By Chandra Shekher Iyer
Word-of-Mouth recommendations are trending in 2021 when we talk about Influencers.
Firstly, what the hell Word-of-Mouth is: Word-of-Mouth basically is when a person likes something (tangible or intangible) he recommends that to his circle appreciatively.
Influencer marketing with its growth has given rise to another phenomenon called influencer marketing pricing. The world of social media is reaching new horizons every day with all trending platforms like Instagram, Youtube, TikTok, Snapchat, etc for the promotion of their products and it is getting hard for the brands to maintain relationships with Influencers but Hobo as a marketplace is giving you the solution for this and if you register as an Influencer or as a brand or as a reseller then you do not need to worry about anything.
Today, we are going to tell you about influencer’s pricing in 2021 from nano Influencers to celebrities.
Influencer marketing has taken center stage and more as brands try to venture into this field. There is still a bleeding question on the cost to be invested in an influencer for a campaign. With Influencer marketing pricing varying from as basic as 1K(INR) per post to even 1Cr(INR) per post.
Monetary incentive drives influencers to make more engaging and refined content. However, there are some reasons which are looked at before finalizing monetary deals.
6 Reasons that affect Influencer marketing pricing
The platform being used by the Influencer:
Firstly the brand will be looking for a social media platform to reach the audience. Based upon the product and the content they can choose a specific platform. The most popular social media platforms are Instagram, Facebook, and YouTube. According to stats revealed by Bigcommerce Instagram is the most used influencer marketing platform.
As influencer marketing and Instagram’s popularity grew side by side. It’s not a surprise that Instagram comes out on top. Although there might be cost differences based on the platform you choose. For instance, an Instagram post will consist of a post, a story or IGTV, or the new trend of reels while YouTube is more of a video-based platform where the video will be main content along with newly launched Shorts feature from the platform where Youtube had a mother moment where it said: “We have a short video feature at home”.
2. The number of followers an influencer has:
This point is the second thing that the brand eyes when looking for an influencer.
It’s also for a fact that if an influencer has more followers the cost of hiring his/her services will go up. For instance, a celebrity influencer like Cristiano Ronaldo has more than 300 million followers on his Instagram. According to sources, the Juventus superstar charges 750,000$ per post. However, the cost can go up depending on the brand with which he is collaborating.
Based upon the number of followers an influencer can be ranked into these categories:-
- Mega influencer: Person with more than a million followers.
- Macro-influencer: Person having followers between 500K to a million.
- Mid-tier influencer: Person having 50,000 to 500K followers
- Micro-influencers: 10,000 to 50,000 followers
- Nano influencer: 1,000 to 10,000 followers
Furthermore, if a brand is new and wants to collaborate with a mega influencer then it will have to look beyond the cost.
As a cost-saving hack, most brands collaborate with the latter 3 influencers as the rate of engagement is more and the cost is relatively less.
3. Type of content created by the influencer:
Pay of an influencer depends on the type of content created by the influencer as the cost varies from posting a story, post, or a video or reel. Even if the costs might be different, that does not mean that it might affect the promotion of the brand. Different types of content created by an influencer can be broken down into the following:-
- Post: A photo upload on Instagram with a caption about the product brand. This is the most common example of influencer marketing.
- Video: A 3 to 4-minute video where the influencer explains or creates a script and promotes the product.
- Story: A feature that was started by Snapchat but later incorporated by all social media platforms. A story is a photo that stays on the profile of a person for 24 hours.
- Reels, shorts: Now the short video trend was actually started by TikTok where an influencer creates a short video using music and transitions. This type of content is in rage with Gen Z and Gen Y.
In fact, studies show, a sponsored Instagram post still gets the most recognition.
4. Influencer’s niche:
When a brand launches a brand they have a certain message attached to it. Now, this makes a brand streamline search to a specific influencer with a specific audience.
It makes more sense as the brand is budgeting finance and they would want the product in the hand of the right influencer. As the world today is about aesthetics, the right chords must be struck between Influencer and brand.
5. Effort being put by Influencer:
Influencer marketing pricing may go up if the influencer has to put more time and effort into creating the content for the brand. As the famous saying goes, ‘Time is Money’ seems justified here.
To sum up, an Influencer has to create a video for the brand as it better suits the product so the cost is likely to go up because the time and effort in making a video will be relatively more.
6. The charging model of an Influencer:
With a variety of influencers on the market, the influencer marketing pricing may differ based on the cost model used by an influencer.
The following are the cost models used by influencers:-
- Pay-per-post: In simple words, the term is pretty self-explanatory. For instance, the influencer charges for uploading a photo/video for the product. This model is widely used.
- Pay-per-click: Now this means the number of clicks or hits a post gets decides the final pricing being paid to the influencer.
- Pay-per-subscriber: This is used by mega or macro-influencers where they charge with the strength of their followers.
How much should you be paying an influencer?
According to DAU(Daily Active Users) and MAU(Monthly Active Users), data following is the distribution of the number of influencers on social media:-
- There are an estimated 20,000 to 40,000 mega-influencers
- Macro and mid-tier influencers are between 300,000 to 2 million
- While Nano influencers are between 2 million to 37 million.
- Mega influencers with more than a million subscribers are between 3,000 to 23,000
- Macro and mid-tier influencers are an estimated 31,000 to 220,000
- Nano influencers are between 1.5 million to 5 million
According to sources, Influencer marketing pricing(per post/video) is estimated as follows:-
There’s an average charge of 800(INR) of a basic post per 1000 followers. Likewise, a story influencer might charge as little as 400(INR) per 1000 followers but the final cost depends on the running of the brand campaign as to when an influencer has to upload stories about the product.
- Nano influencers with more than 30K followers charge between 9 to 10K(INR) per post.
- While mid-tier influencers charge 20K(INR) per post.
- On the other hand, mega and macro-influencers charge between 4-7 lacs(INR) per post.
The average cost of influencer marketing pricing on YouTube is said to be 1.5K per video per 1000 subscribers. While 500(INR) for a short.
- Nano Influencers with 10K subscribers charge around 13 to 15K(INR) per video.
- Influencers with 100K subscribers may charge between 90 to 100K(INR).
- While mega or macro-influencer may charge between 150-200K(INR).
The basic cost of a post averages 1.8 K per post per 1000 followers but for a story, an influencer might charge relatively less like 400(INR) per day.
- With the influencer marketing pricing cost going up as high as 18 -20 Lacs(INR) charged by mega-influencer.
- While macro or mid-tier influencers may charge 2-3 Lacs.
- Nano-influencer might charge 24K-25K(INR)
On average Influencers on Snapchat charge 75 (INR) per story post per 1000 followers.
- Mega-influencer might charge 6-7 Lacs( INR)
- Macro or mid-tier influencers might charge 65K to 80K(INR)
- Nano Influencer might charge an estimated 8K.
You can check Hobo’s Brand collab page about the campaigns which are currently active and start your journey as an influencer.
How Hobo.Video can be of help?
If you’re a brand or an influencer who’s looking to foray into the world of influencer marketing. Look no further as Hobo.Video is an amalgamation of brands, resellers, and influencers all under one roof. It’s a space where you can sell, buy and earn simultaneously.
If you are looking to promote your brand, depending on how much you want to spend on Influencer marketing you can either start a barter or paid collaboration campaign. Now here you will just have to send your product to the influencer and Influencers who have certain requisites on their account get hand-picked for your brand.
In conclusion, influencer marketing pricing is a tricky task as the cost differs over time. The pricing also varies given the dynamic nature of social media and content creation. If you are really banging your head deciding with all this then you should check what Hobo.Video has to offer.
Let’s check some other stories, shall we?