YouTubers aren’t relying on ad revenue anymore — here’s how some are diversifying

YouTube has become one of the biggest platforms out there, which provides a lot of opportunities for creators to earn a living. Company back in June Report That its creative ecosystem adds $55 billion to US GDP and creates more than 490,000 full-time jobs.

However, many YouTubers have reduced their reliance on ad revenue and brand deals. There are several reasons for this change. First, advertising revenue can be unpredictable. As YouTube constantly updates its policies, some creators find it difficult to secure ads for their videos, which can negatively impact their earnings. They realize that income from these streams can disappear unexpectedly.

Recognizing the volatility of platform-dependent income, many YouTubers are no longer just creators. They are vertically integrated media companies with parallel businesses including product lines, brick-and-mortar ventures and consumer brands that can overcome algorithm changes and policy changes.

In some cases, these side businesses are growing faster and more sustainably than their YouTube channels.

Mr. Beast

Known as Jimmy Donaldson Mr. BeastWith 442 million subscribers, he’s not just one of YouTube’s biggest stars — he’s its most aggressive entrepreneur.

What started with a merchandise store in 2018 — ShopMrBeast — has exploded into a business portfolio, including his now three-year-old snack brand Feastable.

Fistable’s initial product was the “Mr. Beast Bar”, a chocolate bar that was developed $10 million in sales Within its first 72 hours of launch, it sold over 1 million copies. To date, Fistables is more profitable than his YouTube content and even his “Beast GamesCompetition series on Prime Video. In 2024, Feastables was roughly formed $250 million in revenue and profits of more than $20 million, while its media business lost nearly $80 million.

Other ventures include his packaged food brand Lunchly (co-founded with YouTubers Logan Paul and KSI), toy line MrBeast Lab, Mr. Beast Burgerand analytics platforms View statistics. He even tried from Buy TikTok’s US operations A group of investors led by Employer.com founder Jesse Tinsley joined the American Investor Consortium.

Now MrBeast is venturing into new areas. He plans to establish a Mobile Virtual Network Operator (MVNO)which may partner with one of the major operators such as AT&T, T-Mobile, or Verizon In addition, there were YouTubers the stain Filing a trademark application for a mobile app that provides banking, financial advisory and crypto exchange services.

Emma Chamberlain

Emma ChamberlainWho rose to fame as a teen vlogger in 2016, now has over 12 million subscribers and has found success in the beverage industry.

He launched his coffee brand, Chamberlain Coffee, in 2019, which offers a range of products including cold brew, coffee pod, ground and whole bean options, as well as tea and matcha. Notably, other YouTubers followed suit, viz Jaxseptica Its top of the morning coffee brand and Philip DiFranco Including wake and make coffee.

In 2023, Chamberlain Coffee had a significant year, introducing Drink ready canned lattes And the revenue reached about $20 million, according to Forbes. The brand has recently grown even more significantly, Its first physical location is open Prior to January, it had only an online and retail presence at places like Target, Sprouts and Walmart.

Although Chamberlain Coffee faced some challenges last year due to supplier issues, it is expected to rebound, with revenue expected to increase by more than 50% by 2025, reaching more than $33 million. Business Insider. The brand aims to turn a profit by 2026.

Logan Paul

Logan Paul (23.6 million subscribers) is now known for his wrestling career but was previously known for numerous controversies such as an infamous 2017 video Alleged scam NFT schemeCryptoZoo.

He also gained attention with his energy drink brand Prime, which quickly gained viral success in 2022. Co-founded by YouTuber KSI, the brand has surpassed $1.2 billion in sales In 2023, views, ads and brand deals will be more than most content creators earn. However, it has since faced declining sales, regulatory scrutiny for its high caffeine content, and lawsuits from business partners. Sales have cooled particularly in the UK, where Revenues are down nearly 70% 2023 to 2024.

Another of his ventures, Maverick Apparel, built on this $30 million and $40 million In 2020.

His brother, Jake Paul, is involved in several ventures, including co-founding opposition funds, That said past investments in OpenAI, Anduril, Ramp and Cognition. Little Paul also owns a grooming line, called W, and a Mobile betting platform called Betr.

Ryan’s World

Ryan’s WorldHosted by 13-year-old Ryan Kazee, another prominent YouTuber with an incredible following. Ryan rose to fame with his toy review and unboxing videos, which have captivated nearly 40 million young viewers.

In addition to his YouTube success, Kazi has expanded his brand through toy and clothing lines that are sold in major retail chains and generated Over $250 million Revenue in 2020. Qazi and his family have diversified their ventures, including launching a TV show and an app that offers educational content made for children.

Rosanna Pancino

Rosanna Pancino A popular baker on YouTube known for her baking tutorials and themed dishes With 14.8 million subscribers, she is known for her recipes inspired by pop culture, gaming and movies.

Beyond YouTube, Pansino has expanded her Nerdy Nummies brand to publish several cookbooks that have been well received. She also sells baking equipment to several retailers such as Amazon.

Other YouTubers have ventured into cookware and food products as additional revenue streams Notable examples include chef and writer Andrew Rea, known by the pseudonym Babish, who launched his Babish Cookware Brand in 2021, as well as comedy duo Rhett & Link, who sell Mishmash serial.

Michelle Phan

Michelle Phan rose to fame in 2007 with her makeup tutorials, becoming one of the first beauty influencers to effectively monetize her content. In addition to her successful YouTube career, she co-founded the beauty subscription service epswhich has become very popular. Fun also has her own makeup line, EM Cosmetics.

Huda Kattan

Huda Kattan founded the globally recognized beauty brand Huda Beauty in 2013. He sold a minority stake to private equity firm TSG Consumer Partners in 2017 but reportedly bought it back in June after investor pressure to bring in senior leadership clashed with his vision for the fast-moving brand. Hundreds of millions of dollars in sales every year.

Many influencers have created their own makeup brands. Other well-known makeup brands launched by YouTube influencers include Jeffree Star Cosmetics and Tati Beauty.