Whenever you create a report, the first thing you have to do is... hit the "create report" button 😉
Once this has been done, a small window will open and you will have to fill in all the essential information to create your report. In there, there is also a section about "General costs".
What are these general costs and why is it interesting to add them? 💰
First things first, do know that the costs of an influencer marketing campaign can vary widely based on several factors, including:
- the influencer's reach and popularity,
- individual negotiations,
- industry trends,
- the scope of the campaign,
- the platform(s) used, the type of content,
- and the campaign's goals.
So before writing any amount, consider the below principles:
Influencer Fees: This is typically the most significant cost. Influencers with larger follower counts or higher engagement rates usually charge more. Rates can range from a few hundred euros to tens of thousands of euros per post or video.
Agency Fees: Managing a campaign should also take into account the costs/expenses of the team behind it.
Content Creation: If the influencer is required to create specific content for the campaign, such as photos, videos, blog posts, or other media, there may be additional costs associated with their creative work.
Campaign Complexity: Complex campaigns, such as multi-platform campaigns or those involving multiple influencers, might incur higher costs due to increased coordination and production requirements.
Campaign duration: The length of the campaign can impact costs. Short-term campaigns might be priced differently from long-term collaborations.
Exclusivity: If the brand requires exclusivity, where the influencer can't work with competitors during or after the campaign, this might increase the influencer's fee.
Product or Service Costs: If the influencer needs to use or review your product or service, you may need to provide it to them, which could involve production, shipping, and other associated costs.
Production Costs: Do you need to plan a professional production with photographers or videographers? Also, influencers typically charge an attendance fee when shooting.
Platform Fees: If the campaign involves sponsored content on platforms like Instagram, YouTube, or TikTok, there might be fees associated with promoting the content to a broader audience.
Management and Coordination: If you're working with multiple influencers or running a complex campaign, you might need a dedicated team to manage communication, contracts, and coordination. This could include project managers, social media managers, and legal professionals.
Travel and Accommodation: If the campaign involves in-person events, launches, or travel for the influencers, you would need to cover their travel expenses, accommodations, event hosting, and related costs.
Giveaways and Contests: If the campaign includes giveaways or contests, you'll need to budget for prizes, shipping, and promotional materials.
Tracking and Analytics: Investing in tools to track the performance of the campaign, such as engagement metrics, reach, and conversions, could be a cost.
Licensing and Rights: If you want to repurpose the influencer's content for your own marketing materials, you might need to negotiate licensing agreements or rights to use their content.
Legal and Compliance: Ensuring the campaign adheres to legal and ethical guidelines might require legal counsel or compliance experts.
📣 Before starting a campaign, it's crucial to establish a clear budget, define campaign targets, and research the market to ensure that the costs are aligned with your expectations and desired outcomes (or your client's).
✨ Why should I add general costs to my Stellar report? ✨
If I add the total costs to my report, the ROI (Return on investment) will then be calculated automatically. And, the platform will generate a graph called the "Expenses vs EMV" to further analyze the results and profitability of your campaign.
How amazing is that? 🤩