Over the past decade, the internet’s influence has been immense, which has led to large businesses changing their approach towards incorporating online marketing campaigns. Social media platforms are the most popular ones on the internet, and thus in today’s highly competitive market, social media campaigns play a vital role in success. Hence, the influencer marketing cost is the major spent on social media marketing.
However, one thing that is also equally important is adequate knowledge about how much you would pay an influencer on a social platform. It could be tricky for startup business owners, and a common mistake is not searching enough.
The truth is that there are no fixed criteria that can be used to determine the Influencer marketing costs. However, to reach a reasonable decision, you need to consider some factors that would help you reach a better and rational decision.
Factors that affect the expenses of influencer marketing cost
The following are some of the factors you need to consider before choosing a social media influencer to assist you in the Influencer marketing campaign. Furthermore, the cost should also be determined once you are satisfied with the factors stated below.
Social media platform
The first thing you need to consider is the social media platform you want the influencer to use. Since the cost of influencer marketing is different across various channels, it can be through that every social media platform has its exclusive rates. Therefore, the starting point should always be the type of platform that you intend on using.
The most popular platform used by influencers is Instagram, followed by YouTube and Snapchat. Although unlike what many might think, Facebook and Twitter aren’t precisely the platforms known for influencer marketing.
The social media marketing campaigns are essential because it has the most extensive audience pool. Therefore, the chance of finding people that are interested in your business or service is a lot higher. Additionally, when you choose the right influencer for the task, its audience would be willing to take their word for it thus. However, the marketing campaign matters. You need to ensure your product or services also meet their expected quality.
Another important thing that plays a crucial role in determining the influencer’s remuneration is its following. Traditionally, companies considered the advertiser’s potential reach to decide the advertisements’ cost, and the following concept is its digital counterpart.
The main idea behind it is that the higher follower count would directly contribute towards more people discovering your brand. So, normally influencers that have a higher following are the ones that would demand higher charges. A marketing report by Digiday’s state on influencer marketing states that the gold standard for social stars remains their following
Ideally, when looking for an influencer to play a part in your influencer marketing campaign, choosing the one with a higher following is the best way to increase the brand reach. The brand awareness would see a significant rise, and the user would have a higher potential for success.
A common problem with social influencers is followed bots. The problem with it is that although they have an increased follower count, the engagement is shallow; thus, the chance of attracting an audience to your brand doesn’t increase much.
If your posts’ engagement is higher, the influencer marketing campaign becomes a lot more efficient and useful for the company. Additionally, the social media algorithms prioritize engagement. So, positive engagement would see the post getting more popular among the audience. Influencers with a higher engagement also usually have a great reach which is beneficial for the brand.
So when determining the costs, engagement is one thing that you need to look out for to ensure that you don’t engage in unnecessary costs. Although, a higher engagement would also mean that the campaign would be expensive.
Another thing that may influence that cost is the type of product that you are offering. If you intend to introduce products or services that aren’t exceptionally rare, generally, the campaign’s costs would be lower.
However, if you are running a marketing campaign for a car, the campaign would be expensive. Therefore, you need to consider the factor when preparing a budget for the operation. As a general rule, the price of your product would influence the campaign cost.
Agency or direct partnership
Sometimes you might not find someone who has the required followers or engagement level and can assist you in the marketing campaign. Thus, you might turn towards a social media agency that would provide you with the desired influencer.
If you are working with a talent agency, you need to keep an extra small portion to pay them for their services. Such agencies keep a commission for directing the business with the influencer. It’s unnecessary, but influencers that are a part of an agency would charge a higher fee since they are usually more experienced in the field.
The scope of the campaign is another thing that will impact the costs. To determine how it will affect your budget, there are few things that you need to be aware of:-
- The total amount of posts that you want the influencer to post on your behalf? a higher number would cost more charges
- Content creation is one of the essential things, and not every influencer would be willing to help you through it, but some would charge extra to prepare content.
- Specific influencers would charge a higher fee if you want them to cross-post your content on other social media profiles
- Do you want the influencer to keep your business-related post on their profile permanently? If so, you might have to pay extra for that as well.
How much does influencer marketing cost?
Although there are no set numbers since multiple factors influence the cost, the budget you need to separate is $5000 to $10,000. Specific marketing campaigns might even exceed the numbers, but this is an estimate to remember.
The final decision would depend on the person depending on the circumstance and influencer marketing that the business owner wants the influencer to perform. So, it would be best if you had a clear understanding of your expectations, giving you the best answer to the question.