How MrBeast Makes $50,000,000 a Year From YouTube

MrBeast is only 23 years old but he’s created a YouTube empire. He has 90 million subscribers and over 14 billion views — so you’ve probably already seen a MrBeast video. But if you haven’t, you need to know that MrBeast is known for giving away a lot of money… Like, A LOT. So how much money does MrBeast have? And how does MrBeast have so much money?

I wanted to find out.

So I did some digging.

I was surprised to find out that most of his revenue doesn’t come from advertising on his YouTube channel… He has a bunch of other revenue sources.

In this post, I breakdown all of his income streams to give you a better understanding of how you can build a REAL business on YouTube.

Let’s dive in.

How Much Money Does MrBeast Have?

MrBeast is the top-earning YouTuber at the moment — he earned over $50 million dollars last year alone.

But it doesn’t all come from YouTube ads.

Let’s break down where all that money comes from.

MrBeast Income Stream #1: YouTube Ads – $14 million/year

We can actually calculate approximately how much money he’s making per month from his YouTube ads.

The formula for this is = views x ad rate.

According to SocialBlade, MrBeast’s channel gets about 10 million views a day

Next, we figure out how much money MrBeast makes by calculating his CPM.

CPM basically means cost per 1000 views.

And for every thousand views, you make a certain amount of money. My channel for instance makes around $40 to $50 dollars CPM. MrBeast’s CPM is probably lower though because his audience isn’t as gorgeous as mine — so it’s probably around $4.

So let’s do some math:

(10 million views / 1000 CPM) * $4 ad rate = $40,000

So he’s making around $40,000 dollars/day.

Nice job, dude.

So that means he’s making around $1.2 million dollars every month. Multiply that by yearly and he’s doing $14 million/year just on YouTube ads.

Per year.

Pretty cool!

MrBeast Income Stream #2: Brand Partnerships – $11 million/year

MrBeast also makes money from brand partnerships on YouTube.

He does sponsorships on both his main channel and his gaming channel, but how much is he actually making from them?

We calculated the numbers.

MrBeast’s Gaming Channel
2.64 sponsored videos/month * $150,000 per sponsorship = around $396,000/month

MrBeast’s Main Channel
1.32 sponsored videos/month * $390,000 per sponsorship = around $522,720/month

So it looks like he’s making $918,720 dollars/month from brand sponsorships which ends up being over $11 million dollars per year.

MrBeast Income Stream ##3: Merch – $30 million/year

He’s also making money from his merch.

MrBeast has sold all different kinds of merch. Hats, sweaters, joggers, hoodies, gaming stuff, he’s even partnered with major brands like Nike and Champion.

So let’s estimate the amount of money he’s actually making from his merch…

It really varies based on what conversion rate he’s getting.

For software products, it’s usually around 2%. For ecommerce, 10% is usually a high conversion rate.

We estimate his conversion rate is probably around 10%.

Why do we think his conversion rate is so high?

He does the limited edition drop strategy.

This is something that you should copy for your own business — we’ve done it at AppSumo — which creates urgency with the limited quantities of products.

So when he ever needs to raise a lot of money for a video, he rolls out a limited edition piece of merch and does a huge publicity stunt around it. And it looks like he’s been doing these limited edition merch drops about once a month so a healthy 10% conversion rate is definitely very possible.

Based on his merch prices in the past, we guess that the average order value on his site is around $25. So on average, a person who makes an order on his site will spend about $25.

We also guess that around 1 million people visit his merch site per month.

Time for the math…

1 million people * 10% conversion rate * $25 average order = $2.5 million dollars/month

From selling some swag!

Damn.

Let’s Add Up All of MrBeast’s Revenue Streams

So now that we’ve broken down all of MrBeast’s revenue streams and we have an idea of how much money MrBeast is bringing in every month, let’s calculate his yearly revenue.

The simple answer to how does MrBeast have so much money?

• YouTube Ads: $14 million/year
• Brand Partnerships: $11 million dollars/year
• MrBeast Merch: $30 million/year

So MrBeast makes around $55 million dollars/year.

That’s how he has so much money. He runs his YouTube channel like a media business and he leverages ad revenue, brand sponsorships, and his own branded merch to make money.

And then he gives a lot of it away!

But remember…

Revenue ≠ Profit

MrBeast makes over $50 million dollars per year from all his income streams, but that doesn’t mean that’s what’s left in the bank at the end of the year.

He has a bunch of other expenses too.

Rent for his office, employee salaries, consultant fees, taxes on the prize money he gives away (yup, he pays tax on that).

Check out our video breakdown on how much MrBeast spends if you want to know more.

What Can You Learn from MrBeast?

So what are the three things we can all learn from MrBeast?

Takeaway #1: Law of 100

The first thing is the Law of 100.

If you’re making content, commit to doing a hundred videos. We’ve seen from MrBeast that you can make a multi-million dollar business from YouTube and by being a media company.

MrBeast made YouTube videos for seven years to get to where he is now.

So if you’re interested in doing that too, commit to it. If you can commit to a hundred videos there’s a high likelihood you will be able to be successful.

Takeaway #2: It Takes a Team to Build a Business

He’s got a multi-million dollar business and to get there, he had to build a team around him.

So who are the people you’re building around you as you’re starting your companies?

Takeaway #3: Enjoy the Process

MrBeast is having fun. He says he gives away all this money because it makes him happy.

We’re all gonna die, so why not have some fun while you’re alive?

I love watching what MrBeast puts out there — it’s always really inspiring. I can’t believe all his different and crazy ideas, so have fun with whatever it is that you’re doing out there.

Be like MrBeast.

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