Performance-based payouts: A simpler, more rewarding way to earn from your content

As you may have heard, Facebook is evolving our payout model to better reward creators for making quality content. This means that we are transitioning away from a rev-share payout model which paid based on the performance of ads placed in content to a performance-based payout model which rewards creators for the performance of their content.

What are the benefits of the performance-based payout model?

We think creators will find that this new payout model is a simpler and less restrictive way to earn. With the rev-share payout model, creators were paid based on the performance of the ads placed within their content, which depended on many factors outside of their control, such as how many ads the viewer had already seen, ad load, and CPM. The rev-share model also limited our ability to pay more to creators making quality content - the only way to pay creators more was to place more ads within their content, which degraded the viewing experience for that creator’s audience. Creators were also optimizing the length of their content to obtain ad insertion points. The performance based payout model frees creators from these constraints: it allows creators to make money regardless of whether an ad was shown on their content, as it focuses on the amount of views and engagement the content drives. This means creators no longer need to focus on optimizing for specific video lengths and can spend their time making content their audience loves.

We’ve already transitioned our Ads on Reels program to this new payout model and are in the process of transitioning the Instream ads program. As this model continues to roll out to more partners, we want to share more details on this program.

How does the performance-based payout model work?

The performance-based payout model brings together the best of a traditional revenue share and a bonus program - it’s funded more sustainably because it's tied to ads but paid out based on the content’s performance like a bonus.

We’ve heard from creators that they loved the simplicity of how the Reels Play bonus paid out, but also prefer how the Ads on Facebook Reels and Instream ad programs do not require renewals or have caps on earnings. This inspired us to bring together the best of both programs in what we're now calling the performance-based payout model. This model allows creators to focus on creating the best content without having to worry about how the ads perform on the content. So while ads may run on a creator’s video, they are not dependent on an ad actually running on their content to get paid. This means that the more engaging the content is, the more creators can earn.

How do creators earn with performance-based payouts?

Once a content creator transitions to the new performance-based payout model, they can earn based on the performance of their public Reels or on-demand videos.

In order to participate in the new payout model, you must meet the eligibility requirements for each program (Ads on Reels and Instream ads), and each public reel or on-demand video must meet the existing monetization eligibility standards to be eligible for payout. Views and plays on unqualified content will not earn payouts. Requirements for Ads on Facebook Reels are available here, and requirements of Instream ads are available here. Currently, Ads on Facebook Reels payouts are based on the number of monetizable plays. a reel receives. Instream ads payouts are based on the number of qualified views a video receives. For both programs, the exact rate paid per play/view varies, based on factors like region and content quality, and over time we plan to incorporate other signals.