A couple of years back, Microsoft partnered with National Geographic for a unique B2B influencer marketing, and the result was staggering. But, of course, they had to work with some famous adventure photographers.
Their objective was simple: to get young women to work in Science, Technology, Engineering, and Math (STEM) disciplines. They named it the “Make What’s Next” campaign and planned to launch it on the occasion of international women’s day 2017.
On the D day, they posted 30 photos on 5 of National Geographic’s Instagram handles, and each image featured the story of a woman adventurer or scientist. The results were astounding. The photos got over 3.5 million total likes and reached 91 million people by the end of the day.
They proved once again that influencer marketing is the holy grail. But how much do you need to wield this holy grail?
The fact is, rates can vary based on your business goals, industry, platform, the type of influencer, and even the post frequency.
Let’s delve deep into the rabbit hole!
Influencer pricing according to the type of influencer
There are about six types of influencers determined by the number of followers. According to AndrewMcCarty.com, the price of influencers vary according to their categories. For instance:
- Nano-influencers: $10 – $100 per post
- Micro-influencers: $100-$500 per post
- Mid-tier influencers: $500 – $5,000 per post
- Macro-influencers: $5,000 – $10,000
- Mega-influencers: $10,000+ per post
- Celebrities: Can charge as much as $1 million per post.
How much influencers charge based on platform and followers count
Several factors impact how much an influencer charges. It is rare to find an influencer who charges a flat rate, as they often set their rates based on what brands will pay. Some of the factors affecting charges could be:
- The influencer’s potential reach and engagement
- The platform they are using
- How much effort is required from the influencer
- Where the ad will be promoted
- Agency fees for influencers with an influencer marketing agency
Here’s how much influencers charge based on platform and followers count:
1. Instagram ($10/1000 followers)
Instagram is synonymous with influencers, with more than 1 billion users with 80% following businesses. It’s also a cost-effective channel, with an average price of $10 per post, per 1000 followers.
For a bit of perceptive, here are some of the rates of an influencer with more than 1000 followers:
- An influencer with 10,000 followers can charge $100 per post
- An influencer with more than 100,000 followers could charge $1000 per post
- While an influencer with 1 million followers could charge $10,000 per post
Keep in mind that this price point can differ. For instance, Cristiano Ronaldo charges over $1.6 million per Instagram post, while Dwayne ‘The Rock’ Johnson charges $1.5 million. The reason is glaring, as celebrities often increase their prices because of their reputation outside of Instagram.
Although celebrities would give you record-breaking exposure, it’s often best to partner with an influencer in a niche part of your market. Unlike celebrities, these influencers speak directly to your target market, and they stick to the $10/1000 followers price point.
2. Twitter ($2/1000 followers)
While Elon Musk is eyeing Twitter, companies keep using the platform to reach their target audience without paying a fortune. At $2 per post, per 1000 followers, Twitter proves to be the lowest influencer marketing cost.
Here’s a bit of perceptive:
- A Twitter influencer with 10,000 followers could charge $20 per post
- An influencer with 100,000 followers could charge $200 per post
- While an influencer with over 1 million followers could charge $2000 per post.
Although there’s an exception – Influencers with more than a million followers could decide not to use this price point. With such a massive following, they are almost on par with celebrities and are probably well known outside of social media.
But since their followers often have a wide range of interests, partnering with them wouldn’t deliver any long-term value compared to focusing on a segment of your audience that mid-tier influencers offer.
3. YouTube ($20/1000 subscribers)
Apart from Instagram, YouTube is another booming platform that offers businesses access to a whole new set of influencers. With more than 1 billion users, YouTube has become the go-to platform for companies looking for brand exposure and sales.
However, YouTubers with more than 1 million subscribers often break away from this price point. They prefer to negotiate a better deal with the brand, depending on the value they are bringing. Using the price points, here’s how much you’re expected to pay while working with YouTube influencers:
- A YouTuber with 10,000 subscribers could charge $200 per video
- A YouTuber with 100,000 subscribers could charge $2000 per video
- A YouTuber with 1 million subscribers could charge $20,000 per video
Please note that a YouTuber with more than a million subscribers has more freedom over their rates. They could even charge up to $50,000 per video, depending on the brand they are working with.
How much should you pay your influencers?
While there are ways to reduce influencer marketing costs, it is also vital you pay your influencers an amount on par with the value they are bringing. When you pay them for what they are worth, they’d be excited to work on future projects with you.
It doesn’t always have to be monetary, as there are other compensation models that you can leverage, such as an affiliate program where your influencers earn a commission for every conversion.
You might also agree on a One-off fee or perhaps performance-based pricing where you pay your influencer based on the value they delivered. In that case, if the influencer delivers beyond expectation, you will pay more.
Working with influencers is a fun experience, especially mid-tier influencers in a niche part of your market. That way, you get immense value without having to spend a fortune. Although there’s no one-fit-size-all for influencer rates, so you should negotiate and draft a fair contract.