Instagram originally started as a photo-sharing app that gradually turned into a content creator platform. The rise of influencers and the influx of users and businesses led to the release of a number of in-app features and other solutions to assist creators of many sizes with content creation and allow brands to expand their marketing opportunities. Yes, you read it right. You don't need to have millions of followers to make money on Instagram. Nano- and micro-influencers start out small and use Instagram as a secondary revenue stream, but some even succeed at making it their sole income source. But let's not jump ahead too quickly!
Is Instagram a regular part of your life or is there something unique that you'd like to share with the world? Would you rather make money from your sponsored post on Instagram than scroll through other people's? Then this article is for you.
How Many Instagram Followers Do You Need to Get Paid?
The more the merrier, you and many others say. Well, let me counter your claim! Nano-influencers, the smallest creator type in terms of follower count, typically have 1,000 to 10,000 followers. Though influencers can be divided into several categories based on their following, technically, it isn’t solely the numbers that define someone as an influencer. It is equally - if not more - crucial that you establish a close, genuine relationship with your target audience. Why? Thanks to an emerging group of young users who prefer recommendations from credible sources and because not only big companies but also small businesses incorporate influencer collaborations into their digital marketing efforts.
There are still a lot of brands that can’t afford to hire mega-influencers. Furthermore, giant businesses seek out smaller creators because they can reach a more focused audience while maximizing ROI. Another benefit of low-tier influencers is that they have the highest engagement rate on TikTok and Instagram. Therefore, it is not merely how many followers you need to make money on Instagram, but rather...
What do you have to do to become an Instagram influencer and monetize?
As a first step, you should switch to a Creator Account if you haven’t done it already. A Creator Account offers many advantages over a Personal Account, such as insights and analytics about your performance, access to Creator Studio on your desktop, and allows you to monetize on Instagram.
Create a professional profile, including a bang-up bio, and a good-quality profile photo. Changing to a Creator Account will also allow you to display your creator category and contact details.
Decide on a niche and stick to it! Businesses prefer to work with people with extensive knowledge about a particular topic, which helps build their credibility.
Skilled and natural storytellers attract people and can engage their target audiences. More importantly, they can seamlessly blend brands and their products into their content.
Publish consistently and don’t be afraid to post diverse content types, like Instagram Reels, Stories, Carousels, etc.
There are heaps of free Instagram tools to help you with photo and video editing, scheduling, hashtag and caption generation, and graphic design.
Avoid mass following and don’t try to grow your audience by purchasing accounts. Instagram’s algorithms don’t tolerate such fraudulent activities and you risk your credibility.
Immerse yourself in a topic and share your knowledge instead of striving to be an influencer at all costs. Instagram influencers aren't made overnight but if you are dedicated and work hard, you can grow your following and engagement over time.
Create a media kit that includes your bio, contact details, screenshots of your audience’s demographics, and performance analytics and rates. With HypeAuditor’s toolkit for influencers, you can organize your best-performing posts and key metrics, such as the number of comments and likes, engagement rate, and the number of views for Instagram Reels, in a neat portfolio, track your content, and keep an eye on other influencers in your niche.
Find brands on influencer marketing platforms or influencer marketplaces whose values you can identify with.
Once you start hashing out the details of the partnership, negotiate a fair price, discuss content usage rights, and follow FTC guidelines.
How to Make Money on Instagram?
As of 2023, Instagram is expected to generate $39.7 billion in annual ad revenue and its monthly active users will reach 1.35 billion worldwide. In spite of a saturated market, 79% of marketers use Instagram in their marketing strategies, making it the most popular social media platform of all. Creators of all types can earn money on Instagram by collaborating with businesses or selling their own services. Further, Instagram has created tools and programs to help influencers earn income regularly. From all this, it is clear that Instagram is committed to remaining the world's leading content creation platform. Now let's look at the several money-making opportunities on Instagram.
1. Collaborate with brands
First, let's get to the heart of brand-influencer collaborations. Influencers who endorse a brand for only money risk losing their reliability and their followers' trust. That's why, it's crucial that you enter into campaigns that don't compromise your credibility. As a side note, this should be the top priority of both parties - the creator and the company. Having cleared that up, let's discuss several ways you can earn money on Instagram by partnering with businesses.
Paid posts: You can monetize your Instagram account by teaming up with brands and promoting their products to your followers. Whether through Carousels, Instagram Reels, Stories, or photo posts; your agreement will determine the promotion type. Since this cooperation is short-term, brands typically pay a flat fee for each piece of sponsored content. Considering factors such as audience size, reach, the number of views, engagement rate, and content type, the amount can vary but agree on one that benefits both of you.
Affiliate programs: In these collabs, you promote a brand's products or services on Instagram by using affiliate links and get a percentage of every purchase that can be attributed to you. The campaign's rates and length are laid out in your contract. Businesses usually provide creators with unique links through which they can direct their followers to the brand’s product page or website.
Sponsored giveaways: Giving away free products or other value to social media users is a way for businesses to increase their brand awareness or reach. While they can do this on their social media accounts, they have a much better chance if they collaborate with individuals with an established following. The creator can create an Instagram giveaway in exchange for a fixed fee, and the brand can expect more engagement and reach. Both parties can grow their audiences through giveaways, however, clear entry rules are needed.
Brand ambassadors: In contrast to sponsored partnerships, brand ambassador programs usually last several months or even a year and involve a deeper commitment from the creator. Ambassadors are influential people who are enthusiastic about a brand or already use their products. Due to its nature and length, brand ambassadorships can offer a combination of monetary and non-monetary compensations, like flat fees, free products, and discounts.
Instagram Creator Marketplace: You can secure your brand partnership through Instagram’s new solution, the Creator Marketplace. Create a list of favored brands you are interested in working with, and build a professional profile and portfolio to help brands get to know you and discover your collaboration interests.
Side note: To inform users that your content contains an ad, paid or sponsored posts must be labeled as "Sponsored", “Promoted” or "Paid partnership”.
2. Selling your products and services on Instagram
People with established authority in other channels, such as bloggers, YouTubers, and podcasters, or single-person businesses, such as photographers, bakers, etc., can use Instagram to extend their reach and advertise their services.
Digital products: Digital downloads, such as photos, digital arts, ebooks, video, and music files are products that are sent to customers via email or can be downloaded from a website. Experts can make a difference by creating e-goods utilizing the growing popularity of downloadable materials.
Online courses and coaching: Video content creators often share free short videos to pique users' interest, and then direct them to an advanced course or masterclass if they are willing to pay. And what content can you provide through paid video? Financial, and investment tips, fitness workouts, art and language classes or you may offer valuable tips about how to become an influencer and monetize on Instagram. ;-)
Instagram Shopping: A set of features that enables creators to promote their goods through Stories and posts and ad campaigns on Instagram. Your content can include product information, prices, and shipping terms. Added bonus: users can purchase your featured items immediately after discovering them, without leaving the app.
3. Monetize with Instagram’s new tools
Instagram itself has introduced a few tools through which you can earn extra money online.
Badges: You can set up Live with Badges and earn up to $250 minus taxes per live video. Upon going live on Instagram, users can buy badges and support you. All influencers in the US who are over 18 and have over 10,000 followers can use the tool. For eligible creators in the UK, France, Spain, Italy, Germany, Japan, Australia, Turkey, Brazil, and Mexico, invitation-only access is available.
Subscriptions: With Subscriptions, you can create a kinship with your most loyal followers and provide them with exclusive content. If a user pays a monthly fee, they will receive the subscriber badge next to their name, making them more visible in the comments.
Before you start your monetizing venture on Instagram, you must set up an Instagram Payout account and also check whether you are eligible to use any of Instagram’s tools and features.
Final Thoughts
Social media channels try to attract creators and keep users on platforms in varied ways. Despite fierce competition, Instagram holds on. The platform is currently testing additional tools and functions to provide a steady income to the creative community.
As you can see, there are plenty of ways to make money on Instagram even with a few thousand followers. The key is to gain an engaged, authentic audience, stick to your niche, and polish your content. Start small and gradually build your brand. You can earn money from Instagram as a second source of income, but with patience and determination, you can make it your main source of income as well.
