Chapter 1: My Journey as a Small-Scale YouTuber

It's a typical morning at 9:30 AM, and I'm focusing on a fan. More specifically, I'm filming a detailed review of the Honeywell HYF290B tower fan...

Here's how I plan to earn a substantial income this year.

At 9:30 in the morning, I find myself discussing a fan, specifically the Honeywell HYF290B tower model. I grab my phone and record a four-minute and 22-second video where I delve into the fan's features—explaining each button, its noise level, the price I paid, what I appreciate about its swivel function, and my criticisms of its front grill. For this effort, I will receive $46.03.

Welcome to my world as a modest YouTuber. The review of the Honeywell HYF290B is just one of over 720 videos I've produced over five years for my channel, Do-It-Yourself Home Automation. I've also covered various topics, from Fitbits and Android applications to toilet plungers. I seldom appear on camera—though that is changing—and it's likely that most of my 3,200-plus subscribers wouldn’t recognize me if we passed on the street. Yet, I anticipate earning a comfortable low five-figure income from the platform in 2021.

Most discussions surrounding YouTube spotlight extraordinary channels—like the nine-year-old making $26 million annually or the vlogger who filmed a controversial video in Japan’s suicide forest. However, since its inception in 2005, YouTube has experienced tremendous growth, attracting immense viewership and advertising revenue. This evolution means it's now viable to earn a decent living on the platform without achieving internet stardom or going viral.

Interestingly, I can rank 2 millionth among approximately 30 million YouTube creators based on subscriber count and still generate thousands of dollars annually.

YouTube boasts staggering audience metrics. As reported by research firm Omnicore, over 2 billion users engage with YouTube each month, watching more than 1 billion hours of video daily. While the average website visit lasts just two to three minutes, YouTube users typically spend around 40 minutes per visit. Almost everyone seems to use YouTube; for example, 77% of Americans aged 25 to 36 and over half of those aged 75 and older are active users. Every minute, 500 hours of new video content is uploaded to YouTube. In 2019, the platform generated $15.1 billion in advertising revenue—surpassing the GDP of many nations.

In 2020, my channel garnered roughly 1,034,000 views and over 1,400,000 minutes of watch time. Specifically, my Honeywell fan review attracted 208.6 hours of viewing time last year. While that’s an impressive amount of engagement, it’s relatively modest in the grand scheme. According to Social Blade, over 1.49 million channels outpace mine in views, and around 2.93 million have more subscribers. This illustrates the incredible scale of YouTube today; someone watches one of my videos every minute of every day, despite millions of channels enjoying greater popularity.

YouTube's landscape wasn’t always this expansive. A decade ago, in 2011, it attracted only about half as many views as it does today and hosted roughly ten times less creator content. This rapid growth stems from the decreasing costs of video storage, an increasing demand for content, and YouTube's early success on mobile devices, which currently account for 37% of global mobile internet traffic.

A significant factor in this growth has been YouTube’s early decision to allow creators to share in the platform’s revenue by displaying ads on their videos starting in 2007. This decision has created genuine financial opportunities for thousands of creators and sparked the potential for fame and fortune for millions more, driving more creators to upload content.

However, making money—or even sustaining a living—is often more challenging on YouTube than on other platforms. Anyone can create a channel and upload videos, but monetization requires meeting thresholds of 1,000 subscribers and 4,000 hours of watch time in the previous year—a considerable challenge for many newcomers. Until 2017, creators could monetize their channels from day one. But following a surge of inappropriate content that deterred advertisers—an incident referred to as the Adpocalypse—the platform tightened its standards, implemented new content review systems (often AI-driven), and subsequently demonetized many channels focusing on child-centric content.

I estimate that my earnings from video creation amount to at least $53 per hour.

Consequently, many channels earn nothing at all. Yet for those who navigate YouTube's criteria and understand how to comply with its moderation protocols, the financial rewards can be significant. The average YouTuber in the U.S. earns between $6 and $8 per 1,000 monetized views. Depending on the channel's niche, earnings can be higher. My channel, focused on consumer electronics, tends to yield more. Although 2020 proved challenging for advertising, my videos still managed to generate $11.34 per 1,000 monetized views, with averages exceeding $13 per 1,000 views in 2021. I project that my hourly earnings from video creation exceed $53.

Creators with larger audiences can achieve even better results. In an article for Debugger, YouTuber Shelby Church noted that she can earn as much as $20 per 1,000 views, though her average is typically around $2 to $5. Church acknowledges that "numerous factors influence how much a video can earn," including viewer demographics and geographical location, which significantly affect ad revenue.

There are various methods for creators to generate income beyond YouTube's built-in ads. Those with sizable followings often engage in sponsored content, earning anywhere from $10 to $50 per 1,000 views—substantially more than YouTube's ad rates. The platform encourages branded content, partly due to its interest in the associated revenue. In 2016, YouTube acquired Famebit, a marketplace connecting brands with popular creators, allowing it to offer sponsorship deals to selected creators on an exclusive basis. (I have yet to receive an invitation.)

Across all platforms, influencer marketing was a $9.7 billion industry in 2020.

Even without sponsorship deals, YouTubers with modest followings frequently receive free products from brands, hoping for reviews on their channels. I've had well-known companies like Panasonic send me drones, children's toys, phone stabilizers, and video cameras in exchange for reviews. Creators must disclose any paid sponsorships or free products in their content, although many do not. (I always make such disclosures.) Generally, viewers show little concern regarding whether content is organic or sponsored. Some YouTubers have even been caught fabricating fake sponsorships to boost their perceived legitimacy.

Many creators also cross-post their content on multiple platforms, utilize videos to promote products via affiliate marketing, or leverage their channels to attract customers to their own products or businesses. I often cross-post my YouTube videos to Amazon Influencers—a select video network showcasing creator videos on Amazon product pages—as well as Facebook Watch. Others monetize through subscription services like Patreon or YouTube's internal membership program.

These diverse monetization avenues mean that YouTube creators have an ever-growing array of opportunities to profit from their content. This creates real revenue potential—even for relatively unknown creators with smaller audiences. Unlike traditional industries such as music, where revenues are unevenly distributed (with the top 1% of artists accounting for 90% of total streams), YouTube operates differently. While top creators may earn astonishing amounts, their share of overall revenue is relatively small. This is advantageous for smaller creators like myself, as I can rank 2 millionth out of around 30 million creators in terms of subscribers and still generate thousands annually. It also indicates substantial potential for future growth; I've already added roughly 100 videos in 2021 and aim to produce thousands more in the coming years to boost my income.

If you’ve ever thought about starting a YouTube channel, dive in! It may take months (or even years) to reach 1,000 subscribers and begin earning ad revenue directly from the platform. However, once you do, you can tap into the platform's extensive reach and earn a decent income as a YouTuber—even if you aren't internet famous. If you achieve success, don’t forget to give me a shoutout during your next sponsored video trip to Paris! And if you're a brand looking for reviews: Absolutely! I would love to test your latest air conditioner!

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Chapter 2: How to Monetize Your YouTube Channel

The first video titled "How to Make Money on YouTube Without Making Videos (Step By Step)" provides a detailed guide for creators looking to earn income without the need for traditional video production methods.

The second video, "HOW TO MAKE MONEY ON YOUTUBE WITHOUT BEING MONETIZED," explores alternative monetization strategies for creators who may not meet YouTube's standard requirements.