{"id":228101,"date":"2018-03-03T10:00:00","date_gmt":"2018-03-03T08:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=228101"},"modified":"2018-03-02T17:49:44","modified_gmt":"2018-03-02T15:49:44","slug":"making-money-on-youtube-dont-bet-on-it","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/internet\/228101\/making-money-on-youtube-dont-bet-on-it\/","title":{"rendered":"Don&#8217;t bet on making money on YouTube"},"content":{"rendered":"<p>Do your children dream of YouTube stardom? Do them a favor: crush that ambition now.<\/p>\n<p>New research out of Germany, billed as among the first to review the chances of making it in the new Hollywood, shows a vanishingly small number will ever break through\u2014just like in the old Hollywood.<\/p>\n<p>In fact, 96.5% of all of those trying to become YouTubers won\u2019t make enough money off of advertising to crack the US poverty line, according to an analysis by Mathias B\u00e4rtl, a professor at Offenburg University of Applied Sciences in Offenburg.<\/p>\n<p>Breaking into the top 3% of most-viewed channels could bring in advertising revenue of about $16,800 a year, B\u00e4rtl said. That\u2019s a bit more than the US federal poverty line of $12,140 for a single person. (The guideline for a two-person household is $16,460.)<\/p>\n<p>The top 3% of video creators of all time in B\u00e4rtl\u2019s sample attracted more than 1.4 million views per month.<\/p>\n<p>\u201cIf you\u2019re a series regular on a network TV show, you\u2019re getting a good amount of money,\u201d said Alice Marwick, an assistant professor of communication at the University of North Carolina at Chapel Hill. \u201cYet you can have half a million followers on YouTube and still be working at Starbucks.\u201d<\/p>\n<p>Children born after YouTube was created in 2005 have grown up surrounded by videos churned out by performers such as Jake Paul, PewDiePie and Zoella, whose clips about their daily lives, video gaming and fashion, respectively, have turned YouTuber into a popular career goal.<\/p>\n<p>One in 3 British children age 6 to 17 told pollsters last year that they wanted to become a full-time YouTuber. That\u2019s three times as many as those who wanted to become a doctor or a nurse.<\/p>\n<p><iframe loading=\"lazy\" title=\"My Everyday Winter Makeup | Zoella\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/vn3EiuUVjBk?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p>Tom Burns, founder of Summer in the City, an annual British YouTube convention, said his cousin wanted to skip college to become a full-time YouTuber. \u201cI almost flipped out, because I was like, \u2018No, that\u2019s the dumbest thing you can say,\u2019\u201d he said.<\/p>\n<p>\u201cYou can\u2019t guarantee you\u2019ll be able to do it as a job.\u201d<\/p>\n<p>Of course, the goal is to be a superstar. The top 1% of creators garnered from 2.2 million to 42.1 million views per month in 2016, B\u00e4rtl\u2019s research shows.<\/p>\n<p>Those top-tier performers often earn side money through sponsorships or other deals, so calculating their earnings is more complicated.<\/p>\n<p>YouTube\u2019s ad rates are opaque and have changed over time, but B\u00e4rtl used an income of $1 per 1,000 views for an average YouTuber to calculate his earnings estimates.<\/p>\n<p>That rate is a good rule of thumb, said Harry Hugo of the Goat Agency, an influencer marketing firm in London. \u201cI\u2019ve seen as low as 35\u00a2 per 1,000 views and work with some YouTubers who can earn $5 per 1,000,\u201d he said.<\/p>\n<p>A YouTube spokeswoman said the company is working to help people make more money, such as through sponsorships and a feature that lets viewers pay to have their comment featured. The number of channels earning six figures is up 40 percent year over year, the spokeswoman said.<\/p>\n<p>\u201cWe continue to see tremendous growth with creators on YouTube,\u201d the spokeswoman said in an email.<\/p>\n<p>In the US, the median hourly wage earned by actors is $18.70, according to the Bureau of Labor Statistics, which doesn\u2019t report annual salaries for actors.<\/p>\n<p>People trying to make it on YouTube have long complained the company protects a handful of stars, promoting them at the expense of the masses struggling to break out.<\/p>\n<p>The imbalance is huge and becoming worse, according to B\u00e4rtl\u2019s research: In 2006 the top 3% accounted for 63% of all views. Ten years later, the top YouTubers received 9 in every 10 views, he found. The bottom 85% of those who started posting in 2016 got a maximum of 458 views per month.<\/p>\n<p>There are hardly any barriers to entry: no auditions, no studio executives to impress, no need to be physically anywhere close to Hollywood. Theoretically, you just need a phone and an internet connection. Still, professional classes and boot camps have opened.<\/p>\n<p>Summer camps in the US can cost $569. Buying the same equipment used by Casey Neistat, a popular YouTuber, would cost $3,780.<\/p>\n<p>Asher Benjamin, a 19-year-old computer science student at Grand Canyon University in Phoenix, has spent $460 on a camera and tripod for his YouTube channel, where he uploads a video every day.<\/p>\n<p>https:\/\/www.youtube.com\/watch?v=TlHB8sdwlSo<\/p>\n<p>He has published more than 150 daily video diaries, or vlogs, that are essentially a catalog of his life at college: brief updates about things he\u2019s done, his plans for the day, what he\u2019s eaten, with appearances from his roommates. \u201cI don\u2019t know where it\u2019s going to end up,\u201d he said.<\/p>\n<p>\u201cIt\u2019d be cool if I could take the path others have and make it into a job, but we\u2019ll have to see.\u201d<\/p>\n<p>Benjamin spends an hour a day editing his videos and holds out hope his postings could become a career, even after he heard the odds. \u201cI think if I keep uploading, there\u2019s no reason I shouldn\u2019t be able to make it a career,\u201d he said.<\/p>\n<p>He recently hit 100 subscribers, up from 71 at the start of the year.<\/p>\n<p>It\u2019ll only get more difficult. YouTube announced earlier this month it was increase the threshold users have to cross to make money from their videos. Viewers must have watched 4,000 hours of their videos in the last year, and YouTubers need 1,000 subscribers or more to be eligible to make money from advertising.<\/p>\n<p>There\u2019s one route that is easier to crack. If your child is still intent on trying his luck, tell him to pick up a joystick.<\/p>\n<p>Gaming YouTubers\u2014such as 28-year-old Felix \u201cPewDiePie\u201d Kjellberg, who has 60 million subscribers\u2014have a 14 times better chance than traditional vloggers, who often upload to the People &amp; Blogs category on the website, B\u00e4rtl\u2019s research shows.<\/p>\n<hr \/>\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/media\/214567\/how-much-money-south-africans-can-make-from-instagram\/\" target=\"_blank\" rel=\"noopener\">How much money South Africans can make from Instagram<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Do your children dream of YouTube stardom? Do them a favor: Crush that ambition now.<\/p>\n","protected":false},"author":59,"featured_media":195368,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[9882],"tags":[26,1246],"class_list":["post-228101","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-internet","tag-headline","tag-youtube"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/228101","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/59"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=228101"}],"version-history":[{"count":8,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/228101\/revisions"}],"predecessor-version":[{"id":229211,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/228101\/revisions\/229211"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/195368"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=228101"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=228101"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=228101"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}