There are a lot of numbers floating around. Some say you can make $10 – $15 per 1000 views. Some say you can make $50 per 1000 views. And some even claim it’s possible to make MILLIONS per 1k views.
Of course, these are ballpark figures. And everyone’s YouTube reality is unique.
In this guide, we’ll share everything about how YouTube sponsorship works for small channels. From average real numbers to a step-by-step guide on how to accurately estimate your own — we’ll give it all.
So, start taking notes!
Table of Contents
What is YouTube Sponsorship?
There are two kinds of YouTube sponsorship.
- YouTube Partnership Program: It’s the most common and easy form of sponsorship. All you need is an AdSense account and eligibility for YouTube monetization.
Direct Sponsorship from Brands: It’s when brands reach out to you directly via email or socials and request you to sell their product/service during a video. These offers only come to quality or very popular YouTubers. They also help make 10x more money.
How much is YouTube sponsorship rate?
For the YouTube partnership program, the YouTube sponsorship rate is 1 – 10 cents per view. So, you can expect to make $1 – $100 per 1000 views. If you’re offered a brand sponsorship deal, the brand will quote a price based on the factors listed below. Or they will ask you to quote a price. Use the formula (Avg Views/1000) x (Price Per 1000 views) to calculate your quote.
Learn more about using this formula here.
How much do sponsors pay for YouTube?
On average, brands pay $200 – $5000 (or more) per YouTube video. The exact rate depends on your active viewership, number of views on the last ten videos, number of subscribers, niche saturation, and other factors listed below. Usually, the rates increase with the count of active subscribers.
Formula to Calculate YouTube Sponsorship Rate
When it comes to YouTube sponsorship rate via the Partnership program, YouTube will let you know how much you’ll be earning via your videos depending on these factors:
If you’re a brand new channel and just qualified for YouTube monetization, you need not worry about the number of clicks received per ad.
For quoting a price to brands, you can calculate a fair YouTube sponsorship rate using this formula:
Sponsorship Rate = (Average Views / 1000) * CPM
Note that ‘average views’ here refers to the average of total views on your last ten videos. As for CPM, you can easily find it in the ‘Ad Rates’ section of YouTube Studio.
For an idea, the average CPM for youtube videos ranges from $3 – $8. According to this report, $13 is the highest CPM for youtube videos in the United States.
Best YouTube Sponsorship Calculators
If you’ve trouble using the formula yourself, try out these youtube sponsorship calculators:
- Influencer Marketing Hub – YouTube Sponsorship Calculator
- Thought Leaders – YouTube Sponsorship Calculator
- Digital Welt – YouTube Sponsorship Calculator
The figures you acquire from these calculators are not definite. These would only be a close estimation based on the metrics of your channel.
6 Factors Affecting Sponsorship Pay
As mentioned earlier, the exact rate for YouTube sponsorship depends on a variety of factors. These are:
1. Video Content Relevancy
Say the about section of your channel says ‘Latest Insights about Real Estate in Arizona’
But only 5 out of 10 of your videos align with that. The rest are about how you spent your day.
First, there’s a very low chance your channel will be sponsored by a high-value brand. But let’s further assume your five videos drove mega engagement and you’ve done an incredibly good job at YouTube SEO. Brands might approach you.
However;
- Low-alignment brands (such as new fast-food shops in Arizona) will offer low rates.
- High-alignment brands (such as Zillow or Home Builders in Arizona) will offer high rates.
If you’ve to quote the price yourself, use the calculators above to quote the price per video. And keep the content relevancy factor in mind. You don’t want to scare away a potential brand sponsorship deal by quoting an unfair huge sum!
💡 Tip: Read our guide on how to align video ads with sales funnel to learn how you can maximize video content relevancy.
2. Video Quality
The second most important factor that affects your youtube sponsorship rate in 2023 is the quality of your video.
If you’ve filmed an excellent product review on a 10 MP camera and with no professional mic — few people are going to watch your video. Visual appeal is the first aspect that retains viewers. If you’re video appears poorly filmed or sketchy, they exit immediately.
For that very reason, it’s a good idea to invest in high-quality video equipment. Here’s a complete checklist of videography equipment for beginners.
If you cannot afford expensive videography equipment at the moment, it’s a good idea to invest in a video editing solution. Skilled video editors can make a video shot from your phone appear super professional.
Check out how we have done the same for many of our clients: professional video examples.
Professional video editors charge anywhere between $60 – $150 per video. We’ve done a detailed review of pricing and editing quality in our guide: Top 15 Video Editing Services to Outsource.
Alternatively, you can learn how to edit your videos by yourself. This approach is suitable for YouTubers who can afford taking their time to grow on YouTube. The learning process will slow down your filming and uploading frequency.
3. Number of Views & Subscribers
For qualifying YouTube partnership program, you need to have 4000 public watch hours OR 10 million valid views on YouTube shorts and 1000 subscribers.
However, for brand sponsorship deals, you need to pay attention to your engagement-per-subscriber ratio. Say you have 5000 subscribers, but your videos only ever get 75 views. This is a clear indicator that you’ve either bought the subscribers or people who have subscribed your channel are not interested in your video content. Brands will not be willing to pay average rates for such channels. They’ll pay below average.
However, if you have 5000 subscribers and regularly receive 200+ views on your YouTube videos, brands will be willing to pay average sponsorship rates to you. This means the smaller the gap between the number of views and the count of subscribers, the higher you can charge.
For a broad idea, here’s what you can expect:
- 50k – 100k average views you could get between $5k – $8k
- 100k – 300k average views you could get $9k – $15k
- 300k – 500k average views you could get $15k – $25k
Note that brands also check out community engagement per video. This means comments from subscribers also matter. If your community repeatedly engages with each videos, it’s good for your sponsorship rate.
4. Average Video Watch Time
70% – 80% is a good video watch time for YouTube videos and you can expect to be paid good for it. However, if the average watch times for most of your videos is below 50% —- brands will not regard you as a reliable source for leads and will be willing to negotiate sponsorship deal rates to the lowest possible.
5. Compliance with YouTube Policies
This factor affects your sponsorship rate only in case of YouTube partnership program. If you fail to comply with YouTube policies or constantly face warnings and strikes, YouTube is likely to offer you low sponsorship rates.
And naturally, if your channel is recognized as a bad or troublesome channel by YouTube, there’s a high chance they won’t push you up in the algorithm. This will negatively impact your reach and engagement.
6. Audience Location
Both types of sponsorships are deeply impact by your audience’s location. Check out this by-country CPM chart for YouTube channel. Notice that the average CPM rate for United States is about $34 and for Pakistan, it’s about $0.59.
Why? Well, that’s because a person living in the US is likely to spend more than a person living in Pakistan.
Given this, your YouTube sponsorship rate (via partnership program) will be greatly impacted by your audience’s location.
Now, note that we never said your location. We are only concerned with your audience’s location. You can still have a UK audience even if you have a US-based channel. It depends on how you optimize your videos, what type of video content you create, and how do you expand your channel.
Similarly, brand sponsorship deals are also greatly impacted by your audience’s location. If you have a US-based channel and you share recipes using ingredients available in the US only, but you’re attracting people from Afghanistan — finding good sponsors will be a real challenge.
How to get your YouTube channel sponsored?
If brands are not approaching you themselves, you do not have to sit and wait to get noticed. Instead, hunt down relevant sponsors, pitch yourself, and earn money!
How can you do that? Here are some ways to find youtube sponsorship for small channels:
1. Reach Out to Potential Sponsors
First, look for potential sponsors with whom you can secure meaningful partnerships.:
- Understand Your Niche: Begin by understanding your content niche and target audience. This will help you identify brands that naturally align with your content and appeal to your viewers.
- Identify Relevant Products/Services: Make a list of products or services that would logically fit into your videos. Consider what your viewers might be interested in and what complements your content without feeling forced.
- Competitor Analysis: Analyze other creators in your niche who have successful sponsorships. Look at the brands they collaborate with and consider reaching out to similar companies. Alternatively, you can look for suitable brands on youtube sponsorship websites.
- Research Brands: Research the brands on your list thoroughly. Study their products, values, and messaging to ensure alignment with your channel’s content and your audience’s interests.
- Engagement with Audience: Consider brands that your audience frequently mentions or shows interest in. Their preferences can guide you towards suitable sponsorship opportunities.
- Contact Information: Find the appropriate contact information for the brands you’re interested in. Look for marketing or partnership departments on their websites, or reach out to them through social media. And reach out to them.
2. Create a Compelling Media Kit
A well-crafted media kit is your tool to showcase your channel’s value to potential sponsors. It provides them with essential information that demonstrates why collaborating with you is beneficial. And it positions you as a strong candidate for marketing opportunities.
Compile your media kit in the following order:
- Intro: Start with a brief introduction about yourself and your channel. Explain your content niche and why your channel stands out.
- Channel Statistics: Include key metrics such as subscriber count, average views per video, watch time, and engagement rates. These metrics give sponsors an idea of your reach and influence.
- Audience Demographics: Provide information about your audience demographics, including age, gender, location, and interests. This helps brands understand who your content resonates with.
- Engagement Insights: Highlight your audience engagement by showcasing the number of comments, likes, shares, and the level of interaction on your videos.
- Content Examples: Include links to a few of your best-performing videos that demonstrate your content style, quality, and engagement levels.
Lastly, provide your contact information. We recommend sharing your media kit either via email or presenting it on a zoom call.
3. Utilize Influencer Marketing Platforms
You can also utilize influencer marketing platforms to find and connect with brands.
First, identify reputable influencer marketing platforms like FameBit, GrapeVine, and Channel Pages. Each platform has its own features and focuses, so choose the ones that align with your content.
Then, set up a detailed profile on the platform. Make sure you highlight your strengths as a content creator. This could include your video storytelling ability, video production skills, or any unique talents that make you stand out.
It’s also a good idea to attach your media kit to your profile or provide a link for interested brands to easily access it. This offers brands a comprehensive view of your channel’s potential.
These platforms will also give you an opportunity to pitch. So, when applying for campaigns, craft personalized pitches that emphasize how your channel is a perfect fit for the brand’s goals. Highlight your understanding of their product or service.
End Note
By now, we hope you have a clear idea of how much do sponsorships pay youtubers. In case there are any queries or concerns regarding numbers in this post, please feel free to reach out to us. And keep a look out for our upcoming post on How to Hook Your Audience in the First 10 Seconds of Video!
