Many new influencers and start up brands wonder what an Instagram post is worth? This guide will show you what you should be getting paid for an Instagram sponsored post.
Before we dive straight into what Instagram post worth let’s have a look at how you can earn money from your Instagram account!
There are three main ways to make money on Instagram.
Sponsored content is a flat fee that you have negotiated with a brand. Sponsorships are generally the most popular strategy. Especially since there are so many influencer agencies out there now that marry brands with influencers. Unfortunately the ballpark price range for a post is between $200-$400 a post. Nothing to write home about.
If the brand approaches you asking you to create content, and post the content they are saving on: An art director, photographer, model make up artist and the cost media distribution. That ads up to a lot more that a mere $200! They need to put there money where their mouth is.
If you are the one chasing the brand for a sponsored post then the tables are turned. The have the upper hand and you may need to be a little more moderate in your pricing strategy.
What is Affiliate marketing? Affiliate marketing is where you earn commissions from selling other brands products.
For this strategy you would want to have an active engaged audience and an Instagram account with good reach.
Your fans need to be willing to buy otherwise you may just be spending time trying to sell products without any reward. This can also look spammy and turn users away from your account.
A good way to incorporate affiliate marketing is through looking for affiliate sources products and services that you currently use. Then the process is organic and you are not loosing out.
A good example is my personal Instagram page @jadore.vanessa. It is all about aerial arts, yoga and flexibility. I love posting about new tricks that I achieve. It is very easy for me to post links to what I am wearing. Especially with amazon affiliates as they have so many dance brands that I love! While Amazon commissions are not huge it’s money for jam. It’s pretty easy just to pop in a link of something that you are wearing and get a bonus if someone buys!
A more serious approach to this strategy is the highly coveted program called reward style. This is used by fashionistas all over Instagram. This program pays high commissions and has products that vary from yoga gear to high fashion couture. Some of my favourite LiketoKnowIt girls (the app used with reward style) are:
Olivia Rink and Champagne and Chanel.
LiketoKnowIt, is a tool that allows consumers to shop an influencer’s post just by “liking” it. When the post is liked it triggers an email with direct links to all the products featured in that post. Sound too good to be true right? Well this automation does not run off Instagram. One can only dream right? You do need to be in the Like to know it app in order for this link trigger to happen. Alternative methods of sale include:
- Linking the products to your blog.
- Having a link in the bio of your Instagram and referring to it in your Instagram caption.
RewardStyle is a members-only affiliate network . That means that influencers have to apply to join. Reward Style does not accept everyone. The current acceptance rate is around 10 percent, according to co-founder Amber Venz Box. “There are millions of influencers looking to professionalize their content, and we only accept ones that we can help monetize and grow in a significant way.”
RewardStyle was born out of Venz Box’s own financial frustrations with her fashion blog, VenzEdits, which she created it in 2010 to promote her Dallas-based personal shopping service. Her website became more popular than she anticipated, but as readers poured in, her clients stopped calling. Why would they pay for her good taste when they could just look at her blog for free? “I would get texts from people saying, ‘Hey, I bought that PS1 bag you posted about. I love it.’ Or, ‘You’re right, those skinny jeans were the best,’” Benz Box recalls. “And I was like, ‘Well, that would have been a hundred-dollar commission.’ It started to add up, and it sucked.” Thinking about it if you have several people buy those jeans that Instagram post was worth a few hundred dollars.
To get started with Reward Style you do need to be invited by a current influencer. Fortunately I am one of them. If you are interested in getting an invitation then simply place your details below:
The last approach is to use Instagram to market your own products for sale. You could start a merchandise store, drop shipping store, sell services the possibilities are endless.
So with all of that being said, we can see that you can now monatize your Instagram account various ways. So if an advertiser wants to use your platform lets look at a few ways that you can start setting your pricing strategy.
What is my Instagram traffic worth?
The CPM method.
Cost per mille (CPM), also called cost per thousand (CPT) is a commonly used measurement in advertising. It is the cost an advertiser pays for one thousand views or clicks of an advertisement. Let put together a simple example of how to put this into practice. If you have 10,000 followers on Instagram you divide your followers by 1,000 and multiply that number by the industry CPM to get your rate.
- $7.02 Average = $70.20
- $5.40 Consumer Packaged Goods = $5.40
- $6.27 E-Commerce = $62.70
- $3.09 Gaming = $30.90
- $6.33 Retail = $63.30
- $7.94 Travel = $79.40
Not all Instagram accounts are equal
If you have a strong niche following or a high level of engagement you can catch a higher price. Leanne Barlow is a fashion designer and curates to die for couture dresses every month. While her account is a fashion account you can see that she is moving towards a niche market of high fashion and couture. Meaning her followers are interested in this niche. By being highly targeted her audience will have a greater response rate to evening dresses or couture sales compared to Champagne and Chanel mentioned above who is on a broader daily fashion market.
According to DigiDay.com on Instagram you should be looking at a rate of $1,000 per 100,000 followers. Chelsea Naftelberg, associate director of content and partnerships for social media agency Attention, estimates an Instagram influencer rate based on $1,000 per 100,000 followers.
Brands can start with $250 per Instagram post for social stars with less than 50,000 followers, then add roughly $1,000 per 100,000 followers per post.
What about fake followers?
As we all know, Instagram followers can be bought (and often are), so brands also consider your here., which is measured by the percentage of followers who “like,” comment, or save your photos and videos (in short, humans who are genuinely and actively interested in what you’re posting). Another down side to fake bought followers is that they are generally from Iran, Pakistan and predominantly male. Now don’t get me wrong if you are wanting to market products to this target market then it would look pretty good. But most agencies want to influence consumers in the UK, USA, Australia and Europe. Having stats from weirdly skewed countries that don’t meet your audience just screams that your followers are not genuine and they are not going to want to book you.
Instagram engagement matters
Brands usually want an engagement rate of at least 5 percent, but there’s no exact science to it. It all depends on what kind of audience the brand is going for; for instance, here. niche influencers with a higher engagement rate (say, 12 percent) over a megastar with a lower one (say, 3 percent). Why because their users are more engaged and are more likely to be influenced by their referral. Who would you trust more? Kim Kardashian saying she loves this new face cream or one of your friends? As soon as Kim posts something I know I would just be thinking she is trying to make a fast hard buck.
Another reason to cultivate a higher engagement rate is here., which is designed to keep influencers on the platform as much as possible by pushing certain content to the top of users’ feeds. “The more users engage with an influencer on Instagram, the more the algorithm favors the influencer’s content and shows that content to their own audience,” says Jessi Afshin, who runs the Austin-based style blog here. and here.. “You get out what you put in, but it’s never-ending.” Thank fully we have a handy guide on how to get you moving into the top posts of Instagram. You can read it here.
So now you can see there are so many ways to value an Instagram post worth!
- Your Direct Sales Value
- Affliate % Value
- CPM Value
- The Content Creation Value
Perhaps it’s time to start cashing in on your Instagram account?
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