Youtube Tips & Strategies

How to Increase RPM on YouTube Shorts

By Spencer Lanoue
October 31, 2025

Increasing your YouTube Shorts RPM often feels like a guessing game, but it doesn't have to be. It's not about finding a secret algorithm hack, it's about creating content that high-value advertisers want to be associated with. This guide breaks down the actionable steps you can take to target the right audience, choose the right niche, and structure your Shorts to genuinely boost your earnings per thousand views.

What is Shorts RPM, and Why is it So Low?

First, let's clear up some confusion. RPM stands for Revenue Per Mille, which is the total revenue you earn for every 1,000 views on your videos. This includes revenue from ads, YouTube Premium, Channel Memberships, and Super Thanks. It's the money that actually hits your pocket, unlike CPM (Cost Per Mille), which is what advertisers pay YouTube before YouTube takes its cut.

You've probably noticed that Shorts RPM is significantly lower than the RPM on your long-form videos. Typically, you might see long-form RPMs ranging from $5 to $30+, while Shorts RPMs often hover between $0.04 and $0.10. There are a few key reasons for this:

  • The Ad Model is Different: Unlike long-form videos where ads play before (pre-roll) or during (mid-roll) your specific video, Shorts ads appear between Shorts in the feed. This means the ad revenue is not tied directly to your single Short.
  • Revenue Pooling: YouTube pools all the ad revenue generated in the Shorts feed each day. This pool is then distributed to creators based on their share of total valid views. A portion of this pool first goes to pay for music licenses, which is another reason your final take is smaller.
  • Viewer Behavior: Shorts are designed for rapid, swipe-able consumption. Viewers are less leaned-in than someone who intentionally clicks on a 15-minute video, making the ad placements less impactful for advertisers and therefore less valuable.

Knowing this, you can see that you can't control the ad model. But what you can control is the type of audience you attract, because advertisers will pay drastically different amounts to reach different people.

Step 1: Focus Intensely on Audience Demographics

The single biggest factor influencing your RPM is who is watching your content. An advertiser selling luxury cars or financial software is willing to pay a premium to get in front of an audience with high disposable income. An advertiser selling a free mobile game is not. Your job is to create content that naturally attracts the first group.

Go After Tier-1 Viewership

Advertisers pay more for views from certain countries due to stronger economies and higher consumer spending. These are often called "Tier-1" countries. Focusing your content to appeal to viewers in these regions can dramatically increase your RPM.

High RPM Countries typically include:

  • United States
  • Canada
  • United Kingdom
  • Australia
  • Germany
  • Norway
  • Switzerland
  • New Zealand

How to Target These Viewers:

  • Language and Lingo: The most obvious step is creating content in English. But you can go deeper. Use phrasing, idioms, and cultural references specific to these regions. For example, a personal finance Short that talks about contributing to a "401(k)" or an "IRA" is explicitly targeting a US audience.
  • Topic Relevance: Create content around topics popular in these countries. Analyze Google Trends for the US versus other regions to see what financial matters, tech products, or lifestyle trends are gaining traction there.
  • Visual Cues: If you show currency, use USD ($), AUD ($), GBP ($), or EUR (€). These small visual signals can help YouTube's algorithm better categorize and serve your content to the right audiences.

Targeting High-Income Age Brackets

Beyond geography, age is a critical factor. The 25-54 age demographic is generally considered the most valuable to advertisers. This group has established careers, significant purchasing power, and makes major life decisions (buying homes, cars, investing, raising families). Content that solves problems for this demographic will naturally have a higher RPM.

Step 2: Choose Niches That Advertisers Love

Your content's niche is directly linked to the types of advertisers it will attract. A video about "how to save for retirement" will be surrounded by ads from investment firms, banks, and FinTech apps. These businesses can afford high ad rates because the lifetime value of a single customer is enormous. A prank video will likely attract ads for low-cost consumer goods or apps.

Here are some of the most profitable niches for Shorts:

  • Personal Finance and Investing: Topics like stock market tips, crypto analysis, credit card hacks, real estate investing, and budgeting strategies.
  • Technology: Software tutorials (especially for business or "creator economy" tools), coding tips, AI tool showcases, gadget reviews, and "desk setup" inspiration.
  • E-commerce and Business: Content about starting a Shopify store, marketing strategies, running social media ads, productivity hacks for entrepreneurs, or side hustles.
  • Luxury and High-Ticket Hobbies: Think automotive content focusing on maintenance or modifications for expensive cars, high-end travel, or hobbies like golf or yachting.
  • Education and Career Development: "How-to" content that teaches viewers a valuable skill they can use to make more money (e.g., video editing, graphic design, public speaking).

Find an overlap between what you are passionate about and what advertisers find valuable. You don't have to create boring content, you just have to frame it in a way that aligns with high-value interests.

Step 3: Craft Your Content for Advertiser-Friendliness

Even if you are in the perfect niche with the perfect audience, a low RPM can result from creating content that is flagged as "not advertiser-friendly." YouTube's algorithm is constantly scanning videos for themes, language, and imagery that advertisers might want to avoid.

To maximize your RPM, stick to the script:

  • Keep it Clean: Avoid excessive swearing, controversial topics, violence, and suggestive themes. The more "brand-safe" your content is, the larger the pool of advertisers willing to run ads alongside it.
  • Provide Real Value: Shorts that are purely entertaining are difficult to monetize at a high level. Focus on content that is educational, inspirational, or solves a problem. A viewer who learns something useful is perceived as more engaged and valuable than one just getting a quick laugh.
  • Encourage Repeat Viewers: Building a loyal, subscribed audience signals to YouTube that your channel is an authority. Advertisers are more interested in established communities than one-off viral hits. Create a consistent format or a series that keeps people coming back for more.

Step 4: Think About Your Channel Holistically

While this guide is about Shorts RPM, it's a mistake to think about Shorts in a vacuum. The most successful creators use Shorts as a top-of-funnel discovery tool to drive viewers to their more profitable long-form content and other revenue streams.

One of your key goals with Shorts should be driving viewers to your primary channel page. Make sure you use the "Related Video" feature to link a relevant long-form video to your Short. If a viewer discovers you through a 30-second Short (earning you $0.001) and then watches a 12-minute video about the same topic (earning you $0.25), you've just 250x'd your revenue from that user's session.

A channel focused on a high-value niche also opens the door to revenue streams that dwarf AdSense:

  • Affiliate Marketing: Recommending tech products, financial software, or courses.
  • Sponsorships: Brands will pay a premium to have their product featured on a channel with a targeted, valuable audience.
  • Selling Your Own Products: Offering digital products, courses, or coaching to an audience you've already provided value to.

Final Thoughts

Increasing your YouTube Shorts RPM boils down to a strategic shift from chasing viral views to attracting valuable viewers. By creating brand-safe content in high-value niches that appeal to audiences in Tier-1 countries, you directly align your channel with the needs of premium advertisers, which will be reflected in your earnings.

Managing a content schedule that consistently delivers this kind of high-value content across multiple platforms takes a lot of organization. I know from experience that mapping everything out in spreadsheets gets old fast, and legacy schedulers often feel clumsy with today's video-first formats. At Postbase, we designed a simple visual calendar specifically for creators who need to plan and publish short-form video content without the headache. Seeing your entire strategy clearly laid out makes it much easier to stay consistent and hit your growth goals.

Spencer's spent a decade building products at companies like Buffer, UserTesting, and Bump Health. He's spent years in the weeds of social media management—scheduling posts, analyzing performance, coordinating teams. At Postbase, he's building tools to automate the busywork so you can focus on creating great content.

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