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How much should influencers be paid?

From a few hundred euros to several tens of thousands of pounds for a sponsored post: influencer rates vary enormously. How are rates set for influencer campaigns? How can you make sure you are paying a fair price for an influencer’s input?

blond woman with gold coin
blond woman with gold coin

Size and engagement of the follower base

Number one criteria: size! The bigger the influencer’s community on social networks, the higher their rates.

For example, a study by American startup Captiv8 shows that an influencer with between 100,000 and 500,000 followers is paid around 5,000 dollars for each Instagram post, while an influencer with between 3 and 7 million followers can charge an average of 75,000 dollars.

For the same community on YouTube, you would have to pay nearly 190,000 dollars to a Youtubers agency.

The size of the fan base should be combined with the follower engagement rate.

The more engaged a community is (shares, clicks, etc.), the higher the price of a post.

The success of an influence campaign depends on its viral nature and therefore on the likelihood of the community interacting with the content shared by the influential personality.

It is worth noting that most influencers play off the various partnership proposals against each other, thus raising the bids.

Extent of the input

However, an influencer’s price also depends on the extent of the support provided. Is it text, a photo, a video?

Is it content creation or just sharing? There are many possibilities and they do not all require the same amount of work.

Not surprisingly, content creation requires larger budgets, since it requires the influencer to be more involved.

This usually results in a creative campaign that is relevant to the influencer’s community.

If the advertiser wants to use the influencer’s image on media other than social networks (POS, billboards, TV advertising, etc.), an additional budget must also be allocated.

Choice of social network

Another important factor in determining the price of an influencer campaign is the choice of social network.

Prices vary significantly between sponsored posts on Instagram, Facebook, Twitter or Snapchat.

The best paid social network is YouTube, since it demands a high level of involvement in the creative process; while Twitter is on the other end of the spectrum.

Relationship between the influencer and the brand

Finally, how close the influencer is to the brand, product or project and how attractive it is to him or her can also be decisive factors in pricing.

After all, an influencer who already uses the product or is already a fan of a particular brand will be more open to contract negotiation.

The campaign will also be positively impacted because it will gain credibility and authenticity.

To allow advertisers to quickly estimate a fair price for a product placement and influence campaign, Kolsquare has developed an algorithm on its influencer marketing platform that calculates an estimated price for a post, based on various key parameters.

About Kolsquare

Kolsquare is Europe’s leading Influencer Marketing platform, a data-driven solution that allows brands to scale their KOL Marketing strategies and implement authentic partnerships with KOLs (Key Opinion Leaders). Kolsquare’s technology enables marketing professionals to easily identify the best Content Creators profiles by filtering their content and audience, and to build and manage their campaigns from A to Z, including measuring results and benchmarking performance against competitors. Kolsquare has built the largest community of influencer marketing experts in the world, and offers hundreds of customers (Coca-Cola, Netflix, Sony Music, Publicis, Sézane, Sephora, El Corte Inglés, Lacoste, …) the latest Big Data, AI and Machine Learning technologies to drive inspiring partnerships, tapping into an exhaustive network covering 100% of  KOLs with more than 5,000 followers in 180 countries on Instagram, TikTok, Twitter, Facebook and YouTube. As a Benefit Company, Kolsquare has been pioneering Responsible Influence by championing transparency, ethical practices, and meaningful collaborations to inspire change.

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