This article will discuss the 20 Highest CPM YouTube Niches in 2023. If you want to skip our detailed analysis of the streaming industry and its recent trends, head straight to the 6 Highest CPM YouTube Niches in 2023.
The shifting landscape of entertainment is evident in the rise of platforms like YouTube and Netflix, which have gained prominence as traditional TV declines. YouTube, with its extensive free content, has become a dominant force in this transformation. Meanwhile, NBCUniversal’s Peacock struggles with ongoing financial challenges, and the sudden exit of Warner Bros. Discovery from projects such as CNN+ and the HBO streaming brand has caught the industry’s attention. That’s just a snippet of what’s going on in the streaming business, let’s dive a little deeper and explore what’s happening in the streaming business.
Recent Highlights From the Streaming Business
The streaming industry is witnessing an escalating wave of competition, and within this evolving landscape, Alphabet Inc. (NASDAQ:GOOG) YouTube’s robust presence as a free provider of online video, particularly among the younger demographic, has come to the forefront.
In the United States, a recent survey conducted by investment bank Piper Sandler reveals a significant shift in the viewing habits of teenagers. According to the findings, American teenagers now allocate a greater portion of their daily video consumption to Alphabet Inc. (NASDAQ:GOOG)’s YouTube, accounting for 29.1% of their video-watching time.
This marks a notable shift, with YouTube surpassing Netflix for the first time at 28.7%. Since spring, YouTube’s share has increased by almost 1%, while Netflix’s has dropped by over 2% in this demographic’s viewing preferences.
The shift in young viewers’ preferences, with YouTube surpassing Netflix, raises questions about the driving factors. Piper Sandler’s analysts do not offer a definitive answer but suggest that the abundance of streaming choices is a likely influence. The extensive options in the streaming industry seem to be reshaping how younger viewers consume content. The analysts said,
“We wonder if this is a push or a pull in regards to the changing consumption habits, as content on YouTube appears to be improving over time and the streaming industry becomes more and more competitive,”.
Yet, Piper Sandler’s senior research analyst, Edward Yruma, has pointed out that their survey signals a potential dip in teen spending. Inflationary concerns have gained prominence among teenagers, ranking second only to environmental concerns.
Many teens use their parents’ Netflix accounts. If parents cancel their subscriptions, teens turn to free streaming options, with YouTube, primarily free, being a popular choice.
So, does that mean Netflix is dying in 2023? The streaming giant has been making waves lately with its bold strategy of introducing an ad-supported subscription tier, aimed at attracting new users. Recently, a company executive revealed that the ad-supported tier now boasts close to 5 million monthly active users on a global scale.
Forbes speculates that Netflix, Inc. (NASDAQ:NFLX) could potentially gather a substantial 30 million subscribers for its ad-supported tier in the United States alone. Furthermore, Aristotle Atlantic Partners, an investment management firm, recently conveyed their perspectives on Netflix, Inc. (NASDAQ:NFLX) in their second-quarter 2023 investor letter, and stated:
“We initiated a position in Netflix and see new initiatives and further international expansion which can reaccelerate subscriber additions. The company recently introduced an advertising-supported membership plan that should enable it to augment revenue growth by tapping into the growing market for digital advertising while not cannibalizing its existing subscriptiononly plans. In addition, the company has recently implemented password-sharing restrictions, suggesting that the conversion of former password sharers to paying subscribers is tracking much better than expected. Netflix has led the transition from traditional linear TV to streaming and remains the dominant platform globally.”
Let’s now come back to our point and discover what niche has a high CPM.
Our Methodology
To determine the highest CPM YouTube niches in 2023, we analyzed the average CPM rates for each niche. CPM rates indicate the amount advertisers are willing to invest in reaching their target audience through niche-specific videos. A higher CPM rate signifies a more lucrative niche for content creators. It’s crucial to note that CPM rates can fluctuate due to variables like advertiser bids, video content, and audience demographics. We collected data from various reputable sources, meticulously verified its accuracy, and ultimately ranked the niches in ascending order of profitability.
Also, see 40 Highest YouTube CPM Countries in 2023
Highest CPM YouTube Niches in 2023
Here is the list of the 20 highest YouTube Niches in 2023.
20. Cooking
Average CPM Rate: $3.5
The Cooking category on YouTube is profitable. Creators in this niche whip up content encompassing cooking recipes, meal prep guidance, culinary inspiration, and techniques to enhance cooking abilities. This profitability stems from the substantial viewership keen on cooking and all things food. Within the Cooking category, you can explore subcategories like step-by-step recipe demos, cooking competitions, and food critiques.
19. Animal and Pet
Average CPM Rate: $4.9
In the niche of animal and pet videos, the CPM rate falls between $2 and $8.00. Content creators can captivate their viewers by producing material that highlights adorable or amusing animal scenes, informative content regarding animal behavior, or stories of animal rescues. While advertisers do allocate resources to this niche, the CPM rate may not be as elevated as in other niches, primarily because the category covers a wide range of topics. Nevertheless, this niche offers an enticing opportunity for advertisers to promote animal-related products and services to a very specific and engaged audience.
18. Fashion
Average CPM Rate: $5.0
The Fashion category is one of the highest CPM niches on YouTube. Creators within this niche produce content about the latest fashion trends, style advice, and show-and-tell hauls. Although the CPM rate isn’t that high, creators in this niche can also earn income by endorsing fashion-related products and services through affiliate marketing on their channels.
17. Photography and Filmmaking
Average CPM Rate: $6.5
This niche is all about sharing tips, tricks, and HOW-TOs related to photography, videography, and creating cinematic stories. In this category, you’ll find subniches like camera gear reviews, tutorials on editing software, tips for making your photos and videos look better, creating cinematic stories, and capturing adventures while traveling.
16. Natural Remedies
Average CPM Rate: $6.5
The natural remedies or herbalism niche can be quite lucrative once you’ve established your expertise. Given the recent trend where more people are leaning towards natural solutions, you can capitalize on this and generate income in this field.
15. Entertainment
Average CPM Rate: $7.0
YouTube’s Entertainment category is profitable with numerous sub-niches like comedy, music, movies, TV shows, and more. Creators can cash in on this by offering valuable insights into the latest in entertainment, from movies and TV shows to music and more. This attracts a dedicated audience keen on entertainment content. Additionally, creators can make money through sponsorships, selling merchandise, and employing various monetization methods.
14. Lifestyle
Average CPM Rate: $7.5
YouTube creators can tap into the Lifestyle category by offering top-notch content that appeals to both newcomers and seasoned enthusiasts in the lifestyle realm. They can build a dedicated audience by sharing valuable insights on lifestyle tips, travel hotspots, fashion updates, and delicious cooking recipes. What’s more, creators can make money by promoting lifestyle-related products and services through affiliate marketing on their channels.
13. DIY / Repairs
Average CPM Rate: $8.9
To make the most of this category, creators can tap into it by offering guidance on DIY projects, home fixes, and instructional videos. This will help them draw in a dedicated audience interested in DIY and repair-related content. In the DIY niche, there are several subcategories, and one of the prominent ones is home improvement.
12. Technology and Gadgets
Average CPM Rate: $9.0
The tech landscape is constantly changing, and there’s a constant appetite for keeping current with the newest devices, software, and advancements. YouTube channels providing evaluations, how-to guides, and side-by-side assessments of different tech products have significant prospects for expansion and financial success in 2023-24. They draw in a sizable and involved viewership keen on all things tech and gadgets.
11. Sustainable Living and Eco-Friendly Practices
Average CPM Rate: $10.0
Due to the recent surge in global economic concerns, people are looking for ways and methods to be more sustainable and eco-friendly. YouTube creators who are passionate about leading sustainable lives can share tips on sustainable living and zero-waste practices. Also, environmentally conscious products have the potential to attract a devoted audience of eco-conscious consumers. This creates a lucrative niche market for creators.
10. Gaming
Average CPM Rate: $10.0
Within this category, there are various sub-genres, such as gameplay, tactics, and review. Creators can captivate their audience in this field by delivering top-notch content tailored to both occasional gamers and ardent gaming enthusiasts. By providing tips on the most recent games, gaming approaches, and reviews, creators can draw a specific audience keen on gaming content. Additionally, creators can interact with their audience through live streaming, devising gaming challenges, and partnering with fellow creators. YouTube’s Gaming niche is lucrative due to its substantial gaming-focused viewership and the high demand from advertisers.
9. Educational videos
Average CPM Rate: $10.5
With the educational video niche, creators have various topics to cover and engage their audience with their content. Also, educational material has lasting appeal, ensuring it can consistently attract views and revenue in the long run. This allows creators to develop educational content with the potential for sustained earnings over an extended period.
8. Making Money Online
Average CPM Rate: $11.5
The Make Money Online category on YouTube features a wide array of content, and within this niche, content creators have the opportunity to delve into various subcategories to boost their income. These sub-niches encompass affiliate marketing, digital marketing, online businesses, social media marketing, SEO & SEM, blogging, advertising, and more.
7. Celebrity Culture
Average CPM Rate: $11.5
Within this niche, there are several subgenres, such as celebrity updates, gossip, exclusive interviews, and behind-the-scenes material. Content producers tap into this category by crafting videos that captivate fans of particular celebrities or those interested in celebrity culture as a whole. They may also partner with fellow creators or celebrities to expand their viewership and interaction. Advertisers are eager to offer content creators in this field a generous CPM rate. This is because celebrity-related content is exceptionally absorbing and draws a substantial audience, rendering it an appealing platform for advertisers to connect with their intended viewers.
Click to continue reading and see 6 Highest CPM YouTube Niches in 2023.
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Disclosure: None. 20 Highest CPM YouTube Niches in 2023 is originally published on Insider Monkey.
