How does the creator of instagram make money

how does the creator of instagram make money

Instagram makes money mainly through Digital advertising, Instagram Shopping & Creator tools. Here's how IG makes money. In this post I'll explore the revenue model of Instagram, how they are competing with Snapchat and more. Already, many social media creators get paid to post sponsored content, but the goal of this marketplace would be for Instagram to play a.

How does the creator of instagram make money - exact

The 7 Best Ways to Make Money on Instagram

You’ve probably heard stories of Instagrammers cashing in on the pictures they snap and share every day. You might’ve even looked at your own sizable following and thought, “Maybe I can do that full time too.”

Just like bloggers, YouTubers, and anyone who’s amassed an audience around the content they produce, Instagrammers have reach and influence figured out—two things many companies struggle with.

Together, reach and influence offer the opportunity for Instagram creators to explore multiple streams of potential revenue, whether they want to build an empire or just earn some extra cash and free stuff.

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How to make money on Instagram

Depending on your unique brand of Instagram content, your target audience, and your level of commitment, you can use Instagram to make money in the following ways:

  1. Work with brands on sponsored posts
  2. Become an affiliate
  3. Open your own ecommerce store
  4. Create an Instagram shop
  5. Sell your photos online or on things
  6. Make money off your content
  7. Sell old stuff

The beauty here is that chasing one revenue stream doesn’t necessarily rule out another.

So let’s start with the most common approach to Instagram monetization: partnering with brands as an influencer.

1. Work with brands on sponsored content

The term “Instagram influencer” gets thrown around a lot these days.

An influencer is basically anyone who’s built themselves an online reputation by doing and sharing awesome things online. To their audiences, influencers are tastemakers, trendsetters, and trusted experts whose opinions about certain subjects are respected.

Many brands just can’t compete with that, so they partner with influencers on sponsored content like posts, Reels, and Stories that help get the word out about their products.

instagram influencer example

But it’s not just the follower count and reach of your Instagram account that brands want—it’s your audience’s trust and engagement with high-quality content.

It can be hard to balance your revenue as an influencer and your integrity as a creator, but if you’re not relying on your Instagram marketing income to stay afloat, you always have the freedom to be selective about the brands you work with, just as brands will be selective about the Instagrammers they work with.

How to decide what to charge as an influencer

Typically these influencer deals involve the creation of content—Instagram ads, a post, a video, or a Story—and will sometimes include permission for the brand to use this content on their own site or in an ad.

Most of these deals are negotiable and can involve a single post or an entire campaign in exchange for a fee, a free product, a service, a gift, the promise of exposure, or some combination of these.

Keep in mind when negotiating that you’re not just offering content but access to your audience—a potentially large reach on one of the most popular social media platforms around—and usage rights.

The average influencer who has upward of 100,000 followers charges up to $500 per post, just to give you an idea of what some brands are willing to pay and how to negotiate based on the cards you’re holding.

Finally, it's important as an influencer to also know your own audience.

What is the makeup of your audience, and what is your engagement rate (total engagement divided by your number of followers)? You can dig up numbers to back this up in your Instagram analytics report, if you’ve switched to a business account. This will help you be prepared when it comes time to negotiate.

How to find brands to work with

If you’re big enough, chances are brands will find you. But you can also look for brands to work with that are on a similar level in terms of personality and values, so your audience won’t feel like you’re “selling out.”

You can reach out to them directly to try to work out a deal, but you can also list yourself on one of the many influencer marketplaces out there to increase your chances of being discovered, including:

  • Fohr. Connect your Instagram, blog, YouTube channel, and other social platforms to create an influencer “card” that shows your different profiles and total reach to brands shopping for a partnership. You can also access a list of brands and their wants, so you can take the initiative to reach out too.
  • Crowdtap. Do small content creation tasks to earn rewards. This is great if you’ve got a smaller audience. Available in the US only. 
  • indaHash. Brands post campaigns you can participate in. Post a picture with the specified hashtags on Instagram and get paid. You need at least 700 engaged followers to be eligible.

The rules vary when it comes to sponsored content, but to be on the safe side and respect your audience’s trust, consider adding a #sponsored hashtag to indicate sponsored posts.

You can find examples of sponsored posts and how Instagrammers integrate brands into their story or caption by searching #sponsored on Instagram, like this one from How He Asked, an account that shares wedding proposal stories and partners with a jewelry business:

paid partnership example

Instagram also has a “Paid Partnership with” tag that prominently identifies sponsored posts, which some brands might require you to use to disclose your relationship with them.

2. Become an affiliate

Unlike an influencer, an affiliate is more invested in making sales for the partner brand—not just generating awareness—in exchange for a commission.

This is typically done with a trackable link or unique promo code to ensure clicks actually translate into sales. Use a mix of clickable links in your Instagram profile bio and Instagram Stories or through stickers. Since you can’t put links in Instagram posts, you can create promo codes so you can make money from different angles. 

Consider reaching out to one of the many online merchants offering affiliate programs. Or you can explore popular marketplaces like:

  • ClickBank. An affiliate platform with a tier-based commission that’s open to everyone.
  • LTK. An invitation-only fashion and lifestyle influencer network that offers 20% commissions.
  • Amazon Associates. A popular option that pays out a 10% commission.

Though it sounds like a numbers game, affiliate marketing is also an art, and you’ll have a better chance at success if you have a plan going into it and expand your online presence to include a website and other marketing channels.

Tip: Affiliate links can be long and ugly, so I recommend a URL shortener like Bitly, especially if the links are going in your Instagram bio.

3. Open your own ecommerce store

By now it might sound like the only way for an Instagrammer to make money is to sell out and work with other brands.

But creators of all kinds are in a good position to “sell out” with their own products: physical goods, services, or digital items that can be an extension of their brand, building a business with an audience at its center.

The ability for [content creators] to sell products is just so natural because their abundance of content allows them to have those moments of plugging their products.

Chris Vaccarino, founder of Fanjoy

You need to invest some time upfront, but in today’s world, it’s almost natural for creators to make the leap to entrepreneurship. That’s becoming easier with the growing list of Instagram tools available to build an audience. 

Just look at Loki the Wolfdog, one of the biggest Instagram dog-preneurs of his time.

loki the wolfdog website

By selling your own stuff, you don’t need to worry about integrating messages from other brands into your posting strategy. Better yet, you can get your own brand out there on the products you sell.

Fans can show their love and support your work by buying from you—a purchase they can feel good about.

There are a few ways to sell your own merch:

  • You can use a print-on-demand service to print and ship your own t-shirts, pillows, coffee mugs, wall art, and more.
  • You can sell services such as photography or consulting using your bio to direct interested people to a contact email or a link to your professional website.
  • You can sell digital products such as online courses, ebooks, or design templates.
  • You can use your Instagram business account to launch a startup selling your own original products. You can use dropshipping fulfillment so you don’t have to deal with holding inventory or returns.

If you plan on selling several items in your own Shopify store, you can also make purchases through Instagram possible on your website using one of the available Instagram gallery apps.

 

4. Create an Instagram Shop

The past few years have been huge for ecommerce brands and creators who want to sell on social media. Instagram has released a ton of features under the Instagram Shopping umbrella, which allows people to easily shop your business’ videos and images on the platform. 

It all starts with an Instagram shop, a.k.a. your storefront. There, you can share your story and sell products. Instagram provides a sleek experience for shoppers to browse and buy your collections. All you need to set up Instagram Shopping is a Business or Creator account. 

alo yoga bio

You can customize your shop by creating collections or curated products presented in themes. Common themes include new arrivals, gifts, or seasonal trends. 

Instagram shop example

Just like your online store, you can also create product description pages in your shop. Here you can include all relevant product information, like pricing and descriptions. You can send people to your website to complete a purchase or let them buy through the app using Instagram checkout. 

alo yoga instagram shop

It doesn’t stop there. People can also buy your products throughout Instagram via features like:

  • Shoppable posts and Stories. You can use product tags to showcase items from your catalog in videos and images. People simply need to tap to learn more about an item.
  • Shoppable ads. You can also add product tags to ads and extend the reach of your shoppable posts. Setup is simple inside Ads Manager, or you can boost existing Instagram posts in your feed.
  • Instagram Shop tab. Instagram’s shopping tab is a destination for people looking to discover new brands that are relevant to them. This helps you more easily reach new customers on the app.
  • Live shopping. Do you love livestreaming content? Then you’ll find Instagram live shopping helpful for making money. Just go live and tag products from your catalog (or Facebook shop) to feature in your broadcast. The product will show up at the bottom of the screen, where people can tap to purchase instantly.

The best part? Setting up an Instagram shop is free. You’ll only pay a commission if someone purchases through Instagram checkout.

5. Sell your photos online or on things

Someone might get famous on Twitter by telling 140-character jokes, but Instagram is a photo-sharing app at its core. And photos are assets that can be licensed, printed, and sold in a variety of ways.

If photography is what got you into the Instagram game in the first place, you can list your photos in marketplaces like 500px or Twenty20, where brands and publishers might license them.

However, you can also sell your photos as prints and on other physical products using a similar method described in the last section. Services like Printful and Teelaunch let you put your photos on posters, phone cases, pillows, and more, taking care of fulfilling orders and customer service, so all you really need to worry about is making sales.

Take the story of Daniel Arnold, who, according to an interviewin Forbes, went from “eating toast three meals a day” to making $15,000 in 24 hours by offering to sell prints of his popular-but-controversial photos. If you've already got the demand, all you need to do is take the initiative and offer your audience the opportunity to buy your photography from you.

6. Make money off your content 

Monetize your videos with ads

Another way for entrepreneurs to make money on Instagram is through in-stream video ads. With these ads, brands can promote themselves within the videos you produce. 

How much you earn depends on the amount of views your video gets, or “Monetizeable Plays,” according to Instagram. You’ll get 55% of ad revenue generated from each view, paid monthly to your bank account. 

Turn on In-stream Video Ads and start earning in three steps:

  1. Go to Account Settings. Tap Creator, then In-Stream Video Ads.
  2. Tap Get Started. Read and agree to the terms and conditions. 
  3. Toggle Allow Monetization on your existing Instagram videos, then tap Continue to finish. 

To earn through In-Stream Video Ads, your content must be original and you need to own the rights to any music. Your video needs to be two minutes or more to monetize. Images, polls, looping videos, slideshows, or text montages don’t qualify. 

Live badges

Live badges are a newer feature, helping creators and influencers make money on Instagram. A popular concept taken from Twitch and TikTok, think of Instagram Live badges as tips you can receive during a live broadcast. 

live badges on Instagram

With this feature, viewers can purchase a badge during the livestream that shows in the comments and unlocks features, including a place on the creators’ badge list and access to a special heart. 

People can buy:

  • One heart for $0.99
  • Two hearts for $1.99
  • Three hearts for $4.99

7. Sell old stuff

If you’re not an influencer and just want to make some extra cash, Instagram is a great place to sell old stuff. Whether it’s furniture, clothing, collectors items or even Mason jars, you can make side income selling it on Instagram. Plus, you can declutter your home and help save the environment.

Take Lavender Loveseat, for example. Based in Chicago, the team finds older pieces of furniture, refinishes them, and sells them through Instagram. The brand shares fun, entertaining content on its page to attract buyers and earn sales. 

sell old stuff on Instagram

How much do Instagram influencers make?

There are a number of factors that determine how much an Instagram influencer makes. They can earn anywhere from a few dollars to a million dollars per post. 

The amount you make depends on a few factors: 

  1. Number of followers
  2. Engagement rates
  3. Affiliate marketing tactics

The good news? There is room for any size account to make money on Instagram. There are generally five tiers of influencer marketing, broken down by follower count. 

  • Nano-influencer: 1,000–10,000 followers ($10–$100 per post)
  • Micro-influencer: 10,000–50,000 followers ($100–$500 per post)
  • Mid-tier influencer: 50,000–500,000 followers ($500–$5,000 per post)
  • Macro-influencer: 500,000–1 million followers ($5,000–$10,000 per post)
  • Mega-influencer: 1 million+ followers ($10,000–$1 million+ per post)

If you don’t have a lot of followers, don’t get discouraged. Earning your followers’ trust and engaging with them will help your account grow. More than the number of followers, brands look for influencers to work with that have an active following.

So even if you only have 1,000 followers, you can still make some real money. To give you a little inspiration, here are some examples of the top non-celebrity influencers who have made the most of Instagram with their accounts:

How many Instagram followers do you need to make money?

If by now you’re wondering how many followers you need to start bringing in real revenue, the short answer is: not as many as you think.

The long answer depends on factors that range from:

  • What niche you’re in and how easily you can directly tie it to a product category (fashion, food, beauty, and fitness are popular niches, based on top Instagram hashtags)
  • How engaged your followers are (100,000 fake followers won’t amount to much)
  • Which revenue channels you explore

Naturally, the more engaged followers you have, the better. Check out our tips on how to get more followers on Instagram.

While top Instagrammers make thousands of dollars per post, even those with small but engaged followings of 1,000 have the potential to start making money.

Getting paid on Instagram and beyond

What started as a hobby—making people laugh, doing silly photoshoots with your dog, or sharing pictures of food—can snowball into the chance to turn your Instagram page into a source of income fuelled by your engaged following. But why stop there? 

There’s a world of possibilities for creators to make money on the web. If you want to open up more revenue streams online, be sure to check out our tips on how to make money on YouTube. Your Instagram followers are bound to join you on other channels. You just have to open the doors for them to walk through.


Ready to create your business? Start your free 14-day trial of Shopify—no credit card required.

Make money on Instagram FAQ

Can you get paid on Instagram?

Yes. You can get paid on Instagram in the following ways:

  • Create sponsored posts for brands that want to get in front of your audience
  • Become an affiliate and making a commission selling other brands’ products
  • Create and selling a physical or digital product or offering a paid service
  • Set up an Instagram Shop
  • Sell licenses for your photography or videos
  • Monetize your content

How many followers do you need to make money on Instagram?

The more followers you have on Instagram, the more money you can make. Rates are also determined by engagement, quality of content, name recognition, audience demographic, and skill set. The standard is $10 per 1,000 followers, but can vary depending on your contract and sponsor.

How much money does 10K Instagram followers bring in?

Micro-influencers, or accounts with 10,000 followers or less, can make around $88 per post on Instagram.

Photo of Michael Keenan

About the author

Michael Keenan

Michael is a SaaS Marketer and SEO and founder of Peak Freelance. He’s inspired by learning people’s stories, climbing mountains, and traveling with his partner and two Xoloitzcuintles.

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9 Proven Ways How to Make Money on Instagram (2022)

As one of the fastest-growing social media platforms, Instagram has quickly gained over one billion active users.

Over the past few years, it’s evolved from a simple photo-sharing app to a powerful digital marketing tool that influencers and businesses of all sizes are using to reach their target audiences.

According to Instagram Business, 60% of people use this platform to discover new products, 80% of them follow at least one brand, 200 million accounts check out a business profile each day, and 66% of profile visits are from non-followers.

Much like Tiktok and Facebook, social media marketing on Instagram is at an all-time high.

If you want to learn how to make money on Instagram, you need to not only grow your followers but also need the right business model.

Where do you start?

In this article, we’ll cover the top strategies to start making money on Instagram this year.

Let’s get started.

Disclaimer: This article contains affiliate links that I may receive a small commission for at no cost to you if you purchase a plan. However, these are the tools I have vetted and fully recommend when it comes to making money on Instagram. You can read my full affiliate disclosure in my privacy policy.

How to Make Money on Instagram.

People can make big money on Instagram: The recent Hopper HQ report claims that Kylie Jenner is paid around $1.2 million for a single post on Instagram. Obviously, if you’re not one of the world’s most well-known celebrities, your estimated earnings may vary depending on the following count, engagement, reputation, and more.

In this article, we’ll cover the top ways to make money on Instagram:

1. Promote Affiliate Links.

To make money with affiliate marketing, you need to join high paying affiliate programs so that you can add affiliate links to your Instagram and make a commission on the sales you generate.

Affiliate Programs

When done right, affiliate links can bring in big money.

As you can see from this site’s Blog Income Reports, I bring in over $80k/month, mostly from affiliate programs.

To do this, look into joining affiliate networks like Shareasale, Clickbank, Awin, and Impact. You can also join individual affiliate programs right from a company’s website or by searching: “COMPANY + affiliate program.”

Since Instagram has a solid user base of engaged people, it’s a perfect place to promote affiliate links.

No matter how many followers you have, you can insert a clickable link in your Instagram bio. For instance, a fashion blogger Sophie Shohet uses this feature to promote affiliate links:

Sophie Shohet Instagram

Since Sophie has more than 10k followers, she can also create clickable Instagram Stories. And here’s how she promotes affiliate links within her posts and on her profile:

Sophie Shohet Instagram 2

Instagram followers pay close attention to Instagram posts, so using captions to tell about affiliate marketing links is a great way to grab the attention.

However, all links in Instagram posts are non-clickable, so adding a URL isn’t the best idea as readers have to copy the link manually from your text.

Thus, it’s better to write a call to action, inviting your readers to click on the link in your bio. One note is that it’s important to disclose affiliate links since you get a commission on each sale.

2. Sell Physical and Digital Products.

Over the last few years, Instagram has turned into a strong sales generator for the right eCommerce store.

Since people actually do use Instagram to discover and buy products, they rolled out more business account features like in-app checkout, the shop button, product tags, and shoppable stickers to make the shopping process easier.

One brand new tool you can use to sell products from Instagram is Square Online.

This tool takes Instagram posts from your feed, and turns them into a fully-shoppable website in 3 simple steps:

  • Connect your Instagram business account to Square.
  • Tag items in your Instagram posts you want to sell.
  • Click “Publish” and launch your own website.
Square Online Instagram

As it’s tough to sell products online from Instagram alone, it’s a great idea to also have a website. And this new tool from Square Online makes this super easy.

You can get started with Square Online for free and just pay transaction fees. Then you can upgrade to a paid plan when you’re ready to build a website with your own custom domain.

For other options, you can look into choosing an ecommerce platform or website builder to launch an ecommerce website, then use Instagram as another marketing channel.

If you’re a beginner, you could also start a dropshipping business so you don’t have to ship your own products or handle returns.

Another option is to learn how to sell on Amazon and promote your products on Instagram that way.

Either way, you need to add links to your content in your Instagram account.

Just write a call to action and include a website link so that interested followers can learn more about your offer.

And if you have switched to an Instagram creator account, you can create shoppable posts to sell physical products in-app. Check out how Katie Sturino did it:

Katie Sturino Instagram

From cheap cosmetics and second-hand clothes to luxurious apartments and expensive cars, people buy all kinds of products on Instagram.

No matter what you sell, your potential customer is probably there. However, it’s important to find your niche and look at the competition by searching for hashtags and keywords you want to target.

3. Publish Sponsored Posts.

Influencer marketing is on its rise, according to Social Toaster: 92% of individuals trust word-of-mouth recommendations, 76% of people say that they’re more likely to trust content shared by common people than brands, and 82% of customers want to get referrals from friends before making a purchasing decision.

Simply put, people seek out peers’ recommendations, so it’s no wonder more and more brands reach out to influencers to get shoutouts for their brands.

Since users crave transparency on Instagram, all influencers need to disclose sponsored posts, according to the Federal Trade Commission (FTC) guidelines for online advertising. And here’s how a sponsored post may look like on Instagram:

Daphne Oz Instagram

Daphne Nur Oz is a popular TV host with over 387k followers, so it’s no wonder that big brands like J.Crew reach out to her for a chance to enter an already-established community of engaged Instagrammers.

Want to know the best part? There’s no need to have a solid following to start making money with sponsored posts. When choosing the right influencer, most brands pay close attention to the engagement rate, so even big brands like Dunkin’ want to work with nano- and micro-influencers.

Since these influencers have in-person interactions with the majority of their subscribers, they deliver better results, which means you can get an offer even if you have less than 1,000 followers count on Instagram.

4. Become a Brand Ambassador.

Sponsored posts work well on Instagram, but most companies want to establish long-term relationships with influencers, so they seek out brand ambassadors who can promote a company in a positive light on a regular basis.

Since Instagram is the most preferred channel for influencer marketing, it’s a perfect place for users to find brand ambassador programs and collaborate with companies to promote their products. Large brands also frequently send free products to influencers so they can review and promote them.

For example, Jay Alvarrez is a lifestyle blogger who posts photos and videos on his Instagram and YouTube channels. With a highly-engaged community of over 6 million loyal followers, brands are eager to build a long-term partnership with him.

Not only do brands invite Jay to become a brand ambassador, but they also offer him to create capsule collections and co-branded products. In 2018, he designed a travel and luggage bag line for the Norwegian company Douchebags.

Jay Alvarrez Instagram

Most brand ambassadors sign contracts with brands to promote their products. And to get better results, brands need to find an influencer who has a following that represents the target audience. For ambassadors, this means a great opportunity to make money as the standard salary for a brand ambassador is somewhere in the $40-50,000 range.

Micro-influencers in a specific niche are often more valuable to brands than major celebrities as they have a more engaged audience.

5. Create Visual Content for Sale.

It’s no secret that Instagram is a visual platform: People upload 100 million+ of photos & videos daily. However, it’s not enough for brands to upload overly polished professional photos of their product to stand out from the crowd.

Modern customers crave authenticity, so they pay close attention to user-generated content.

In fact, most consumers believe that UGC is 35% more memorable than other media, so businesses of all sizes want to publish content created by their customers. Simply put, it’s your opportunity to sell photos and videos you create.

When it comes to the travel industry, companies of all sizes invite real travelers to take photos showcasing their experiences while staying at brand properties in exchange for free accommodation and payment.

Here’s an example:

Meirr Instagram

And here’s how the company uses the same photo on their Instagram profile:

Jumeirah Vittaveli Instagram

Publishing user-generated content in the travel industry gives great results.

For example, a small town in New Zealand, Wanaka, achieved a 14% increase in tourism after working with Instagram influencers who shared the images of the city on their profiles.

However, I don’t recommend this approach unless you have a huge following. There’s nothing more annoying to hotel owners than a fake influencer asking for a free stay.

6. Provide Social Media Marketing Services.

It’s no secret that Instagram has strong sales potential, so more and more brands want to use this platform to promote products, reach out to the target audience, and increase sales. According to Business Instagram, over 25 million businesses and 2 million advertisers are on the platform.

The competition is growing, so brands need professional assistance if they want to cut through the noise. In other words, social media marketing services are in great demand.

Case in point:

Jenn Herman is an Instagram expert who has proved her niche expertise – she writes for Social Media Examiner and she has worked with big brands. Today, Jenn Herman offers a great variety of services, including social media strategies, consultations, and training. Guess what? Jenn uses Instagram to promote her social media marketing services:

Jenns Trends Instagram

Brands crave different social media marketing services – from training and guidance to monthly support. This means social media experts have many opportunities to find freelance gigs and make the most out of their knowledge on Instagram.

7. Write Captions for Businesses.

The days when only big brands could afford Instagram marketing are far behind us. Today, brands of all sizes want to use this platform to promote their products and services, and 92% of small businesses plan to invest more time and effort in social media marketing.

While big brands have a great in-house content creation staff, entrepreneurs often seek out freelance talent to reduce social media marketing costs. Thus, they often want to find creative specialists who write captions for their businesses at a low cost.

Take a look at the most popular online workplaces like Freelancer and Upwork, and you’ll find hundreds of offers like the one below:

Upwork Social Media Marketing

Image Source: Upwork.com

To get a full-time job offer, you need to prove that your application stands out from the crowd, and the best way to do it is to show your social media marketing writing portfolio. Plus, you need to run your Instagram page creatively so that interested employers can see examples of captions you write. The more creative and engaging your captions are, the more potential clients you can hook.

8. Make Instagram Stories Masks and Filters.

Back in 2016, when Instagram copied Snapchat’s short-lived content and launched Instagram Stories, no one could have predicted the booming popularity of this content format.

Today, over 500 million people watch or create Instagram Stories daily. Since this type of content is available for a limited period of time, people are highly engaged, and it gives brands more opportunities to hook their target audience.

What is more, companies create Instagram Stories masks and filters to prove their niche expertise and promote their products. While some companies have in-house designers who create filters for their brand, other brands want to collaborate with talents who specialize in Instagram masks and filters.

And if you’re interested in creativity, you can build an income stream on Instagram as the Spark AR Studio allows all users to create AR filters for Instagram Stories. For example, Brend Cardenas uses her Instagram to promote Instagram filters she creates:

Brenda Cardenas Instagram

Image Source: @cardenasbrend

With the growing popularity of Instagram Stories, there’s no doubt that ephemeral content is the future of social media. Thus, making Instagram masks and filters is a great way to showcase your creativity and earn money on the platform.

9. Find Freelance Clients.

Instagram is not just about posting cute photos of your puppy. Since we’ve hit the 1 billion active Instagram users milestone, it has become a wonderful platform for networking, especially for people in the creative fields. Today, more and more professionals use this platform as an online portfolio.

No matter what you do for a living, whether you’re a filmmaker, ghostwriter, or public speaker, you can utilize Instagram to find clients.

Case in point:

Jing Wei is an illustrator who has worked with Etsy, Panda Express, New York Times, etc. With over 20k followers, Jing uses her Instagram profile to share her latest works. In collaboration with Shake Shack, Jing Wei created the mural and she posted the result of her work on her profile:

Jing Wei Instagram

Image Source: Instagram.com

When people dedicate their Instagram accounts to work stuff as Jing Wei does, it’s easy to understand that they can be interested in finding new clients. Moreover, you can always use your Instagram bio to tell your visitors that you’re open to finding gig jobs. Here’s a good example:

Upwork It Agency Instagram

Image Source: @upworkitagency

Furthermore, you can stay proactive and offer your services – just find an Instagram account that must be interested in working with you and slide in their DMs.

For example, Al Falk is a web designer who uses this technique to find freelance clients, and it gives results.

All in all, the key to success is to stay credible in your niche, so it’s important to showcase your work on Instagram and tell your visitors that you’re open to new freelance opportunities.

Tips To Make Instagram Work For You

The following are some of the tips to meet in mind to make Instagram work for you.

Find your niche

Having an Instagram shop is a great way to attract your target audience and sell more than you would through social networks.

To choose the right niche for your business, it is important to research carefully. If possible, try to live in this world rather than approach the issue from an intellectual point of view: eat, sleep and breathe it!

Authenticity is key

People love authenticity. Thanks to your photos, they will get a glimpse into your life. Besides that, Instagram is also an excellent tool for building up your personal brand.

To stand out on Instagram, you need to create stories that are truly yours and share them with the world!

The Instagram algorithm is based on the relevance of your posts. In other words, if you post original content that is valuable to your followers, they will see it in their feed more often!

Learn how to market yourself

In all your marketing channels (whether it’s Instagram, Shopify, Tiktok, or anything in between), marketing is one skill you must have.

To get started, marketing your product is easy by sharing personal stories of everyday experiences to give you a hint at how it’s used.

Be transparent and build trust

Whether you are running Instagram ads, creating reels or doing an Instagram live, it is important to be completely transparent. In other words, all your communications should be clear and easy to understand!

People do business with people they know, like and trust. Therefore, building a brand that your customers want to engage in conversation with is an integral part of online marketing.

Provide amazing customer service

If you sell products on Instagram, your online store should be designed to provide exceptional customer service. And if you are just starting out, using a Shopify dropshipping store is the best way to do it!

Do not forget that Instagram is above all a community. You sell your products on Instagram in order to get into conversation with people who love them as much as you do.

If you want to make money online, you should not only focus on selling products; it’s also important to provide support to your customers and develop a customer base.

If you want people to trust in you, you need to take care of them and be reliable.

How Much Money Can You Make on Instagram?

Celebrities can earn a lot of money by posting on Instagram. In fact, the highest paid social media influencers get anywhere from $8,400 to $1.2 million per post. Obviously, your income depends on your reputation, your number of followings, and your ability to grow your Instagram over time.

To calculate your estimated earnings from your online presence and social accounts, it’s important to calculate your engagement rate. Why? Engagement shows that your audience is active, so it’s no wonder that influencer prices and costs depend heavily on this metric.

Views and clicks don’t mean anything unless users take action.

The formula is pretty simple: Combine the number of likes and comments per one post and divide it by the number of followers, then multiply by 100:

Engagement Rate Formula Instagram

No matter what your engagement rate is, there is always room for improvement. The main idea is to find your niche and promote your services so that your income can also grow.

How to Make Money on Instagram FAQ

Can I sell products on Instagram?

Yes, you can sell products on Instagram with Shoppable Posts. However, it’s best to use an ecommerce platform in unison with Instagram to increase your sales channels. Here are the steps to get started:

1. Create an Instagram account and convert it to a business profile.
2. Make sure that you have a Facebook Page with an active product catalog.
3. Ensure that you are selling physical products, as services aren’t allowed.
4. Once eligible, you can add product tags to your individual posts. To do this, select a photo you want to tag, tap on the product in the photo, enter your product name from your catalog, and click done.

Can I make money with 1,000 Instagram followers?

You probably won’t make a lot of money with 1,000 followers, but it’s still possible. Brands typically pay anywhere from $10 per 1,000 followers to $500 for every 1,000 followers depending on your niche and engagement.

If you have around 1,000 followers and want to make money, you should look into coupling your Instagram with other marketing channels.

For example, you could learn how to start a blog and link to your digital products or affiliate marketing articles from Instagram. Additionally, you could sell products on your own website with an ecommerce platform. While you won’t make much money with 1,000 followers, omnichannel marketing strategies can boost your income from other channels.

How many followers do you need to make money on Instagram?

The amount of followers you need to make money on Instagram varies depending on your industry. While you can make money with 1,000 followers or 1 million followers, make sure to focus on engagement.

Micro-influencers with a highly-engaged audience can be more valuable to brands than huge celebrities with millions of followers. Remember, brands don’t just want impressions and views, they want users to take actions – leads, email sign-ups, and sales.

How do I get Instagram followers fast?

In order to quickly grow your Instagram and build up your follower count, there are many different strategies. Here are some of the top ones to try:

1. Plan an Instagram social media marketing strategy based on your target audience.
2. Create a well-planned bio and profile.
3. Have consistent branding and color schemes.
4. Start sharing high-quality content and promote via other social channels.
5. Use a hashtag tool to find relevant hashtags and add up to 30 to each post.
6. Schedule and post on a consistent basis.
7. Run contests, giveaways, sweepstakes, and provide promo codes to entice users to follow you.
8. Use influencer marketing tools to connect with other influencers in your niche and work to get featured on their accounts.
9. Use Instagram advertising to pay for more followers.
10. Join Instagram communities in your niche and be an active member of the community.

How many Instagram followers is considered average?

While the number of followers vary widely by account, the average number of followers is considered to be around 150. There are many profiles with 100 followers or less all the way up to millions of followers.

If you are an individual with a personal account or a small business, you may have a lower follower count. The key is to maintain an engaged and active audience rather than focusing on vanity metrics.

How do you get sponsored on Instagram?

Getting sponsored on Instagram requires a lot of work and a consistent approach to growing your follower count. Most of the time, you’ll have to pitch for paid sponsorships rather than brands coming to you. Here are some tips to get sponsored:

1. Define your brand and deeply know your audience.
2. Post consistently with hashtags and geotags.
3. Tag brands in your posts that are in your niche.
4. Include contact information and links in your bio.
5. Start reaching out and pitching paid sponsorships.

The Bottom Line.

Instagram is one of the fastest-growing social media platforms with the highest engagement, so it’s easy to make money on the platform if you use it the right way. From sponsored posts to social media marketing services, there are many creative ways for anyone to make money on Instagram.

Ultimately, putting time and effort into Instagram is a great investment that builds over time. And it’s never too late to jump on the bandwagon and start the monetization of your Instagram account.

Check out my reviews of the best social media management software to accelerate your growth this year.

****

Guest Post: By Hugh Beaulac, Content Manager behind MC2 blog.


Last Updated on February 5, 2022 by Adam Enfroy

Disclosure: I may receive affiliate compensation for some of the links below at no cost to you if you decide to purchase a paid plan. You can read our affiliate disclosure in our privacy policy. This site is not intending to provide financial advice. This is for entertainment only.

Adam Enfroy

Adam Enfroy

Adam Enfroy is a full-time blogger and affiliate marketing expert. Join Adam and 500,000 monthly readers on AdamEnfroy.com to learn how to scale your influence at startup speed. Before starting this blog, Adam managed digital marketing teams for large SaaS startups and reviews the best software to run your online business. He has been featured in over 100 publications, including Forbes, Business Insider, and Entrepreneur.
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Its daily user count is said to be growing closer to 5% per quarter, versus Snapchat’s which increased about 2.13% during the first quarter of 2018, while Facebook’s monthly count grew by about 3.14% to reach approximately 2.196 billion.

Hitting a billion user achievement may also put pressure on Instagram to carry its weight within the Facebook family to rake in more revenue.

Here’s How YOU Can Make Money On Instagram

kylie jenner instagram ad

If by now you’re thinking about the number of followers you’ll need to earn from Instagram, the precise answer is not that many. However, a longer answer depends on several factors which include:

  • The niche you are in and how easy can you directly tie that to a particular product category like food, fitness, fashion, or beauty. All these come with popular hashtags
  • How engaged your current followers are
  • The revenue channels you want to explore

While a lot of notable Instagrammers earn thousands for each of their posts on the platform, even those people who have smaller but have more engaged following will have the potential to start making money on Instagram.

Once you’ve figured out your niche, potential products, and the engagement of your followers, the most common approach to monetize Instagram is by working with different brands on sponsored posts.

You can also create your own brand of products and sell those to your followers. For instance, this is what I did with my account @youngslacker and the portable charger Flux Chargers.

And no, you don’t need to get verified on IG to start making money.

Conclusion

In the last couple of years, the social media platform Instagram has gone a long way from being the brainchild of its founders to an app used by billions of people (1 Billion users in 2018) which is changing not only the purpose of photos and videos but also as to how people put up content.

While Facebook doesn’t release the specific revenue amount brought in by Instagram, that number is expected to be $8 for 2018 and growing at about 15% each year.

If you liked this post, share it with a fellow IG addict that might be curious about how Instagram makes it money.

Here are how other social media giants make money:

Also, don’t forget to add me on The ‘Gram @YoungSlacker.

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How Instagram Makes Money

In April 2012, Facebook (now Meta) acquired the photo-sharing app Instagram for around $1 billion in cash and stock; many Wall Streeters were puzzled. At the time, Instagram was less than two years old, boasted an employee workforce of 13, and had no revenue.

In 2019, Instagram generated $20 billion in advertising revenue, according to a Feb. 2020 Bloomberg report. About 69% of America's marketers planned to spend most of their 2020 influencer budget on Instagram.

According to a Bloomberg Intelligence report, Instagram was worth $100 billion by 2018. It had just been announced a few days earlier by Instagram they had reached the 1 billion active daily users milestone.

In other words, Facebook got a cash cow for a chicken feed price.

Key Takeaways

  • Facebook (now Meta) bought Instagram for about $1 billion in 2012, and by 2018, it was worth an estimated $100 billion.
  • Like Facebook, Instagram makes its money from advertising.
  • Instagram's strengths include its young and global user base.

Instagram's Strengths

Instagram has several things going for it that are worth their weight in gold to advertisers:

  • It attracts a youthful audience. About 85% of teens use Instagram and 31% say it's their favorite app.
  • Its users click on links. About 130 million users tapped on a commercial link for more details on a product.
  • Its users actually want to see advertising. About 90% of shopping enthusiasts follow a business and 50% are more interested in brand after they see an ad for the product or service.

Instagram and Facebook

In 2019, more than 98% of all Facebook revenue came from advertising. For the full year, it collected $69.7 billion in advertising fees, and a hefty portion of this income came directly from Instagram. Although separate figures are not reported, analyst research suggests that advertising growth on Instagram exceeds that of its parent.

In fact, according to Merkle’s Digital Marketing Report, advertising spending on Instagram grew 177% for the year ending in the second quarter of 2018, compared to only 40% growth for Facebook over the same time period.

Ad Impressions on Instagram

Furthermore, impressions for Instagram in the same quarter grew by 209% year-over-year, versus a negative 17% growth for Facebook.

An ad impression is recorded when a user of a site views a page that includes an advertisement. In the Internet marketing world, ad impressions are good, but ad clicks are better. A click on an advertisement is a positive user response directing them to the advertised product's site.

Ad impressions are seen as a leading indicator of ad hits. The more people see the ad, the more hits it is likely to achieve.

The Inexorable Growth of Mobile

Instagram thrives mainly due to its devoted and growing mobile user base, which surpassed one billion in June of 2018, at a time when Facebook's mobile phone presence was radically lower.

Since that time, mobile has been a growing segment of Facebook's advertising, accounting for 89% of its ad revenues in 2017 versus 84% in 2016.

A Visual Medium

When Facebook bought the app, Instagram was strictly about image-sharing. Within a year, video capabilities were added.

Advertising on Instagram is becoming increasingly sophisticated. One feature lets advertisers display slideshows and link to sites outside Instagram. Its carousel ads facilitate multi-page print campaigns on mobile phones. That type of brand advertising has thus far eluded some of Facebook’s biggest web competitors, allowing Instagram to win a significant part of the market.

Instagram is often referred to by its users as "IG" or "Insta."

Like many big names in social media, Instagram started out as a fun idea without a clear path to profit. For Instagram and Facebook, advertising has become the monetization model.

Because it is fundamentally a visual app, Instagram is a natural platform for branded advertising. And as computing moves away from the desktop, especially among millennial users, Instagram is well-positioned to be the dominant platform for advertising in the 21st century.

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You’ve heard about people making money on Instagram, and you’re thinking, “Hmmm, that could be me.” You spend all your free time on Instagram anyway, and you love it. So, why not make money from it, right? Because becoming an Instagram influencer is still the most common tactic to earn money with Instagram.

In just 10 years, Instagram has evolved from a mere photo-sharing app to become one of the most popular social media platforms for daily use, and one of the most lucrative platforms for creators. With over a billion monthly users, Instagram is now the go-to app for your daily dose of inspiration and in-app checkouts.

Instagram has also turned into a business platform to be reckoned with. Millions of entrepreneurs, and easily 70 percent of all brands, are taking advantage of Instagram’s selling power to launch new products and make more sales.

pinterest pin how to make money on Instagram as a content creator

And it’s not just for unicorns or whatever. You could join the ranks of successful creators who earn money from Instagram if you’re willing to put in the work… and it’s gonna be tons of work, babe.

Cool.

Fine.

But how on earth do you even start? Can you even sell if all the followers you have now are your mom, your high school classmates , and best friend?

Don’t fret.

You don’t need hundreds of thousands of followers to make money on IG, even though it’s pretty normal to think you do. You don’t need as many followers as you think. 

Influencer tiers

While top Instagrammers have hundreds of thousands (or millions) of followers, those with a small well-engaged following of just 1,000 fans can also make money on Instagram. If you’re still interested, keep reading for specific tactics to make money on Instagram.

Three Ways To Make Money On Instagram Creating Content

We’ll assume you’re here because you’re new to the influencer world. So before we get into the heavy-lifting, let’s just rehash the basics of becoming an influencer.

An influencer is someone who has trust with audiences concerning specific topics. To their audiences, influencers are trendsetters and trusted experts whose opinions about certain subjects are highly regarded. Brands rely on influencers to use their authority with their audiences to get people to take action.

Many brands can’t command this kind of influence, and so they partner with influencers who create content on behalf of the brand (aka sponsored posts) that help promote their products.

Becoming an Instagram influencer takes more than just having a decent number of followers and reach on your account (also known as vanity metrics). Brands also want to work with someone who can get engagement from their audience.

So, to the main point—how do you make money as an Instagram influencer?

1. Partner With Brands and Create Cool Content for Them

Typically, influencer deals involve influencers creating content such as Instagram ads, a post, a video, or a Story. You then get paid to post this content on your Instagram account.

Instagram screenshot of @mama.shocks posts for Herbal Essences

The amount of money paid for such content depends on the scope of work you’re doing (IG Stories vs posts vs IGTV vs YouTube vs blogs, and on and on) to work with and the scope of the work you’re doing. In a survey by Shopify, 42 percent of influencers surveyed said they charged $200 to $400 per post. This gives you an idea of what some brands pay.

Here are a few important things you need to do to become a successful Instagram influencer and earn top dollar.

Choose a niche

Remember what we said brands are looking for most in an influencer? Trust. To earn trust from your followers you must live and breathe your brand. If you’re just starting out, the easiest way to do that is for you to focus on one or two topics that you consistently post about.

“Yeah, but I want to be a lifestyle influencer.”
Lifestyle influencers are mostly grown, not really made. If you post about just a few topics consistently when you start out, you create a cohesive brand, and it will be easier for both your audience and brands to figure out where your expertise and influence lies.

So…

Get into a niche that you can truly say is something you believe in and love. The more you niche down, the more authentic (and relatable) you become. Grow your audience

The other important thing that brands want from influencers is a large and engaged following. Do you still have your mom and bestie as your followers? Don’t panic just yet. There are plenty of well-researched strategies that will help you get more followers on Instagram.

For one, you can quickly grow your audience by committing to posting consistently. Studies show that audiences demand consistent content. 

An analysis by Tailwind found the more people post on Instagram, the more engagement they get.

Tailwind graphic - IG acounts that post more increase their engagement

In addition to posting frequently, you also need to boost your content visibility because the more people you manage to reach, the higher your chances of driving sales. 
Partner with brands who are about what you’re about

You can find brand partners by pitching them directly or just being ready when smaller brands approach you. Contact potential brands in your niche and pitch them what you can offer using your media kit. We wrote a post on what goes in an influencer media kit, just in case you want to know how to put one together.

Don’t forget to provide them with plenty of compelling details about your audience and approach. Make sure you include important metrics that add value to your partnership: such as engagement rate, audience size, etc. 

Here’s a tidbit you probably need to know: it’s okay to start with smaller brands because your glowing track record with previous campaigns is part of what will help bigger brands determine whether to hire you. Post transparently

When posting sponsored content, be sure to make it clear the post is sponsored. for. The usual practice is to tag the post as “Sponsored” or “Paid partnership with (brand)”. 

Trust me, you don’t want any problems with the Federal Trade Commission (FTC). Be sure to read up on their guidelines and continue to check up on them as they get updated regularly.

2. Become An Affiliate

The second best tactic for making money on Instagram is becoming an affiliate. With this kind of tactic you will be focusing more on making sales for the partner brand—not just generating awareness—in exchange for a commission.

Your brand partner will give you a trackable link or unique promo code to follow up on sales generated from your efforts.

screenshot of @hannahkshepherd IG post

Instagram affiliate marketing requires a more calculated strategy than influencer marketing. To make as many sales as possible, you need to have a solid plan going into it. Here’s how to successfully choose an affiliate network and use this tactic. Choose the best affiliate programs for your brand, otherwise…

Choose a product-focused niche that you feel most comfortable with or passionate about. You can start with the products that you use in your day-to-day life and create content centered around reviews and highlights of the product’s features. 

You can join a brand’s affiliate program directly or join an affiliate network. To be on the safe side, do both, it won’t hurt your chances!

Some popular affiliate networks include: 

Post about the product

Once you find the product(s) you want to promote, and you’ve got your tracking codes or links, create outstanding posts promoting them on Instagram. Remember to use gorgeous images and videos that just want to make people buy, buy, buy. 

3. Sell Your Own Products

The third strategy for making money on Instagram throws you into the e-commerce world. The Shelf has a really cool running tally of influencers who have their own merch and products. So, the

If you have your own products, you can use your time and influence to make money by selling them on Instagram, instead of selling other people’s products. If you already own a business, selling on Instagram could be an important addition to your marketing strategy. (Besides, it’s always a good idea to add a new income stream.)

Screeshot of IG post from @theembroiderycart

Set up a shoppable account

Instagram has been making huge strides in making the platform more business-friendly. From shopping-focused features like the Explore tab to product tags to shoppable posts to shoppable Stories. 

The most recent layout update and Instagram Checkout, make it even easier for people to shop right from the Instagram app.

Turn your Instagram account into a business account and take advantage of these features. And don’t forget to create a product catalog to make your products stand out more!Post your products

Hype up your products through regular Instagram posts and Stories. Use Instagram analytics tools to measure your success so that you can see what’s working and what is not. Also, be sure to engage with your audience.

It’s that easy!

Three Tips on Using Instagram for Business

Instagram is growing by the day. More and more people are getting interested in making money on this popular platform. So, how do you ensure that you remain at the top of your game? Always stay in the loop on new trends and rules that are necessary to make money on Instagram.1) Know the ins and outs of Instagram for business

Understand how the Instagram business account works and the features that are only available to business accounts. Make sure you also understand how you can leverage the business account to make more money on Instagram. 2) Launch an Instagram Shop

The biggest advantage of having an Instagram shop is that you can integrate your product catalog with your Instagram profile. With this feature, you can promote your products directly to Instagram users through a special Shop tab on your profile, Stories, posts, and in the Explore tab.3) Learn the Do’s and Don’ts of selling on Instagram

Instagram has detailed rules on how you should post, the types of images or videos you should post, and how many times per day you can post. There’s also a limit to the number of hashtags to include. 


Make sure you follow these rules to improve your chances of making money on Instagram.

title cover of blog post How to Make Money on IG as a Content Creator

Let’s Get That Money!

Instagram is growing exponentially and brands are investing a significant sum of their marketing budgets on the platform.

Whether you’re just starting out or are a seasoned IG user, you can learn to make money using the platform’s new features. And now there’s a ton of info out there (including this post!) on how to do just that.

So go on and turn that thought of making money on Instagram into reality by implementing these Instagram money-making tactics.

Happy influencing!


 

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We accurately measure real-time and historical social media data, illustrating information in easy-to-read graphs and layouts that simplify reporting and strategizing. Our product helps you effortlessly track #hashtags, keywords, @accounts and URLs on Twitter, Instagram, Youtube and Facebook. Use us for real-time campaign monitoring and optimization, brand monitoring and optimization, and data-driven market and competitor research. https://keyhole.co

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Choosing the right influencer?

If you're not super-confident about your influencer selection abilities, you're not alone. In fact, about a third of marketers are in the same boat. We have a pretty fool-proof method for choosing influencers - data. Yeah, we just hate guesswork so much...

So we analyze everything from follower count to favorite platform to family life to brand affinities to determine exactly who would be the best creator to get your audience to take specific actions.

Let us show you how your campaign goals and your influencer selection process fit together. Click below to schedule a call.

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Instagram Announces New Features for Creators to Make Money

Instagram is working on a new suite of tools to help influencers and creators make money on the platform.

The company announced it is developing three major new monetization features for creators: Creator Shops, affiliate commerce, and a “branded content marketplace.”

Here’s everything you need to know:

What Are the New Instagram Creator Monetization Features?

In a recent Instagram Live broadcast, Facebook CEO Mark Zuckerberg and Head of Instagram Adam Mosseri shared how the platform is evolving to “help creators make a living over the long run.”

As part of these plans, Instagram will launch Creator Shops, affiliate commerce (i.e commission payments for product sales), and a new “branded content marketplace” to connect influencers and brands.

These features will financially reward influencers and creators that drive sales for brands by using Instagram’s shopping features.

Creator Monetization Feature #1: Creator Shops

During Creator Week — a week dedicated to helping creators grow using Facebook and Instagram tools — Zuckerberg shared more about Instagram’s Creator Shops.

Source: Instagram

“[For creators] who want to sell your own products and merchandise, we’re going to make it easier to add an existing shop or open a new shop on your personal Instagram profile,” said Zuckerberg.

This can be done one of two ways:

  • Creators who already have an existing product offering can now link their shop to both their personal and business profile – available globally as of today.

  • Creators new to shops will be able to set up a shop through the Instagram app. They’ll simply link their account to one of Instagram’s merchandise partners: Bravado/UMG, Fanjoy, Represent, and Spring. However, this feature will roll out to all eligible creators in the US by end of the year.

Souce: Instagram

The goal of Creator Shops is to make it as easy as possible for users to buy directly from creators, within the app.

Ready to join the world of Instagram e-commerce? Find outhow to set up Instagram Shopping for your businesshere.

Creator MonetizationFeature #2: Affiliate Commerce

Alongside Creator Shops, Instagram has also introduced a new affiliate commerce program for influencers and creators.

This means that creators will earn a commission payment (a rate set by brands) when they generate a product sale for a brand on the app — completing the 3-sided marketplace of social commerce.

The tool will also feature a label letting users know that their purchase will directly support the creator.

Source: Instagram

During Creator Week’s opening remarks, Zuckerberg revealed: “The affiliate tool [will] allow you to discover new products that are available on Checkout and share them with your followers to earn a commission for the purchases you drive, all within Instagram.”

Find out more about how creators can useaffiliate marketing to make money on Instagram in this blog post.

Creator MonetizationFeature #3: Branded Content Marketplace

Finally, Instagram announced plans to help brands match and discover emerging influencers whose reach would be an ideal fit for their audience.

Similar to TikTok’s Creator Marketplace, this would be the first move by Instagram to step into the influencer-brand collaboration space.

“We should be able to help brands find creators that are uniquely aligned with the work they’re trying to do and vice versa,” shared Mosseri. “If we can help with matchmaking, we can help drive more dollars to the smaller creators who can do amazing work for brands.”

No exact details were shared on how deals might be structured, but Zuckerberg said they offer “very favorable terms” to creators.

With tools that support creators financially, it’s clear that Instagram is moving in the e-commerce space and committed to helping creators accomplish their goals.

Stay on top of all the latest Instagram feature releases by signing up toLater’s email newsletter— delivered straight to your inbox every week:

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Instagram to Add New Ways For Creators to Make Money

Facebook CEO Mark Zuckerberg shares details about new features coming to Instagram that will allow creators to get paid for their content.

The features, announced this week during a livestream which included Instagram chief Adam Mosseri, will enable content creators to earn multiple revenue streams.

Creators will be able to generate income through:

  • Partnerships with brands
  • Selling merchandise
  • Recommending affiliate products

There’s nothing to stop Instagram users from earning revenue in those ways already. But they have to do it through their own means, which requires contacting brands, setting up e-commerce stores, and joining affiliate programs.

Instagram is aiming to streamline those processes by making it easy for creators to accomplish everything within the app.

That also serves Instagram’s interests, as the company makes no money when creators establish partnerships with brands on their own, or sell goods through their own stores.

By keeping all revenue-earning activity within Instagram the company can take a cut for itself, and/or charge service fees.

How Instagram plans to profit from the new features is unclear at this time. Here’s what we do know about the new ways for creators to make money.

New Ways For Instagram Creators to Earn Revenue

Connecting Brands With Creators

Instagram is developing a “marketplace” for brands where they can discover and sponsor emerging creators.

Mosseri says:

“We should be able to help brands find creators that are uniquely aligned with the work they’re trying to do and vice versa.”

This will simplify the process of establishing brand partnerships for both parties. And it sounds like it can help draw attention to creators who otherwise may not end up on a brand’s radar.

Instagram Creator Shops

Instagram creator shops will allow users with regular accounts to sell merchandise on their profile.

Creator shops are an extension of Facebook & Instagram shops that were introduced last year. Previously only available to business accounts, regular users will soon be able to create their own store on Instagram.

Zuckerberg states:

“We see a lot of creators setting up shops too, and one part of being a content creator business model is you create great content, and then you can sell stuff, and so having creator shops is awesome,”

Affiliate Recommendation Marketplace

Instagram plans to help creators get paid for promoting content in the app.

Zuckerberg says:

“Creators should be able to get a cut of the sales of things that they’re recommending and we should build up an affiliate recommendation marketplace to enable that to all happen.”

This will make it easier for creators to find opportunities to earn commission through recommending products.

The development of an affiliate recommendation marketplace may allow creators to find more products to recommend that align with their values.

Given that the whole thing will be facilitated by Instagram, it has the potential to offer more favorable terms for creators than existing affiliate programs.

Zuckerberg and Mosseri did not say when these features will be available, though they promised to reveal more information soon.

Source: CNBC

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how does the creator of instagram make money

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