📷 Image Credit: TheVerge.com 👆
By: Julia Alexander

TL;DR YouTube has created a new metric for communicating creators’ profits known as RPM. RPM should make it easier for Creators to measure their success and learn how to optimize their channel performance.

Youtube creators can earn money on the platform through a number of ways, including advertisements, subscriptions, donations, live-streaming features, and Youtube Premium. All of these features have made earning money on Youtube quite confusing, but with the new monetization metric known as RPM, this confusion is made simple.

RPM stands for Revenue Per Mille, which is a take on the previously known CPM, Cost Per Mille (sometimes referred to as Cost Per Thousand). While the names are similar, they are quite different metrics, and RPM will be much more useful to creators trying to grow their platform by giving them the ability to identify monthly income verticals. With this new system, Creators will be able to understand the breakdown of views and how the numbers change as content changes making it easier to identify what is working and what isn’t working.

Written by: Sofia Christensen, Intern

Edited by: Lisa Knight, COO & Mentor