Guide To Pricing Your Instagram Sponsored Posts
Social media is constantly changing. Even though this makes pricing sponsored posts a confusing topic to navigate, there are general guidelines that are currently in place that countless of creators are using.
We need to keep in mind that as an influencer, you are becoming powerful marketing assets for brands.
Your ability to sell thousands of products for a company, or make a trend go viral, is known by brands. They want to use your leverage to make money. Therefore, one crucial aspect you need to master is pricing your sponsored posts accurately.
You need to get paid what you’re worth!
If you’ve found yourself Googling, “How much do I charge for sponsored posts?” or you’re a new influencer seeking guidance, you’re in the right place.
In this article, we’ll dive into how to price your Instagram sponsored posts!
Understanding Platform Dynamics
It is important to know that each social media platform is unique—YouTube, TikTok, Instagram—they all have distinct dynamics that influence how much you can charge for sponsored posts.
This post will focus on Instagram, because that is currently where most brands are focusing on sponsored content. Yes, there are opportunities on YouTube and TikTok – we have more videos & articles about those platforms for you to go read!
Engagement is the #1 key factor here, and it’s necessary to understand that a high follower count doesn’t necessarily translate to a higher charging rate.
The engagement rate, reflecting likes, comments, and shares, is the true measure of your influence.
This can be hard for people to read, because for YEARS, follower counts held such big weight. But, your follower count it isn’t as influential anymore.
Factors Influencing Sponsored Post Pricing
There are two critical factors to determine your sponsored post pricing: your follower count and engagement rate.
Let’s break down these factors and their suggested pricing for different influencer tiers:
- Nano Creators (0-10,000 followers):
- Charge: $10 to $200 per post.
- Micro Creators (10,000-100,000 followers):
- Charge: $200 to $1,000 per post.
- Mid Creators (100,000+ followers):
- Charge: $1,000 and above per post.
These amounts are just averages, and you can absolutely get paid more (or less!) than these price ranges.
But, these numbers are really broad. How do you know how much to actually charge? Let’s go over the quick formula to determine your Instagram Reel pricing!
Pricing Based on Engagement Rate
The engagement rate is the secret sauce that can help you increase your sponsored post pricing.
While the industry norm is the 1 to 2% rule, the 3 to 5% rule actually a more preferred metric.
For example, if you have 20,000 average views per video, calculate 1 to 2% of that to determine a potential charge.
That can turn out to be $200 for a post. But, let’s say you have 75k Instagram followers. Should you still charge only $200…?
As influencers, the number of followers you have is just the tip of the iceberg; it’s the engagement from your audience that truly defines your influence.
So let’s say you have an average engagement rate of 1.5% – that’s great! This is what they call the “benchmark” engagement rate.
Since you have a good engagement rate, you can charge higher in the range of your follower count.
The follower count range is approximately $200 to $1000 PER Reel. Therefore, I’d suggest charging $800 per Reel for this example.
Let’s go deeper into the significance of the engagement rate and how it plays a pivotal role in determining your worth in the world of sponsored posts!
Understanding Your Engagement Rate:
The engagement rate is a measure of how actively your followers interact with your content.
It includes likes, comments, and shares, reflecting the level of connection your posts have with your audience.
Creators recently have been pushing for the 3 to 5% rule, in order to get the payout for branded content that they deserve.
This would then look like: If you get an average of 20,000 views per video, the 5% rule would say you could charge $1000 per Reel. (.05 x 20000 = 1000)
A higher engagement rate often indicates that your content is resonating deeply with your followers, making your influence more valuable to brands. Brands are increasingly recognizing the importance of not just reaching a large audience but reaching an audience that actively participates and engages with the content.
A high engagement rate also gives you leverage in negotiations.
It demonstrates to brands that your audience is not just big but actively involved, making their investment in your account more impactful.
The higher your engagement rate, the higher you can negotiate, knowing that your influence goes beyond mere numbers.
Other Instagram Posts
The information above was focused on Instagram Reels (short form video content). But, it’s important to keep in mind that not all sponsored posts are created equal.
Each type—be it static, story, carousel, or Reels—brings its own set of challenges and demands.
I highly recommend customizing your pricing strategy to reflect these different post formats.
- Recognizing the Diversity of Post Types: Static posts capture a moment in time, story posts connect your followers with your channel’s story, carousel posts offer multiple images or videos, and Reels involve short, dynamic videos. Each demands a different time commitment.
- Align Pricing with Follower Tiers: Influencers with a larger and more engaged following should automatically be able to charge higher rates (but it is not an exact formula).
- Nano Creators (0-10,000 followers): Considering the lower follower count, a nuanced approach may involve charging $10 to $200 per post, depending on the specific post type. If your engagement is very high, you could charge $200 (remember these are NOT hard limits, but are suggestions).
- Micro Creators (10,000-100,000 followers): With a moderately larger audience, the pricing range expands to $200 to $1,000. Remember, the idea is that if your engagement is high, you should charge in that higher end of the range.
- Mid Creators (100,000+ followers): Influencers with a substantial following can confidently charge $1,000 and above, recognizing the broader audience reach. I personally know a pet creator with ~50k followers charging $3000 per post – it’s all about engagement.
- Considering the Effort Invested: Reels, for instance, take more time, creativity, and editing skills than static posts (photo or carousel posts). Before choosing your base pricing, consider how much time it takes you to film, edit & submit video content!
- Charge Per Piece of Content: If a brand seeks two Reels, calculate the base price for one Reel and then multiply it by two. You can also make your own package deals (I’ve done this multiple times).
The Impact on Long-Term Partnerships
If you want to do repeat deals with brands, one of the best things you can do is maintain a consistently high engagement rate.
Brands are more likely to invest in influencers whose audience consistently interacts with their content.
I recommend sending a thank you email after a brand deal or even checking back in after a few months to see if they’d be interested in another deal.
If you have a sponsored post do very well, you can reach out to a brand with your analytics and negotiate another sponsored post opportunity!
Determining how much to charge for sponsored posts is confusing, I get it!
The key with all of this is that you want to be paid fairly for the effort you put into making your content. And, if you have an amazingly engaged follower base, you want to make sure you’re being paid well.
Utilize the 1-2% rule to determine a base price for an Instagram Reel and play around with different pricing options for Story posts & static posts.
Now you’re ready to land your first high paid sponsored post deal!