the real winners on YouTube over the last few years don’t just focus on building a channel they also build a business Peter McKinnon definitely falls into this category not in this video I’m going to take a closer look at the factors that helped him turn his passion into a million dollar YouTube business. Peter McKinnon Networth is growing his channel on YouTube about to hit 6 million subscribers, the point of this article is to show how peter is building his youtube audience.
The spotlight today is on how Peter Mckinnon monetise his audience in a lucrative way. The case here Peter puts his audience and content first and it’s clear he loves what he does however I think we need to change our perception of YouTube as purely a passion project for creators yes you need to love the act of creating videos for your fans that’s always the first priority and it’s very clear when someone doesn’t and it’s just doing it for financial gain however if someone is willing to sacrifice hours upon hours filming editing videos and growing a YouTube channel I think it’s only fair this hard work is rewarded and it’s not like YouTubers are given a monthly pay check from Google to make a career on this platform you need to have a strong business mind there are multiple ways YouTubers can turn their passion into a high earning career without being a money grabber exploiting their audience.
Now that’s not to say that sellouts don’t exist the sad reality is there are plenty of creators at the very top of YouTube that try to milk every cent I would and sacrifice integrity and general morals to do so I’m not going to name any names but we all know they exist. I hope this article will be a case study in time to effectively monetise a YouTube channel while keeping the audience the number one priority let’s get straight into things.
Peter Mckinnon Business Strategies
the first business lesson from Peter McKinnon is to build multiple streams of income around your YouTube channel if you’ve ever heard a financial adviser speak they talk about diversify your investments so that if one fails you’ve enough backup to be safe and grow your money the same concept can be applied to how you monetise your YouTube channel the natural income stream we gravitate towards on YouTube is Adsense but this has led to a real over-reliance the truth is Adsense is unpredictable.
Peter McKinnon realise how important it is to diversify take a listen to what the man himself had to say about it on a recent podcast appearance recognise the key to this is multiple streams of revenue right? have things running in the background they’re gonna make me money when I’m sleeping in case one goes down this is still going if three go down that’s still going.
Number one is of course Adsense Peter brings in about 10 million views every month through his channel with an estimated average CPM of $4 this would be bringing in roughly $40,000 a month.
Number two video sponsorships Peter Mckinnon quite regularly works with brands he believes in and uses himself, from my knowledge of YouTube brand news I’d estimate each brand that he does to bring in over the 10k mark and some could be even more.
Number three affiliate links in the description of Peter Mckinnon videos, peter has an endless list of the gear he uses in his video description with affiliate links mainly to Amazon and while it’s impossible to track the exact amount of money he’s making through these links getting even a small Commission on some of his expensive camera gear definitely adds up
Number four is digital Products of course he sells his own digital products in the form of Adobe suite looks packs sound effects and more we’ll be talking more about this revenue source a bit later on in the article so read full article for that.
Finally number five is merchandise peter has a pretty low-key merchandise line that his biggest supporters can buy to rep his brand so peter has five main sources of income on youtube.
if Adsense goes under Peter Mckinnon still has four other solid streams to rely on it’s a simple concept but you would be amazed at how many YouTubers build a channel around one stream of income and then die out when something inevitably happens don’t let this happen to you so what can you as a small YouTuber do with this information while audience growth and focusing on creating the best possible content should always be the priority a shift in mentality from the start is important if you intend to pursue YouTube as a career path make a list of ways you can monetise your audience see how many income streams you can generate and almost act as if Adsense doesn’t exist if it didn’t how would you build and monetise your channel it’s a really good exercise to grab the business opportunity behind your channel
The second business lesson from Peter Mckinnon is going to be a really quick follow-on from the multiple income streams and that is his positioning within YouTube aka the knee he occupies both in the eyes of the viewers and in the eyes of the advertisers in my first video about Peter I talked about how he started off doing vlog format content then he realised that by making longer form tutorial videos he could open his channel up to more people and more business opportunities think about it Peter Mckinnon is in the photography and videography niche on YouTube most products within this niche are marketed to people trying to make their own videos or photos better and potentially carve out a career for themselves in this space so when Peter transitioned from personal blogs to in-depth tutorial videos he opened up so many more business opportunities for himself he has an audience of aspiring creatives who brands will pay premium prices to advertise to if he was still making vlog as the focal point of his channel he would have to rely on Adsense a lot more than Peter Mckinnon does this is the power of positioning the takeaway from this point is simple analyse your channel or the channel you plan to start through both the eyes of viewers and advertisers.what kind of brands are within your niche and what are they looking for I’m not telling people to just drop everything and start making tutorial videos in high-value niches but see if there’s a way you can position yourself better in your current niche it’s another exercise that so few people practice but can give you that competitive business edge just remember it’s not all about views.
The third business lesson I want to take a closer look at one of Peter Mckinnon main income streams the digital product and why I believe it is the most effective way to make a hell of a lot of money very quickly on YouTube, while providing a great product to your audience a digital product is by definition anything that can be sold online virtually without a physical form some examples would be software ebooks video courses and so on in Peters case he currently has five digital products on sale all of which are packs for creators to help them make better photos and videos but there are two words that make this form of monetisation the most lucrative in my opinion for YouTubers unlimited replication YouTubers are always going to be content creators first and business be per second yes I’m focusing heavily in this article, this means that running a time consuming business on the side of it is hard the beautiful thing about a digital product is when it’s made there’s no time stopping maintenance and you can’t exactly run out of stock your product can be downloaded or accessed as many times as it is demanded at no additional cost to you bringing it back to Peter
let’s do some quick math his autumn 2018 preset pack retailed for 30 US dollars let’s say that Peter McKinnon has five hundred thousand true fans and by true fans I essentially mean regular Watchers of his content if just 1% of that 500,000 people bought Peters Lots pack that would equal a 150,000 US dollars in revenue before tax when you consider that’s just one out of five of Peter Mckinnon digital products you can see what I mean when I say it’s lucrative just as a disclaimer this is simply guesswork but it’s to illustrate the point how many t-shirts would you have to sell to make a similar mint when you consider paying for the raw materials shipping processing etc for each and every one and at the end of the day peter is providing a really good product for the price of a t-shirt that helps the purchaser improve their creative skills this is why I think for all YouTubers having their own digital product should be an end goal.