People constantly ask me “How do you make money on Instagram?” The answers may surprise you and that “s” was no mistake. There are a series of ways to make money from Instagram. But If you currently have a small following, we recommend you start here.
Firstly, if you’re making money on Instagram there are tons of options but we’re going to focus on the few that matter to you: influencer deals. In this case, it’s always for posting or giving shout outs in some shape or form. But the way you receive payments can vary greatly. Now with that said, let’s break it down.
Easiest way to “Make money on Instagram”: Exchanges/ Trades
This is easily the most common kind of payment I come across on Instagram. This is when a service or products is given away in exchange for a post. @MVMT is a great example of a company that has mastered this tactic. Below you’ll see a photo from @TannerHarveyy posted by MVMT. Tanner has a small following so MVMT is happy to send him a watch in exchange a post to his 5K followers and Tanner will likely share this at no cost at all.
So how does it work? Many brands, hotels, and products have a marketing department with one to sometimes 10 employees dedicated to Influencer marketing. If they’re marketing correctly they will constantly be reaching out to potential influencers. Today, you’ll even see companies outsourcing this work to Marketing Agencies that are able to automate and scale outreach. Depending on the size of your following, you’ve probably already seen something like this. The larger your following the more expensive the item you will receive. Those of you with smaller followings have likely been contacted by @PuraVidaBracelets. They have a less expensive product so it allows them to ship more out!
Recommended way to make money on Instagram: Paid Shout Outs
Having thousands of followers comes with a great deal of marketing power. One posts may receive 10K likes and have 50K impressions. It should be obvious why this is so valuable to companies. I have even heard the price for a single shout out from Kim Kardashian is $300,000K. But you don’t have 100M followers, so how can this help you? Well, if you have less than 100K followers you may find it difficult to get paid for a post as you lack an audience big enough to make it worth a marketers time. But if you have hundreds of thousands of followers you may find yourself making thousands per shout out.
Alternatively, there’s another paid shout-out market that lives on Instagram. You may have come across accounts like @Best.Video. Accounts posting viral content with 1-10 million followers are plentiful and almost all of them offer shoutouts for small fees. These fees can range from $20-$500 and are likely the most common place to find a paid shoutout.
Hardest way to make money on Instagram: Endorsements
Now the fun stuff. Even more powerful than tons of followers is the trust followers have in influencers. This makes shout outs infinitely more powerful than Facebook advertisements and is the key to how to make money with Instagram. Talented marketers understand this and are willing to pay big bucks to buy their influence. This is where talented influencers like @Sam_Kolder make their money. He’s endorsed everything from the newest LG smartphone to the latest DJI drone. We admittedly have no idea how much he’s being paid for these promotions, but we would guess it’s somewhere in the ballpark of 75K-150K. It’s also worth noting these campaigns contain multiple posts and often times include high quality and time-consuming YouTube video reviews.
If you’re looking to make money on Instagram and get past free products, take the first step here.