How to Start a YouTube Automation Business: Step-by-Step Guide for Setting Up a Cash Cow Channel in 2024

March 18, 2024

To start a YouTube automation business, you must: 

  1. Select a YouTube niche
  2. Create a branded YouTube account
  3. Build a high-quality automation team
  4. Use tools to automate processes
  5. Monetize your channel

Starting a YouTube automation business requires understanding the basics of YouTube guidelines, channel analytics, SEO, and niche selection. YouTube automation channels have been gaining traction for a few years as a legitimate way to make money online and it’s no surprise why. Global Media Insight says there are currently 113.9 million YouTube channels. 

A YouTube channel can earn $18 to $1,000 weekly, depending on your ads and views. Successful YouTube automation experts like Noah Morris can earn $30,000 or more monthly. That’s some serious cash flow for not having to show your face or even be involved much at all in the operations of the business. The 20-year-old Noah is based in Dubai and he runs 20 faceless YouTube channels with 2.5 million subscribers. With the right strategies for community building, better viewer retention, and branding, you can earn money from YouTube automation 

In this article, we look at the YouTube automation business model, what it is and the 5 steps to set up a cash cow YouTube automation channel. We also covered the major pros and cons, and YouTube automation FAQs.

What Is YouTube Automation?

YouTube automation is an online business model that employs outsourcing and automation tools to create a YouTube channel that operates and generates money independently (mostly) of the channel owner. As the YouTube channel owner, you build a team to handle the entire content development process, from research to content creation and video publishing. A successful YouTube automation channel pays for itself through the revenues it produces and leaves the owner with a solid profit after all expenses.

YouTube automation channels do not incorporate a YouTube influencer in the content like the videos by many other successful channels, such as Mr. Beast videos. Instead, these are faceless YouTube channels that rely heavily on stock footage or animations with voiceovers.

5 Steps to Set Up a Cash Cow YouTube Automation Channel

1. Select the Best YouTube Automation Niche

The first step is selecting from one of the best YouTube automation niches to generate long-term profits. A good starting point for finding a viable niche is to consider your own strengths and areas of expertise. For instance, if you have a career as a software engineer, a great passive income idea would be to use your knowledge in software development or mobile app creation to create a channel that teaches people how to develop their own programs.

Keep in mind that not all niches are equal. Some niches are substantially more competitive than others, and those are usually the niches with the highest RPM payouts as well. High value niches like “personal finance” or “how to make money online” are one's advertisers will pay a lot to run YouTube ads in, so channel owners benefit from larger paychecks if monetizing through the YouTube Partner Program. 

However, that doesn’t mean you can’t succeed in those niches, it just means it will be harder. You can certainly find a micro niche or a unique angle for your content that sticks to establish your space within the niche. 

2. Create a Branded YouTube Account

With just a personal Google account, you’re able to like videos and subscribe to channels on YouTube. However, if you want to create your own channel and publish content for the public, you need to create a YouTube channel. You have the option of creating a personal YouTube account, or a branded account for a business. For a YouTube automation channel, you’ll want to set up a branded YouTube account because it allows multiple users to access and manage the account. Also, a branded YouTube channel keeps your personal information private. Here’s how to create a branded YouTube account.

  1. Go to YouTube.
  2. Click “Sign in” in the upper right corner if you aren’t already logged into a Google account. If you’re already signed into a Google account, click on the account icon and choose “Switch account”, then “Add account”.
  3. Select “Create account” and choose for “My work or business”. Then, complete the basic info for your new automation channel to set up your branded YouTube account. 
  4. After setting up the channel, you can add other channel managers if you wish. 

Also, you'll need to add channel art like a branded logo and banner to show your audience that your channel is legit. You can create these yourself with free tools like Canva, or outsource it to a professional like you'll do with most of your channel tasks. 

3. Build a High-Quality Automation Team

You may have to do much of the work yourself in the beginning if you’re trying to start a faceless YouTube channel on a small budget. However, if your goal is a YouTube automation channel, you’ll eventually need to put together a team to create your videos and manage the channel. Fortunately, there are many available freelancer websites you can use to hire high-quality and affordable remote workers for your business. Some of the best freelancer websites to hire talent for your YouTube automation business include Upwork, Fiverr, Guru, and Freelancer.

4. Use Tools to Automate Processes

You must put the structure and processes in place for your team to work together efficiently. In 2024, modern teams can leverage various workflow management tools, like Asana, Trello, or Clockify. These tools enable your YouTube automation channel to assign work, track project hours and progress, and organize a content schedule.

Beyond workflow management tools, use at least one YouTube automation tool to improve your business operations. The two best YouTube automation tools are Tube Buddy and VIDIQ, both of which offer a variety of free and paid tools to help grow your YouTube channel by automating data analysis, research, video editing, and video optimization.

5. Monetize Your Channel

Once your YouTube automation channel attracts a decent amount of YouTube views and subscribers, it’s time to monetize your YouTube business. The standard method for YouTube automation channels to monetize is by letting YouTube ads run on your content through the YouTube Partner Program. Note that Google's information page explains that the amount you'll earn or whether you'll be paid under the YouTube partner agreement is not guaranteed. It would depend on the number of viewers watching your video.

Requirements for a channel to be eligible for the YouTube Partner Program include:

  • Over 4,000 watch hours in the last 12 months
  • At least 1,000 subscribers
  • Lives in a country where the Youtube Partner Program is available
  • Has a linked AdSense account
  • Adheres to all YouTube monetization policies
  • Free of active community guideline strikes

However, the YouTube Partner program isn’t the only way you can monetize your YouTube Automation channel. 

Ways to Make Money With YouTube Automation: 8 Alternative Ways

Ways to make money with YouTube automation beyond YouTube ad revenue include: 

  • Super chats - For channels that live stream their videos, a super chat is when a viewer pays to have their live chat message pinned. Super chat amounts range from $1 up to $500.
  • Print on demand - With a print on demand service like Printful or Printify, you can create branded merchandise with your channel logo and custom designs to sell to your audience. 
  • Brand deals/sponsorships - Brand deals and sponsorships can be an extremely lucrative aspect of a YouTube monetization strategy. According to Thought Leaders, YouTube sponsors pay between $0.01 and $0.10 per video view. 
  • Affiliate marketing - Many successful YouTube creators incorporate affiliate marketing into their YouTube monetization strategy. YouTube automation affiliate marketing is referencing the brand's products in your content to get your audience to use your custom affiliate link to interact with or buy from the brand. Authority Hacker says 36.9% of affiliate marketers maximize YouTube as a platform to promote affiliate links. 
  • CPA marketing - CPA marketing and affiliate marketing are very similar. With CPA marketing, you get paid for a broader range of actions that your channel drives for the brands you work with.
  • Exclusive channel memberships - Offer exclusive content or benefits to viewers who subscribe to your channel through paid memberships. In a blog article, Muli Salem, YouTube Channel Membership Product Manager (now Group Product Manager), said YouTube creators like Rachana Ranade, Prince Ohakam, and Anna Yakimenko “earned over 4x as much revenue from channel memberships compared to 2019.”
  • Selling digital products - Digital products like eBooks and online courses can be very profitable with minimal hassle. You can sell unlimited copies because there are no physical limits and you don't have to deal with packaging and shipping.
  • Offering services - You can use your automation channel to promote the consulting or coaching services of your business.

Should You Start a YouTube Automation Channel? The Pros and Cons

Is a YouTube automation channel right for you? Here are some of the main pros and cons of YouTube automation to help you decide.

YouTube Automation Channel Pros

Passive Income Potential

Passive income is the ability to make money without having to be actively involved in the operations that generate the cash. You outsource all aspects of your YouTube automation channel to your team, so the money you make is passive income. Most business models, like a social media marketing agency, do not generate passive income. Passive income is a major advantage of a YouTube automation business, as it allows you to engage in the things you enjoy instead of working. 

Not Constrained by Channel Creator

Unlike traditional YouTube influencer channels that rely on the availability of a single person, the content output of a YouTube automation channel is unconstrained. For example, Mr. Beast needs to be involved and available for every video his channel produces, resulting in around just two videos per month to be published, while a YouTube automation channel can publish content at a much faster rate because it's not dependent on the creator.

Multiple Income Streams

With a YouTube automation channel, you aren’t limited to just a single source of income for your channel, like ad revenue. There are many ways you could potentially monetize a YouTube automation channel, which we’ll discuss in more depth later in the article.

YouTube Automation Channel Cons

Establishing a Successful Channel Takes Time

According to HubSpot, it takes an average of 22 months for a YouTube channel to reach just 1,000 subscribers. Well, if you want to make a decent income with your YouTube channel, you’ll need closer to 100,000 subscribers at least! Although YouTube automation channel growth rates vary dramatically, expect to spend around two years publishing consistent, high-quality content before the channel performs well.

Requires Capital to Invest

Although you can start a YouTube channel for free by making your own content, your channel won’t be “automated” until you can hire out a team to handle the work for you. According to YouTube automation expert Joey Gaule, you can get simple videos made for around $30 to $50 if it's just stock footage and voice overs. However, if you want to develop high-quality videos that incorporate animation, you’ll be looking at closer to $100+ for each video. Instead of spending this much on your videos, you can try making them yourself first. 

YouTube is Extremely Competitive

There is a ridiculous amount of content already on YouTube. In fact, according to Zippia, approximately 500 hours of new videos are uploaded to YouTube every minute! No matter which niche you choose, there’s no avoiding at least some competition. 

4 Key Metrics to Know for a YouTube Automation Channel

  • RPM. RPM or revenue-per-mille is a metric that tells you how much you’ve earned on average per 1,000 video views. 
  • CPM. CPM, or cost-per-mille, is a metric that shows how much advertisers have spent on average to show ads on 1,000 of your videos.
  • Watch Time. Watch time measures audience retention on videos, or the total time viewers spend watching your videos.
  • CTR. CTR, or click-through-rate, is a measure of how many people click on the YouTube video if they’ve seen the thumbnail.

What Aspects of a YouTube Automation Channel Do You Need to Outsource?

Research and Optimization

If you want your faceless YouTube channel to be a highly successful money making machine, you’ll need someone to do the necessary research to find faceless YouTube channel ideas and optimize the title and description of the video for YouTubes algorithm. A YouTube SEO expert will use the right keywords so that the most people possible can find your video content through YouTube search.

Script Writing

A good script writer may be the most important hire for your automation channel. The script writer finds interesting points to keep the audience engaged throughout the video and really sets the tone of your videos. A professional script writer knows how best to present information to the audience to make sure they keep watching the video as long as possible. The writer plays a major role in your channel's watch time. Plus, if you hire a voice actor, you need to tell them exactly what to say in the video.

Voice Over

Ever notice how some voices can demand your attention more than others? That’s the power a good voice over actor can have on your YouTube content. For channels that don’t use YouTube influencers in the video content, a high-quality voice over actor is an essential component to creating content that maintains attention.

Video Editing

If you want to make videos but automate your role as a YouTube creator, you’ll need someone with access to top-notch software and editing skills to handle your video editing. A good video editor finds the right clips and puts them together meaningfully to provide proper visual context. 

Thumbnail

You won’t grow your channel unless you get YouTube viewers to choose your videos over the millions of other options available. That’s why having someone on your team who understands YouTube marketing trends with the skills to create captivating thumbnails is crucial to the success of your channel. The thumbnail is the first visual information people see before deciding whether to watch your video, so it needs to grab their attention and coerce them into clicking it.

Channel Management

Aside from automating the content creation aspect of your YouTube channel, you can also outsource the actual management of the channel if you want to make it completely autonomous. A YouTube channel manager manages your channel from within the YouTube studio, scheduling videos and keeping track of the YouTube analytics to suggest content adjustments to the team when applicable.

What Are Ways You Can Use AI To Start a YouTube Automation Channel? 

  • Video generation and production
  • Niche/content research
  • Text transcription and subtitle creation

What Are Some Good YouTube Automation Channel Ideas? 

  • Storytelling
  • Motivation
  • Sports fact
  • Travel guides
  • Software tutorials

Is YouTube Automation Legit or a Scam? 

YouTube automation is legit. As with most any business model, it is possible to automate a YouTube channel by outsourcing tasks to freelancers and software tools. However, completely outsourcing YouTube channel management to earn passive income isn't likely to workout well. 

An employee of a YouTube automation company in Australia on Reddit notes that while you can outsource tasks like video editing and scriptwriting, high-level tasks like topic creation and niche selection should be performed by the business owner to ensure it's done right. 

youtube automation advice reddit

Is YouTube Automation Legal? 

Yes, YouTube automation is legal. It is legal to create and publish content on YouTube that comes from freelancers and tools you employ for your content creation business. However, YouTube automation businesses are susceptible to copyright laws, so it's essential to verify you have the legal right to use information and video content in your YouTube channel content. 

Is YouTube Automation Saturated? 

No, YouTube automation is not saturated. Although there is a substantial amount of content on YouTube, with around 500 hours of new video content getting uploaded every minute, according to data Statista, the platform isn't necessarily saturated. While it is certainly competitive, YouTube automation channels that consistently publish high-quality videos that target new or underserved niches shouldn't have an issue with visibility on the YouTube platform. 

Can You Make Money From YouTube Automation?

Yes, you can make money from YouTube automation. Noah Morris claims that in November 2022, he did around $200,000 in YouTube AdSense revenue and made $500,000 in 90 days with automated content.

What Is the Average YouTube Automation Salary? 

The average YouTube automation salary is between $1,000 to $10,000 per month after establishing channels and publishing content for a few years. 

What Are YouTube Automation Mistakes to Avoid?

Reuploading 

Some people mistakenly believe that YouTube automation is just re-uploading published content on your channel with no actual work. Unfortunately, re-uploading another creator’s content may work on other social media platforms like TikTok, but you’re likely to receive a copyright strike on YouTube.

Using Copyrighted Music

If you use copyrighted music in your YouTube automation videos, YouTube will flag your video and you won't be able to monetize it. You cannot earn from the YouTube Partner Program when using copyrighted music in your video. Fortunately, there are tons of royalty free music available on the internet that you can use in your videos, but it just won’t be any mainstream music.

What Are the Best YouTube Automation Courses To Learn How To Start YouTube Automation? 

  • YouTube Pilots
  • Automate Channels
  • Automation Systems
  • Grow Channels
  • AI Auto Tube
  • Bye 9 to 5

YouTube Pilots: Learn the secret for getting 1 million views

YouTube Pilots is a YouTube automation course by Samuel Snell and Jacob Challinor. The course claims that students can earn 5-6 figures a month from YouTube automation and teaches a hack for getting your first 1,000,000 views. 

Automate Channels: 78 lessons and mentorship 

Automate Channels by Caleb Boxx aims to teach students how to make at least $5K/month within a year of starting YouTube automation. The program includes a 78 lesson course and mentorship aspect. 

Automate Systems: Get a done-for-you monetized channel

Automate Systems is a YouTube automation course by popular YouTuber Dave Nick that provides YouTube automation course content and a done-for-you monetized channel upsell. 

Grow Channels: Step-by-step instructions for creating faceless YouTube channels

Grow Channels by Razvan Paraschiv is a high ticket YouTube automation program. The program provides step-by-step instructions for making money with faceless YouTube channels. 

AI Auto Tube: Use ChatGPT to operate faceless YouTube channels

AI Auto Tube is a YouTube automation course by Tristan Bull that teaches students how to create, manage, and monetize faceless YouTube channels with ChatGPT. 

Bye 9 to 5: Automate YouTube channels without paying for software

Bye 9 to 5 is a YouTube automation course by Jordan Mackey that teaches students how to create YouTube automation channels without paying for any softwares. 

Can You Start YouTube Automation Without Making Videos Yourself?

Yes, you can start YouTube automation without making videos yourself by simply buying a YouTube channel that someone else has already taken the time to automate. 

Is a YouTube Automation Business Worth It in 2024?

YouTube automation is worth it in 2024 for those willing to invest time, resources, and effort into creating engaging and valuable content. The number of YouTube users is growing. Per Oberlo's data, there would be 2.9 billion YouTube users by 2025, providing content creators with a solid market. However, to succeed in the YouTube automation business, you must adhere to ethical standards and adapt to algorithm changes. Carefully weigh the pros and cons, and consider alternative business models with potentially lower risk and faster returns.

Conclusion: Local Lead Generation Is Easier to Start Than YouTube Automation Business

Local lead generation is easier to start than YouTube automation business because of its lower cost of capital. Starting a local lead generation business only costs between $500 to $1,000 on average. Meanwhile, you need at least $3,000 to start YouTube automation because you need to pay your content production team. That will help you automate the process of content creation.

Starting a YouTube automation business is an exciting opportunity because of the extensive freedom passive income allows your life. However, before there's any chance of passive income, you'll need to choose a winning channel idea in the right niche, have money you can consistently invest into the business to create each video, and have patience for a few years while the channel builds momentum on YouTubes algorithm. It's a long time to wait and there are many things that could go wrong within that timeframe, like a trend change that makes your niche idea obsolete.

I prefer local lead generation for passive income generation. Besides its low capital requirement, the local lead generation is less saturated because of its natural barriers to entry, like geographical location. This factor narrows down your competition. The skill set required in local lead generation also limits the number of players in the market. If you like to start a more affordable but scalable source of passive income, learn about the local lead gen biz through our program.

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  1. The guide on how to start a YouTube automation business is a goldmine of information for aspiring entrepreneurs in 2024. It provides a step-by-step roadmap, complete with actionable tips and strategies, for setting up a successful cash cow channel on YouTube. The thoroughness and practicality of the guide make it an invaluable resource for anyone looking to monetize their content and build a sustainable online business. Kudos to the author for sharing such comprehensive insights and empowering others to succeed in the digital landscape!

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