YouTube Shorts is quickly becoming one of the fastest-growing traffic channels worldwide. Compared with traditional long-form videos, Shorts are more likely to go viral, and animated clips are especially popular. Traditionally, creating animation was considered a high-barrier task requiring a professional team. But today, anyone can use AI tools to create animated Shorts and earn revenue. In this guide, we’ll show you exactly how to produce AI-driven animated Shorts from scratch, create viral content, and monetise it.
The main reason this niche is profitable is simple: animations focused on children, humour, education, or pets naturally spread fast. Shorts’ “quick scroll” format perfectly suits these types of content, and demand remains strong.
Previously, creating animation required artists, voice actors, and a large team. Now, AI tools for image generation, animation, and voiceover allow a single person to complete the entire workflow. This dramatically lowers the entry barrier.
Monetisation is diverse: you can earn via YouTube Partner Programme ad revenue, brand sponsorships, affiliate promotions, memberships, donations, or merchandising. Posting the same content on TikTok and Instagram Reels can further expand your revenue streams.
Importantly, this space is not yet saturated. Unlike crowded influencer niches, AI-generated animated Shorts still offer a clear opportunity for growth.
Children’s Education & Stories
Short educational stories, nursery rhyme adaptations, or fun knowledge tidbits.
Humour & Memes
Quick comedic sketches or trending meme recreations.
Educational & Science Content
Using cartoon characters to explain history, technology, or social topics.
Micro Dramas & Conversations
AI-generated character dialogues simulating workplace or school scenarios.
Pet & Animal Comedy
AI can anthropomorphise cats, dogs, pandas, or parrots. Funny voiceovers and everyday scenarios make these highly clickable.
Set up your account for safe monetisation and usability. Choose a high CPM region such as the UK or US to maximise ad revenue. Your profile should clearly indicate your content style.
Use a tool like AdsPower to manage all overseas accounts securely. Each account should have a separate browser fingerprint and IP address. This protects your accounts from being linked and reduces the risk of bans, particularly if you plan to scale across multiple niches.
Tool setup:
Free: CapCut, iFlytek voiceover, YouTube Audio Library (covers 80% of basic needs).
Paid (essential only): MidJourney (character & scene creation), Runway (turn static images into animations).
For scaling later, AdsPower supports team collaboration, automation, and multi-account management.
Search keywords like “cat” on YouTube to see trending topics. Check Google Trends for your target region (UK) over the past 30 days. Avoid declining topics.
Choose series-friendly topics, e.g., “Cat Working Life,” with multiple scenarios from Monday to Friday, encouraging viewers to return daily. Avoid complex or sensitive topics.
Beginner-friendly AI tools like ChatGPT or Claude can generate scripts and storyboards. Use the structure: Hook → Core Content → Ending/Loop.
Example prompt for ChatGPT:
"Write a 15-second YouTube Shorts AI animation script: topic ‘Cat Goes to School’, 0–3 sec hook (visual impact + curiosity), 3–12 sec main content, 12–15 sec ending (subscribe CTA + loop). Include action, dialogue, and scene description, no technical jargon."
Music is critical for Shorts. You can generate original tracks with Suno AI, or use licensed music from Epidemic Sound or YouTube Audio Library. If the video contains lyrics, include them in the description to boost discoverability and immersion.
Use MidJourney or Leonardo AI to create keyframe images. Generate multiple versions for flexibility, ensuring a consistent style across the channel. Pre-plan main characters and settings to provide stable materials for animation.
Import static images into Runway and use Gen-2 Image to Video: set 10-second length, high smoothness, 1080p resolution. Add minor camera movements (e.g., slow zoom).
If the AI animation is choppy, adjust speed in CapCut. For dialogue, use MiniMax lip-sync to match mouth movements with voiceovers.
Choose a suitable AI voice (ElevenLabs, Descript) or record a human voice. Ensure voice volume is 30% louder than background music. Subtitles help silent viewers follow along.
Recommended tools: CapCut, Premiere, or DaVinci Resolve. Use large subtitles for silent viewers. Thumbnails must be eye-catching on mobile screens. Endings should loop visually for Shorts engagement.
Upload in YouTube Studio → select “Shorts” → mark AI-generated content (mandatory from 2025).
SEO Tips:
Title: Include keywords at the front, e.g., “Funny Cat Animation | AI Shorts.”
Description: Add lyrics, keywords, and links (shop, Patreon, membership).
Pinned comment: Include subscription prompts or shop links.
Track watch time, click-through rate, and subscription conversion. Retain successful templates, remove low-performing ones, and continuously improve topics, style, and pacing.
YouTube Shorts is still favouring animated content, and the AI animation niche has clear growth potential. Initial investment is low, so experimentation carries minimal risk. Once you establish a profitable account, scale with AdsPower by creating multiple accounts for a revenue matrix. Using AI + ChatGPT to create Shorts can become a reliable income stream.