Is YouTube Automation worth it? Successful channels like these are making 5 figures monthly. Based on that alone, it would be easy to say that it's worth it to start an automated YouTube business like this.
However, not all channels are successful because many people give up after a short period of time or just don't have the right training or strategy.
In this article, I will take a deep dive into whether or not this business venture is worth it by providing you examples of successful automated channels, statistics, how much it will cost to start, monetization strategies, and more.
What is YouTube Automation?
YouTube automation refers to a video content strategy for creators on YouTube where they create videos without going on camera. These "faceless videos use existing digital media like videos and images along with animations to create content.
The content can be created yourself by using video editing software or you can outsource the video production. Money is made a few ways from YouTube ads, affiliate marketing, sponsorship deals and more.
Why YouTube Automation is a Great Opportunity According to Statistics
Numbers don't lie so here we will take a look at some statistics to show why starting a YouTube channel is such a viable business opportunity.
- YouTube is the second most popular social media network globally, trailing only behind Facebook.
- There are approximately 2.7 billion monthly active users worldwide, with daily active users around 122 million.
- In the U.S., 62% of internet users access YouTube daily.
- The U.S. has 239 million YouTube users, with a notable user base among the 19-25 age group.
- Ad spending continues to climb, with 7.95 billion spent on ads in Q3 of 2023, which is 12% higher than what it was in Q3 of 2022.
How Much Money Do YouTube Automation Channels Make?
First off, there is no distinction between what an automated channel makes (faceless videos) compared to branded channel where the creator is shown on camera.
An automated channel can make just as much money as a branded channel. How much money an automated channel will make depends on a few factors:
CPM stands for Cost Per Mille which is the cost advertisers will pay based on 1000 views. If the ads are shown on your videos, you get paid 55% of that cost. Not all niches have high CPM. If your channel is in a high CPM niche, you will make more money. On average, CPM ranges from $4 and can be as high as $50 or even more.
To give you an example, if your channel got 50,000 views across all videos in a given month and your CPM averaged $10, you would make around $500.00 in ad revenue.
An automated channel can also utilize an affiliate marketing strategy. This is where you will recommend "other people's products" and get paid a commission every time someone makes a purchase from one of your provided links.
Many YouTubers do this by putting links in the description box below or mentioning it in the video. It doesn't matter if your channel is faceless or not, affiliate marketing can earn you a lot of money if done right.
Let's say you have a car-themed channel. You can promote Amazon affiliate links on any type of car product available whether it's car parts or cleaning supplies. In this niche, you will make a 4.5% commission on anything you sell. While that's not a lot, it can really add up if you sell expensive items and if many people are buying from your links.
Once your channel starts to get views, you may be approached by companies willing to pay you to feature their product. These deals can be anywhere from a few hundred to a few thousand dollars.
Case Studies of Successful Automated Channels
Need proof that automated channels are worth it? I handpicked just a few channels that are making a lot of money. I'll go over the stats with you and show you just how much of an opportunity this is.
Case Study #1 - AnimalWised
As far as income goes, they make anywhere from $518 - $8300 a month. Normally the real number is somewhere in between, so they are making at least around $4000 a month on ad revenue only.
Case Study #2 - Economics Explained
Imagine creating an automated channel that grows to 2,41 million subs and counting where you never have to show your face. That's what Ecomomics Explained did.
According to Social Blade This channel makes up to $37K a month and adds about 30K subs each month. Its growth doesn't seem to stop. The top video got 13 million views and on average each video gets about half a million views.
If economics excites you, you could easily create an automated channel like this and never have to show your face!
Case Study #3 - Pursuit of Wonder
Pursuit of Wonder is an automated channel in the Psychology niche. If we look at their Social Blade stats, this channel makes up to $13.9K a month. They average about 30K additional subs added each month.
Their most popular video has 10M views but on average each video commands around 300-500K views.
These are just 3 examples of automated channels that are doing very well and making a lot of money. There are many, many more like this in the same niches and other niches as well doing just as good or even better.
So as you can see, these stats alone should tell you that creating an automated channel is worth it because these channels get a ton of views and engagement and are all faceless.
If you want some ideas for a channel check out my post on Faceless copy and paste YouTube channel ideas.
If you still don't think automated channels are worth it, how about we talk about monetization strategies - in other words, how these channels make money.
Just so you know, Adsense, which is basically the YouTube Partner Program where you get paid from advertising is just one way you can make money with your automated videos.
There are other ways that I touched on above such as affiliate marketing and sponsored content. Depending on your niche, you could also think about creating your own course. Usually, this would work best for an educational channel such as economics, crypto, or a business channel.
Cost of Starting a YouTube Automation Channel
So now that I have outlined the financial benefits automated YouTube channels bring, let's discuss the costs involved.
Getting Started With Zero Money
You can start an automated YouTube channel with no investment. You do this by getting free video editing software like Hitfilm, and find free images and videos from platforms like Pixabay and Unsplash.
Getting Started for under $200
If you need more content than what you find on the free sites as mentioned above, you can subscribe to a service for under $20 a month such as Storyblocks. This will allow you 5 free downloads a month. For 10 bucks more you can get unlimited downloads.
Next, you can invest in professional video editing software such as Power Director at $139.99 a year and Camtasia at $179.88 a year. Paid software is far superior - you won't get a branded company watermark and you get a lot more editing options to make your videos stand out.
Getting Started for under $1000
With this option, you are going to see the best chance for success. This involves 3 components.
- Proper training
- Paid software, paid images/video subscription service
- YouTube Keyword research tools
- Outsourcing video editing (optional)
I highly recommend you get proper training first - click here to watch this free training which includes a 50% discount to the best training course for YouTube Automation.
Many people watch free videos on YouTube or other places on how to start an automated channel. This isn't enough. You need to consider investing in yourself and get proper training.
There are many moving parts in this business and getting the right training will give you a MUCH better chance at success. It's a fact. Billons of dollars are spent on online education each year and there's a reason for that - it works.
By 2026, the online education industry will be worth more than $370 billion.
The other thing you should consider if you can invest up to $1000 in your business is paid software and a paid subscription for content.
I do recommend that you start off by doing ALL the work yourself. When your channel starts making money, you will then have the ability to teach someone else everything you have learned.
How Automated Channels Compare and Contrast to Traditional Channels
The first thing I want to clear up is that there is no difference between the earning potential of an automated channel VS one where the creator has a branded channel, where they show their face.
Getting that out of the way, let's explore how automated channels and traditional channels compare and contrast
1. Production Process
Automated channels rely heavily on existing media to use in their videos. Traditional channels involve the creator being on camera creating original content.
2. Creator's Presence and Privacy
Automated channels offer creators anonymity and privacy, as they don't appear on camera. Traditional channels often feature creators prominently, making their personal identity and persona central to the content.
3. Consistency and Content Volume
Automated channels can produce content more consistently and in larger volumes due to less reliance on physical filming. Traditional channels might usually have a slower output due to the production process being more involved and time-consuming.
4. Production Costs
Automated channels tend to have lower production costs with minimal equipment needs. Traditional channels, however, often require a higher investment due to the equipment needed such as cameras, lighting, microphones, batteries, tripods, etc. You also have to factor in traveling expenses if not shot on a set, etc.
5. Audience Engagement and Personal Connection
Traditional channels typically have a stronger engagement with their audience. This is because audiences tend to "get to know" the creator even though it's one-sided. The same connection is not formed with an automated channel due to the absence of a personal, on-screen presence.
6. Content Diversity and Flexibility
Automated channels can cover a wide range of topics because this is not limited by the creator's physical presence or expertise. With a traditional channel, the creator may not have this flexibility based on their niche, location and skill level.
7. Monetization and Brand Opportunities
Traditional channels often have more monetization opportunities. This is because brands want an ambassador for their products when it comes to monetization through sponsorships and collaborations.
Automated channels can still be monetized with Adsense, affiliate marketing, sponsorship (a little difficult for automated channels but possible) affiliate marketing and selling courses the creator makes.
Automated channels have a higher scalability potential due to the ease of producing content. Traditional channels might find scaling up more challenging due to the increasing demands of content production as the channel grows.
As you can see, automated channels offer efficiency, privacy, and scalability, but might lack in personal engagement and face certain monetization limits.
On the flip side, traditional channels excel by building a personal bond with viewers and having more channels for monetization over automated channels. However, a traditional channel can cost more due to the equipment needed and other production costs that can be incurred.
Risks and Challenges of Automated Channels
Like any business, you should be aware of some risks and challenges of starting an automated YouTube channel:
1. Audience Trust and Authenticity
Faceless content might struggle to build the same level of trust and authenticity with viewers of channels that have a face to them. However as we have seen from the case studies above, automated channels can do very well if done right.
2. Content Quality and Engagement
For automated channel creators that don't put much effort into their videos and just copy and paste content that's been seen over and over again, aren't going to do particularly well. Engagement and audience retention can suffer so it's important to add in your own viewpoints and thoughts, making it as transformative as possible.
3. Dependence on External Resources
Automated channels rely on stock images and videos. Should the availability of these resources halt, this could present problems for creators. However, I can't see this ever being an issue to be honest.
4. Copyright Issues
If you don't do this right, you can likely get your channel or some videos banned. You need to ensure you are abiding by the fair use policy and not violating any rules.
In Conclusion, is YouTube Automation Worth it?
Yes, YouTube automation is totally worth it. Where else can you start a business for either free or with just a little investment. The traffic source you will be working (obviously YouTube!) is the 2nd largest traffic source in the world. Your risk is very low.
Even if it doesn't work out, you will lose virtually nothing, just some of your time.
As I mentioned before, if you do decide to start an automated channel, get some proper training. If you want to go at it alone, check out my YouTube Automation channel guide to help get you started.
If i've convinced you that you need formal training, you can select from a list of recommended YouTube automation courses.
If I am going to recommend one course to you it would be Matt Par's Tube Mastery and Monetization. Of all the automation courses I have bought, this one is the winner because Matt Par doesn't just teach this stuff, he has 9 profitable automation channels. Everything he has learned is passed onto you.
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