The lives of influencers are out in the open but their income, not so much. They boast of a big social media following that attracts many brands for marketing deals, but little is known of what these influencers charge for endorsements.
An analysis by influencer marketing firm Kofluence shows that social media content creators in India earn between Rs 20,000 to 2,00,000 a month. This includes micro influencers with a following between 10,000 to 1,00,000 on social media, and an engagement rate of 1.5-2 percent.
Engagement rate is the percentage of the audience who like or comment on posts (engage with the content) on social media.
While social media following plays a big role in deciding how much an influencer can charge a brand for content, the content genre and the number of views they get are important metrics too, said Ritesh Ujjwal, Co-Founder at Kofluence.
Anatomy of influencer earnings
Fashion influencers command between 40 to 60 paisa per view, whereas a lifestyle creator will charge 30 paisa to 50 paisa per view, he noted, pointing out that they benchmark pricing using cost per thousand views (CPV) .
Niche creators, such as a doctor producing health content, would charge Rs 1-2 per view, while a finance creator's rate ranges between Rs 3-4 per view.
Influencer earnings are dynamic across platforms. A 2024 analysis by Kofluence shows that mega-influencers on Instagram command between Rs 3 to 5 lakh per short-form video content (SFVC) like IG reels and YT shorts, surpassing their YouTube counterparts, who charge between Rs 1.2 to 3 lakh.
Influencers are categorized into five types basis their social media following. Nano influencers are those with 100 to 10,000 followers, micro influencers command a following of 10,000 to a lakh. Macro and mega influencers have a following of 1 lakh to 1 million and over 1 million respectively.
Celebrities (who are bigger than mega influencers) on Instagram earned between Rs 7 to 15 lakh per video, whereas YouTube celebrities earned between Rs 1 to 5 lakh per video. Micro-influencers maintained a consistent earnings range across platforms, with Rs 20,000 to 50,000 per video on Instagram, and Rs 20,000 to 39,000 on YouTube, according to the report. Macro influencers on Instagram earned between Rs 60,000 to Rs 1.6 lakh, compared to their YouTube counterparts, who earned about Rs 40,000 to Rs 1 lakh.
Increase in income
Creator earnings / rates are expected to grow 10-15 percent year-on-year.
"A lifestyle creator who charged 30 paisa per view for an IG reel in 2023 could charge 35-40 paisa in 2024. Creators who are able to increase their views and engagement by 30-40 percent year-on-year (YoY) are able to command a premium," said Ujjwal.
Shivam Agarwal, Co-Founder, Kromium, an influencer marketing firm, gave an example of a creator who has doubled his rates for brand integration from Rs 70,000 to 1.5 lakh in the last six months.
"In the last couple of years, influencers have seen a significant growth in income, with many doubling or even tripling their earnings. This can be attributed to the increasing demand for influencer marketing, and the rise of new platforms offering monetisation opportunities," said Kim Sharma, EVP - New Media, Dharma Cornerstone, a talent management and marketing agency that has partnered with celebrities like Orhan Awatramani and Triptii Dimri, among others.
India has roughly 25-35 lakh content creators, of which about 1,50,000 are able to monetise their content. The influencer marketing industry is growing at 30 percent compound annual growth rate (CAGR), and the number of creators being able to monetise their content is estimated to grow by 15-20 percent, according to Kofluence.
"There are two types of growth we are seeing. One is, the number of creators monetising their content, and the other is that micro to mega level creators are getting more deals. A typical YouTuber who makes content on a weekly basis, earlier did one or two sponsored posts in a month. Now, we see some brand integration in all the content they create. But this can be a double-edged sword, because the audience comes to see content, not ads," Ujjwal said.
Niche creators are seeing more growth as brands realise that they can do hyper-targeting through then, said Agarwal.
Rising brand interest
The influencer marketing spends of digital-native firms such as direct-to-customer brand Mamaearth, who have created a market through influencer marketing, can be 70 percent of their digital marketing spends.
"In India, people are spending 4.4 hours on social media. They go to Instagram 20 times a day. So, the audience is there. And brands follow the audience. A lot of established brands who get 15-20 percent of their business from online sales, are understanding the importance of influencer marketing. But spending depends on the category. An FMCG brand may spend 5 percent of their digital marketing budget on influencer marketing, whereas a beauty and personal care brand may spend 10-15 percent," Ujjwal explained.
Even TV-first brands are including influencers in their marketing mix, and spends are gradually increasing as brands recognise the value of influencers in reaching their target audience, noted Sharma.
Part-time gig
While more Indians are becoming influencers, it is still not a full-time job for many. Hence, Indian influencers put in fewer hours compared to their global counterparts. A 2024 EY report titled 'State of influencer marketing in India' notes that 73 percent of Indian influencers work for less than 10 hours a week, compared to up to 39 hours abroad.
"Indian content creators put in 10-20 hours a week. In the Indian creator ecosystem, there are very few full-time content creators, because monetisation is erratic, especially for those in the early stages of their careers. Many do it as a part time gig, unlike influencers globally, who do it full-time," said Ujjwal.
Agarwal added that since a lot of influencers end up retaining their day jobs, they have fewer hours for content creation. "Income outside India for influencers is higher, as brands have deeper pockets and the market is more mature. But India is catching up," he said.
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