How to Price Influencer Deals
One of the most daunting steps in entering the influencer world is figuring out how to become financially successful. The best avenue is through brand deals, but how do you price your skills? Some influencers get a manager or agent specifically to answer this question. Here is a breakdown of how to price influencer deals. [embed]https://youtube.com/shorts/bgmeYO3qZmE?si=NVFIWYbRI8NfKuP-[/embed] Because influencer marketing is still so new, there is a lot of grey area around brand deals. That means there is no industry standard for what to charge and expect within a brand deal. Factors like follower count, platform, quality, and experience all play a role in what you should charge. However, there will be some trial and error in determining a cost that works best for you. The main thing to keep in mind is that the amount feels reasonable for the service you are providing.
Determining a Base Rate
@tess.barclay NO GATEKEEPING 👏🏻💸🎀 I got the content creator girlies’ backs 💅🏻📸 How much I used to charge on TikTok for brand deals between 10k-70k followers 📝 #greenscreen #contentcreatorsoftiktok #money #contentcreationtips #influencertips #content30 ♬ original sound - Tess | Busy Blooming
Because there is no industry standard, deciding on a starting point can feel like picking a number out of a hat. There are online calculators and formulas to get a ballpark figure, and some influencers have shared their personal rates based on their following and the platforms they use. Wondering how to get invited on PR trips? Learn how now! We will get into these numbers specifically, but no matter where you end up, you are looking to reach a point where a brand will negotiate the price. While there might not be a perfect formula, we have heard time and again that if a brand says yes quickly to your first offer, you can ask for a higher amount for your next brand deal. Katie Steckly does an excellent job explaining how you can find the best rate to charge as you take on more brand deals. Tess Barclay is a great place to get a rough estimate of what you should be charging. Barclay bases her rate on her following, experience, and engagement. She lays out how her rates have changed throughout her career. Barclay uses the media kits she sent to brands to request her rates. At 23k followers, she charged about $900 USD. She went up to about $1300 at 30k and stayed at that rate even at 44k followers. When she got to 65.5k followers, she charged over $1780. Tavtaughtme shares that her base rate is $1,000 per 10k followers. Other factors go into the final cost of a product.
@brejonalyse Replying to @yasmemez i have some more tea for youuu hehe #contentcreator #contentcreatortips #influencertips #branddeals ♬ original sound - Brejon
Other factors that determine the final sponsorship rate include exclusivity, whitelisting, and usage rights. Exclusivity is an agreement that you, as a creator, will not take on brand-deal opportunities with direct competitors for a specific period. Whitelisting is when a brand boosts your video as an ad for their product on social media. Usage rights address what a brand can do with your video after you post it on your channel. They might want to keep it on their social media or website as a continued marketing tool. User-generated content (UGC) is when brands want to post your content on their profile rather than having you post. These deals usually go for a lower price because the brand isn't getting the benefit of your audience. Make sure you choose the right partnerships for brand deals and collabs!
Interacting with a Brand
There is no specific benchmark for when you should start thinking about taking on brand deals. Some creators become influencers because they want to make it a full-time career by taking on brand deals. While your engagement and follower count will determine how much money you can get from a brand, micro influencers can still get sponsorships with 1k followers. Knowing how to interact with brands is crucial to building a good relationship. If you are interested in working with a specific brand but they have not reached out to you, Jessy C. lays out a great strategy to get their attention. Most brands are looking for an influencer who is organically interested in their product and will create high-quality content for their business. To get them to choose you, make content featuring their product and tag them. Posting this type of content consistently and continuing to tag them will show the brand what services you could offer and that you are genuinely interested in what they sell. You don't need to know what brand you want to work with. You will still find brands interested in working with you. As your profile grows, more businesses will be interested in working with you, and you will get to decide which opportunities you want to take on. When businesses come to you seeking sponsored content, it is essential to go in knowing as much as possible about the deal before agreeing. Understand what a brand is looking for and what it will cost you to produce. Some creators want to know the brand's budget, while others decide to lay out their costs first. Remember to factor in pre- and post-production time when setting your rate, because your time and expertise matter!