Every day, the world watches 1 billion hours of YouTube videos. The platform’s immense popularity has transformed it from an entertainment channel to a powerful monetization tool for businesses and personal brands.

So, if you’re interested in making money on YouTube, now is a great time to get started. We suggest beginning by creating a website to host your videos and to have a home for your brand, and then sharing your content on YouTube. Not only will this expand your reach, but it will also help you make money from your fans. In this article, we’ll take a look at the seven most effective ways to monetize your YouTube video ideas.

YouTube monetization basics

Before we dive into the best ways to make money on YouTube, we wanted to cover some information about how YouTube works and some overarching tactics that will be relevant no matter which monetization method you choose.

To get started on YouTube you’ll need to create a channel to host your videos. Uploading video content will not automatically make you money, however. So, be sure that you enable monetization in your settings as you’re configuring your account. This will give you the possibility of making money from your YouTube videos down the line. At that point, you can decide which monetization tactics to work with.

Another important item to note is that you can make money from your YouTube channel even without millions of subscribers. One of the best ways to do that is by understanding your audience and then targeting them with relevant content. Try to step into the shoes of your subscribers, or those who you want to follow you in the future.

Once you have a strong understanding of your audience, your next goal should be engagement. Think deeply about what type of content they would be interested in, what would be most useful to them, and how you can prompt viewers to click, comment, or subscribe. Only then can you create videos that are sure to succeed with one of the following monetization methods.
How to make money on YouTube:

1. Become a YouTube Partner
2. Sell merchandise
3. Crowdfund
4. Use fan funding
5. License to the media
6. Create sponsored content
7. Become an affiliate marketer

01. Become a YouTube Partner

Once you start a YouTube channel, you can join the YouTube Partner Program to get access to special monetization features, including the ability to serve ads, display merchandise and more.

While joining is completely optional, it does give you access to a variety of channels for making money, including Premium subscription fees and a merchandise shelf.
02. Sell merchandiseAnother way to make money on YouTube is by selling merchandise. You can offer products you’re already selling on other platforms, or you can create a new collection based on your channel’s content. Keep in mind that you’re far more likely to make sales if your videos already have a fan following, so focus on building your popularity before you start producing such products.

03. CrowdfundCrowdfunding is the practice of raising money from a large number of people, whether it’s friends, family or third parties interested in your project. This is a viable option for making money on YouTube if you’re looking for monthly revenue or a one-time donation to jumpstart your efforts.
04. Use fan fundingAnother option for making money on YouTube is fan funding. While crowdfunding platforms target a general crowd for donations, fan funding specifically sources funds from your audience.
05. License to the mediaMost content doesn’t go viral. When it does, however, many news outlets want copies so that they can replay it to their audience. In this case, you can make money by licensing it to the media and charging them a license fee for permission to use it.
06. Create sponsored contentIf your channel gains traction, you can become an influencer and make money on YouTube with sponsored content. Once you have a large and engaged following, you may be able to profit by endorsing branded products.

07. Become an affiliate marketer

Another option is to sponsor products and brands with affiliate marketing. As an affiliate marketer, you’ll get a special link to a company website that tracks back to your page. When people buy from the company using that link, you’ll get commissions from the sales.

Since the brand pays you only when you make sales – rather than paying you to simply recommend their brand – you don’t need a large fanbase to get started.