Similar to other social platforms, YouTube has been prioritizing short-form video content, evident in the Shorts tab on the main menu and a prominent Shorts feature on the watch page. As of July 2023, YouTube Shorts has amassed a user base of two billion monthly logged-in users. This post delves into the realm of YouTube Shorts monetization, detailing how to generate income from your YouTube Shorts. For a broader introduction to this format, refer to our blog post on the essentials of creating YouTube Shorts.
Is YouTube Shorts Monetization Possible?
Absolutely!
While regular long-form YouTube videos have been eligible for monetization for over 15 years, YouTube Shorts, being a newer format, wasn’t initially part of the YouTube Partner Program (YPP). Fortunately, YouTube addressed this, introducing Shorts monetization options in late 2022. Since then, creators focusing on YouTube’s short video format have had the opportunity to earn money.
How Does This Work?
YouTube Shorts monetization is a bit intricate, involving various revenue sources:
- YouTube Shorts Ad Revenue Sharing
- YouTube Premium Subscription Revenue Sharing for Shorts
- YouTube Shopping
- YouTube Fan Funding
YouTube initially launched Shorts monetization through the YouTube Shorts fund in 2021, a $100 million initiative aimed at incentivizing creators to embrace the new format. It rewarded Shorts creators for producing engaging content. This fund served as a temporary solution while YouTube developed a long-term monetization model for Shorts, eventually replaced by the Shorts ad revenue sharing model in February 2023.
1. YouTube Shorts Ad Revenue Sharing
Creators receive a share of ad revenue from Shorts feed videos.
A four-step formula determines the revenue distribution:
- Combine all ad revenue from Shorts feed videos.
- Deduct the amount required for music licensing payments, directly paid to music partners.
- The remaining ad revenue forms the Creator Pool.
- Creators receive a percentage of the Creator Pool based on their share of total views in each country, with a 55%-45% revenue share split.
2. YouTube Premium Subscription Revenue Sharing for Shorts
Payments are based on a creator’s share of views within their country, specifically for subscription Shorts views. Creators receive 45% of the net revenue from YouTube Premium allocated to monetizing creators for Shorts.
3. YouTube Shopping Features
Monetize Shorts by promoting products with YouTube Shopping during the upload process. Tag products to enable a product overlay, allowing viewers to browse and purchase without leaving YouTube.
4. YouTube Fan Funding
Activate YouTube monetization to access fan funding options, including Super Thanks and Channel Memberships. Super Thanks allows viewers to purchase a personalized animation and leave a colorful comment, with creators receiving 70% of the revenue. Channel Memberships offer perks to paid members, with creators retaining 70% of the membership fees.
Qualifying for YouTube Shorts Monetization
To achieve full YouTube Shorts monetization, maintain a minimum of 1,000 subscribers. Additionally, secure either 10 million valid public Shorts views in the last 90 days or 4,000 valid public watch hours from long-form videos in the past 12 months.
Note that public watch hours from Shorts in the Shorts Feed do not contribute to the watch hour threshold. Therefore, the focus should be on meeting the Shorts views requirement, especially for creators prioritizing Shorts content.
While partial monetization is possible before reaching these thresholds, it comes with limitations. In June 2023, YouTube introduced an extended program enabling newer and smaller creators to monetize through YouTube Shopping and fan funding. However, access to Shorts ad revenue sharing or YouTube Premium subscription revenue sharing is excluded.
For eligibility in the expanded program, maintain 500 subscribers, with three valid public uploads and three million valid public Shorts views in the last 90 days (or 3,000 valid public watch hours from long-form videos in the past year).
For both programs, creators must:
- Comply with YouTube Channel Monetization policies.
- Reside in a region where the program is available (currently limited to specific countries for the expanded program).
- Ensure no active Community Guidelines Strikes on the channel.
- Enable 2-step verification for the Google account.
- Access advanced features on YouTube based on channel history or identity verification (not applicable to the expanded program).
- Maintain an active AdSense account.
Monitor your progress in YouTube Studio, stay informed, and receive notifications upon meeting eligibility criteria.
Start Earning Money From YouTube Shorts
Embark on the journey to monetize your YouTube Shorts by becoming part of the YouTube Partner Program. Follow these steps:
- Sign in to YouTube.
- Click your profile picture in the top right and then select YouTube Studio.
- Navigate to Earn in the left menu.
- If eligible, click the Apply button. If not yet eligible, click Get Notified to return and complete the process upon meeting requirements.
- Click Start to review and Accept the Base terms.
- Link your existing AdSense account or initiate a new one by clicking Start if necessary.
- Allow YouTube time to review your application, typically taking about a month.
- Upon approval, return to the Earn section of YouTube Studio and embrace the Shorts Monetization Module.
Note: These instructions are for computer applications. The process is slightly different for Android and iOS. In both cases, start by launching the YouTube Studio app and tapping Earn in the bottom menu.
To monetize with Super Thanks fan funding, visit the Earn tab in YouTube Studio, click Supers, and select Get Started, following the provided prompts.
For Channel Memberships, visit the Earn tab, click Memberships, and choose Get Started.
YouTube Shorts Monetization Earnings Overview
Regrettably, the earnings from YouTube Shorts, at least as of now, are not exceptionally high. According to the consensus among YouTube Shorts creators, the revenue per thousand views (RPM) ranges from $0.05 to $0.07. This translates to approximately $50 to $70 for a million views.
The revenue from YouTube Shopping is contingent on how effectively you promote your products and the price point of those products. Monitor your Revenue in YouTube Analytics to gauge your earnings through YouTube Shopping tags in Shorts.
Similarly, Super Thanks earnings depend on how much your fans value your content and the connection you establish with them. Super Thanks essentially functions as a digital tip.
So, are YouTube Shorts monetized? Yes. However, the earnings are unlikely to replace what a creator typically earns from long-form YouTube videos.
Nevertheless, as outlined below, YouTube Shorts monetization features are not the sole means of generating income from your short-form content on YouTube.
Alternative Ways for Earning with YouTube Shorts
1. Affiliate Programs
Utilize two approaches for earning with affiliate programs on YouTube Shorts, based on your channel size and location.
YouTube Shopping Affiliate Program: If you have over 20,000 subscribers in the United States, join the official YouTube Shopping Affiliate Program. Promote products in your Shorts and earn commissions.
External Affiliate Programs: Directly join affiliate programs and promote them in your Shorts. No specific subscriber count or watch time is required.
Disclose paid promotion in Shorts that include affiliate content, adhering to Google’s Ad Policies and Community Guidelines.
2. Brand Collaborations
Instead of affiliate programs, collaborate directly with brands. Disclose brand relationships using the paid promotion option during the upload workflow.
3. Patreon
Monetize content through Patreon’s paid subscriptions. Ideal for YouTube Shorts creators, use Shorts to share excerpts and direct viewers to full stories on Patreon.
Patreon has no minimum subscriber or watch time threshold. Compare it with YouTube channel memberships to choose the right fit for your situation and perks.
4. Grow Viewership for Long-Form Videos
While not direct monetization, Shorts can rapidly build your audience. Leverage this to create and monetize long-form YouTube videos with higher ad revenue through the YouTube Partner Program.