Is it worth streaming on twitch?
Yes, it is. The main ways users earn cash through Twitch is through sharing of ad revenue with the company, sponsorships, and donations from subscribers. The focus on Twitch is mainly video games streaming. The platform will feature particular games on the site and this brings in advertising dollars. Depending on your level of expertise you can make between $1,000 to $3,000 a month from a variety of sources. Streaming on Twitch is more lucrative than its close competitor YouTube due to its highgamer’s subscription rates.
Twitch boasts of 1.7 million active broadcasters. To put the payouts into perspective, each subscriber brings in $5 per month. Twitch takes half of that at $2.50 and gives the streamer $2.50. So, if you have thousands of subscribers then you simply multiply it by $2.50. 100% of donations go to the streamer.
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Sample of top Twitch broadcasters’ subscriber base
- Ninja – 90,234
- Shroud – 53,500
- Timthetatman – 47,826
- Geekandsundry – 32,197
- Drlupd – 25,860
Twitch income streams
Revenue Ad sharing program
Amazon currently owns twitch so you should expect a lot of gaming ads that link to an Amazon game purchase. Users first create accounts on the platform and then start streaming particular video games with a wide audience. During gameplay, the company will run ads from particular gaming sites. Based on views and clicks, the company will determine how much you get through their ad sharing programs. You can choose to adjust the number of ads that run on your stream on the broadcast dashboard. In case, visitors to your channel are using ad blockers then it makes harder for you to make money.
Twitch sponsorship programs
You can make more money from Twitch by attracting sponsorship offers from gaming sites that want to partner with your channel. For this to happen, you have to have made substantial followers and build a brand name for yourself. At times some of these offers can be so substantial that you may need to hire an agent to manage your brand. The brand deals can be for free games and equipment to them selling merchandise on your platform. Video game publishers may also partner with you to play and promote their games. But, as we said earlier you need a substantial following for this to work.
Twitch partner program
This allows you to earn revenue based on the number of subscribers on your channel. The revenue is shared between you and Twitch. The best part is you get to earn money whether your subscribers view ads or videos. When you become a partner you get a chance to engage in their merchandise campaign and even get more control over video quality
Donations from subscribers
You can make some money on the side from donations from subscribers and fans. Payment is often done through PayPal and you can enable the feature through your channel.
How Twitch compares to YouTube
Twitch main competitor is YouTube. The channel has gotten into game streaming though not as aggressively as Twitch. However, YouTube’s algorithm are working in favor for those planning on streaming on the platform. YouTube is less strict than Twitch when it comes to streaming and this has attracted more followers.
How Twitch and YouTube compare – revenue sources
Channel |
Twitch |
YouTube |
Subscribers |
The company takes 50% of the $5 subscriber fee. This gives streamer $2.50. The payout here is higher if you have a lot of subscribers |
The platform is free |
Donations |
100% of the donations go to the streamer. Donations range from $0 to $10. Popular streamer can make up to $1,000 per day |
They are called super-chat and YouTube takes 30%. However, the system is not well developed |
Bits |
This is Twitch in-built donation system where they get 29% of the donated amount. However, very few subscribers make donations here |
absent |
Ads |
Pay roughly $250 per 100 subscribers. Though very few video publishers do ads. Instead they prefer sponsorship |
Very few ads to support gaming channels, this makes it hard to monetize on the channel |
Revenue |
Pays way more than YouTube due to the gaming culture and the fact its more established. |
Low gaming subscriber base limits revenue |
How to succeed on Twitch
Consistency and personality
Consistency is the key to succeeding in live streaming. On Twitch you have on average 10-30 seconds to captivate your audience. This means you need a lively personality that draws your audience to the screen. While you do not need to be the funniest on Twitch, you have to engage with the audience.
To be consistent you need to have a schedule where your live streams appear. When your audience expects you to be on screen at a certain time, it creates a faithfulness. Understand that viewers are very fickle and will switch to another channel if they find nothing from you. At times, the key to make money on Twitch is just luck. You can start streaming then build up faithful followers, then another streamer who is looking to add their followers buys you out. This is often when one strikes it big. However, you can make up to $1,000 on the platform, it you consistent.
Game choice
Twitch is an excellent choice for gamers as they can watch what you play. This means you need to post games that you really enjoy. No one wants to watch a gaming live stream where you are getting yourself whooped. To do this effectively check out the top 15 to 25 games online then play these ones. Gamers also have genres of games that they prefer and you need to meet your audience demands.
Conclusion
Twitch has grown from being a small video streaming service to one of the most popular ones in the market. Setting up for twitch streaming is simple and does not require expensive gear to stream. You can start with basic software encoders and move up to more complicated hardware.
FAQ
Is Twitch streaming illegal?
The company is a legal entity and you need to agree to their terms and conditions before using them.
How much do streamers on Twitch make?
On average it is estimated you can make anywhere between $3,000 to $5,000 each month if you are consistent and have faithful followers.