Understanding TikTok Influencer Rates: An In-Depth Guide For Brands in 2023

default image

As TikTok has exploded from rising star to marketing juggernaut, influencer marketing on the platform has grown right alongside.

But for brands new to the TikTok sphere, determining fair payment rates for influencers across nano, micro, mid-tier and macro tiers presents a formidable challenge.

In this comprehensive guide, we’ll unpack everything brands need to know to effectively partner with TikTok creators, including:

  • Granular differences between influencer tiers
  • Real-world stats on follower counts and engagement
  • Average pricing data by tier
  • A custom rate calculator
  • 15+ factors impacting costs
  • Negotiation tips from agency experts
  • The upside of investing in TikTok creators

Let’s explore exactly how brands should approach TikTok influencer marketing!

Mapping Out The TikTok Influencer Landscape

First, what exactly constitute nano, micro and mid-tier influencers on TikTok? And what metrics distinguish them?

While definitions fluctuate slightly, here’s a detailed breakdown of current tiers:

Nano Influencers

The smallest class of everyday social media users with dedicated followings.

Follower Count 1,000 – 10,000 followers
Engagement Rate 5-15% likes per post
Cost Per Post ~$100-$400 lowercase

Nano influencers achieve high engagement by promoting extreme niche topics to hyper-targeted communities. Their microscopic reach limits costs, but resonates deeply with loyal followers by covering specific issues mainstream creators ignore.

Micro Influencers

Average internet personalities with strong bonds in specific communities.

Follower Count 10,000 – 50,000 followers
Engagement Rate 2.5-5% likes per post
Cost Per Post ~$400-$800

Micro influencers post frequently, but remain approachable experts not yet distracted by fame. Their knowledgeable advice earns audience trust. For brands, micro creators offer granular targeting at reasonable rates compared to celebrity influencers.

Mid-Tier Influencers

Semi-famous online personalities with highly-engaged audiences.

Follower Count 50,000 – 500,000 followers
Engagement Rate 1-2.5% likes per post
Cost Per Post ~$800-$2,500

Mid-tier talent balances broad reach with intimate connections cultivated via consistent posting and interaction. Many launch side hustles like merchandise to complement income. Savvy brands recognize mid-tier creators’ marketing potential despite lower engagement than micro influencers.

Now that we’ve defined tiers, let’s look at average pricing.

Just How Much Are TikTokers Making?

The income potential for top creators has exploded on TikTok over the past two years. But pay still varies widely across tiers.

According to influencer marketing platform HypeAuditor, average earnings per tier shake out as:

Nano Influencers

  • 50,000-250,000 views per month
  • $30-$125 per post
  • Up to $3,000 per year

Nano influencers monetize through modest brand sponsorships given their limited scale. Most treat earnings as supplementary income.

Micro Influencers

  • 75,000-650,000 views per month
  • $150-$650 per post
  • $10,000-$40,000 per year

Micro influencers collaborate with both small and large brands to fund their lifestyle. Payment fluctuates based on niche with fitness and beauty enjoying prime sponsorship real estate.

Mid-Tier Influencers

  • 500,000-4 million views per month
  • $500-$5,000+ per post
  • $40,000-$500,000+ per year

At the mid-tier level, elite creators begin soliciting 5-6 figure brand contracts. Some lock down 7-figure Coca-Cola and Disney pacts through top talent agencies.

Now that you know average TikTok influencer pay across rising stars, let’s calculate potential costs for your brand.

How To Determine Your Budget For TikTok Creators

Tallying up an appropriate creator budget involves:

  1. Setting Expectations
  2. Calculating Baseline Rates
  3. Factoring In Campaign Nuances

Let‘s break that down step-by-step:

1. Set Expectations Based On Campaign Goals

Be explicit about what success looks like. Do you want impressions? Sales? Traffic? Different objectives necessitate unique pricing strategies. Avoid vague "raise awareness" goals – identify tangible metrics for each campaign.

Campaign length also plays a role. Compensate accordingly for one-off posts versus long-term partnerships spanning months.

2. Establish A Baseline Using Current Market Rates

Next, pin down suitable tiers for your campaign style and objectives using the data provided above:

  • Nano influencers = $100-$400
  • Micro influencers = $400-$800
  • Mid-tier influencers = $800-$2,500

Determine base pay rates per post or assets required around these averages.

3. Tailor Pricing Based On Campaign Specifics

Then adjust ballpark figures up or down based on unique objectives. Consider things like:

  • Required niche expertise
  • Content format demands
  • Target geographic regions
  • Audience age brackets & psychographics
  • Exclusivity clauses

Build any rate addons or multipliers into quotes for desired creators. We‘ll detail more elements impacting costs in the next section.

Running this quick three-step cost assessment beads to quotes fairly accounting for both market conditions and bespoke needs when scouting TikTok partners.

15+ Key Factors Influencing TikTok Influencer Rates

While the tiers and baseline numbers above provide a starting point for cost estimates, many other factors shape actual rates.

Elements that influence pricing include:

Audience Quality & Reach

  • Follower count – larger = increased access fee
  • Audience authenticity – real, engaged users?
  • Audience demographics – youth & income levels
  • Overall audience size reach
  • Conversion potential to sales

Content Attributes

  • Production quality – lighting, editing, sets, graphics
  • Entertainment value – enjoyment, smile rate
  • Brand safety – minimal risk imagery or audio
  • Localization – captions for global regions

Account Metrics

  • Engagement levels – likes, comments, shares
  • Watch time benchmarks
  • Hashtag performance & challenges
  • Audience retention heatmaps
  • Overall account growth velocity

Influencer Qualities

  • Personality fit – brand alignment & values
  • Creativity & innovation abilities
  • Responsiveness – turnaround times
  • Previous brand experience – tier 1 partners?
  • Professionalism – organized, meets deadlines

Campaign Exclusivity

  • Usage rights scope – platforms, regions, timespans
  • Category or product exclusivity
  • Limits on recycling existing content
  • Exclusive pre-release access

As you can see, many levers exist beyond base pay rates to price influencer sponsorships effectively.

Now let’s move onto negotiating fair deals.

Expert Tips For Negotiating Win-Win Rates

When starting pay rate discussions, lead with campaign objectives rather than budgets. Contingency-based structures incentivize goal achievement for both parties through bonuses or rev shares from conversion bumps.

Emphasize partnership not transaction. Foster long-term relationships by re-booking creators that perform well instead of one-off agreements.

Offer to structure a portion of fees based on performance – views, clicks, impressions, etc. Consider guaranteed minimums plus uncapped upside to inspire top-notch content.

Maintain reasonable rates as follower counts rise if influencers prove loyal partners. Avoid alienating beloved partners that helped build programs by nickel-and-diming.

Remain flexible around revisions cycles and usage rights. Granting assets exclusively or limiting recycle requests leaves margin for win-win rate agreements.

Implement tiered pricing packages that lower costs per asset at higher volumes to incentivize batch orders. Match agreed upon quantities and timelines to what creators can genuinely produce at quality levels that resonate.

Why TikTok Influencer Marketing Trumps Other Options

Reach New Audiences Migrating From TV

With cross-platform viewership fragmenting, TikTok provides exclusive access opportunities to Gen Z cord cutters that unexpectedly overturned their parents’ viewing habits.

Foster Authenticity & Cultural Relevance

User-generated short video content feels genuine in a world of mainstream YouTube creators reading minimally-rehearsed brand scripts like robots. Top performers win fans through raw charisma, not Hollywood polish.

Call-to-actions under profiles seamlessly lead viewers to eCommerce checkout pages. Additionally, TikTok’s strong impulse purchasing culture lower decision hurdles for supplements and apparel absent considered research reviews.

Build Brand Love Through Creative Campaigns

The platform‘s core DNA lives in explosions of creativity – challenges, curated music playlists, niche community dynamics unseen elsewhere. Sponsoring attention-grabbing stunts suitably leftfield for TikTok cultures leaves impressionable brand affinity with key demographics.

Condense Messaging Into Ultra Snackable Formats

With 60 seconds max for uploads, brands must crystallize taglines and imagery into compact, shareable concepts perfectly distilled for conversion.

TikTok Campaign Success Stories

Still doubting TikTok influencer marketing delivers the goods?

Here are two real-world examples that brought immense value:

Gymshark – 66X ROI Through Nano & Micro Fitness Influencers

The Instagram-native athletic apparel merchant tapped into TikTok to expand beyond their sub-30 base. By sponsoring original workout tips from FitTok creators under 100,000 followers, Gymshark amplified youth visibility, drove 6-figure sales directly from the channel and fostered a vibrant new community that expanded awareness beyond existing circles.

Elf Cosmetics – 4.6 BILLION Views Driving A $2.51 Return On Ad Spend

Elf recruited 33 beauty micro influencers to kick off their #EyesLipsFace campaign on TikTok. In just six months, the hashtag generated over 4.6 billion views. Analyses showed for every $1 spent on influencer content, campaigns netted $2.51 in equivalent ad value. Beyond significant impressions, the collaborations expanded Elf‘s market share through creative brand storytelling that resonated with social platform users.

Wrapping Up: Key Takeaways On TikTok Influencer Rates

Let‘s review the key points marketers should remember from this guide when planning TikTok influencer collaborations:

  • Micro and mid-tier influencers balance cost efficiency with engagement
  • Base rates on market averages then tailor for campaign goals
  • Fundamentals still apply – track views, conversions and sentiment
  • Structure both guaranteed minimum and performance payout terms
  • Foster loyal partnerships not transactional agreements
  • Meet creators halfway during negotiations to maintain relationships
  • TikTok delivers breakout ROI potential for brands who dare to experiment

Want help connecting with genuine TikTok influencers that move audiences? Leverage our expertise identifying ideal creators for campaigns of all sizes and objectives.

Written by