What was your childhood dream job when you grew up? Actress? Singer? Today, the answer for a bulk of teenage girls and boys is probably an influencer. Fame, popularity, and an overload of free stuff is guaranteed, as the Instagram postings of Zoella, Chiara Ferragni, and Ohhcouture suggest. But what’s even more alluring: Their salaries are mind-blowing! And so is the ROI for brands!
Hopper recently published the Instagram Rich List 2017 and revealed which influencers earn best in the Instagram universe. With the help of the InfluencerDB software, we compared HopperIQ’s results with the media value per post of the high earners to evaluate the ROI (Return On Investment) for brands collaborating with the influencers. Is it worth it?
The media value per post is calculated by observing the follower number of an account and the engagement for a post. Using this data, potential impression for a post are calculated and multiplied with the CPM of Instagram ads. Thus, it is an indicator of how valuable the activities of an Instagram channel are.
HUDA KATTAN (20.8M)
Pricing per post: $18,000
Media value per post: $92,576
ROI: 5.1 times
CAMERON DALLAS (20.1M)
Californian actor Cameron Dallas initially became famous on Vine and YouTube and has come a long way since then. By now, he has his own Netflix show and cooperates with high-class brands like Dolce & Gabbana.
Pricing per post: $17,000
Media value per post: $100,959
ROI: 5.9 times
JEN SELTER (11.4M)
Pricing per post: $15,000
Media value per post: $56,909
ROI: 3.8 times
ZOELLA (11.1M)
Pricing per post: $14,000
Media value per post: $55,619
ROI: 3.9 times
NASH GRIER (10.2M)
Pricing per post: $13,000
Media value per post: $51,008
ROI: 3.9 times
CHIARA FERRAGNI (10M)
Today, Chiara is one of the most well-known social media personalities in fashion and works with high-class brands like Guess, Chanel, and Christian Dior. In 2015, Chiara made it onto Forbes’ ’30 Under 30: Art & Style’ list.
Pricing per post: $12,000
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Media value per post: $50,075
ROI: 4.2 times
JULIE SARINANA (4.6M)
Her laid back outfit posts and incredible travel photographs enrich both her blog and her Instagram channel, which assembles more than 4.6 million international followers today.
Pricing per post: $10,000
Media value per post: $22,013
ROI: 2.2 times
AIMEE SONG (4.6M)
Pricing per post: $9,000
Media value per post: $21,795
ROI: 2.4 times
DANIELLE BERNSTEIN (1.7M)
Pricing per post: $7,000
Media value per post: $7,768
ROI: 1.1 times
LIZ ESWEIN (1.3M)
In contrast to the other high-earning influencers who made this list, Liz does not appear very frequently on her channel. Instead, the account focuses on pictures of New York City and its many facets.
Pricing per post: $6,000
Media value per post: $6,029
ROI: 1.0 times
THE TAKEAWAY
Our calculation shows that when companies pay more money for bigger influencers, the returns from these influencers increase at a much higher rate than they do for smaller influencers.
The examples of Jen Selter and Cameron Dallas illustrate this scenario perfectly: Cameron almost doubles Jen’s reach (20.1 million followers vs. 11.4 million followers), his pricing is not much higher than Jen’s (he charges only 12% more) but the ROI for companies working with him is 44% higher compared to Jen’s ROI.
Thus, companies should take the pricing and the media value of channels into consideration when identifying influencers for cooperations. These numbers, as well as the follower numbers, should be compared to see which influencers have the best value for money and create the best ROI for your brand.
Keep in mind, though: There are other factors than pure numbers which impact the pricing of an influencer as well as the ROI for companies. If an influencer is a perfect fit for your brand but the ROI is not ideal, the influencer might still create high value for you by raising awareness about your brand and building strong connections between you and your potential customers.
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Published originally on InfluencerDB | Influencer Marketing For Professionals
