Unlike other publishing and live streaming sites, the audience on Twitch is primed for paying for content.
For one thing, Amazon Prime members can subscribe to Twitch Prime for free. Twitch Prime enables users to subscribe to one broadcaster for free. Broadcasters don’t have to make the extra effort to get users to enter the credit card information and set up the logistics for the same. You just need to go live and reach your viewership goals.
Below I cover a number of revenue diversification tools that Twitch has opened up for its broadcasters.
Subscriptions on Twitch work exactly how the membership model works for newsrooms. Subscriber sreceive certain benefits and perks of being a subscriber. The transaction is monthly and consists of three-tiers (as seen below). Every broadcaster has the liberty to decide what benefits their subscribers will receive.
Generally, here are some common perks that are given to subscribers:
Exclusive Content/Access: Through Discord channels and other group-based communication channels, broadcasters enable their subscribers to have a private conversation with and among themselves. On this channel, the broadcaster often takes suggestions, hosts Q&As, etc.
Custom Emotes: Emotes are animated emojis exclusive to Twitch that can be used in the Chat section. Subscribers of certain channels get access to emotes that regular viewers cannot use.
Ad-free Viewing: Subscribers don’t see ads.
Our frenemy, Advertising, is a standard revenue source on Twitch. However, as a broadcaster, the only way to get a share of the revenue generated through advertising, is by being reaching “Affliate” or “Partner” status on the platform. Advertising on Twitch is different from other platforms because the chat remains active during ads (as seen below) and viewers can comment on the ad-content they’re viewing.
This way, whether the ad was good or not, the brand is getting engagement and everyone wins (kind of).
These can be best understood as animated “cheers” that users can use in chat. Users can pay regular currency to buy BITS which they can then use during a stream they’re watching. Read more about BITS.
This is the only source of revenue where the broadcaster receives 100% of the revenue. Broadcasters ask for donations through PayPal accounts and/or Patreon accounts. Donations are given to broadcasters without any benefits. On the platforms, Donations are exchanged purely because the user really wants to support the broadcaster. An example of a donation plea looks like on Twitch.
Sponsorships, Merch and more
There are a hole host of other revenue sources that are open to broadcasters. They are very influencer-esque and as a publication, you’re best advised staying away from these. The most popular ones include:
Product Sponsorship: these are basic tie-ups with brands with product placement, etc.
Merchandising: Broadcasters can create merchandise and sell it with a link under their channel.