Udemy is an online marketplace for students who wish to take personal or career development courses.
Students pay for access to the courses and can pick as many courses as possible. Courses are created by instructors who, for their efforts, make money from the students.
In other words, instructors create content that people pay for, thereby creating an excellent source of income. However, how much money is made in Udemy?
And, compared to other online learning platforms, is Udemy a superb place to work?
Before we go on, it is essential to state that how much money you make on Udemy, and on any other platform for that matter, depends on several factors, including the number of courses you produce and the number of students taking them.
For this reason, we know that how much you make on Udemy is more of a function of how much work you’re willing to put in and how consistent you are. Of course, the number of people that take your courses is the most critical factor.
That means there can be no fixed amount people make. Some make as much as $3,000,000 in lifetime earnings, while some may not even make up to $2,000. It’s not about the platform; it’s about the instructor.
However, we’ll look at the role Udemy plays in helping instructors make more money, how earnings are calculated on Udemy, and ask how much udemy instructors make on average.
Since money can be made on Udemy, we also ask if it can become a full-time job or just a part-time gig.
While we’ll discourage making just one e-Learning site the only target of your money-making adventure in course creation, we can say that it is a good platform for you to make money online.
We always believe you should have a website where you can publish your courses. However, that should only be a long-term goal. To start, you can use the opportunities provided by such large vehicles as Udemy to improve your profile.
Udemy, like other major online learning platforms, is very competitive. That’s not supposed to be a bad thing. But if you’re looking for a platform where you’ll make so much money in no time, then Udemy is not for you.
Udemy is an excellent place to work if you’re willing to work hard and build your brand patiently. Building such a money-making brand takes some time.
It also takes effort. Remember, you will also have to promote your courses actively and keep updating them to meet changing needs. Lots of work, right?
The good news is that you wouldn’t have to wait for too long to start earning, albeit little, initially, but earnings are sure if you put in the work.
It is a simple procedure. The more work you put in, the more money you stand to make. Does that make Udemy a good place to work? Yes, we believe.
Some people are only interested in the latest money-making trend and may not be committed as instructors and course creators. And by commit, we mean putting in the work for the long haul. If you’re committed, Udemy is a good place to work.
We will look at how instructors make money on the Udemy platform.
First, there is no fee required to create a course on Udemy. If you wish to promote your brand with free courses, you can make as many as possible.
When you create courses and sell them on Udemy, your earnings are calculated depending on certain variables. But overall, instructors’ earnings are directly proportional to the volume of engagement received by students.
The more students are engaged with a course and buy it, the more money the instructor stands to make.
Instructors can make money either by how much learners engage with the course or based on purchases. Instructors can earn money by drawing from an allocation that considers how long students interact with the course.
Udemy allocates 25% of all its monthly subscription revenue to its instructors every month. This is a pool from which instructors are paid based on the total minutes consumed by students on their courses.
If multiple instructors take a class, revenue generated by Udemy is shared between them.
You will receive 50% of the value of sales if you do not subscribe to any of Udemy’s marketing programs designed to drive traffic to your courses. You can also sell courses through the Udemy affiliates program, in which case you earn 25% of the fees paid.
Also, instructors are paid based broadly on their role in getting the students to purchase the course. If the instructor promotes the course and gets the student to purchase it, then an instructor is entitled to as much as 97% of the amount paid for that course.
The instructor may use a referral link or coupon to direct students to the Udemy platform for the course. When this happens, the instructor has promoted the course himself.
If, on the other hand, the sales do not involve any promotional effort by the instructor, and a student purchases a course material on Udemy, then only 37% of the revenue is due to the instructor.
Udemy advertises courses itself, and when students purchase content based on Udemy’s advertising, then the revenue is shared.
Please note that the revenue available for instructors is also affected by other factors, including a 30% fee sanctioned by Apple and Google for sales via their platforms.
Instructors can track sales they make on Udemy by checking their Revenue Report once a purchase has been made, and the report contains details of the purchase, including the student’s name, time of purchase, and amount paid.
How much do Udemy instructors make? Or, how much can they make? There’s no limit to how much an instructor can earn by teaching on Udemy. However, some factors determine these earnings. For example, Pricing is very critical.
When the price is not competitive, instructors may not make as much money as anticipated. Remember that you can’t be the only one taking that particular course online and even on Udemy.
Students will only settle for a course when they are convinced the price is worth it.
The online learning business thrives on promotion. If you’re not able to promote your courses, you may not get as many responses as needed. The internet thrives on promotion and advertising.
It may be the best option to allow Udemy to market your courses. Many instructors don’t like this because they earn less from sales. But it is a sensible option as you’ll get more sales from the promotional efforts.
However, if you can market the videos yourself and use such promotional tools as coupons, you may drive traffic further to your videos.
You should remember that the competition is fierce, so you need to invest in keyword research and use sellable keywords to drive traffic to your courses.
More importantly, your courses should be in demand. When more people are interested in your courses, you will naturally draw better traffic. No matter the level of promotion it gets, very few will ever consider paying to learn how to use a typewriter.
You need not be told that your courses should be of high quality and should have high ratings to draw more students.
Using available data on Udemy, 32% of courses on Udemy have less than 100 enrollees and earn less than $500. 28% of all courses enroll between 100 and 1000, with instructors making between $500 and $5,000.
A good number of courses (25%) have between 1,000 and 5,000 enrollees and earn between $5,000 and $25,000.
Only about 7% of the courses attract over 10,000 enrollees (about 0.8% have as high as 100,000 enrollees), with earnings in some cases crossing $500,000.
Earnings also depend on how attractive the course is. As a result, ensure you factor it into the production of your course.
Yes, you can make teaching on Udemy a full-time job, but we would instead advise that you have an alternative where your courses can be accessed, especially your personal website.
Although you can make it a full-time job later on after establishing yourself on the platform, you should begin by using promotional means to push your courses to students.
If you depend only on Udemy to make a living, it may not be easy to sustain yourself initially.
Teaching online is a means of making money. Udemy is one of the platforms that help instructors make money.
Although you may not make a tremendous amount of money initially, you can make a significant impact if you persist and put in more effort. The key is to offer content that is in demand and promote them.