Im just about to start looking for new influencers. I dont know what to offer in terms of compensation or what to request in exchange. What are the standard compensation terms based on followers, views, reach? What information should I ask from them in regard to metrics to see how well it’s performing? Thanks in advance.
First you should consider what your goals are for working with influencers. Are you looking for content, brand awareness, sales? This will help you determine what deliverables to ask for. Once you have an idea on how you want to work with an influencer you can then determine what types of influencers may be a fit for you and what compensation is needed.
If you are looking for sponsored content, many brands use CPM or cost per 1,000 impressions (or views) to help them determine payment. Typical CPM rates can vary based on the creator’s content category or their number of followers. Creators with higher follower counts may ask for higher rates, and some industries like fashion, tend to pay creators higher CPM rates. If you have a creator in mind you would like to contract, a good first step is to reach out to them to propose the deliverables you are looking for and what their typical rates are. This can help you understand what the creators you are looking to work with are typically getting paid and can help you either negotiate or understand what budget is needed.
If you are looking for UGC content you’d like to pay to utilize, if you see live content from influencers or brand fans already talking about your brand, you can reach out to them directly to ask for rates for usage rights.
To get started working with influencers with a lower budget, you can begin with affiliate marketing. By offering influencers you would like to work with a free product for them to test out plus a commission offer you can often incentivize them to share your brand. With affiliate marketing you only need to pay a creator after a sale is driven. If you do decide to begin an affiliate program with influencers it’s a good idea to keep the influencers you invite or accept into your affiliate program engaged by sharing details on your brand and products. You can start an affiliate program with influencers on Shopify Collabs by creating an application page for affiliates to apply to work with your brand which you can add to your website or share on your social channels, or by directly inviting creators you want to work with. You can learn more about Collabs here: https://help.shopify.com/en/manual/promoting-marketing/collabs/merchants. We have a also have getting started guide here, and tips on encouraging affiliates to post about your brand here