Deciding on influencer pricing means taking a close look at the value you provide to brands and the potential partnerships you’d like to gain.

It’s hard to charge what you’re worth. Too often, we assume that people won’t value us, and we set our rates below what we could actually charge. But if you really want to get ahead as an influencer, you can’t be afraid of asking for more.

Common advice for a content creator new to influencer marketing is to go with a “standard” fee — an  internet rate based on only your follower count. But if you do this when planning a long-term relationship with the client, you can leave a lot of money on the table.

Here's a breakdown of the factors to consider as you set your influencer pricing.

Set up Your Account for Success

Before you decide on influencer pricing, you need to make sure you have what brands are looking for. Whether you’re a TikTok influencer or an Instagram influencer, you need to be on your game.

As brands review their options, they’ll consider your:

1. Number of Followers and Engagement Rate

While follower count is a good way of identifying a micro-influencer, nano-influencer, macro-influencer, or mega-influencer, an engaged audience will give you a higher bargaining power. 

For example, if you have fewer than 10,000 followers with a high engagement rate, you might be able to charge as much as someone who has as many as 50,000 followers with an average engagement rate. In fact, studies also show that brands prefer micro-influencers because they have more niche audiences with higher levels of engagement.

2. Content’s Relevance to Their Target Audience

Brands need to know that the type of content you create aligns with their campaign. Having an engaged audience who’d be interested in their products is key to moving forward with a partnership and negotiating influencer rates.

3. The Quality and Consistency of Your Content

Influencer marketing has a secret ingredient – trust. According to a study by Digital Marketing Institute, “70% of teenagers trust influencers more than traditional celebrities.” 

This just shows the value of nurturing your social media community by creating valuable content consistently and connecting with followers. Brands want to tap into that trust.

4. Your Credibility and Previous Brand Partnerships

One of the best ways to earn as an influencer is through brand sponsorships. But brands only keep investing in you if they get their return on investments. One way they’ll decide if you’ll provide value is whether you grew your followers organically rather than through bots. Another is by seeing previous brand partnerships — include screenshots of these campaigns as well as testimonials in your media kit.

5 Factors That Affect Influencer Pricing

There are several other factors to consider when setting your rates in order to maximize the value you offer and the earning potential of your brand partnerships:

1. Brand Exclusivity

Brand exclusivity, such as being a brand ambassador, should tie with a higher rate. If you agree to work exclusively with a single brand and not to promote any competing brands or products, that limits your opportunities for income growth and diversification.

Exclusivity is a boon for brands, which means they should pay more. While working only with a single brand can provide you with a reliable source of income and a higher rate, it limits your ability to build relationships with other brands.

2. Usage Rights

Usage rights refer to the specific ways in which a brand can use the content that you produce for them. If a brand wants the right to use your content for other purposes such as advertisements, they should pay more. After all, that means you can’t use the content for other purposes, which may limit your opportunities.

Influencers may want to control and protect their own intellectual property by not agreeing to certain brand usage rights. However, if you decide to move forward with a brand’s proposed usage rights, you can charge a premium to compensate for the additional value you’re providing to the brand. 

Make sure the usage terms are clearly laid out in the agreement you sign with the brand. Usage rights agreements can be complex, so you may need outside legal advice or guidance in order to fully understand your rights and obligations.

3. Your Industry or Niche

A brand’s industry and target audience can have a significant impact on influencer pricing. Influencers who work with luxury brands, for example, may charge more for their services due to the higher perceived value of luxury brands.

The target audience of a brand can also affect an influencer's pricing. Influencers who work with brands that target a mass-market or middle-class audience, for example, wouldn’t charge as much as those who work with brands that target more affluent viewers. 

Reach out to creators or influencers with a similar target audience to see what they charge for their services. This provides you with a benchmark average price for different  types of content.

4. Scope of the Campaign 

The type of influencer campaign and the scope of the work involved should guide the price of your services. For example, a single sponsored Instagram post will cost less than a multi-platform campaign that includes TikTok videos, Instagram Reels, Instagram Stories, and YouTube videos.

This is because a sponsored post on a single social media platform may have limited reach and engagement compared to a multi-platform campaign with a variety of content formats and reaches a broader audience on various social media channels. Also, you’ll put in more time, effort, and resources to produce and promote a multi-platform campaign.

The type of influencer marketing campaign you work on can also affect the value and potential impact of your content. For this reason, you can charge different rates depending on the types of influencer partnerships you offer. Consider how different types of partnerships offer the brand more or less value and how much effort you’ll need to put in.

5. Additional Services

Include a few add-on options for brands who are looking for something a little different. Consider offering additional services that might interest a brand who’s already hiring you for content. 

For example, if you have an email list, you could pitch a brand mention in an email to your subscriber list. Or, you could offer a social media post created in collaboration with other influencers the brand might be interested in. A few other add-ons include free product giveaways, a link-in-bio feature, and a caption mention.

Break down these services in your Influencer media kit so the brands understand what you offer, how it’ll provide value, and how much each service costs. All these are add-on services to your flat rate, which should be in line with what influencers charge in your niche and follower count level.

Charge What You’re Worth

Setting your rates as a social media influencer is an important decision that affects your income and the kind of brands you work with. To make the best choice for your content creation business, it's important to consider a range of factors, including usage rights, brand exclusivity, your industry, the scope of the campaign, as well as the specific requirements and marketing goals of the brand.

When you consider these factors, you can ensure that you are charging appropriate rates for your services and maximizing the value of your brand partnerships.

For more social media marketing insight and tips on monetizing your social media presence, visit the Hype blog.