouTube

To drive sales, you’ll need to effectively promote your merchandise to your audience. Here are a few strategies:

Incorporate Merchandise in YouTube Videos – Mention or feature your products within your YouTube video content. Consider wearing your merch or using it in your YouTube videos to show your audience how they can represent your brand.
Use Calls to Action – At the end of your YouTube videos, ask viewers to check out your merchandise and provide links in the YouTube video description or as pinned comments.
Promote on Social Media – Leverage your other platforms (Instagram, Twitter, TikTok) to showcase your merch. Cross-promoting helps attract a wider audience.
Offer Special Discounts or Giveaways – Provide exclusive discounts or run giveaways for your subscribers to encourage them to purchase or promote your merch.
Highlight Limited Editions – Limited-edition designs or seasonal items can create urgency and excitement around your products.

The more creative and consistent you are with promoting your merchandise, the higher the chances of increasing sales and boosting your brand’s visibility.

How Much Can You Earn from Selling YouTube Merchandise?

Your earnings from selling merchandise will vary depending on the type of products you sell, the number of items you move, and the profit margin. Merchandise companies typically take a percentage of each sale (usually 10%-30%) and provide the creator with the remaining revenue.

For example, if you sell a $20 t-shirt with a $10 profit margin, and you sell 100 shirts per month, you would earn $1,000 per month in profit from that product alone. By expanding your merchandise line and creating an active marketing strategy, creators can significantly boost their overall income.

YouTube Sponsorships and Affiliate Marketing for Money

Sponsorships and affiliate marketing are two powerful ways for YouTube creators to generate income beyond traditional ad revenue. Both strategies involve partnerships with companies or brands that align with your content and audience, offering financial compensation or commissions in exchange for promoting their products or services.

In this section, we’ll explore how to land sponsorships, get started with affiliate marketing, and best practices for using both strategies effectively to maximise your YouTube earnings.

How Sponsorships Work on YouTube for Revenue

A sponsorship involves partnering with a brand that pays you to promote their product or service in your YouTube videos. This arrangement can be highly lucrative, especially for creators with an established and engaged audience.

To secure sponsorships, creators typically need to demonstrate their value to potential sponsors, such as consistent views, high engagement, and a targeted niche audience. Here’s how to land sponsorships on YouTube:

Build Your Audience – Sponsors are looking for creators with an engaged and relevant audience. Focus on building a community around your content and maintaining high viewer retention.
Reach Out to Brands – Don’t wait for brands to approach you. Reach out directly to companies that align with your niche. Personalise your pitch by showcasing how your audience matches their target market.
Join Influencer Networks – Platforms like GrapeVine, Channel Pages, and Famebit connect YouTubers with brands looking for sponsorships. These networks can help you find opportunities, negotiate deals, and streamline the sponsorship process.
Negotiate the Deal – Be prepared to negotiate terms, including the type of content (product reviews, mentions, or integrations) and payment. Make sure the deal feels fair and aligns with your brand.

Sponsorships can involve flat-fee payments, affiliate commissions, or a combination of both, depending on the terms of the agreement.

How Affiliate Marketing Works on YouTube for Money

Affiliate marketing involves promoting a product or service in exchange for a commission on sales generated through your unique affiliate link. This method is popular among creators because it doesn’t require any upfront payment, and you earn money when your audience makes a purchase.

Here’s how affiliate marketing works on YouTube:

Join Affiliate Programs – Many companies offer affiliate programs that allow creators to promote their products for a commission. Popular affiliate networks include Amazon Associates, ShareASale, and ClickBank.
Promote Affiliate Products in Your YouTube Videos – Create content that naturally integrates the affiliate product. For example, you could review a product, do an unboxing, or create tutorial YouTube videos showing how it works.
Use Affiliate Links – In the YouTube video description, include your affiliate links with clear calls to action. You can also use trackable links to monitor clicks and sales.
Disclose Affiliate Relationships – It’s essential to disclose affiliate links to your audience for transparency. Include a statement such as “This video contains affiliate links, meaning I may earn a commission if you make a purchase.”

Affiliate marketing is an excellent way to earn passive income, especially if you’re promoting products that align with your audience’s interests.

Best Practices for Maximising Earnings with Sponsorships and Affiliates

To make the most of sponsorships and affiliate marketing, here are some tips:

Align with Brands You Trust – Whether it’s a sponsor or affiliate product, only promote products that you believe in and that are relevant to your audience. Your followers will appreciate your honesty, and it will build long-term trust.
Create Authentic Content – When integrating sponsors or affiliate products into your YouTube videos, focus on creating authentic and engaging content. Avoid hard-selling; instead, offer value by providing useful information, demonstrations, or entertainment.
Diversify Your Partnerships – Work with a variety of sponsors and affiliate programs to avoid over-relying on any one source of income. Explore opportunities in multiple niches, and experiment with different types of products to see what resonates most with your audience.
Optimise for SEO – To increase the effectiveness of your affiliate marketing, optimise your YouTube video titles, descriptions, and tags. This helps attract more views and clicks on your affiliate links.

How Much Can You Earn from Sponsorships and Affiliate Marketing?

Earnings from sponsorships vary depending on your audience size, engagement, and the terms of the deal. Some YouTubers can earn thousands of dollars per YouTube video from sponsorships, especially if they have a highly engaged audience.

Affiliate commissions can also add up over time. For example, promoting a product with a 10% commission might earn you $10 for every $100 sale made through your affiliate link. Earnings depend on how often your audience clicks on your links and makes purchases.

Experimenting Creator-Led Businesses

Beyond ad revenue, sponsorships and affiliate marketing, many YouTube creators are leveraging their influence to launch their own businesses. A creator-led business allows YouTubers to build something more sustainable and independent from platform algorithms while maximising the trust and loyalty they’ve cultivated with their audience.

Why Creators Are Launching Their Own Businesses To Generate Money

Relying solely on YouTube’s monetisation tools can be unpredictable, as algorithm changes, ad rates and brand deals fluctuate. By launching their own businesses, creators gain more control over their income while strengthening their personal brand. These businesses often reflect a creator’s niche, expertise and passion, making them a natural extension of their content.

Additionally, YouTubers have a built-in audience that already trusts their recommendations. This makes it easier to market products or services, reducing the need for expensive advertising. Instead of promoting third-party brands, creators can channel that engagement into their own businesses and earn higher profit margins.

Types of Creator-Led Businesses YouTubers Can Earn Money From

There are several business models that YouTubers can explore, depending on their niche, expertise, and audience demand:

E-commerce and Merchandising
Selling custom merchandise is one of the most common ways creators transition into entrepreneurship. Whether it's clothing, accessories or home decor, branded merchandise allows fans to support their favourite creators while getting something tangible in return. Some creators take this a step further by launching full-fledged e-commerce brands, producing original products beyond standard YouTube merch.
Online Courses and Digital Products
Many YouTubers, especially in educational, fitness or business-related niches, monetize their knowledge through online courses, e-books, or digital downloads. Platforms like Teachable, Kajabi, and Gumroad make it easy to create and sell premium educational content. This model works well because creators are seen as experts in their field, making their audience more likely to invest in their insights.
Subscription-Based Communities and Memberships
While YouTube offers channel memberships, some creators prefer launching private communities on platforms like Patreon, Discord, or Circle. These subscription-based communities offer exclusive content, Q&A sessions, networking opportunities, or personalized coaching. This approach works especially well for creators with dedicated fan bases who crave deeper engagement.
Software and Apps
Tech-savvy creators sometimes develop their own software, apps, or tools tailored to their audience’s needs. For example, creators in the productivity niche may launch a custom planner app, while gaming YouTubers might create gaming-related tools. With the right development team, this can be a lucrative long-term business model.
Personal Brands and Consulting
Some YouTubers evolve into full-fledged entrepreneurs by offering consulting, coaching or public speaking. Their expertise, proven by their YouTube success, makes them valuable advisors in their field. Whether it’s social media strategy, fitness coaching, or financial consulting, creators can monetize their knowledge beyond the platform.

Building a Sustainable Business as a YouTube Creator

Launching a successful creator-led business requires strategic planning. Here are a few key tips:

Leverage audience insights – Use YouTube analytics to understand what your audience wants and tailor your products or services accordingly.
Start small and scale – Test demand with limited product drops or beta versions before going all-in.
Market effectively – Promote your business through YouTube videos, email lists, and social media to maximise sales.
Focus on quality and authenticity – Only create products you genuinely believe in to maintain trust with your audience.

We also have another in-depth guide where we discuss how to monetise your views if you're looking for more information to monetise your channel!