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This Business is Secretly Making People RICH (and it's still EARLY)

by Jason Lee

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📚 Main Topics

  1. Top YouTube Channels

    • T-Series is the most viewed channel with 293 billion views, followed by Coco Melon, a kids' channel with 200 billion views.
    • Five of the top ten most viewed channels in 2025 are kids' channels.
  2. Revenue Generation

    • Coco Melon generates approximately $1.5 million in ad revenue monthly, but this is not their primary income source.
    • The channel's success is attributed to its evergreen content and the high repeat viewership from children.
  3. Coco Melon's Journey

    • Founded in 2006 by JJ Jon and his wife, initially as simple nursery rhyme videos.
    • Rebranded in 2017, leading to explosive growth and acquisition by Moonbug Entertainment for $13 million.
    • Moonbug's revenue skyrocketed from $20 million in 2019 to $230 million in 2021, culminating in a $3 billion sale to Blackstone.
  4. Market Opportunities

    • Despite saturation, there are still opportunities in the kids' content niche, particularly for educational content disguised as entertainment.
    • Parents are seeking content that teaches valuable lessons alongside entertainment.
  5. AI Video Creation

    • Introduction of Invido AI, a tool that allows users to create videos quickly and easily.
    • The process involves creating prompts that specify age group, style, educational elements, and characters.

✨ Key Takeaways

  • Kids' Content is LucrativeThe kids' content market is vast, with high revenue potential due to repeat viewership and evergreen themes.
  • Educational FocusThere is a gap in the market for educational content that is entertaining, which can attract parents looking for quality programming for their children.
  • AI ToolsAI tools like Invido can significantly reduce the time and cost of video production, making it accessible for new creators.

🧠 Lessons

  1. Understand Your AudienceSuccessful kids' channels focus on creating relatable and educational content that resonates with both children and parents.
  2. Character DevelopmentExpanding character diversity can enhance engagement and create merchandising opportunities.
  3. Story Over Animation QualityPrioritize storytelling and relatability over high-end animation; children connect more with characters and stories that reflect their everyday experiences.

This video emphasizes the potential for new creators in the kids' content space, especially with the aid of AI technology, while highlighting the importance of educational value in programming.

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