How Revenue Is Generated?


Recently I have made a decent amount of funds from a video I published on the E3 Stream of Civilization V and I've decided to ask the YouTube Revenue system works from anyone who may have more knowledge than I do. The video details are here (I'm not giving exact numbers as I'm not sure if I'm allowed to or not.)
  • The video has about has 17K views and made a revenue of roughly $13.
  • The Actual YouTube Ad Rate Revenue is roughly $25.
  • The CPM is about $5.
  • Monetized Playbacks are about 4.6K.
I'm curious how all this works so could someone elaborate? Thanks!
Youtube takes a 60% cut of ad revenue and you get half it. That's what I know but unless you get 1,0000 views you get more money but less views you get $20
Type of content, viewer retention, tags, description, and the age, sex, and location of your viewers all play a very major role in how much an advertiser is willing to pay to be on your video.

Just how it costs far more to air a 30 second ad during the Superbowl or World Cup than it does to air the same commercial at 3AM on a local cable network, YouTube is no different.

From AdWords, advertisers "bid" on how much they're willing to pay to have their ad displayed (anywhere from $.01 to a few dollars) and then set keywords and other variables (age, sex, locations, etc.) on who they want their ad to be displayed to.

When someone is watching videos, YouTube will decide if it's time for them to be presented with an ad or not. If they are, YouTube will look at the criteria the viewer meets and find the highest paying available ad to display. If the viewer either watches the ad for 30 seconds (or it's full duration if it's unskippable) or if they click on it, the channel is paid whatever amount the advertiser bid (minus the YouTube and any other network cuts).

YouTube does not set any prices, the actual advertisers do.