Do you want to understand the Formula for Calculating Instagram Influencer Rates? For nearly all Instagram influencers, what we know as a sponsored post entails many more work compared to posting a message. Creating branded content involves time, labor, skills, and production costs. And these things are not paid with products and gifts, and paying the right price is worth it. But what is a good price?
Read on to find the best Formula for Calculating Instagram Influencer Rates, the benefits of different sponsorship plans, and other factors that may affect influencers’ prices
The Basic Formula For Calculating Equitable Instagram Influencer Rates
Many factors determine an influencer’s charge rate for his work. Most prices start with this basic formula and go up from there.
$ 100 x 10,000 followers + extras = total price
In general, influencers will have a press kit describing their rates and the types of partnerships available. Depending on the campaign, bundled content or special rates may also be developed to reduce labor and costs.
Which Type Of Influencer Is Best For Your Goals?
From personal finance to herbal influencers, there are micro, macro and powerful influencers in all categories. Depending on your Instagram marketing goals, some influencers may be a better match for your brand.
If Your Goal Is Brand Awareness
For brands looking to create a generalized buzz, macro-influencers with large subscriber accounts may be the best choice. Macro influencers usually have more than 200,000 subscribers, which allows them to reach a wider audience.
If Your Goal Is Conversion
The engagement rate of an influencer is one of the most reliable ways to predict conversions on Instagram.
Engagement rates can be calculated by summing all the commitments of a publication (likes, comments, clicks, and actions), dividing by the number of subscribers and multiplying by 100.
The average Instagram engagement rate is 2.1%.
If maybe your goal is indeed conversion, the engagement rate of an influencer may count more than the number of followers. This is where medium power influencers (25,000-200,000 followers) often come into play.
For example, a medium power influencer with 179,000 subscribers and a high engagement rate will likely be a better partner than a macroeconomic influencer with a lower engagement rate.
Some influencers may charge more than $ 100 per 10,000 subscribers if they have an above-average engagement rate.
If Your Goal Is To Reach A Niche Audience
Micro-influencers have 25,000 subscribers or less and are very often popular in geographic or subject-specific communities. They specialize in a variety of industries ranging from sports to games to travel and food.
The audience of niche influencers can go from micro to macro. For example, a certain beauty influencer has 33 million followers.
If your brand belongs to a niche category, it is useful to list the micro-influencers of the social community in your sector. A good fit of the brand is important for influencers and will allow a more authentic and successful campaign.
Niche influencers may charge more than the base rate for the expertise they bring to their specific audience.
Types Of Instagram Posts And Partnerships
There are many methods to work with Instagram influencers out there. Here we present the main elements and formats proposed by Instagram influencers. We also highlight each of their unique benefits.
A standard sponsored Instagram post usually includes a photo and a caption. In some cases, the product is presented in the image, in other cases, such as when promoting a service, the legend is more crucial.
Benefits of an Instagram photo:
• It is easy to predict and track subsequent performance.
• Partnership waivers can be added clearly.
• Product and brand labels can be added. Marking can also be reinforced in the legend.
• Very short links can be added to the legend.
• Allows authentic narration
• Can be further promoted in an Instagram story
The main difference between an Instagram post and a slide show is that a slide show allows an influencer to create more stories or to present the sponsorship in several ways. However, adding content will incur additional costs, especially if more than one shoot is needed.
Benefits of an Instagram slideshow:
• Offers many ways for an audience to engage with content
• Presents different products or use cases for your brand
• Leaves more influence to an influencer to add its authentic grip
• Allows a more complex or nuanced narration
The star of the video continues to climb on social networks, and Instagram is no different, stalking an 80 percent increase from one year to the next. Most content creators recognize that video involves higher production costs than a photo, but the extra investment can often result in more than just increased engagement.
Benefits of the Instagram video
• Give the influencer on Instagram a voice, literally. This repeatedly shows the audience of the influence of a new person he follows.
• Builds a potential of grouping, consider working on teasers, behind-the-scenes messages or Instagram stories in a video shoot!
Instagram Contest Or Contest
Instagram contests are a great way to increase followers and brand awareness. Normally, a contest entails asking someone to truly do something to win a prize, be it to tag a friend, to enjoy your account, or to share a message.
Benefits of an Instagram contest:
• Reaches a wider audience at a low cost per engagement
• Gain information about your audience, especially if your contest includes a prompt such as comment on the destination of your dreams and identify a friend.
• Put your product or service at the center of your concerns.
An Instagram story is a photo or video that disappears after 24 hours. Production quality can range from ready-to-use smartphone footage to downloaded polished content, and costs vary accordingly.
Benefits of an Instagram Story;
• Often seems more casual and authentic.
• Allows the influencer to add personality through GIFs, tags and sticks
• Visible marking can be added more easily. Influencers can be valuable about the aesthetics of their feed but tend to be more flexible with Story content.
The disadvantage of Instagram Stories is that it is harder to follow. The Instagram API offers a limited number of recoverable data. That and they disappear unless pointed out (You can pay extra so your content is included in the highlights of an influencer story).
Instagram Story with slide up
Instagram Story with poll
IGTV videos and they all have their benefits
Other Factors Influencing The Price Of Instagram Influencers
Brands looking for quality partnerships need to consider these costs when marketing with influencers.
Rights Of Use
If you want to keep ownership of content created with an influencer for use on other platforms or later, it will likely affect the influence rate.
Fresh From Production
Different production costs, such as the time needed to produce the content (work), accessories, clothing, hair and make-up, photography, editing, and travel, must be taken into account in the production rates.
Many influencers are represented by managers or agencies, these companies usually charge a handling fee.
Length Of The Campaign
The duration of the campaign will have a direct impact on influencers’ prices based on the labor, content and exclusivity requirements that are added.
Depending on the time the brand gives an influencer to create content, an emergency fee may apply.
Nearly all contracts consist of an exclusivity clause where the influencer agrees not to work with competitors for a specified period. To the extent that this could entail costs for influencers, especially with regard to contracts!
If an influencer believes that a company lacks affinity with their personal brand, they can ask for the price that the partnership can cost them credibility. And also if perhaps you understand the Formula for Calculating Instagram Influencer Rates, you can improve yourself and make sure to use these concepts in your favor to give brands a great awareness as possible.