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Calculating CPM for YouTube influencers?

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Youtube influencers

 

It’s common in today’s digital world for businesses to reach out to social media influencers to attract their target market. YouTube influencers are today’s answer to traditional movie star endorsement – bringing attention to everything from lifestyle products to new media, and everything in between.

 

influencer marketing, influencer marketing agency, youtube influencers
MyLifeAsEva is a Youtube influencer with over 8 million fans

 

It’s not always crystal clear when it comes to what you should pay for influencer marketing on YouTube – and how startups and small businesses can use influencer marketing on YouTube to their advantage can be unchartered waters.  

In this article, we’ve put together the average costs of YouTube influencers and some things to consider when engaging with a YouTube influencer – so you can kick off your next social media marketing campaign with all guns blazing.

 

 

Calculating your CPM rate for YouTube influencers

 

Analyzing average CPM (cost per thousand) rates can be tricky – especially if you are working in new geographic markets or launching in an industry you’re not 100% familiar with. CPM is the amount advertisers need to pay to YouTube for every 1000 views of their ad.

The formula for CPM is Cost to an Advertiser = CPM x (Impressions / 1000). You can find out more about calculating a channel’s CPM by visiting here. As a business, you will need to find the country CPM for the influencer and the impressions over the previous month to get this rate.

This rate is the amount of money the advertiser has to pay each time their advertisement reaches a thousand views. It’s important to note that YouTube AdSense takes quite a bit of this amount, however, there is still certainly money to be made on YouTube.

 

 

CPM rates can be anything from $0.01 to $55 or above!

 

CPM rates for India, for example, are approximately $5.00 while depending on the level of traffic from UK or USA the CPM rates for YouTube could be as high as $20. That being said the average CPM rate for YouTube all depends on your country, as can be seen from the CPM breakdown here. It should be kept in mind that influencers can charge more than the outlined rates with some influencers charges around $20 to $40 CPM for 60 seconds.

There are plenty of factors for businesses to consider in their digital marketing campaigns ranging from engagement, product, partnership, and the campaign – all of these wind up affecting the price you might need to pay for influencer marketing.

The key is to consider taking the last six videos as a median when negotiating your CPM rate with a YouTube influencer. It’s not an exact science but this will help you get a calculation that is reasonable based on views.

 

 

Examples of CPM rates for YouTube influencers

 

influencer marketing, influencer
The Gabbie Show

 

YouTubers such as American entertainer Bart Barker or The Gabbie Show have huge followings and can command up to $100,000 per video due to their active followings.

Music parody creator Bart has over 10 million followers and his CPM rates allow him to charge around $100,000 for a video and makeup YouTuber and beauty vlogger Gigi Gorgeous can earn a similar amount for brand cross-promotions.

 

Other creators

 

By comparison popular pint-sized American family toy reviewer Ryan from Ryans Toys Review is 3rd in the list of top 100 watched YouTube channels online.

The YouTube influencer may be only small however an average monthly amount of 531,294,000 views allows for estimated monthly earnings to be around the $172k to $2.8 million marks based on Social Blade’s estimates

 

youtube influencer, influencers
Ryan’s Toys Review

 

Explore YouTube influencers and boost your business

 

YouTube influencers create effective direct response ads that can include a promotional code or a unique link to your site and they are driving their audience to purchase. YouTube influencers to have a higher CPM rate than influencers on Facebook or Instagram so keep this in mind when you’re in negotiations.

 

influencer marketing, influencers
Youtube Influencer

YouTube influencer marketing makes perfect sense if your product is visual and you want to build awareness in an engaging way. Ensuring that you evaluate each opportunity on its own merit and using data to your advantage will help you knock your next social media campaign out of the park.


 

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