"There is nothing more frustrating than getting a viral video with 100,000 views, only to open your dashboard and see you earned $12. If your RPM is low, it's not bad luckāit's bad engineering."
Many creators think YouTube pays a flat rate for views. This is false. YouTube pays based on value. An advertiser will pay $20 to reach an investor in New York, but only $0.50 to reach a teenager in a gaming cafe.
If your RPM (Revenue Per Mille) is stuck below $2.00, it typically means one of five specific "levers" in your channel is broken. In this guide, we will diagnose the problem and give you the fix.
Benchmark: What is "Normal"?
Global Average RPM: $1.50 - $3.00
Finance/Tech RPM: $10.00 - $25.00
Gaming/Vlog RPM: $1.00 - $4.00
If you are significantly below these numbers, read on.
Reason 1: The "Shorts Dilution" Effect
This is the #1 reason for low RPMs in 2025. If you mix YouTube Shorts and Long-form videos on the same channel, your analytics will look confusing.
The Problem
Shorts RPM is tiny ($0.01 - $0.06). If you get 1 million Shorts views and 10,000 Long-form views, your "Average Channel RPM" will be dragged down to pennies, even if your long videos are performing well.
Stop looking at "Channel RPM." Filter your analytics by "Content Type -> Videos" to see your true Long-form RPM. Treat Shorts as a funnel for subscribers, not a revenue source.
Reason 2: Audience Geography (Tier 3 Traffic)
Advertisers pay to reach customers who can buy their products. If 60% of your audience lives in countries with lower purchasing power (Tier 3), your RPM will plummet.
| Region | Examples | Est. RPM (2025) |
|---|---|---|
| Tier 1 | USA, UK, Australia, Canada | $5.00 - $15.00+ |
| Tier 2 | Germany, Japan, France, UAE | $3.00 - $8.00 |
| Tier 3 | India, Philippines, Brazil, Pakistan | $0.50 - $1.50 |
The Fix: You cannot "block" viewers, but you can pivot your content. Create videos about topics relevant to Tier 1 markets (e.g., "US Real Estate" vs "General Motivation") or add English subtitles/dubbing to attract a global audience.
Reason 3: The "8-Minute" Rule & Mid-Rolls
If your videos are 7 minutes and 59 seconds long, you are losing 50% of your money.
Videos under 8 minutes only get Pre-roll and Post-roll ads. Videos over 8 minutes unlock Mid-roll ads. If a viewer sees two ads instead of one, your RPM effectively doubles.
In 2025, YouTube's "Auto" placement is better, but it still misses spots. Always check your mid-rolls manually. Place an ad break after a "cliffhanger" or scene transition to maximize retention through the ad.
Reason 4: The "Made for Kids" Trap
This is the silent killer. Due to COPPA laws, YouTube cannot serve targeted ads on content marked "Made for Kids." Targeted ads are the expensive ones (e.g., a specific toy brand targeting a specific user).
Without targeted ads, you are left with generic ads (like soap or groceries), which pay very little. "Made for Kids" channels often see RPMs as low as $0.20 - $0.50.
The Fix: If your content is not specifically for children (e.g., gaming, animation), ensure your channel settings are set to "No, this channel is not made for kids." Warning: Only do this if it is truthfully not for kids. Lying can get your channel terminated.
Reason 5: Seasonality (The January Drop)
Did your RPM drop suddenly in January? Don't panic. This happens to everyone, every year.
Advertisers spend their entire budget in Q4 (October - December) for the holiday shopping rush. On January 1st, marketing budgets reset, and ad spend plummets. It usually recovers by March.
Conclusion
A low RPM is rarely a mystery. It is usually a result of geography, niche, or video structure.
Your Checklist to Fix It:
- Switch to making videos 8+ minutes long.
- Manually place mid-roll ads.
- Target "Tier 1" topics or keywords.
- Ignore "Channel RPM" if you post Shorts.
Want to see what a "Healthy" RPM looks like for your specific niche?
Check our 2025 Niche CPM Guide →