How does CPM work in YouTube monetization?

Another crucial factor to consider is ads being blocked by viewers. Many people use ad blockers, which means they won't see ads on your video, leading to fewer ad impressions and, consequently, lower earnings. This can affect your overall revenue significantly, especially if your audience is large and tech-savvy.

In addition to YouTube's cut, there's also RPM, or Revenue Per Mille, which reflects what you actually earn after all deductions. RPM is often significantly lower than CPM because it factors in not just YouTube's share, but also things like viewer engagement and whether ads were actually shown to viewers.

CPM, or Cost Per Mille, is essentially the amount advertisers are willing to pay YouTube for every 1,000 ad impressions on your video. It's important to note that this is the gross amount before any deductions. YouTube takes a cut from this, which can be substantial, often leaving creators with less than half of the CPM amount.

The type of ads being displayed also plays a role in CPM. Different types of ads have varying rates. For example, video ads often pay more than display ads. If your video is not generating the type of ads that have higher CPMs, that could explain why you're seeing a lower payout.