By Alex Ditty
Managing influencer compensation for your next campaign
Determining influencer compensation can be tricky for even the savviest influencer marketing experts. The discovery process, finding the right influencers for your campaign, is hard enough. But once you’ve identified a good fit, you need to figure out how much to pay them. Some marketers will look for a quick-hit solution to influencer discovery by leaning on influencer marketplaces where the influencers are fast to find and seemingly very affordable. However, this tactic can deliver a serious hit to the authenticity of your promotion.
As the marketer representing your business, you need to be aware of your budget for the campaign and keep the compensation within those margins. But as a marketer partnering with human content creators, you want to make sure the influencer feels valued enough that they share their best work.
So how do you balance these two factors?
There is no silver bullet when it comes to compensation. There is no magic formula to determine an influencers’ value. In fact, there aren’t even industry standards for influencer rates. Each influencer is unique in the content they create and unique in the compensation they require.
So in order to achieve that necessary balance and build an effective influencer marketing program, it is important to develop a full understanding of who the influencer is and “who” your brand is. Figure out what makes the influencer unique and how they can add value to your brand. The convergence of those factors will help you understand how much you should pay influencers for your next campaign.
Know who you’re working with
There are many factors to take into account when you’re determining which influencers to work with on your campaign. You’ll determine the value of an influencer on metrics such as audience size, engagement rate, and content style. Let’s dig in on a few of the most important factors:
Reach (the number of followers an influencer has on a given channel) is the easiest and most apparent audience metric. However, you cannot reliably determine compensation (or value) based on reach alone. An influencer with 30,000 followers may charge more than an influencer with 1 million followers. In general, larger following will require higher compensation.
Next, you should think about engagement, influencers whose photos spark lively conversations that may help reveal brand sentiment or other learnings for your products will be more expensive than influencers who simply post a photo and get little interaction. But remember, not all engagement is equal.
Niche or Rarity
Audience niche is another way of thinking about and categorizing an influencer’s value through the lens of their audience. When you set out to recruit the influencer, you were most likely convinced that their content and audience matched with your brand’s target consumer. If you have a niche audience target– rock climbers, say– then you can be confident that a rock climbing Instagrammer will be driving engagement with your target consumer. A very niche creator might be more expensive because they have fewer competitors and are frequently Go to the full article.
Source:: Business 2 Community