It isn’t always about the big influencers —new data from Krishna Subramanian, CEO and co-founder of Captiv8 influencer marketing agency, shows that niche internet microcelebrities know their worth too.
Back in 2021, rates for TikTok micro-influencers, which refers to those with 5,000-20,000 followers, ranged from $1,000 to $3,000. But now, three years later, those rates have increased to $3,000-$5,000.
Influencer marketing has ‘matured’
According to Digiday, industry experts are saying that the rise in costs is because influencer marketing as a concept has “matured” and become a more commonplace feature in advertising budgets.
In an interview with Digiday, these execs noted that this is a simple case of supply and demand: as demand for influencer marketing grows, so has its value.
Other factors which have contributed to higher costs include better influencer pay transparency, better tracking tools, and more lucrative agency representation fees.
Furthermore, Bea Iturregui, VP of creator and brand partnerships at creator marketing agency Cycle, tells Digiday that creator partnerships have evolved. “The deals we’re doing today look very different from the ones we were crafting a few years ago, and these types of deals demand more from both parties,” she said.
Interestingly, macro-influencers, which are defined as those with 100,000-1 million followers haven’t seen similar increases. Nisrin Mazlumovic, US team lead at The Influencer Marketing Factory, told Digiday that this is because larger creators charged based on their following size.
You can read the full article here.
