YouTube Shorts is the latest addition to the video-sharing platform, enabling users to create and watch short-form videos of up to 60 seconds. Since its launch in September 2020, it has been rapidly gaining popularity, with millions of viewers tuning in to watch and engage with content creators.

As the popularity of the platform grows, YouTube has now announced that they will be accepting ads on YouTube Shorts. This news is significant for content creators as it presents an opportunity to monetize their content and generate revenue. In this article, we will discuss what YouTube Shorts is, how it works, and how content creators can benefit from this new feature.

What are YouTube Shorts

YouTube Shorts are short-form videos that can be up to 60 seconds in length, created with the intention of capturing a user's attention in a short period of time. Similar to TikTok, Shorts enables users to create vertical videos with music, filters, and effects. It is available as a feature within the YouTube app, making it easily accessible to users with an existing YouTube account.

How Does YouTube Shorts Work
how youtube shorts work

The Shorts feature is designed to be easy to use, with a user-friendly interface that allows creators to create and upload short-form videos quickly. The platform provides access to a range of editing tools, including music, filters, and effects. Creators can also use their own audio or music and edit the video using the YouTube Shorts camera.

YouTube has also created a Shorts feed, which is similar to the "For You" page on TikTok. This feed showcases trending Shorts videos and enables users to discover new content and creators. This feature is particularly useful for content creators who are looking to reach a wider audience.

How Can Creators Benefit From YouTube Shorts Ads
benefits of youtube shorts ads

YouTube's decision to allow ads on Shorts opens up a new opportunity for content creators to monetize their content. Ads on Shorts will work in the same way as regular YouTube ads, with advertisers bidding to have their ads shown before or during a Shorts video.

Content creators will be able to earn money through the YouTube Partner Program, which enables them to monetize their content and generate revenue from ads displayed on their videos. However, there are certain eligibility criteria that creators must meet before they can join the Partner Program.

To join the program, creators must have at least 1,000 subscribers and 4,000 watch hours in the past 12 months. Once they are accepted into the program, they can start earning money through ads on their Shorts videos. The amount of revenue generated by these commercial video production services will depend on various factors, such as the number of views and the level of engagement.

Creators can also use YouTube Shorts to drive traffic to their existing YouTube channel. By creating engaging and creative Shorts videos, they can attract new viewers and encourage them to subscribe to their channel. This can lead to increased watch time and engagement, further increasing the revenue potential of their content.

Revenue Streams on YouTube Shorts

While YouTube Shorts is a relatively new platform, it is not the only short-form video platform available to content creators which is sometimes utilize in explainer production video services. Other popular platforms include TikTok, Instagram Reels, and Snapchat Spotlight. Here's how the potential revenue streams compare:

  • Ads: All four platforms offer the potential to monetize content through ads, although the specific ad formats and revenue sharing models vary. For example, TikTok's ad platform is known as the TikTok Creator Fund and pays creators based on engagement metrics such as views, likes, and comments.
  • Brand deals and sponsorships: Brand deals and sponsorships are available on all four platforms, although the specific opportunities and payment models may vary. Instagram, for example, has a dedicated influencer marketplace called the Creator Fund, where brands can connect with creators for sponsored content opportunities.
  • Merchandise sales: Merchandise sales are available on all four platforms, although the specific platforms and tools available may vary. TikTok, for example, offers a merchandise shelf feature where creators can sell their branded products from promotional video production company directly to viewers.
  • Fan funding: Fan funding is available on all four platforms, although the specific tools and models may vary. Snapchat, for example, has a feature called Spotlight Challenges where creators can earn money through a mix of prize money and fan donations.
The Growth of YouTube Shorts
growth of youtube shorts

The success of YouTube Shorts can be attributed to several factors, including:

  1. User-generated content: YouTube Shorts allows anyone to create and share short-form videos, making it an inclusive platform for creators of all levels.
  2. Integration with YouTube: YouTube Shorts is integrated with the main YouTube app, making it easy for users to discover Shorts content and creators.
  3. Tools and features: YouTube Shorts offers a range of creative tools and features, including music, filters, and captions, making it easy for creators to produce high-quality content.
The Future of YouTube Shorts

As YouTube Shorts continues to gain traction, it is clear that the platform has a bright future. Here are some potential directions that YouTube Shorts could take:

  1. Standalone app: YouTube could potentially spin-off Shorts into a standalone app, allowing it to focus on short-form video content exclusively.
  2. Creator monetization: With the recent announcement that YouTube Shorts will be accepting ads, content creators will have a new opportunity to monetize their content on the platform. As the platform continues to grow, we can expect more monetization opportunities to become available, including brand deals and merchandise sales.
  3. Enhanced features: YouTube could continue to develop and enhance the features and tools available on YouTube Shorts, making it even easier for creators to produce high-quality content.
  4. Expansion into new markets: YouTube Shorts is currently available in select markets, including India and the United States. However, YouTube could potentially expand the platform into new markets, capitalizing on the growing popularity of short-form video content which is also used by corporate video production company around the world.
Why YouTube Shorts Ads are Trending
trending youtube shorts ads

The decision to add advertisements to YouTube Shorts was primarily motivated by the need to commercialize the service and give content creators ways to make money.

Similar to TikTok, YouTube Shorts is a short-form video tool that has amassed enormous popularity and user engagement. YouTube realized the need to monetise this content format as its user base and Shorts consumption grew.

YouTube may make money by inserting advertising throughout the viewing of its short videos thanks to ads on YouTube. These advertisements can be pre-rolls that play before the Shorts, mid-rolls that are inserted in the middle of longer Shorts, or post-rolls that are shown at the conclusion of the Shorts. Advertisers recognize the enormous potential of using this format to connect with a sizable and interested audience, which encourages YouTube to add adverts.

In addition, advertisements on YouTube Shorts foster a win-win ecosystem. Short videos give content producers the chance to make money, which encourages them to constantly create entertaining and high-quality material.

This encourages creators to put more time and effort into their Shorts, which enhances the user experience overall. Ads on YouTube Shorts are ultimately a way to commercialize the service, pay content producers, and maintain the growth and development of the Shorts format.

Can I Make Money on YouTube Shorts
monetize youtube shorts

Joining the YouTube Partner Program will provide you access to a variety of monetization opportunities, including the ability to start making money from ads on YouTube Shorts. You must fulfill the following criteria in order to be eligible for this program:

1. You ought to have 1,000 or more subscribers.

2. You need to have 4,000 valid public watch hours in the last 12 months to upload longer YouTube videos. As an alternative, you must have received 10 million recent genuine public views of your shorts.

This suggests that you must first get some momentum for your YouTube channel before you can start making money off of your Shorts.

There are a few other requirements for eligibility that you must meet in addition to these:

1. Observe the monetization guidelines for YouTube channels.

2. Reside in an area that has access to the YouTube Partner Program.

3. Make sure there are no Community Guidelines strikes on your channel.

4. For your Google account, enable 2-step verification.

5. Possess a running AdSense account.

You can start using your YouTube Shorts to generate ad money by fulfilling these prerequisites.

How Does YouTube’s Profit Sharing Work
youtube profit sharing program

Let's make the description of YouTube Shorts ad revenue-sharing scheme more straightforward:

1. Each month, YouTube collects the ad income from the Shorts feed and puts it into a pool.

2. A fraction known as the Creator Pool is calculated from the starting pool. The music featured in YouTube Shorts are paid for using this pool. For instance, if a Short used two songs, only one-third of the ad money it made would go into the Creator Pool; the remaining amount would go toward music costs.

3. In accordance with the quantity of views each creator contributed, the Creator Pool is subsequently divided among all creators who are monetizing their Shorts. You would get 5% of the Creator Pool if you contributed to 5% of the overall Shorts views during that time.

4. You do not, however, actually receive the whole 5% share. 55% of the money goes to YouTube, and 45% goes to the producers. You would therefore receive somewhat less than half of that, or roughly $360, provided your 5% portion is equivalent to $800.

This procedure is repeated each month, enabling producers with popular Shorts to consistently make money from YouTube. For the creators, this arrangement is advantageous!


YouTube Shorts has become a popular platform for short-form video content, with millions of viewers tuning in to watch and engage with creators. The recent announcement that YouTube will be accepting ads on Shorts presents an opportunity for content creators to monetize their content and generate revenue.

Creators who are eligible for the YouTube Partner Program can earn money through ads displayed on their Shorts videos. Additionally, creators can use Shorts to drive traffic to their existing YouTube channel, increasing their watch time and engagement.

Overall, the addition of ads to YouTube Shorts is a significant development for content creators, offering a new opportunity to monetize their content and grow their audience. With its user-friendly interface and a range of editing tools, YouTube Shorts is a platform that content creators should consider adding to their content strategy.

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