Table of Contents
- 1 Influencer marketing is worthwhile for both sides
- 2 More channels, more money
- 3 The new trend influencers
- 4 Are influencers being overused?
- 5 What role do you believe artificial intelligence (AI) will play in the future of influencer marketing, and what are the potential benefits and risks associated with its implementation?
Influencers have more opportunities than ever to make money. Massonstock/Getty Images
The influencer economy is now valued at $250 billion, according to Forbes.
Influencer marketing has changed a lot in the last decade. You can now make money from multiple potential sources of income.
Authenticity and commitment are crucial to the growth of content creators, as well as starting their own businesses.
This is a machine translation of an article from our US colleagues at Business Insider. It was automatically translated and checked by a real editor.
The business of influencer marketing has exploded in the last decade and is getting louder Forbes now valued at $250 billion.
Ten years ago, influencer marketing agency Billion Dollar Boy estimated the industry was worth just $200 million.
How you can make money as an influencer has changed a lot in the last ten years, both in terms of where the money comes from – and in the fact that significantly larger amounts now generally change hands than before ten years ago.
“It has evolved from content creators unlocking advertising revenue on platforms like YouTube to a multi-channel industry where brands and influencers collaborate on social media,” said Nirozen Thav, co-founder and CEO of content licensing company Humant Life.
Influencer marketing is worthwhile for both sides
According to a 2014 report by influencer marketing agency Izea, the average cost of a sponsored post on Instagram rose significantly between 2014 and 2019, from the equivalent of 126.36 euros to 1,548.69 euros.
During the same period, the price for the average sponsored YouTube video rose from 395.95 to 6,317.09 euros.
On Instagram, content creators can now earn hundreds of thousands or even millions annually from partnerships.
On YouTube, channels can earn between 1.52 euros and 27.63 euros per 1,000 views, reported the media team at Business Insider – so the platform remains quite lucrative for influencers.
Channels that have over a million subscribers can easily earn six figures – and YouTubers with even more followers can sometimes earn millions.
More channels, more money
What has largely changed in ten years is how influencers and other media creators can maximize their income – both on and off social media.
Liam Parkinson, co-founder of Inflverse, a financial management platform for creator agencies, has made a name for himself on YouTube.
In 2013, he gained 750,000 subscribers to his channel – and has seen firsthand how the industry has evolved from a sole reliance on advertising revenue to brand sponsorships and deals.
Today, Parkinson says, the “smartest” influencers leverage “multiple revenue streams” – including brand partnerships, various merchandise products, or paid premium content through subscriptions. There is now also the option of contributing financially to channels as a fan.
Katya Varbanova, an influencerwho is now CEO of agency Viral Marketing Stars, told BI that she started creating content in 2015, mostly on former streaming platforms like Periscope and Busker. The latter sponsored Varbanovas a trip to a Snapchat conference in 2016 – and paid her $1,000 on top of that.
Back then, content creators were already content to receive PR boxes with products as payment for advertising, Varbanova said. Now they prefer to actually get paid for their work.
Varbanova was recently offered $5,000 for a 30-second TikTok video, which the brand was then allowed to license for three months. “Brands are now much more willing to actually pay influencers,” she says.
Jacob Lucas, there Relationship advice shares on TikTok and Instagram, started creating content about five years ago and decided to become a full-time content creator about a year later.
Lucas told BI that views have never made his career lucrative. Rather, he makes money from brand deals, where he charges around 8,000 pounds (9,614.64 euros) per video. Always with a little leeway, depending on how much he likes the company or product.
The new trend influencers
Savannah Britt, public relations specialist and CEO of Brittprint Agency, told BI that follower count used to determine whether an influencer could work with a company.
But now some of her clients are struggling to close brand deals — even one with over 10 million followers — because of the current engagement trend.
“Brands are looking for content creators who are trending right now,” Britt said. “Their salary and opportunities increase in relation to how hot they are at the moment.”
Die Influencerin Reesa Teesa was a great example of this, she said, because she basically became famous overnight and doubled her income when she posted a 50-episode series about her toxic ex-husband.
“She took advantage of the opportunity. This has opened up a lifetime of opportunities for her,” Britt said.
There is also a trend towards more authenticity in content creators’ marketing approaches as audiences grow tired of endless ads.
Dominic Smales, founder and former CEO of the world’s first digital talent management agency Gleam Futures, who just co-founded new creator marketing company GloMotion Studios, told BI that people went online in the 2010s precisely because of were bored with traditional media.
Are influencers being overused?
“They wanted to be entertained by people they could relate to and who were new, fresh and unfiltered,” he said. “The brands are now making it boring again for this audience.”
Although the potential for revenue is still high, content creators have long been exploited in a rapidly evolving economy and are also burning out due to high demand. Some companies are hoping to change that.
Parkinson hopes to use his agency Inflverse to address a particular problem: how long it takes for content creators and their management agencies to get paid.
Brands can take up to three months to pay out orders. Sometimes they don’t pay out at all – and there’s not much the influencer can do about it.
“Imagine working a normal 9-5 job and your boss tells you you won’t get paid for 90 days, and even then it’s not guaranteed,” Parkinson said.
According to Varbanova, the content creators who make the most of the fledgling industry will be the ones who use all the services available to them — especially as some marketers return to working with mainstream celebrities.
She said influencers would also be wise to become part or full owners of their own brands and companies, such as MrBeast with Feastables, Logan Paul and KSI with Prime and Charli D’Amelio with D’Amelio Footwear.
In this way, content creators “monetize their influence rather than relying solely on brand deals,” Varbanova said.
“This is the future,” she said. “That has always been the future of influencing — build a loyal audience and then release brands and products that you designed with that audience in mind.”
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What role do you believe artificial intelligence (AI) will play in the future of influencer marketing, and what are the potential benefits and risks associated with its implementation?
## Open-Ended Questions for Influencer Marketing Discussion Based on the Article:
This article provides a rich starting point for a discussion about the evolution and future of influencer marketing. Here are some open-ended questions, divided into thematic sections:
**Section 1: Earning Potential & Revenue Streams**
* How has the earning potential for influencers changed over the past decade, and what are the biggest drivers of this change?
* The article mentions multiple revenue streams for influencers beyond brand deals. What are the advantages and disadvantages of diversifying income sources for content creators?
* Share your thoughts on the statement: “Brands are now much more willing to actually pay influencers.” Do you agree or disagree, and why?
**Section 2: The Shifting Importance of Engagement**
* The article suggests that engagement is now more important than follower count for brands.
What are the implications of this shift for aspiring influencers?
* Do you think this increased focus on engagement is a positive or negative development for both influencers and consumers? Why?
* How can influencers ensure they are creating content that resonates with their audience and drives genuine engagement?
**Section 3: Exploitation and Burnout**
* The article highlights the potential for exploitation and burnout among content creators. What responsibilities do brands have towards influencers in this regard?
* What steps can be taken to create a more sustainable and equitable ecosystem for influencer marketing?
* Do you think platforms like Inflverse are a necessary step to address issues like delayed payments and contract disputes?
**Section 4: The Future of Influencer Marketing**
* The article suggests that influencers should consider building their own brands and products.
What are the benefits and challenges of this approach?
* How do you see the relationship between influencer marketing and traditional celebrity endorsements evolving in the future?
* Based on the article, what advice would you give to someone considering a career as an influencer?
**Beyond these specific questions, remember to:**
* Encourage participants to share their own experiences and perspectives on influencer marketing.
* Facilitate a respectful and engaging dialogue where all viewpoints are valued.
* Explore the ethical considerations surrounding influencer marketing, such as transparency, authenticity, and responsible advertising.
