As an influencer/content creator, justifying your rates to your clients can prove to be a bit challenging. Your rates should come with guaranteed results—otherwise, your clients may not agree to the price you’ve set for your work.
When brands engage the services of influencers to produce content, they have certain targets which they use to gauge the success of the content. The most common indicator/metric measured is the number of times the content is viewed by the target audience. Depending on the social media platform, this metric is either referred to as Reach (number of unique views) or Impressions (total number of views).
In order to be a successful social media influencer, you will need to guarantee certain results—primarily that your content will reach its target number of views. Tip: Ensure the number you guarantee to clients is above average. When you consistently hit your targets, your clients will value you more and would want to work with you on a regular basis (read: more business for you).
There are primarily two ways to do this. The first way is by observing how your content is performing on a particular channel in general. Look at the performance of your content across different posting dates and times. This way, you will be able to better understand the ‘trajectory’ of your content’s performance.
Ideally, you should track their 7-day performance (or 24 hours for IG story). You can approach it this way:
Based on tracking multiple contents for 7 days respectively (or 24 hours for stories), you will get a good idea of how many views your content can get. Most importantly, be realistic with the number you guarantee your clients. If you feel that the average number of views you got from the method above is still high, you may opt to lower it down to a number you are certain you can hit every time. Or, if you feel (based on ample research and monitoring) that you could get more than your average number of views, you can guarantee a higher number.
However, to be able to see how your content is performing, you need to ensure that your Instagram account is a Business profile. (To convert your account to a business profile, you may follow the steps outlined in this article – Converting Your Instagram Profile Into A Business Profile – or see the diagram below:
Another way you can determine the number you could guarantee is by referring to the benchmarks below:
While it is not absolutely necessary to follow the table above, you may use it as a good reference. Again, the most important factor in deciding this number is what you are most confident in achieving. If you would like further clarification on how to determine and set your number of guaranteed views, send us your questions through the form below this article.
Now that you have an idea of how to determine the number of views you can guarantee, you can now set a competitive price for your content. Before proceeding to the actual calculation of much you should charge for a post, consider what price is considered competitive in general digital marketing terms. Based on the numerous digital marketing projects run by GetCraft over the past three years, we have found that influencer marketing is the most cost-effective way to native ads marketing, as compared to other similar channels such as Google and Facebook ads.
We can see that the average CPV – Cost per View – for influencer marketing is the lowest compared to other forms of native ads. The cost of influencer marketing generally includes the cost of formulating creative ideas for the content, producing it, and distributing it. In contrast, Google and Facebook ads have higher CPV, and their cost only covers the cost of distributing the content. Based on the data from the influencer marketing campaigns we’ve run at Getcraft, the average CPV comes to about PHP 1.00 for all social media channels.
You could use the benchmark CPV of PHP 1.00 to calculate your price. This can be done by multiplying the CPV (PHP 1.00 in this case) with your number of guaranteed views. For example:
This means that each piece of your content may be priced at PHP 10,000. If clients still consider your price expensive, you could then explain how you arrived at this value. And, if you use a lower CPV (e.g. PHP 0.50), your price will be lower, which will make you even more competitive, thus making clients more interested in working with you.
Suppose you guarantee 200,000 views for a post on Instagram, and take a CPV of PHP 0.50, then the price of your content comes to PHP 100,000 (200,000 x PHP 0.50), which is very attractive to clients.
However, do keep in mind that different content formats will have different costs, as they would require different amounts of effort and levels of preparation. Hence, as stated earlier, we advise you to consider how much effort is required to create and distribute your content, and if there are any costs incurred for its production. For example, a tweet does not require as much effort as an Instagram video (which may require props, location rental, etc.), therefore the Instagram video will be considerably more expensive than a tweet.
Now, if clients say, “ You’re expensive…”
Expensive? Not anymore actually—because compared to Google and Facebook, you are technically the most cost-effective option for the client. If you have reached this level, it means you are now more likely to become a successful social media influencer. Now, you not only guarantee high-quality content but also results, which creates business value for your clients.
If you still have any doubts, you can contact us via email@example.com