How Logan Paul could be making $20 million a year
YouTuber Logan Paul is as popular as he is divisive, but his successful career, first on Vine, then YouTube, has made him one of the richest internet entrepreneurs ever. According to one in-depth estimate, Paul could be pushing the $20 million a year mark.
Some of this revenue is through the ads on his videos, but what has set Logan apart from countless other big-name YouTubers is his diverse revenue streams.
As explained in a video from Paddy Galloway, a channel focused on the business side of YouTube, Logan Paul’s strategies and methods for becoming a multi-millionaire from the platform are somewhat unique.
Logan Paul’s ‘Superfans’
In one interview, Paul claimed to have made $3 million in a matter of three days, thanks to sales of his Maverick merchandise.
Galloway explains that this is achieved largely through the creation of ‘superfans’. These are supporters who are more than just the casual viewer or even an avid fan. These are the fans for whom being a Logan Paul fan is part of their identity.
In one example, a Logan Paul merch ad features no mention of the clothing items at all, and rather focuses on the ‘movement’ or identity of his Maverick line.
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How much does Logan Paul make?
In total, Galloway estimates that Logan Paul is making around $20 million a year in revenue, not accounting for any costs or debts incurred in running his businesses. Estimates on his net worth fall just below this figure, at $19 million. It should be noted that Logan himself has disputed this figure, claiming it is an overestimation.
Logan’s revenue streams go beyond just YouTube and merch. He also runs a popular podcast, which will in turn generate streaming revenue on platforms like iTunes and Spotify.
Additionally, featuring sponsors in videos directly can earn a YouTuber with his following tens of thousands every video.
The Maverick Club
One of the key points in Galloway’s video though, focuses on Logan’s ‘Maverick Club.’ This is seemingly the perfect way to monetize these so-called superfans, by providing a paid-for subscription service, which grants access to exclusive vlogs, merch, giveaways and discounts.
Crucially, as a totally digital product, regardless of how many people sign up, the costs remain the same. “It doesn’t require any additional work for every additional customer,” Galloway explains. Compared to regular merchandising, which has intrinsic costs involved in production, shipping, and stock, these digital products don’t suffer from such drawbacks.
Galloway predicts that the Maverick Club could make Logan one of, if not the richest YouTuber ever, as he is working out how to better monetize his dedicated audience.