Would you like to learn how to make money on Instagram? There are numerous options.
Wherever the money is, that's where the creators go. And, with money pouring in from competitors' creator funds, Instagram is doing its part to diversify the platform's revenue streams.
With a growing number of creators shifting away from sponsored content and toward audience monetization, Instagram's multi-pronged strategy may just make sense and money.
There are four main ways to make money on Instagram right now:
Working as an influencer to post content sponsored by brands is a great way to make money.
Sell other people's products as an affiliate marketer.
Tips and advertisements can help you monetize your content.
Become a business owner and sell your own goods.
Continue reading to be inspired by creator examples and to learn general tips that can be applied to all four tracks.
In India, Instagram has nearly 180 million users, and the number is steadily increasing. As a result, many Instagram users in India are increasingly looking for new ways to profit from the platform.
Following the ban of TikTok in India, Instagram launched Reels in July 2020. Reels is now available in more than 50 countries, and the platform has begun to include full-screen ads in Reels that can last up to 30 seconds.
India is a data-first market, with video accounting for nearly 70% to 80% of all data in the country. To compete with YouTube and other platforms, Instagram is relying on IGTV and Reels. Instagram is feeling the heat after YouTube announced a $100 million Shorts fund.
Facebook and Instagram intend to pay $1 billion in incentives to creators. The payments will be made until 2022 as part of the company's effort to “reward creators” who create content on its platforms. Facebook is desperately attempting to entice creators away from platforms such as TikTok.
The platform's Black Gaming Creator Program, which debuted last year, is expected to pay out a total of $10 million over the next two years in order to entice gamers away from Twitch.
If you've managed to expand your reach and influence on the platform as a creator, it's past time to start monetizing your presence. Let's address the elephant in the room before we get into how to make money on Instagram in India.
You've probably heard stories about Instagrammers making money off the photos they take and share on a daily basis. You might have even thought to yourself, “Maybe I can do that too,” as you looked at your own sizable following.
Instagrammers, like bloggers, YouTubers, and anyone who's built an audience around their content, have figured out how to reach and influence an audience—two things that many businesses struggle with.
Together, these two factors provide Instagram creators with the opportunity to explore multiple revenue streams, whether they want to build a business or just make some extra money and get some free stuff.
How many Instagram followers do you need to make money?
If you're wondering how many followers you'll need, the short answer is “not nearly as many as you think.”
The long answer is dependent on a variety of factors, including:
What kind of niche are you in, and how easily can you link it to a product category? (fashion, food, beauty, and fitness are popular niches, based on top Instagram hashtags)
How engaged your followers are (a hundred thousand fake followers won't make a difference).
Which revenue streams are you looking into?
It goes without saying that the more engaged followers you have, the better. Before you get started, read our tips on how to get Instagram followers and how to get the Instagram blue tick (or become verified).
While top Instagrammers earn thousands of dollars per post, even those with a 1000-strong but engaged following have the potential to start earning money.
How To Make Money On Instagram?
You can make money on Instagram in a variety of ways, depending on your unique brand of Instagram content, your audience, and your level of commitment:
Sponsored posts for brands looking to reach out to your audience.
Become an affiliate and earn money by selling other people's products.
Using advertisements to monetize your videos or content
Another way to make money on Instagram is to go live with badges.
Creating a physical or digital product and selling it, or providing a paid service.
Licenses for your photography or videos are available for purchase.
Attract people with compelling content.
The beauty of this is that pursuing one revenue stream does not rule out the possibility of pursuing another.
So, using that rule as a guide, let's begin with the most common method of Instagram monetisation: collaborating with brands as an influencer.
What's the best way for me to work with brands on sponsored posts?
The term “influencer” is frequently used these days.
An influencer is someone who has made a name for themselves online by doing and sharing amazing things. Influencers are tastemakers, trend setters, and trusted experts whose opinions on certain topics are valued by their audiences. Influencers play an important role in assisting you in making money on Instagram.
Because many brands can't compete with that, they turn to influencers for sponsored posts that help spread the word about their products.
Brands are interested in more than just the size and reach of your Instagram account. It's your audience's belief in you and their willingness to engage with your content.
It can be difficult to strike a balance between your income as an influencer and your integrity as a creator, but if you're not reliant on Instagram for a living, you always have the option of being picky about the brands you work with, just as brands will be picky about the Instagrammers they work with.
As an influencer, how do you decide how much to charge?
Typically, influencer deals entail the creation of content—an Instagram post, video, or Story—and may include permission for the brand to use that content on their own website or in an advertisement.
The majority of these deals are negotiable, and they can include a single post or an entire campaign in exchange for a fee, a free product, a service, a gift, the promise of exposure, or a combination of these.
When negotiating, keep in mind that you're not just giving away content; you're also giving away access to your audience, a potentially large reach on one of the most popular social platforms, and usage rights.
In a survey of 5,000 influencers, around 42% said they charged $200 to $400 per post—just to give you an idea of what some brands are willing to pay and how to negotiate based on your cards.
Finally, as an influencer, it's critical to understand your own audience.
What is your audience's make-up, and what is your engagement rate (total engagement divided by the number of followers)? If you've switched to a business account, you can find numbers to back this up in your Instagram Analytics report. This will assist you in being ready to negotiate when the time comes.
Become an affiliate
In exchange for a commission, an affiliate, unlike an influencer, is more invested in making sales for the partner brand rather than just raising awareness.
To ensure that clicks actually translate into sales, this is usually done with a trackable link or a unique promo code. Because Instagram doesn't yet allow links outside of your bio, you can only focus on one product at a time if you use affiliate links. Promo codes, on the other hand, are a better option for Instagram because you can actually use them in your posts.
Consider contacting one of the numerous online merchants who offer affiliate programmes in which you can participate. You can also look into popular marketplaces such as:
ClickBank is an open-to-all affiliate platform with a tier-based commission structure.
RewardStyle is a fashion and lifestyle influencer network that accepts only invitations and pays 20% commissions.
The Amazon Affiliate Program is a popular option that pays a 10% commission.
Though it may appear to be a numbers game, affiliate marketing is an art, and you'll have a better chance of succeeding if you plan ahead of time and expand your online presence to include a website and other marketing channels.
Monetization is another way to make money on Instagram. Pick a few brands to help you out from the sea of brands looking to promote and advertise their product or service.
You could easily make money on Instagram by streaming ads in your video content, similar to how you can on YouTube. The amount of money you make is determined by the number of people who watch your video. The catch is that, according to Instagram Business, you will only be able to keep 55% of the revenue generated per view.
Brands usually work with Instagrammers to promote their products and services; unlike brand partnerships, these arrangements are more transactional. You will be expected to promote a post or video as a content creator in order to raise awareness for the brand with which you are collaborating.
Unlike brand partnerships, these agreements are typically handled by marketing agencies that work with the brands. As previously stated, the number of followers and engagement rate determine the average revenue per post.
If you have a product you'd like to sell on Instagram, you can do so by creating a store. This necessitates the creation of an Instagram account for business as well as a product catalogue. You can promote your product catalogue after you've set it up by making all of your content shoppable. On the Instagram surface, you can tag products with hashtags. You can also categorise your products into various collections.
Instagram Shopping's user interface is overlaid on an Instagram story of a man holding up his hand.
You can work with brands to promote their products and services as a content creator. Instagram has set some guidelines for sponsored content that you must adhere to. Drugs and weapons are prohibited from being promoted by creators.
The amount of money you make from sponsored content is usually determined by the number of people who follow you and how engaged they are with it. Instagram's rules, as well as new ASCI rules, both require you to disclose paid partnerships. We recommend reading Instagram's full list of scenarios to better understand what constitutes a sponsored or paid partnership.
Fan Membership & Exclusive Content
Patreon is a membership site that allows artists and creators to earn a monthly income by giving their subscribers rewards or perks. Placing the Patreon link in your Instagram bio is the easiest way to promote it. Additionally, you can include a link to Patreon in your posts and stories on the platform.
Conducting a giveaway contest is another effective way to promote your Patreon account. You can specify that a follower must choose Patreon membership to be eligible for the contest when creating contest rules.
Long-form videos, such as tutorials, step-by-step guides, and behind-the-scenes content from your channel, can be published through your Patreon account.
License photographs and videos
You can licence your photographs and videos to select brands as a content creator. If a company wants to use your photo or video, they must pay you a fee.
But this is clearly a complicated domain, and Instagram's recent policy changes have only added to the confusion. The platform's terms state that they have a non-exclusive, fully paid and royalty-free, transferable, sub-licensable, worldwide licence to use the content of users. Apart from the fact that it is not an exclusive licence, this means Instagram has all of the rights from the original content owner.
As an influencer, you can help other content creators grow their audiences by sharing your knowledge and expertise. Instagram Consultants are always in demand by brands, small businesses, and individuals looking to improve their online presence on Instagram.
You can charge $15-$50 per hour as an Instagram Consultant; more experienced Instagram Consultants usually charge $50-$100 per hour. Most creators in India have no idea how to make money from Instagram, so as the platform grows in size, there will be a greater demand for consultants.
To be eligible for monetization as an Instagram content creator, you must follow the platform's content monetization policies. If you are unfamiliar with the rules, please read them carefully and thoroughly. Finally, how much money you can make as an Instagrammer is solely determined by how well you can engage your audience. The services listed above are a good place to start if you want to make money with Instagram.