Plenty of people want to work with social media, but few know where the money actually comes from. Some platforms pay creators directly. For most people who make money on social media, though, the income comes from brands that need content. This guide walks through the most common ways to earn, how they differ, and what to have in place before your first job.
What brands pay for
When a brand pays a creator, it is paying for one of two things:
- Reach. You post about the product on your own channels, to your own followers. That is classic influencer marketing.
- Content. You make photos or videos that the brand posts itself, on its own channels or in ads. That is called UGC, user-generated content.
Which one you go for decides what you need to get started.
Four ways to make money on social media
1. UGC: paid for the content, not the followers
A UGC creator makes content that looks like something an ordinary customer could have made: an unboxing, an honest review, a short video of the product in use. The brand does the posting, so your follower count matters very little. What matters is whether the content is good.
That makes UGC the easiest way in if you are new. You need a phone, decent light and a few examples of what you can do. There is more in What is a UGC creator?
2. Sponsored posts on your own channels
If you have an audience that trusts you, brands will pay for you to show their product to it. The price usually follows your reach and engagement, but also how well your audience fits the brand. A small account with a clear niche can be worth more to the right brand than a large, broad one.
Paid content has to be labelled as advertising. Most countries have a consumer authority with guidance on how, and it is worth reading before your first collaboration.
3. Jobs from campaigns
Many brands post a brief and wait for creators to get in touch. That is often where UGC jobs and paid collaborations start. On CollabNordic you can see open campaigns from brands and reply with an offer at your own price. You propose what you will deliver, and the brand chooses between the offers it gets.
4. Fixed prices on a booking page
Instead of waiting for messages, you can list what you offer with a price, say one TikTok video or one Instagram post. A brand can then book you directly. It saves the back and forth about price, and it makes you easier to choose.
What to have in place before your first job
- Examples. A few posts or videos that show your style. If you have not had a paid collaboration yet, make some with products you already own.
- Prices you can stand behind. Price per deliverable, not per hour, and include the time it takes to plan, film, edit and make changes.
- An agreement on usage rights. If the brand wants to use your content in ads, it is worth more. Agree how long and where it can be used.
- A written agreement. What is delivered, when, how many rounds of changes, and when you get paid. A deal made in a DM is easy to forget and hard to prove.
- Payment before you start. Plenty of creators have delivered and then waited a long time for the money. Ask for the payment to be secured before you begin.
Remember tax
Income from social media is taxable in most countries, and that usually includes products you get to keep. Check the rules where you live before the first payment arrives, so you know how much to put aside. Our guide to tax for creators has what to look up.
Getting started on CollabNordic
Joining is free, and so is being booked. You set up a booking page with your own packages and prices, and the price you set is the amount you receive. The brand pays the marketplace fee on top.
When a brand books you, the payment is held in escrow by CollabNordic before you start. It is paid out when the brand approves your delivery, or automatically after 14 days if the brand does not respond. To receive payouts, you verify your identity with Stripe.
