That's why you earn more on YouTube than on Twitch | Revenue Comparison

Compare digital revenue on YouTube and Twitch and calculate how much Creators actually receive after fees.

Understanding Net Revenue: YouTube vs. Twitch

When a viewer sends a donation or signs up for a subscription, it is easy to assume that the amount they pay is the amount the Creator receives. However, there is a significant difference between the gross payment made by a user and the net amount that actually hits a Creator’s bank account.

To understand why some platforms are more lucrative than others, we have to look at the “revenue waterfall”—the series of deductions that occur during a digital transaction. Before a Creator sees a single cent, several entities take their share: value-added tax (VAT), app store fees (such as those from Apple or Google), the platform’s own service cut, and finally, the Creator’s personal income tax.

How YouTube Handles Digital Transactions

On YouTube, digital revenue primarily flows through two channels: paid channel memberships and “super features,” which include Super Chat, Super Stickers, and Super Thanks. Both of these systems follow the same basic billing principle.

The efficiency of these payments depends heavily on the device the viewer uses to make the transaction. Because YouTube is part of the Google ecosystem, transactions made via desktop or Android devices are generally more efficient for the Creator. In these cases, there are no additional third-party app store fees.

However, the situation changes when a user pays via iOS. Apple charges a fee for in-app payments, which increases the cost for the user and reduces the final share that reaches the Creator. For those looking to maximize their earnings, YouTube’s ecosystem provides a distinct advantage for users staying within Google-supported platforms.

The Complexity of Twitch Monetization

Twitch operates differently, requiring a distinction between subscriptions and Bits. Each has its own set of rules regarding platform cuts and payouts.

Twitch Subscriptions

Subscriptions are more complex than YouTube memberships because the platform cut can vary depending on the subscription tier and the platform used for the purchase. Generally, desktop subscriptions result in a lower net share for the Creator compared to YouTube memberships.

The gap widens further with mobile subscriptions. Not only do additional app store fees apply—similar to the iOS issue on YouTube—but the price for the user can be higher, while the amount reaching the Creator remains unfavorable.

Twitch Bits

Bits operate on a different logic entirely. Instead of a percentage-based cut of a subscription fee, Creators receive a fixed amount per Bit. The variable here is not what the Creator receives, but what the viewer pays to acquire those Bits.

The purchase price for Bits varies based on the package size and the device used. For example, buying large packages of Bits on a desktop is typically more cost-effective for the user than buying small packages via a mobile app. Because the payout per Bit to the Creator is fixed, the net share can sometimes appear more competitive than mobile subscriptions, depending on how the viewer purchased their Bits.

Comparing the Two: Which Platform Wins?

When comparing the two platforms, the “winner” depends on the type of support you are seeking from your community.

For long-term, recurring support through memberships, YouTube is often the more financially attractive option for Creators due to its higher net efficiency and better integration with Android and desktop payments.

One-time payments are a closer contest. While Twitch Bits can be competitive depending on how the viewer purchases them, mobile transactions across both platforms significantly degrade the final payout. If a large portion of your community is “mobile-first,” you will inevitably see a larger share of your potential revenue absorbed by app store fees.

Strategic Takeaways for Creators

Understanding these mechanics allows you to make informed decisions about your monetization strategy. If you notice that a significant portion of your audience uses iOS devices, you are losing a percentage of your revenue to platform fees before the money even reaches the service provider.

To optimize your income, consider the following:

  • Analyze your community’s habits: Determine if your fans primarily interact via mobile or desktop.
  • Encourage efficient payment paths: While you cannot control user behavior, understanding that desktop and Android payments are more efficient can help you guide your community toward the best ways to support you.
  • Evaluate long-term vs. short-term goals: If your goal is to build a stable, recurring income stream through memberships, YouTube’s structure may offer a better financial return than Twitch.

Ultimately, the difference in earnings isn’t just about the platform’s base cut, but about the hidden fees embedded in the digital ecosystem of app stores and mobile payment processing.

Original transcript

Transcript

How much money actually reaches you as a Creator when a user makes a digital transaction? That’s exactly what this video is about. We compare YouTube and Twitch and look at how much remains after value-added tax (VAT), app store fees, platform cuts, and income tax.

On YouTube, there are essentially two types of digital transactions: super features like Super Chat, Super Stickers, and Super Thanks, as well as paid channel memberships. The billing follows the same principle in both cases, so we can consider them together.

On Twitch, we need to distinguish between subscriptions and Bits. Subscriptions have different platform cuts depending on the platform and subscription tier. Bits work differently: Creators receive a fixed amount per Bit, while the purchase price for users can vary depending on the package and device.

The method is always the same. First, the user pays a gross price. Then, VAT, possible device or app store fees, the platform cut, and taxes are deducted. In the end, the amount that actually reaches the Creator remains.

On YouTube, the share for Creators is particularly high when users pay via desktop or Android. Android belongs to the Google ecosystem, so there are no additional app store fees like on iOS. On iOS, it becomes more expensive because Apple takes a cut of in-app payments.

For Twitch subscriptions, it’s more complicated. Desktop subscriptions already bring a lower net share than YouTube memberships. Mobile subscriptions are even less favorable because additional app store fees apply and the price for users can be higher, while less reaches the Creator.

With Twitch Bits, the calculation is different. Creators receive a fixed amount per Bit, but users pay different amounts depending on the package and platform. Large Bit packages are more efficient than small ones, and desktop purchases are usually better than mobile purchases. This means that the net share for Bits can sometimes look better than for mobile subscriptions.

The most important difference is: For long-term memberships and regular support, YouTube is often more efficient for Creators. For one-time payments, Twitch Bits can be competitive depending on the purchase method, but mobile purchases significantly worsen the calculation.

For Creators, this means: Pay attention to where your community is active. A mobile-first community can be less efficient for digital transactions because app store fees take a large share. Desktop users are usually best for such payments, and on YouTube, Android is also relatively strong.

Conclusion: If you want to build long-term memberships, YouTube is often financially more attractive. When considering one-time payments, the comparison depends more on the product, platform, and device. Take a close look at the numbers before finalizing your monetization strategy.

Sources

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Martin Koytek

Written by

Martin Koytek

Managing Director

Producer of the kw.media YouTube tutorials and point of contact for YouTube consulting, courses and creator support.

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