YouTube Partner Pay: Will You Make Money?
Jason Calacanis wrote a great article about YouTube Partner pay, producing online video content as a YouTube Partner, and MCNs (multi-channel networks) as a threat to YouTube's current model. He points out the current, fundamental problem with YouTube: making money as a YouTube partner.
There are currently three ways to make money as a YouTube partner:
- YouTube Grant Program - as part of YouTube's grant program, the creator is paid directly by YouTube to produce content.
- Adsense Payout - payout is based on a revenue share. For most YouTube partners, the payout works out to be around $1.50 CPM (not the best Cost Per Impression in the world of online video).
- Advertisers - custom, branded content sold directly to advertisers and published on your channel.
As a participant in YouTube's grant program, Calacanis realized that YouTube will not pay him indefinitely to produce content. By analyzing his video views and search traffic, Calacanis came to the realization that his video content won't pay out enough (via Adsense) to support production if YouTube isn't paying. Many YouTube partners who were paid by YouTube to produce content have also come to the same realization.