If you think your business does not need influencer marketing and it is a waste of money and time. Here is a stat that speaks for itself.
“over 80% of marketers who had collaborated with social media influencers for social media campaign found them effective for driving both engagement and awareness.”
Since we know how effective influencer marketing is you must be wondering how much does influencer marketing cost you. Well, there isn’t a clearcut answer to this question but there are some factors on which the cost of Influencer marketing depends used by marketers, agencies, and influencers themselves. Understanding these factors allows you to adjust your rates accordingly so that you can find a price that works for both you and the influencer. So let’s get started.
#1 Social media platform
The most basic factor for evaluating influencer marketing budget is which social media platform are you choose. Each social media platform has its own “market” rate. Instagram is the most preferred choice for social media influencer marketing followed by YouTube and Snapchat.
#2 Following of the Influencer
The number of followers is still the set benchmark of a social star’s influence. So influencers with a larger following will usually charge more. But there is also a possibility that influencers can buy fake followers to increase their follower count. So the educated brands are also using other metrics like post engagement to price their influencer marketing campaign.
#3 Post Engagements
As I mentioned above the number of followers can be forged by buying fake followers. So the alternative to a number of followers is how much post engagements does an influencer is getting on his posts. If the influencer is able to get its followers to engage with their social media posts, the influencer marketing campaign becomes more effective.
Also, the algorithm of most of the social media platforms works in the favor of posts with more engagements. Hence, the higher the engagement rate the influencer gets, the more expensive the campaign will be.
#4 The product you want to sell
The cost of your influencer marketing campaign depends heavily on the product your selling. Actually, the cost of influencer marketing is directly proportional to the cost of your product. Which means the more expensive your product is, the more expensive the campaign will be.
#5 How do you Approach your Influencers
Basically, there are two ways you can approach an influencer.
- Through an agency
- or approach directly
Approaching through a talent agency is more expensive than working with an influencer directly as he talent agency would usually to charge a commission for connecting you with the right influencers.
The last factor that affects your influencer marketing budget is how big your campaign is and how do you want to go about it. For example, some of the factors are.
- How many posts do you want from the influencer?
- Who creates the content? You or the influencer?
- Do you want the influencer to cross-post to their other social media profiles?
Basically more the influencer has to work more he/she will charge.
So these were the 6 factors that affect the cost of Influencer Marketing. So, if you are looking to adopt the influencer marketing as one your marketing strategies these are the factors you can estimate your budget on.