The TikTok's incredible popularity presents a great opportunity for businesses and brands to advertise their products via effective marketing and endorsement campaigns on the platform. There are different types of strategies that can be adopted by brands for promoting their products or services on the social media platform. The influencer marketing is one of the latest types of marketing techniques that is increasingly being used by the companies for endorsing their products on the app. Under this arrangement, the company enters into a partnership with an influential content creator on the app for shaping consumer behavior.
Understanding cost of product endorsement by TikTok influencers
The TikTok influencer, which is trusted or holds a sway over large parts of the target audience, can influence the potential customers to engage, consider, and use the product or service from a specific brand. There are different types of influencers that are categorized based on the number of followers that they have on the social media platform. In broad terms, the influencers on TikTok can be categorized into Nano influencers, micro influencers, mid-tier influencers, macro influencers, and mega influencers.
The Nano influencers have a limited number of followers that range anywhere between 1000 and 10000 followers. These influencers usually charge anywhere between $5 and $25 for endorsing the products. The micro-influencers have followers in the range of 10,000 to 50,000. These influencers charge anywhere between $25 to $125 for sponsoring the products.
The next set of influencers are the mid-tier influencers. These influencers have followers anywhere between 50,000 to 5,00,000. The mid-tier influencers charge the brands in the range of $125 and $1000. The Macro influencers have followers in the range of 500k to 1 million followers. These influencers charge between $1k to $2k for endorsing the different products or services. Finally the biggest influencers, known as mega influencers, have more than 1 million followers. These influencers charge any mutually agreed amount upwards of $2k.
While this is a generic categorization of the different types of influencers on TikTok and the money they charge, there are a lot of other factors that impact the eventual decision of the amount of money that an influencer charges for endorsing products or services on the social media platform. Apart from the number of followers, the rate of engagement for an influencer is also critical in the overall analysis of the money that is exchanged between the brands and the influencers.
Here it is also worth noting that the influencers might charge different amounts of money on different social media platforms. For instance the amount that an influencer charges on Instagram might be different from the amount that an influencer charges on TikTok. The different platforms have their own dynamics and thus this amount varies for different platforms.
Besides the social media platform, the amount that is charged by influencers also depends on the type of social media campaign or post that is agreed between the brands and the influencers.