In this article, I will teach you how to make money streaming on twitch.
It doesn’t matter whether you want to make it a fulltime income source or a side hustle, this guide will reveal everything you need to know to start making money doing what you love.
To make the entire process simpler, I will break down the entire post into smaller points of discussion. Including: –
- What is twitch?
- Examples of top earners (streamers) on twitch.
- Types of users on twitch.
- Breakdown of how each individual makes money on twitch.
- How to build an audience on Twitch.
Let’s get started, shall we?
What is twitch?
Twitch is the world’s leading live streaming platform for gamers and all the other things we love.
You can watch whatever video you want on the platform as you chat with millions of other fans from around the world.
Unlike these other social media platforms that require you to log in to participate or at least take a peek inside, twitch approaches social media differently.
You don’t need an account to watch live streams on twitch.
However, there are a few restrictions for those using the platform without an account.
Say, if you want to engage with your favorite gamer, you will need to sign up to get that privilege and that’s just it. Nothing complicated you can’t do, or is it?
How big is twitch?
Well, at least 4.5 million gamers stream every month on the site.
Compared to previous data, it’s no surprise that the platform has been averaging 60 percent growth for the past two years. And there is no sign it is stopping soon, which is a good thing considering; a good user base translates to quick money to entrepreneurial users.
Proof that making money on twitch is real and possible
According to my research, there are a ton of real average people raking a ton of money streaming on twitch. As such, if I was to compile the list, it would take me several months.
But only two captured my eye, and I’d love to introduce you to them.
The top earner gamer on twitch goes by the name Ninja. This guy bags over $5.5 million annually streaming games on Twitch. Here is a breakdown of his revenue sources, bear in mind these are just estimates.
- Ad revenue – at least 500K
- Bit donations – at least $300K
- Subscriptions – approximately $3 million
- Sponsorships – upwards of $600K
- YouTube compensation – at least $36K
Don’t worry about the terms, we will discuss them in a second.
The second top earner on twitch is Shroud, bringing in at least $3.3 million per year.
Here is what the breakdown looks like:
- Ad revenue – $182K
- Bit donations – $57K
- Subscriptions – $2 million
- Sponsorships – $600K
- YouTube Compensation – $36K
Now, from the two examples, you can clearly see that the top income generator on twitch in sponsorships and subscriptions.
It is earning these guys millions of dollars.
To understand how this works, we first need to understand the types of users on twitch.
Because it determines the income sources available for users, consequently determining how much you can earn streaming on twitch.
Types of users on twitch and what it means when it comes to making money
There are three types of users on twitch:
- Average users (login every day)
- Twitch affiliates
- Twitch partners
Why the types?
Well, it turns out, each of these categories has access to unique income sources. This is to say, your ability to make money streaming on twitch depends on the category you fall into.
And that is what we are going to see next, starting with average twitch users.
Income sources for average twitch users
This includes everybody on twitch, whether you are streaming, or just in there to watch your favorite gamer do his thing.
If you think about it, an everyday user on twitch isn’t looking to make money. Most of them are there to have fun and watch how others play games.
But if you really want to make money on twitch, then you need to work on your skills to meet the minimum requirements to become a twitch affiliate.
And if you are serious and want to see this through, then the best option is to work towards becoming a twitch partner.
To have the best shot of generating income streaming on this platform, you need to hone your streaming skills.
At the same time, you need a sizable following,
If you ask me I’d say, get a following before you start thinking about ways to make money online.
How to make money streaming on Twitch.
Sharing affiliate links
Affiliate marketing is the #1 go-to way of making money online.
Most people prefer it because it is easier to get started, and the upside is unlimited.
You shouldn’t confuse this with the twitch affiliate program, they are two different things.
Ideally, affiliate marketing is the process of making money (commission) by promoting someone else’s products or services. Here, you are given a personalized link that you can share with your followers, and whenever someone clicks and buy, you get a cut (usually a percentage or a flat rate fee).
How does this work on twitch?
You see, twitch is a platform that attracts mostly gamers. As such, if you want to make money as an affiliate on twitch, you have to promote products and services that would interest a gamer.
All you have to do is:
- Identify affiliate programs that deal with gaming products
- Sign up to get your affiliate link
- Put the link on your twitch page
- Direct your viewers to this link and whenever someone buys through it, you make a commission
You can sign up for Amazon Associates Program. It is a very popular affiliate program online. Besides, Amazon owns Twitch, and have made it so easy to promote products on the platform.
Now, once you have signed up, look for gaming products, like headphones, keyboards, chairs, etc. And promote them on your twitch channel.
Seeing how easy that is, some gamers get greedy and start misbehaving on twitch. They promote a ton of affiliate products or competing products.
If you do this so much, you will start losing gamers’ trust.
To avoid this, promote only products you trust and use. Also, limit the number of offers.
Here is another easy way to make money on Twitch.
Again, this is not related to twitch in any way. That explains why anyone can sell merchandise on the platform.
To make money selling customized merchandise on twitch, you need a sizable following. Without this one thing, it will be really hard to make money through this method.
Because not everyone will be willing to spend money on a mug or t-shirt featuring your face, especially if they don’t know you.
To work around this, set to make a name for yourself on twitch. And without knowing it, people will be spending money on your stuff.
Once you have the audience, you need a way to make the process easier. The best one is to create an online store and put a link leading to your online store on your twitch page.
If this sounds far-fetched, then the next method is for you.
Make Money Through Donations
There are two ways to ask for donations on twitch:
- Asking your followers for donations through Bits (twitch virtual currency). Unfortunately, you have to be either a Twitch affiliate or partner to have access to this feature
- Take donations through PayPal, Stripe, or any other payment method.
That last one is what you should focus on, for now.
Take your PayPal link and add it to your page. While streaming, encourage your viewers to use the details to donate as a show of support to your work.
Also Read: – HOW TO MAKE MONEY SELLING PHOTOS OF YOURSELF
The best strategy to use is to show your donations goals.
Then while playing, show the progress. This acts as an incentive for your followers to help you.
Alternatively, there are third-party tools you can use to help with the donation collection. One of such sites is Patreon, you have to sign up. Once done, link to Patreon from your twitch channel and on any other social media accounts.
While this may be the best way to make money streaming on twitch, there are loopholes.
Scammers have identified this and are taking advantage of milk streamers dry. They make fake donations. Then later on request a charge-back and that is how you end up losing money.
Though such incidents are rare, you should be careful. Make sure you double-check all the money coming in before you do the happy dance.
As we have already mentioned, twitch is the top go-to site for gaming fanatics. They login daily and tend to stay on-site for a longer time as compared to other social media platforms like Facebook.
Additionally, these gamers tend to follow certain streamers with keen interest.
All these put together make twitch the perfect place to partner with brands who’d like to target a segment of gammers.
If such brands think that the audience of a certain streamer fits their buyer persona, it makes sense for them to sponsor the streamer to reach the audience (influencer marketing 101).
On that note, it doesn’t matter whether you are a twitch affiliate, partner, or everyday user, you can enter into a partnership with brands.
That said, companies tend to prefer streamers with a huge following and can sway their decision making. As such, you need to concentrate first on building a loyal following before considering this option and as a way of making money streaming on twitch.
This is another ideal way of how to make money streaming on twitch. You can join contests either by yourself or as a team.
But in reality, it’d be hard for an average gamer to beat a pro team. As such, some tournaments are restricted to professional gamers only.
All is not lost though for the average gamer. Consider joining tournaments like GameBattles by MLG or ESL.
You can earn some money this way. Also, make sure you stream your battles to your twitch fans.
Let’s look at what being a twitch affiliate means for you
Income channels accessible to twitch affiliates and partners only
To join the twitch affiliate program, you need to satisfy the following conditions:
- Stream for at least 7 consecutive days within the last 30 days
- At least 50 followers
- At least 3 viewers per stream
- Stream for at least 8 hours within the last 30 days
Once you meet the above criteria, twitch automatically invites you to join their affiliate program.
As an affiliate, additional ways of making money are unlocked. And should you jump to twitch partner, you still have access to these sources.
These are min-donations from viewers.
Think of Bits as virtual currency on twitch that viewers ‘spend’ on their preferred streaming sites
And for every one Bit you get, twitch pays you $0.01.
This is the best way to generate recurring income on twitch. All you have to do is encourage your followers to subscribe to your channel by picking one of the three plans, $4.99, $9.99, or $24.99 billed monthly.
You split the subscription fee 50/50 with twitch. But as your channel and influence grow, you can have 100 percent of the revenue.
Income channels available only to twitch
Twitch partner program is targeted to only the best of the best streamers within the platform. These are genuine influencers on the site, such as the two guys we mentioned earlier on.
This program, unlike the others, is exclusively invite-only.
And as a partner, besides making money through other ways we’ve already covered, the following sources are unlocked:
- Selling games, in-app purchases, and tee-shirts- you get to keep 5 percent of the total game sales
- Ads revenue – comes in form of video ads. Here, partners can use decide to monetize their channel using these ads and get paid between $1 to $2 per 1000 views
Twitch partnership program is the holy grail of how to make money streaming videos
As you have seen, learned in this post there is more than one way of making money here.
You don’t have to command an army to bring in a decent income. With just an average audience, you are good to go.
How to build a loyal audience on twitch and make money
- Stand out from the crowd. Make sure there is something unique about you, and that is how you earn a following. For example, either be the best gamer or the funniest gamer.
- Cross-promote your content across other platforms. Get a website, YouTube channel, and Facebook page
- Partner with other channels to grow your own channel
- Have a consistent publishing schedule
Follow these strategies and you will be on your way to having a raving fan base on twitch.[amp-ratings]