How do Influencers Make Money with YouTube Sponsorships?

How Do Influencers Make Money with YouTube Sponsorships?

Making money online sounds ideal. Imagine, working from anywhere, anytime that you want. Many people have made working online a reality, and YouTube is a popular way to do so. But how do people monetize their video creation? Most YouTube influencers past 100,000 subscribers land brand deals to endorse and authentically promote a product or service in their videos. YouTube influencers typically receive countless emails and daily inquiries from brands and agencies hoping to partner with them. YouTube influencers choose which brands to work with based off a few important criteria: budget and compensation, scope of project and brand asks, social media promotion involved, and how closely the brand authentically resonates with the YouTube influencer‘s personal experience and taste. YouTube sponsorships work best when the brand is a natural fit for the influencer, channel theme, and audience, which results in better viewer-sentiment with the influencer and the brand, and when it proves beneficial to all parties involved: the brand reaches target audience through genuine endorsement; the audience learns about a new brand and is usually offered an exclusive discount; and the YouTube influencer gets paid for their work along with the added perk of free product and services. Learn more in our blog post about ways to collaborate with YouTube influencers for branded videos.

YouTube Sponsorships: How Popular YouTube Influencers Make Money

1. Direct Traffic To Your Website

Many people use YouTube and the Creator Playbook to post videos which will direct traffic to their owned and operated website. Users can combine repurposed old videos, and newly created videos, to engage their audience. The directive to head to the website for more information, or some other benefit, is included in the description as well as in the video.

2. Ads On Their YouTube Channel

AdSense and Advertisements are the primary way that YouTube users can earn revenue. As the creator, you earn 55% of the advertising revenues, with YouTube taking the other 45%. Additionally, if you decide to sign a contract with a Multiple Networks Channel to help with your monetization, production, etc., they will take an additional cut of your 55%. The amount earned from video ads will be based upon the amount of monetized views the video receives and the “cost per mile” or CPM of ads. The more views your video gets, the more you earn.

3. Merchandising

Extremely popular YouTubers have expanded their channel with merchandising. Merchandise can become a large part of your revenue stream. Some of your followers will gladly pay a few dollars for one of your t-shirts, coffee mugs or caps. When you decide to implement merchandising, make sure that your particular merchandising relates to your brand and the channel. Effective merchandising combined with brand endorsements can lead to extensive brand collaborations such as designing a namesake collection, such as Bethany Mota‘s line with Aeropostale.

bethany mota aeropostale

4. Affiliate Programs

YouTuber influencers who have a review channel can make some extra money by affiliate marketing. You can obtain easy access to this method of making money by entering the Amazon Affiliate program. Simply place your affiliate links underneath your review video, and get extra money when one of your followers orders that product (or anything else from the website within 24 hours).

5. Patronage

Lastly, many successful YouTubers will place some type of support link on their YouTube channel. By doing so, followers can donate a certain amount of money to the influencer. This may seem like something not many people would do, but it is actually quite the opposite. The majority of followers will gladly donate some of their hard earned cash to their favorite YouTube star when they enjoy their channel or the content they post. Some YouTube influencers even run crowdfunding campaigns for supports.

As you can see, there are many ways to make money on YouTube, and many YouTube influencers carry on to make a very decent living on this video platform. People who just start out must realize that there is a lot of competition and you really need to offer the YouTube community something special to stand out nowadays. It is also worthwhile to use keywords to get the audience you are after.

If you decide to have a go at making money on YouTube, also realize that you do not have to limit yourself to one particular revenue stream. You can easily combine advertisements with merchandising and even add affiliate marketing to the mix. With continued posting and engagement with your audience, you could be the next YouTube success story. Learn more about how Instagram influencers make money, and how bloggers make money.

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