Twitch is considered home for video game lovers and has more than two million broadcasters called streamers. These streamers do everything from making music to playing video games. A top streamer on Twitch will make more money than a top YouTuber. But a lot of streamers on Twitch can make several million dollars each year.
In this post, you will know exactly how much you can make money and where that money comes from and why you tend to make more money than most people of your size on Twitch. Why do you think users get upset when they find out how much money a content creator makes? The actual theory is that YouTube, content creators, is more relatable than live TV personalities. And when you find out that a YouTuber makes a good chunk of money, it will slightly ruin that relatability.
The post briefs you about monetization through which Twitch streamers make money and how to get Twitch stream viewers for instant fame. There are three different levels of monetization that any streamer can go through. They are called Tier one, tier two, and tier three. Understanding these three tiers and how they work, especially understanding the top tier, gives you a little bit of sense of a path to walk. It helps you know how creators can turn their tiny little channel into a staple industry, like Rooster Teeth.
While YouTuber’s have been accomplishing this for years, streaming is still relatively new enough that very few streamers understand what can be achieved or that this is even possible. The only streamer that fully breaks into tier three is Ninja. Let briefs these tiers below:
Tier 1
Tier 1 monetization is where all the income, all the revenues are self-contained to the streaming platform. This applies to any other streaming platform, including Twitch. All the money you make in Tier 1 comes from living or income that happens while you are Living.
You’ve got people giving you money with sub spits and donations. You’ve got some merchandise that people can buy. You can even consider Patreon and only fans in this group. It is a slightly different kind of merch but still merchandising on the same and sponsorship on your strength.
These three ways are the way 99% of streamers make a hundred per cent of their revenue. And it is very crazy how much this income can vary not only from streamer to streamer but for a month-to-month.
There was one month when Ninja had like 600,000 subscribers. It would help if you kept in mind that subscriptions are $5 a month, and that number can be split between the streamer and twitch. Given how many subs that Ninja had that month, attaching bits and donations to it, he probably made over 2-3 million that month just on this forum alone.
Sticking in Tier 1 of monetization is incredibly volatile, making you afraid to leave home and not stream. Big streamers intentionally missed Twitch because they are scared to stop streaming and lose that revenue. These streamers, even though they are large streamers, are still monetizing in Tier 1 sense.
A well-known full-time streamer who may have between 500 and a thousand average viewers will usually have between 1000 to 2000 subscribers. Usually, the money within Tier 1 is like 60 to 80 per cent subs. It is around five thousand dollars a month for a full-time well-known streamer if you do some quick calculation.
Tier 1 merch and sponsorship do not do well because most in this area only have self-branded merch, or it is just like their logo on a shirt and only like the true hardcore fans who want to like wear someone’s face on their chest. They will only buy it and sponsorship on Twitch alone. And they do not pay out that much.
Also, you will not have the impact with an ad on Twitch that you can have on YouTube, and this is because you are streaming for 8 hours on end. And you are pushing something every 30 minutes, and even then, a lot of people miss the AdWords on YouTube. You have a much more targeted approach to ads on YouTube than you do on Twitch.
Tier 2
Tier 2 is when the streamer branches out to other avenues of monetization on the internet. The most common one is when big streamers hire an editor who takes their streams, finds the best highlighted, maybe 10 to 20 minutes of it and uploads it to YouTube with a thumbnail. These are pitting myths that have been seen with medium-size streamers who can’t get more than 300 viewers of a video.
Diversifying Your Content to Multiple Platforms Do a Couple of Things for You.
A. It just diversifies your income. Let us say, one month, you get a much smaller amount of subs. It happens sometimes. It will not impact the number of people who watch your YouTube videos, and your ad revenue will stay the same. So, one of your payment dips may have three or four sets up on other platforms, and you will still be making pretty much the same amount.
B. The other thing that opened doors for better sponsorships. If you have an audience on different platforms with different content styles, then sponsors will help you get much more targeted. They will be saying that they want to hit the YouTube audience and the Tok-Tok audience.
Essentially the ad will have a much larger influence on the audience, and your revenue will change from in Tier one, maybe being a couple of hundred bucks for putting a logo on your stream, to 10 to 20 thousand dollars for a YouTube ad.
An example of someone who takes tiers 2 to the next level as a streamer is Wacky jack, which streams super regularly and uploads nearly daily content. And this is not just content ripped from the twitch channel and edited for YouTube. It is original YouTube content.
It will not only provide you with a large amount of extra income, but it also adds to your credibility on Twitch. That is why Wacky Jacky streams for over a thousand people. If you want to be in Tier 2, then it is recommended to be like Wacky Jacky.
Tier 3
It is where things get a little bit hard, tricky, and more fun. This is where the streamer outgrows simple content creation and starts to turn it into an actual business. Slash is a popular YouTuber who continue to make YouTube videos that have built entire gaming or a hundred themes.
Tier 3 is different from one and two. You can start at Tier 2 if you want. It will take a lot of work on both YouTube and twitches at the same time. And you will get incredibly fast growth on Twitch.
But Tier 3 as a content creator often doesn’t work until you have the validity of success. Many people make mistakes when they try to transition into tier 3, the business ownership world, is they leave behind tier 1 and tier 2 because it is tier 1, tier 2, tier 3 like steppingstones you move from one of the next. But each tier expands upon the prior tiers, and it still encompasses it.
How Much Money Can You Make?
Suppose you can get 150 thousand plays across all platforms and average out what all the different platforms pay per play while putting a little bit of emphasis on Spotify if you have 70% of your audience on Spotify. Then you will make about a half of a penny per play which would take you about 750 dollars a day. And if you multiply by 30, then you can make about $25,500 per month.
If you assume that the numbers stay relatively the same or the numbers have been growing substantially every day. So it could be way more than that. So you can decide whether you hate it, and it could be way less than that. That means adding everything up. The lowest you will generally make a month will be like 44 thousand, and the highest you can make is up to like 66 thousand.
Take Away:
Twitch never pays the streamer directly. Streamer on Twitch earns money from advertisement, affiliate links, and also from other methods. There are lots of different ways for twitch streamers to make money. I hope you find this post valuable and beneficial.
