So how do influencers make money?
From an audience perspective, it can be difficult to understand just how influencers make their money as all they see are pretty pictures and videos, and none of the hours and hours of work that goes on behind the scenes.
A typical influencer whose full time job is to, well, influence, usually has more than one stream of income, which is a smart way to go. But what exactly are they?
Brand collaborations/ sponsorships.
A large chunk of an influencer’s revenue usually comes from brand collaborations and sponsorships. They work with brands to create content and promote a product. This is usually in the form of Youtube ads within a video, directly talking about the product, posting an Instagram picture, story, reel, etc. This can also develop into long term partnerships and ambassador programmes.
Affiliate marketing
This is an especially popular form for those in fashion. Affiliate marketing involves an influencer including a specific link to an item that takes you right to the website or the inclusion of a code. When you click on this or use the code on a website, an influencer gains a small percentage of that sale.
There are several apps including, LiketoKnow.it, and Rated Global which offer these services for influencers to use, rather than just relying directly on this type of marketing with a brand.
Advertising
Advertising revenue is usually associated in the form ads being placed in and throughout Youtube videos, which is also known as monetization. This income stream is usually dependent on views and click throughs. However, this has also been extended to IGTV and soon to be in reels.
These are typically some of the main forms of revenue for influencers, but are certainly not the only ways! Other forms to note also include: merch, events (pre covid times) and selling content creation rights.