In this guide, let's go over three things you can immediately do if you want to increase your RPM (Revenue Per Mille) and CPM (Cost Per Mille) to earn more money from your YouTube channel. So, let's dive into the content!
Understanding How CPM Works
CPM stands for cost per mil, it's the cost of ad spend per 1000 views. This is what the advertiser will pay on the platform.
RPM is what the publisher will receive, typically 55% of the CPM. That way the platform is making money, and the creators are making money too.
Audience Location and Revenue
The location of your audience significantly impacts your revenue. If your audience is in tier one countries like the United States, Canada, or Australia, you'll likely earn more compared to audiences in tier two or three countries. It's all about the economic status of the countries where your viewers are located.
Analyzing CPM and RPM in Analytics
Let's analyze a particular YouTube analytics to understand this better. We'll look at videos with low and high CPMs. For instance, a video titled “How to Change Your YouTube Profile Picture” has a very low CPM, meaning it needs many views to make significant money.
In contrast, videos on topics like Amazon affiliate marketing or how to create a compelling YouTube video hook have higher CPMs and RPMs, requiring fewer views to earn more.
Video topics on personal vlogs or gaming yield very low earnings. So when people ask how much money can a YouTube channel make solely from ads, the quick answer is to go after high CPM niches such as finance if your skills can deliver the result.
How to Increase CPM and RPM
High CPC Keywords: CPC stands for Cost Per Click. Using high CPC keywords in your titles, descriptions, and tags can trigger more expensive ads, thereby increasing your revenue potential. Tools like Google Keyword Planner can help you identify and incorporate these keywords effectively.
Add More Ads to Your Videos: By placing more ads in your videos (assuming they are at least 8 minutes long), you can potentially increase your earnings. YouTube's smart system ensures a balanced user experience by not overwhelming viewers with ads. You can manage ad placements in your video settings.
Flip the Market: This strategy involves guiding viewers from a low CPC video to a high CPC video. This is a tried and true tactic used by experienced bloggers and it works well for videos on YouTube. Analyze your videos to identify those with higher playback-based CPM and direct viewers there through end screens or annotations. This technique leverages your content to maximize revenue.
Wrap Up
So there you have it! Understanding and utilizing CPM and RPM can significantly increase your YouTube revenue. Remember, it's about quality content, smart keyword usage, strategic ad placement, and leveraging your video library to guide viewership.
I hope you found this guide helpful in your quest to boost your YouTube earnings.