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Monetizing YouTube Shorts: A Guide for Businesses to Generate Revenue

Learn about monetizing YouTube Shorts and how businesses can use the platform to generate revenue.

YouTube Shorts launched in 2020 and allows users to create and share short-form content with their followers. As this platform gains popularity, businesses and content creators are exploring ways to monetize their content.

YouTube has a massive user base, giving your business the opportunity to reach more customers while monetizing content and acting as an additional source of revenue.

Learning how to make money with YouTube Shorts can help your business grow. This article explains more about YouTube monetization, how it works, and how to turn your content into a new revenue stream.

YouTube Shorts is YouTube's answer to the rising popularity of short-form video content and platforms like TikTok. Long-form videos have declined in popularity in recent years, causing short-form videos to become more commonplace.

The platform's short-form video feature was launched in 2020 and focuses on vertical videos less than 60 seconds.

Shorts are created directly through the YouTube app, exactly like TikTok, but you can also make them on any device and upload them to YouTube if you prefer to use your own editing tools. You can learn how to edit YouTube videos like Shorts in YouTube Studio.

Once your video is uploaded, users can find it under the Shorts section of YouTube's homepage or when searching for a particular type of video on the app.

How YouTube Shorts monetization works

Can you monetize YouTube Shorts? Like regular long-from YouTube videos, you can monetize YouTube Shorts and earn money from your content. A business might advertise on YouTube, and those ads can appear in your content, allowing you to monetize them based on views and engagement.

However, Shorts monetization works slightly differently from a regular YouTube video. All the earnings from content creators are pooled together, and how much you actually earn depends on the number of views and music tracks you use in your content.

YouTube monetization uses ad revenue sharing in which 45% of the total earnings by ads that appear between Short videos are added to the creator pool and paid out based on video views. Then, under the ad revenue sharing model, Shorts revenue is divided between the creators and music publishers.

YouTube's ad revenue sharing model equally splits the revenue between creators and music publishers, so if you have one song in your video, you're both paid 50% of the total earnings.

The higher your music usage, the less you'll earn on the same amount. However, if you don't use any music, you keep your revenue from the share of the creator pool.

Of course, the YouTube Shorts monetization requirements also differ from regular YouTube videos and other platforms. For your Shorts to earn money, you must be part of the YouTube Partner Program (YPP), but not every creator is eligible.

According to YouTube, to be eligible for the partner program and monetization model, you must have at least 1,000 subscribers with 4,000 valid public watch hours in the last year or 1,000 subscribers with 10 million public Shorts views in the last 90 days.

If you plan on monetizing YouTube Shorts in the future, you can visit the Earn area of YouTube Studio and click "Notify me when I'm eligible." Then, once your account is eligible for monetization, you apply in the Earn section of YouTube Studio and begin the application process, which goes into review.

Once you're a YPP member, you can turn on monetization features to choose how to monetize your content.

Knowing how to make money with YouTube Shorts can help content creators and businesses earn more from the content they create and share online. There are just a few general steps you need to follow to start monetizing YouTube shorts:

Create a YouTube channel

If you don't have one already, you'll need to start a YouTube channel for your business where you'll upload your content.

Unfortunately, you can't monetize because you don't have any followers yet. However, you can upload a video to YouTube to start earning followers. We recommend having a marketing strategy for your YouTube shorts to increase your reach and help you gain more followers faster.

Join YouTube's Partner Program

Once you've reached 1,000 followers, you may be eligible for the YouTube Partner Program which allows you to monetize YouTube Shorts and other videos.

You can join the YPP by applying through YouTube Studio under the Earn tab and completing an application. Then, it will go through a review. If your application is denied, you can appeal the decision or reapply after 30 days.

After joining the program, you can enable monetization under the Earn tab to allow ads to be displayed on your content. You can choose the ad formats you'll allow to be automatically placed within your videos.

Comply With Community Guidelines

Compliance with YouTube's channel monetization policies is crucial for all YouTube Shorts creators who wish to monetize their Shorts. This includes Community Guidelines, Terms of Service, Copyright, Rights Clearance Adjustment policies, and so forth. Your content must also be advertiser-friendly.

If you don't comply with these policies, YouTube can withhold or adjust your earnings, limit ad revenue from your content, suspend your participation in the YPP, or terminate your YouTube account. Luckily, YouTube will send you an email if they find you've violated their guidelines and give you the opportunity to rectify it.

If you're unsure whether or not you're following YouTube's guidelines, you can always reach out to the Creator Support team, which you'll have access to as soon as you become a YPP member.

Claim Your Earnings

Creators can view their Shorts ad revenue anytime by signing into YouTube Studio and reviewing YouTube analytics. Your finalized earnings are located in your AdSense account, which you'll need to make to apply for the YPP.

To view your finalized earnings, which take into account your tax withholding and are more accurate, you can log into your AdSense account and click "AdSense for YouTube."

Before you can get paid, you'll need to finish creating your AdSense account by providing your tax information and confirming personal information. Then, you can select your form of payment, which includes electronic funds transfer (EFT), wire transfer, and so forth.

Then, you'll get paid once your account reaches its designated threshold. If your payments haven't reached the threshold, your current earnings roll over to the next month and accrue until you reach the threshold.

How much money can you earn from YouTube Shorts?

Your earning potential from YouTube Shorts largely depends on the number of views you get. Creators get 45% of all ad revenue, but how much you earn depends on factors like geographic location and music tracks used.

The total amount you're paid is determined by views and engagement, making YouTube shorts ideal for businesses and creators with large followings. The more views you have, the more you earn.

Unfortunately, YouTube doesn't disclose revenue figures for creators because there are too many factors that influence them. The potential earnings from YouTube shorts depend on the success and monetization strategies used by creators.

Once accepted into the YPP, you can begin monetizing your Shorts. It typically requires a substantial following to earn, so your main goal should be creating high-quality content and finding ways to promote that content on other marketing channels, bringing users to YouTube, where they can view and engage with your content, increasing the likelihood of a payout.

Follow these YouTube marketing tips to help you earn more with YouTube Shorts:

  • Create high-quality content: Posting high-quality content can help you attract more views. The more engagement you have, the more you can earn, so focus on producing visually appealing, well-edited, and overall good content that resonates with your target audience.
  • Use YouTube's built-in monetization tools: While there are other ways to monetize YouTube shorts, such as partnering directly with businesses, you should use the built-in monetization tools that allow you to earn views and engagement. These tools allow you to choose ad placements, create memberships, and sell your own merchandise.
  • Partner with other creators: Partnering with other creators can be mutually beneficial, allowing you to expand your reach. By working with other creators, you can leverage their existing audience to increase exposure online.
  • Embrace brand partnerships: Brand partnerships enable you to become an influencer and work directly with a brand to set your own rates. As an influencer, how much you earn is decided by you rather than YouTube, giving you more control.
  • Engage with your audience: Engaging with your audience is crucial if you want to earn more with YouTube Shorts. Building a following by engaging and interacting with individuals who leave comments on your video can help you build a loyal customer base that encourages repeat views.
  • Join the creator pool: To monetize your Shorts via YouTube monetization, you must be a member of the YPP creator pool and take advantage of ad revenue sharing. The money earned through the creator pool is based on your overall video performance.

Embrace YouTube Shorts for your business

YouTube Shorts gives you the opportunity to enhance your online presence, engage with your audience on a new platform, and monetize your content. With the explosive growth in the popularity of short-form video content, Shorts allow you to reach a wider audience and generate revenue while engaging your target audience.

To earn more with YouTube, you should promote your videos across channels. Mailchimp makes it easy to promote your video content on social media and via email, bringing customers and subscribers to your Shorts video to engage them and increase your earnings.

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