YouTube Monetization Explained — A Guide to Making Money on YouTube

NetVerse Media
6 min readMay 9, 2024

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A lot of people think of YouTube as a place to find educational videos, watch comedy skits, music videos, short films or waste time. Another group of people, however, look at YouTube as a major online revenue source for their livelihood.

If you’re serious about making money online and want to make it your full-time job, video monetization through YouTube is one of the first steps you should take. I know You have questions about how Monetization works on YouTube. Yeah, come along and let’s figure this out together, one step at a time.

Hey everyone, I am Clyde Orleans with Netverse Media. And today, we’re going to be talking about how Video monetization works on YouTube. This is going to help jumpstart your YouTube career. Let’s start with what Video monetization is.

Video monetization is the process of generating income from the videos you share online on any platform. Whether that’s YouTube, TikTok, Instagram, Facebook, Patreon, or other video-on-demand platforms. YouTube is the largest video platform and people are making tons of money posting videos on it every day.

YouTube monetization is a hugely profitable business that’s empowering millions of people, students, entrepreneurs, companies, and small businesses around the world, Including course creators, artistes, stay-at-home moms, actors, comedians, reporters, and other expertise-based businesses.

Now how does YouTube monetization work?

This is the YouTube main page and here are long-form YouTube videos and YouTube shorts. Let’s click on any of the long-form videos on this page. Before the video starts playing, you will see an ad. There is also an ad here on the right side of the screen. Video ads are ads in video formats that appear and start playing automatically before, during, or after the video and display ads are ads that appear on the right side of the video player or as a banner at the bottom of the YouTube video player.

These Ads are in different formats and are placed on long-form YouTube videos, on live video streams, and between YouTube shorts in the shorts feed.

Brands pay Google to put these video ads, commercial display banners, and sponsored content on videos uploaded by content creators. The advertising fee generated from these ads is shared between YouTube and the content creators who are part of the YouTube Partner Program.

Content Creators through the partner program also earn money in a variety of other non-ads features, including through YouTube premium share, channel memberships, YouTube shopping, Super Chat, super thanks, super stickers, and so on. All these revenue sources are part of the YouTube partnership program. As with advertising, Creators and YouTube share revenue from these revenue sources.

You can also monetize your content through other ways outside the YouTube partner program. You can sell your own products, work with third-party networks, sponsors, and brands to create content, and get paid like this guy.

You can review other people’s products and earn affiliate commissions from the sales when viewers click and buy the recommended products through your link. In the description box below the video, YouTube allows creators to add their product links, sponsored links, or affiliate links. There are up to 15 different ways you can monetize your YouTube content.

Sometimes content creators will work on all these monetization methods at the same time to maximize their income, and for the biggest channels, it can be a lucrative strategy.

Why YouTube?

One of the reasons why YouTube is lucrative is that, YouTube has close to 3 billion users worldwide…. of which nearly 200 million are active daily users. Up to 2 billion are active every month. These users watch over one billion hours of video on the platform daily.

With that audience size come brands and advertisers who want to increase their brand’s visibility and reach using the platform. The reach and size provide a unique opportunity to get their brands in front of a massive audience to increase their brand awareness, grow sales, interact with target audiences, promote events, or share helpful product and service-related content.

This can especially be beneficial for small businesses and startups that may not have the resources to reach a wider audience through traditional marketing methods. By placing targeted ads on YouTube, Brands leverage the audience size and data that YouTube collects from their users to create ads that are specifically designed to reach people who are most likely to be interested in their brands. They can target based on demographics interests, behavior, and even location.

Brands also turn directly to content creators because they are attracted by easy and native access to the right audience, which is certainly convenient. This trust-based relationship helps brands sell more products. The YouTube audience can learn something new about a topic or product, and the content creator in turn makes lots of money. It’s a win-win situation for everyone involved.

You can create and monetize any type of video which can include vlogs, screencast tutorials, home videos, podcasts, original short films, animation or moving pictures, original music videos, and so on. Your video or moving pictures can be on any subject, whether it’s for Entertainment, education, or information.

Requirements and eligibility

To start monetizing with YouTube ads and other YouTube partner programs, there are thresholds and eligibility requirements. To be eligible for fan funding earning features like YouTube shopping, Super Chat, super thanks and super stickers, in most countries, you need to have at least 500 subscribers with either 3,000 valid watch hours for long-form videos in a year, or 3 million Shorts views in 90 days.

To be eligible for all YouTube monetization features including premium share and ads revenue share, you need to have at least 1,000 subscribers and either 4,000 watch hours on your long-form videos in the last 12-month period, or 10 million valid public Shorts views within the past 90 days. You also need to accept YouTube monetization policies and upload contents that are advertiser-friendly.

For most other money making opportunities outside the YouTube partner program, there are no threshold or eligibility requirements. You can make money through your YouTube channel by selling your products, promoting other people’s products for commissions, or partnering with brands and businesses who are looking to market to your audience with as little watch time or subscriber count.

How much money can you make?

As you’d expect, anything to do with making money online is never a guarantee. The amount of money you can make on YouTube varies hugely, depending on the type of content you are creating, your audience size, your audience demographics, and the type of ads being served on your videos. Other factors include the number of views your videos get and the engagement level of your audience. So what you can make here will vary.

Growing a YouTube channel takes time and patience. Attention to detail and quality of your video will help you grow your channel and help boost your chances of making money as a YouTuber. The best part is that YouTube income is passive, which means that once it’s set up, and you start making money, the earnings trickle in every single day.

OK, there we have it. This is how YouTube monetization works. I hope this helps you jump into YouTube. There are so many things you need to learn. There are lots of tutorials on our YouTube channel to get you started. Go through this channel and watch all our videos. What part of YouTube monetization do you need help with? Let me know in the comments below, and I am here to help you out.

And if you want to be a part of a community of creators, just like yourself, where we discuss YouTube video ideas, strategies, and of course, inspire each other, make sure to Join the Netverse Media YouTube community on Facebook. It’s a place for you to connect and learn from thousands of other YouTube creators like yourself.

If you found this tutorial helpful, don’t forget to follow us and also hit that like button and subscribe on our YouTube Channel for more valuable content. Watch the video version in the link provided. Thanks for reading, and I’ll see you in the next post!

https://youtu.be/6NCOB8EZRWM

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