Social Media Means
Social Media Means
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Thanks to its skyrocketing popularity and high growth rate, TikTok creators can earn a similar amount to YouTubers in the coming years. As a result, it does not make a huge difference whether the TikTok Creator Fund pays less than the YouTube Partnership Fund as long as you have your other income sources sorted.
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Read More »With both YouTube and TikTok gaining popularity, here’s why YouTube pays its creators better than TikTok. TikTok and YouTube are two of the most used platforms for video content creators. Just after Facebook, YouTube is the second-largest social media platform with over 2.2 billion monthly active users. Each minute, more than 500 hours worth of new content is uploaded to YouTube, and users can watch a billion hours of videos every day. TikTok, on the other hand, has become one of the fastest-growing apps in the world. It focuses on short-form content between 15 and 60 seconds long. In 2021, TikTok reached over one billion monthly active users. The two companies use widely different approaches to paying their creators. But before we discuss the approaches, we must understand who can join such applications and earn revenues from them.
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Read More »Both YouTube and TikTok make money by allowing advertisements to run on their platforms. While YouTube lets its creators decide how many ads they want to include within one video, TikTok itself puts ads in-between videos. That said, YouTube and TikTok use widely different approaches to paying their creators. YouTube adopts a split-percentage paying system, in which a percentage of the revenue earned by the advertisements in the video gets sent to the creators. YouTube gives 55% of its total ad revenue to its creators while keeping the remaining 45%. In 2021, YouTube paid more than US$15 billion to its creators altogether. TikTok, on the other hand, uses part of its revenue to pay its creators by putting money into the Creator Fund. That pool of money is then split among all the eligible creators. In 2020, TikTok had invested US$200 million into its U.S. Creator Fund and GBP 231,000 (over US$290,000 at the time of writing this article) into its European TikTok Creator Fund.
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Read More »It is important to consider that YouTubers and TikTok creators don’t just make money through the Partnership Program and Creator Fund alone. They have multiple ways to earn an income, like brand deals, paid product placements, sponsorships and endorsements. YouTuber Jimmy Donaldson, or MrBeast, is currently the highest-paid YouTuber. He made over US$54 million in 2021. Jake Paul comes in second with earnings of over US$45 million. Some TikTokers have also made quite a fortune. Charli D’Amelio, in particular, is currently the highest-paid TikToker, earning around US$17.5 million in 2021. Coming in second is Addison Rae, with over US$8.5 million. But an important aspect to note is that both D’Amelio and Rae had only started their TikTok accounts in 2019, while MrBeast and Jake Paul launched their channels back in 2012 and 2013 respectively. But recently, TikTok launched a new monetization scheme called “TikTok Pulse”, which is similar to the YouTube Partnership Program. It allows creators to run ads on the top 4% of most popular videos. The advertisement revenue will then be split 50:50 between TikTok and its creators. This will allow both TikTok and its creators to have another way of generating income. Thanks to its skyrocketing popularity and high growth rate, TikTok creators can earn a similar amount to YouTubers in the coming years. As a result, it does not make a huge difference whether the TikTok Creator Fund pays less than the YouTube Partnership Fund as long as you have your other income sources sorted.
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