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High CPM vs Low CPM Niches: What Really Pays

ShortsFireDecember 11, 20251 views
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High CPM vs Low CPM Niches: Where the Real Money Is

When creators talk about making money with Shorts, TikTok, and Reels, the same topic always comes up:

"What niche has the highest CPM?"

It's a fair question, but it's also the wrong starting point.

High CPM sounds attractive. Brands pay more per thousand views, so you should earn more, right? Not always.

If you're building on ShortsFire and trying to grow fast, you need to understand how CPM fits into a much bigger picture: views, audience intent, brand deals, and your own offers.

This post breaks down how high CPM vs low CPM niches really work and how to pick a lane that actually pays you long term.

CPM 101: What It Actually Means

CPM stands for "cost per mille" or cost per thousand impressions.

For platforms like YouTube:

  • Advertisers pay a CPM
  • You get a portion of that as RPM (revenue per thousand views)
  • Your earnings = Views x RPM

On Shorts, TikTok, and Reels:

  • Ad revenue sharing exists, but it's often much smaller than long-form
  • Most real money comes from:
    • Brand deals
    • Sponsorships
    • Affiliate offers
    • Your own products or services

So CPM is only one signal. It tells you how valuable advertisers think a certain audience is. It does not tell you how much you will earn overall.

Typical High CPM Niches (and Why Advertisers Love Them)

In general, advertisers pay more for audiences that are close to buying high-ticket products or services.

You often see higher CPMs in:

  • Finance & Money

    • Investing
    • Credit cards
    • Make money online
    • Crypto and trading
      Why: A single new customer can be worth hundreds or thousands.

  • Business & Marketing

    • B2B software
    • Online courses and coaching
    • Marketing tools
      Why: Companies spend big to acquire customers.

  • Tech & Software

    • SaaS tools
    • Productivity apps
    • AI and automation
      Why: Recurring subscriptions justify higher ad spend.

  • Education & Careers

    • Online degrees
    • Coding bootcamps
    • High paying career paths
      Why: Lifetime value of a student is high.

These niches often have:

  • Higher CPM
  • Higher brand deal rates
  • More affiliate opportunities

Sounds perfect. So why isn't every creator just doing finance and B2B SaaS content?

Because there's a tradeoff.

The Hidden Problem With High CPM Niches

High CPM niches are great on paper. In practice, they come with challenges:

1. More Competition

You are not the only person who wants high-paying brands.

In high CPM niches you compete with:

  • Established experts
  • Agencies producing content
  • Channels with teams doing deep research and editing

You need:

  • Strong credibility
  • Consistent quality
  • A clear angle that stands out

2. More Complexity

Talking about credit cards or online businesses without sounding scammy is hard.

You may need:

  • Real experience
  • Research to avoid bad advice
  • Careful wording for legal and trust reasons

This slows your content output, especially short-form where volume matters.

3. Lower Virality Potential

Finance, SaaS, and career tips can go viral, but:

  • They are less inherently entertaining than prank, meme, or lifestyle content
  • The audience is smaller and more specific
  • The content is heavier and less scroll-friendly

So while each monetized view can pay more, getting those views is harder.

Low CPM Niches: Not As “Low” As You Think

Low CPM niches usually cover broad, entertainment-driven topics:

  • Comedy and memes
  • Lifestyle and vlogs
  • Beauty and fashion
  • Fitness motivation
  • Gaming highlights
  • Relationships and dating
  • Pets and animals

Advertisers pay less here because:

  • Viewers are not in direct "buy" mode
  • Products are lower ticket or more general

So CPMs can be lower. But that does not mean you can't make serious money.

Low CPM niches can win on three big fronts:

1. Massive Volume

Entertainment-based content can rack up:

With enough volume:

  • Lower CPM x huge views can still beat higher CPM x small views

2. Strong Community

In broad niches, people connect with you:

  • Your personality
  • Your story
  • Your style

That gives you:

  • More power to sell your own products
  • Stronger support for memberships, courses, merch, or paid communities

3. Easier Consumption

Short, fun, emotional content:

  • Hooks faster
  • Gets shared more
  • Keeps people binge watching

The algorithm likes content that keeps users on the platform. That attention is your asset, even if ad CPM is low.

The Math That Matters: RPM x Views x Back-end

To understand where real money is, you need to think in terms of the whole funnel, not just CPM.

Here’s a simple way to compare two example creators.

Creator A - High CPM Finance Niche

  • Views per month: 1 million
  • RPM from platform: $5 per 1,000 views
  • Ad revenue: $5,000 / month
  • 1 brand deal per month: $3,000
  • Own product (course): $300 profit per sale, 10 sales per month = $3,000

Total: $11,000 / month

Creator B - Low CPM Lifestyle / Relationship Niche

  • Views per month: 8 million
  • RPM from platform: $1 per 1,000 views
  • Ad revenue: $8,000 / month
  • 2 brand deals per month: $2,000 each = $4,000
  • Own product (digital guide or membership): $40 profit per buyer, 300 buyers per month = $12,000

Total: $24,000 / month

Creator B is in a "low CPM" niche
Yet earns more than double per month.

The key is:

  • Volume of views
  • Offer that fits the audience
  • Strong relationship with followers

CPM alone completely misses this picture.

Choosing Your Niche: A Simple Framework

You don't need to chase the highest CPM. You need a niche where:

  1. You can produce a lot of content
  2. The audience has a clear problem or desire
  3. There's a natural way to monetize beyond platform ads

Use this 3-part filter.

1. Skill and Interest

Ask yourself:

  • Can I talk about this topic for years?
  • Do I enjoy learning more about it?
  • Could I bring a unique angle?

If you pick a high CPM niche you secretly hate, you will burn out before the income shows up.

2. Audience Buying Power and Intent

Some questions:

  • Do people in this niche already spend money?
  • What do they buy? Courses, tools, products, coaching, entertainment?
  • Can I see 2 to 3 possible offers that would fit naturally?

Example:

  • Fitness: workout plans, coaching, supplements, gear
  • Relationships: courses, coaching, communities
  • Productivity: templates, Notion setups, apps, courses

If you can't see any products that would make sense, think twice.

3. Content Format Fit

Ask:

  • Does this topic work well in short-form?
  • Can I break it into hooks, fast tips, or stories?
  • Can I post 1 to 3 Shorts every day in this niche?

Some topics are better for long-form deep dives. Others are perfect for 15 to 45 second hits.

ShortsFire shines when you can:

  • Test lots of angles fast
  • Refine what hooks best
  • Scale the ideas that work

So pick a niche you can create consistent short-form content for without draining yourself.

Monetization Paths For Both High And Low CPM Niches

Regardless of CPM, you should not rely only on ad revenue.

Here are proven paths for each type of niche.

If You’re In a High CPM Niche

Focus on:

  • High ticket offers
    Coaching, consulting, done for you services, premium courses
  • B2B brand deals
    Software tools, financial services, niche tech
  • Affiliate deals
    Tools and platforms with recurring commissions

Content ideas:

  • Case studies
  • Breakdown of tools
  • Mini tutorials that naturally lead to a tool or service

If You’re In a Low CPM Niche

Focus on:

  • Mass audience offers
    Low to mid price digital products, templates, guides
  • Memberships and communities
    Private group, monthly content, Q&A
  • Brand partnerships
    Consumer products, fashion, beauty, lifestyle brands

Content ideas:

  • Story based content that builds connection
  • Before and afters
  • “How I did X” or “What I’d do if I started over”

How ShortsFire Fits Into Your CPM Strategy

CPM is a numbers game. ShortsFire helps you play that game the smart way:

  • You can test different:

    • Hooks
    • Angles
    • Topics
    • Niches

  • You can quickly see:

    • What actually gets views
    • Which topics attract comments and saves
    • Which angles drive clicks to your offers or links

Use ShortsFire to:

  1. Try both higher and lower CPM style topics within your niche
  2. Track which themes bring not just views but engaged followers
  3. Double down on content that converts viewers into subscribers, email signups, or buyers

The winner is not the highest CPM niche. The winner is the system that turns short-form attention into long-term income.

Action Steps: What To Do This Week

To put this into practice, try this simple plan.

1. Define your niche lane

  • Write down 2 to 3 broad topics you can talk about for a year
  • For each, list:
    • Audience type
    • What they desperately want
    • 2 to 3 products or offers that would make sense

2. Test content in 1 to 2 lanes

  • Use ShortsFire to create 10 to 20 Shorts ideas for each lane
  • Publish at least 2 per day for the next 14 days
  • Track:
    • Views per video
    • Watch time
    • Follows per video
    • Clicks to your link in bio or profile

3. Decide your focus

  • After 2 to 4 weeks ask:
    • Which topic gets more consistent views?
    • Where do I see the clearest path to my own offers?
    • Which content feels easiest to create often?

Choose the lane that balances:

  • Reasonable earning potential
  • Strong audience response
  • Sustainable content creation

Then build from there.

High CPM vs low CPM is not a battle you win by picking a label.

You win by understanding how money actually flows:

  • From attention
  • To trust
  • To offers

If you design your Shorts strategy around that flow, CPM becomes a bonus, not a bottleneck.

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