YouTube RPM vs CPM: What Counts as "Good", How CPM Is Calculated, and Why Your RPM Might Be Tanking
How recent data shows what a "good" YouTube RPM actually looks like
The data suggests creators are still confused about income metrics. WeDoLaundry analyzed thousands of channels and reported some eye-opening numbers: the median RPM across their sample sits around $1.90 per 1,000 views, the upper quartile lands near $4.50, and the top 5% of channels averaged above $12. In contrast, CPMs advertisers pay ranged widely - from under $1 in low-value regions to $25 or more in premium niches during peak seasons.
Analysis reveals a gap between advertiser CPM and creator RPM. On average, creator RPM was roughly 30-60% of reported advertiser CPM across the same content, because RPM factors in YouTube's cut and non-ad revenue sources get folded in differently. Evidence indicates seasonality matters too: CPM spikes around Q4 holiday budgets, and RPM follows, though not always proportionally.
Bottom line: "Good" RPM depends on context. If most of your views come from low-CPM countries or short-form content, an RPM of $1-2 might be perfectly normal. If you post business or finance videos to a U.S. audience, expect much higher RPMs.
4 Main factors that determine your YouTube CPM and RPM
The numbers are not random. Analysis reveals these core components control the flow from advertiser dollars to your wallet.
1) Audience geography and demographics
Advertisers pay far more to reach viewers in the U.S., Canada, UK, and Australia than to reach viewers in many other countries. Age and household income matter too - the 25-54 bracket typically attracts higher bids. The data suggests channels with 70%+ views from high-value markets will see higher CPMs and, if monetization is enabled, higher RPMs.
2) Content niche and advertiser demand
Some topics are inherently more valuable to advertisers. Finance, legal services, SaaS, and B2B content often pull CPMs north of $15-30 in the right seasons. Entertainment, general vlogs, and lifestyle topics usually fetch much lower CPMs. Evidence indicates high-advertiser-intent niches not only get higher CPMs but also more relevant ads, which improves ad fill rates and effective RPM.
3) Ad format, ad inventory, and placement
Pre-rolls, mid-rolls, display ads, and skippable vs non-skippable formats all behave differently. Mid-rolls increase ad impressions per view for longer videos, raising RPM if viewers stick around. Shorts have very different ad mechanics and typically produce lower RPMs because ad inventory and viewer intent differ. Ad fill rates and auction competition influence CPM at the moment of impression.
4) Viewer behavior and video structure
Watch time, retention, session starts, and engagement influence the algorithm and the number of ads YouTube is willing to serve. Longer, well-retained videos can host more ad slots and thus increase revenue opportunities per view. Conversely, a high view count with low watch time may mean fewer ads served per view, lowering RPM despite decent CPMs.
Why low RPM happens - case studies and expert notes
Analysis reveals low RPMs aren’t usually caused by a single issue. Below are typical scenarios, contrasted with what higher RPM channels do differently.
Case study A - The travel vlogger with global reach but low RPM Profile: 200k monthly views, majority from Latin America and parts of Europe. Metrics: CPMs reported around $1-$2, RPM about $0.80. Why: Low advertiser demand in viewer regions, high rate of ad-block usage, mostly short videos under 6 minutes. Contrast: A travel channel focusing on U.S. itineraries and targeting longer informational guides saw CPMs closer to $5 and RPMs near $3. Case study B - The finance explainer with fewer views but high RPM Profile: 50k monthly views, primarily U.S. and UK audiences. Metrics: Advertiser CPMs averaging $18, RPM around $9-$12. Why: Strong advertiser demand, viewers are business owners and high-intent consumers, and videos exceed 10 minutes so multiple ad slots are available. Contrast: Same creator's lifestyle videos targeting younger audiences produced lower CPM and dragged overall RPM down. Shorts vs long-form - a direct comparison Metric Shorts Long-form (8+ minutes) Typical CPM $0.50 - $3 $3 - $20+ Typical RPM $0.20 - $1.50 $1 - $10+ Ad slots per 1,000 views Low Higher with mid-rolls
Evidence indicates Shorts dilute RPM for channels that rely heavily on them, unless monetization is diversified (sponsors, merch, memberships).
What experienced creators actually change to turn CPM into meaningful RPM
Analysis reveals the smartest creators treat RPM as a compound metric - it’s influenced by both ad-level economics and channel-level choices. Here are the syntheses of practices that differentiate higher RPM channels.
Diversify revenue streams to raise effective RPM
RPM is calculated across all revenue sources YouTube attributes to your channel. Creators who add memberships, merchandise, affiliate links, and sponsorships increase total revenue without needing a proportional CPM increase. The data suggests adding one strong non-ad income source can boost RPM by 20-80% quickly.
Optimize content mix and audience geography
Creators that intentionally create more content aimed at high-value geographies and niches see CPM lift. That might mean localizing https://thinkingoutsidethesandbox.ca/how-to-make-sure-you-buy-and-install-the-best-sliding-windows/ https://thinkingoutsidethesandbox.ca/how-to-make-sure-you-buy-and-install-the-best-sliding-windows/ popular videos, producing evergreen tutorials for a U.S. audience, or covering higher-value topics within a creator’s comfort zone.
Use video structure to maximize ad opportunities
Longer videos with natural breakpoints allow mid-roll ads without annoying viewers. Evidence indicates channels that cross the 8-10 minute mark and place mid-rolls strategically can increase ads-per-view by 30-70%, boosting RPM if retention holds.
Increase viewer quality, not just raw views
Creators chasing vanity metrics often end up with poor RPMs. The data suggests that fewer views from a high-value audience beats many low-value views. That means creating content that attracts the right sponsor-friendly demographics.
7 measurable steps to raise your YouTube RPM within 90 days
Direct action with numbers you can track. If you do these, measure weekly and expect to see movement in 4-12 weeks.
Audit your audience geography - Target: increase percentage of U.S./UK/Canada views by 10% in 90 days.
How: Create at least 2 videos aimed at those audiences per month; tweak metadata and thumbnails for local relevance.
Introduce at least one non-ad revenue source - Target: add $100-$1,000/month from memberships, sponsorships, or affiliate offers.
How: Pitch two sponsors, set up channel membership tiers, or launch a simple digital product.
Increase average video length and retention - Target: move average length to 8-12 minutes where logical; retention > 50% for the first 60 seconds.
How: Add structured sections, stronger hooks, and natural mid-rolls after 4-6 minutes.
Track ad impressions per 1,000 views - Target: boost ad impressions by 20% via mid-rolls and longer watch times.
How: Use YouTube Analytics to monitor "Ad impressions" and "Ads shown per playback".
Test niche-focused content - Target: one experiment per month to test a higher-CPM topic relevant to your channel.
How: Run A/B tests on titles and thumbnails and compare RPM & CPM after 30 days.
Reduce ad blocking and increase monetized plays - Target: improve monetized play rate by 10%.
How: Encourage viewing in app/desktop instead of embedded players, and ensure ads are not blocked by site policies.
Monitor and react to seasonality - Target: plan ad-heavy content for Q3 and Q4 to capture rising CPMs.
How: Build a content calendar that aligns high-value topics with advertiser demand cycles.
Quick self-assessment quiz - find the biggest RPM leak
Score each item 0 (no) or 1 (yes). Total 8 or lower means you likely have multiple RPM leaks.
Do more than 40% of your views come from the U.S., Canada, UK, or Australia? Are most of your videos longer than 8 minutes? Do you offer at least one non-ad revenue option (memberships, merch, sponsors)? Is your average RPM above $3? Do you get consistent mid-roll ad fill on long videos? Is your retention > 50% at the 1-minute mark? Do you track "ads shown per playback" and adjust content accordingly? Have you experimented with higher-CPM topics in the last 90 days?
Scoring guide: 7-8 means you are optimizing well. 4-6 indicates clear opportunities. 0-3 says fix the basics first - audience, video length, and diversification.
Final takeaways and realistic expectations
The data suggests you should stop obsessing over a single "good RPM" number and focus on the levers you can control. CPM is driven by advertiser demand and auction dynamics. RPM is the practical income measure and it responds to both ad economics and how you package your channel.
Analysis reveals a few consistent truths:
High CPM does not automatically mean high RPM. You still need to convert ad impressions into monetized revenue and keep viewers long enough for multiple ads. Audience quality beats quantity. A smaller, high-value audience yields better RPM than massive low-value reach. Diversifying income sources is the fastest path to a dependable RPM boost.
Evidence indicates this approach works: shift a portion of your content toward higher-value topics where it fits, extend video length sensibly, add one reliable non-ad income stream, and monitor ad impressions per playback. Expect gradual improvement. If you want a targeted plan for your channel, share your analytics highlights - geography breakdown, average view duration, video lengths, and current RPM - and I’ll map specific next steps.