Blog vs. vlog? Is it better to start a blog or YouTube Channel? Which is more profitable as a business and which one should you attempt as a dive into entrepreneurship? If these questions have been keeping you up at night, you’ve come to the right place.
This blog presents some hard facts on the YouTube and blogging market, gives insights on current trends and provides tips on how you can start a profitable business using either platform.
YouTube: The Ultimate Entertainment Network or Business Platform?
There’s no denying that YouTube has grown exponentially. What started as a medium to watch celebrity interviews and music videos has become a place to follow vloggers, watch viral videos and even search for information. Yup, our endless searches for "how-to" videos are part of the reason YouTube is the second largest search engine.
Let's delve deeper into some YouTube viewership and user stats.
The Truth About YouTube in 2022
Here are a few market trends to consider if you’re thinking about how to start YouTube as a business in 2022.
Personal, authentic videos targeting health and fitness, lifestyle or children, will always have a space on YouTube. People crave connections and a feeling of community, so if you start a channel that has that personal connection within the mentioned industries, you will likely see fruitful results and revenue.
Product review and videos continue to be in demand, so you could build a profitable venture by partnering with brands and providing reviews or unboxing videos.
Another growing YouTube business idea is live streaming. Consider a niche that offers multiple opportunities to conduct live streams, such as Q&As, talks, reviews or even "day-in-the-life" stories.
Is Blogging Profitable in 2022?
Blogging, like YouTube, has also evolved. What started as personal journals has transformed into revenue-generating side hustles and legitimate businesses. But, with the rise of video and podcasts, is blogging still profitable in 2022?
Here are some numbers.
77 percent of internet users read a blog.
Reading blogs is the top way for people to learn about something new.
According to Glassdoor, an average blogger earns $52,000 annually; more popular bloggers average around $8,000/monthly.
Should I Start a Blog?
Yes, blogging continues to remain a profitable business. Find a blogging niche that is centered around “teaching something new.” You can also consider a blog that discusses current trends or studies related to a product/service/technology.
Revenue-generating blogging topics include cooking, education, architecture/interior design, coupon codes and product reviews. You could build a profitable blog by partnering with affiliate programs or brands.
How to Start a YouTube Channel or Blog Business in 2022
Launching a blog or Youtube channel as a business needs some careful planning and thorough execution. The low entry costs mean that the competition is fierce. Here is our checklist of things to consider while starting your online business.
1. Identify a Niche and Build a Business Plan to Monetize
Find and research a niche for your YouTube channel or blog using Google Trends or Adwords Keyword Planner. Include your passion, skill set and area of expertise in the brainstorming process. You can also refer to the above-mentioned trends to see if something sparks your interest.
Coming up with the perfect name for your business can be a mammoth task. In addition to generating a name that is unique and distinctive, there are certain state rules and restrictions you have to abide by. Here are a few naming guides that can make this task easier:
If you start a YouTube channel or blog under a name other than your legal name, then file for a DBA (“Doing Business As”). A DBA ensures that no one in your county is using the name and helps to open a business banking account. However, keep in mind that a DBA is not a legal entity.
3. Select the Right Business Structure and File for Appropriate Licenses
As per U.S. law, you’re automatically considered a sole proprietorship the moment you launch your blog or YouTube channel. And, while a sole proprietorship might make sense initially, it doesn’t provide the level of legitimacy or protection of an LLC.
If you truly seek to make your YouTube or blogging business legit, we recommend incorporating as an LLC, S Corp or partnership. The advantages of registering as a legal entity include personal asset protection, increased credibility and tax benefits. Each entity comes with its list of pros and cons, so it’s best you speak to a lawyer or Certified Public Accountant (CPA) before selecting one.
Whether you run your blog or vlog as a sole proprietorship or legal entity, you’d still need the appropriate business licenses. Most states require you to have a general business license. Incfile’s Business Research Search Package can help you identify which licenses apply to your business.
4. Set Up Finance Process and Understand Tax Requirements
One of the best practices to adopt while starting a blog or vlog business is to get a separate business banking account. This simplifies bookkeeping and annual tax filing, builds credibility and shows the IRS that your business isn’t a hobby.
As a blogger or YouTuber, you’ll automatically be considered a sole proprietor for tax purposes and will have to pay self-employment taxes (combination of Social Security and Medicare taxes) to the IRS every quarter.
If you register as a legal entity, then it’ll impact the way you’re taxed. This might not make much of a difference initially, but once your blog or channel starts generating revenue via affiliate programs or ads, having a proper tax structure will help you qualify for write-offs.
The Verdict: Blog vs. Vlog? We Say Either
The thought of working as a Youtuber or blogger is definitely exciting, and statistics show that blogging and vlogging continue to be lucrative businesses to start in 2022. Both avenues are extremely popular, have established revenue paybacks, offer flexibility and can be started almost instantaneously. The decision to pick one over the other comes down to which medium speaks to you and your skill sets.
However, do remember that your online business’s success ultimately depends on how well planned you are, regardless of if you choose to blog or vlog. Incfile can help you successfully plan and launch a blog or YouTube as a profitable business. Start by downloading our Start a Business Checklist to ensure you don't miss a step.
Swara Ahluwalia is a freelance content writer with experience in the technical, B2B and SaaS domain. She also has curated content for various lifestyle brands. In her downtime, you will most likely find Swara training for her next marathon or spending time with her two daughters.