How To Make Money On Instagram

Are you one of those who spends hours on instagram for just entertainment? If yes then you are wasting your time which will be your money making time. Yes, It’s possible when you learn how to make money on Instagram. 

Sounds good, Yes now Instagram is a money making tool for som many people and brands. As all we know Instagram has billions of user base, Due to this active users you can build your personal brand of help brands to make money and growth.

There are a lot of ways to make money on Instagram, Either you can become a content creator or an influencer or you can sell products online. In this guide you will learn not only how to earn money on instagram but also how to build a strong presence. 

If you want to boost presence for your brand then you can build a strong website link it on instagram bio for ecommerce business. You can check our ecommerce seo guide to know how to bulls and optimize ecommerce business for growth.

So lets start to know different ways to earn and monetize instagram for making some passive income.

Table of Content

Is it Possible to earn Money using Instagram?

Yes, Instagram gives you many options to earn money. It is most recommended in top platforms that are used for making some passive income. There are many content creators and influencers who are earning a good amount of money using their skills and audience, And good news is you can do it.

According to statista – Instagram has a monthly active user base of 2 billion.Thus there are a lot of opportunities to find users of your niche and community. Simply by making a brand that resonates with the audience. After gaining a user base you can start selling your product or services to them using content.

Mark Zuckerberg, the CEO of Meta (the parent company of Facebook and Instagram), announced that they will continue to offer paid online events, fan subscriptions, badges, and their upcoming independent news products for free to creators until 2024 in order to support more creators in making a living on their platforms.

How can I earn money from Instagram?

• Earning Options :
  You can earn money on Instagram through sponsored posts, affiliate marketing, selling products, and offering services. Building a strong follower base helps attract brands.
• How you get paid?: Instagram itself doesn’t pay users directly. Instead, users can earn money through collaborations with brands, affiliate marketing, and monetizing content.
  How you get paid?:
  Instagram itself doesn’t pay users directly. Instead, users can earn money through collaborations with brands, affiliate marketing, and monetizing content.
• How creators are earning?:
  You can earn money by creating sponsored posts for brands, where you promote their products or services in exchange for payment.
• From views:
  Earnings from views typically come from sponsored content where brands pay based on the engagement their posts receive, including views.

How much money you can make on Instagram?

There is no evidence about how much you can earn. Because not any creator and influencer reveals it. But when you create a content that goes viral then you can get offers to earn things according the your content type. For example, If you have good singing skills and made a reel that becomes viral then you can likely get offers from multiple brands to sing a song. Like that for all niche or community depending upon skills you can get opportunity to earn money from providing things according to your skills and talent.

Similarly If you have coding skills and you made an instagram handle to provide tutorial, coding trick and all essential things for beginners to advance level.Then its sure that some of your audience like students or beginners try to contact you to teach about coding. Hence ether is an opportunity for you to create a course for them and sell via Instagram. Like that you can get a platform to enhance and grow your skills on instagram and people connecting you to give you money based on the value you provide them.

This was about creators, Now for the influence, If a new brand needs a exposure and visibility they hire an Influence whose fan following and audience reach is high suppose in 1 Million . So Its a possible there content is reaching to wider audience. And if their niche is similar to yours then you can gain benefits by adapting their audience for your visibility and growth.

According to a study conducted by Kofluence, an influencer marketing agency, social media content creators in India can make anywhere from Rs 20,000 to 2,00,000 per month. This range encompasses micro influencers who have a follower count ranging from 10,000 to 1,00,000 on various social media platforms, along with an engagement rate of 1.5-2 percent.

In 2024, Instagram monetization in India includes options like affiliate marketing, brand partnerships, and content monetization features, which are becoming more accessible to creators.

Source – Hyper Audits stats

How to Make Money on Instagram?

Instagram boasts over a billion active users, making it one of the most popular social media platforms globally. With its visually-driven content, Instagram offers unique opportunities for engagement and monetization. Here’s how you can tap into its potential.

There are 2 widely popular ways of making money on instagram.

• Making Money as A Business
• Making Money as A Creator

Depending upon you goals and skills you can leverage multiple benefits form Instgram to grow you personal brand or business.

Let check it out how it works for each of the ways

How to make money on Instagram as a Business?

1. Creating Buzz with Limited-Time Deals

Running exclusive offers on Instagram is an effective way to attract new followers and engage existing ones. These offers can range from discounts and freebies to special promotions available only to your Instagram audience. Here’s how to effectively promote exclusive offers:

• Announce the Offer: Use high-quality images and engaging captions to announce your exclusive offer.
• Stories and Highlights: Use Instagram Stories and Highlights to promote limited-time offers and keep them visible.
• Countdown Stickers: Add a sense of urgency with countdown stickers in your stories to remind your followers about the offer’s deadline.

Example: A clothing brand could offer a 20% discount for their Instagram followers, using stories and posts with countdown stickers to create urgency.

2. Launch Countdown for New Products

Building Anticipation with Countdown Timers

Setting up countdowns for new launches on Instagram helps build anticipation and excitement among your followers. It’s a great way to keep your audience engaged and looking forward to upcoming products or events.

• Teaser Posts: Share teaser posts and stories to give hints about the upcoming launch.
• Countdown Stickers: Use Instagram’s countdown sticker in your stories to remind followers of the launch date.
• Engagement Tactics: Encourage followers to set reminders and share the countdown on their own stories.

Example: A tech company could tease the release of a new gadget with behind-the-scenes footage and countdown stickers leading up to the launch date.

3. Create an Instagram Shop

Selling Directly Through Your Profile

An Instagram Shop allows you to sell products directly through your Instagram profile, making it easier for followers to browse and purchase without leaving the app. Here’s how to set it up and optimize it:

• Set Up Shop: Convert your account to a business account and set up Instagram Shopping by linking your product catalog.
• Tag Products: Tag products in your posts and stories to make it easy for followers to shop directly.
• Highlight Features: Use features like product tags, shopping stickers, and collection tabs to showcase your products.

Example: A jewelry brand can set up an Instagram Shop, tag products in posts, and use shopping stickers in stories to drive sales directly from their Instagram profile.

4. Implement a Chatbot

Enhancing Customer Service with Automated Responses

Setting up a chatbot on Instagram can help you manage customer inquiries, streamline interactions, and provide instant responses, improving the overall customer experience.

• Choose a Chatbot Provider: Select a chatbot provider that integrates with Instagram.
• Automate Responses: Set up automated responses for common questions about products, shipping, and returns.
• Personalized Interactions: Customize your chatbot to provide personalized responses based on user queries.
  

Example: An online retailer could implement a chatbot to handle frequently asked questions about order status, product details, and return policies, freeing up time for the customer service team to focus on more complex issues.

5. Collaborate with Influencers

Leveraging Influencer Partnerships for Greater Reach

Partnering with influencers can amplify your brand’s reach and credibility. Influencers can help you tap into new audiences and lend authenticity to your promotions.

• Identify Influencers: Find influencers whose audience aligns with your target market.
• Craft Campaigns: Collaborate on creative campaigns that showcase your products or services authentically.
• Measure Results: Track engagement and sales generated through influencer collaborations to measure effectiveness.

Example: A skincare brand could partner with a beauty influencer to create a series of posts and stories showcasing the benefits of their products, driving both engagement and sales.

6. Collaborate with Other Brands

Expanding Reach Through Business Partnerships

Collaborating with other businesses can help you reach a broader audience and add value to your offerings. Joint campaigns can introduce your brand to potential customers who may not have found you otherwise.

• Find Complementary Brands: Look for businesses that complement your own but aren’t direct competitors.
• Create Joint Promotions: Develop promotions that highlight both brands, such as giveaways or bundled offers.
• Cross-Promote: Use each other’s platforms to cross-promote the collaboration.
  

Example: A fitness apparel brand could partner with a health food company to create a joint giveaway, promoting each other’s products to their respective audiences.

7. Run Instagram Ads

Direct Advertising for Immediate Results

Straight-up advertising on Instagram is a powerful way to reach your target audience with precision. Instagram Ads allow you to promote your products or services directly to users based on their interests and behaviors.

• Ad Formats: Choose from various ad formats including photo, video, carousel, and stories ads.
• Targeting: Use Instagram’s advanced targeting options to reach the right audience.
• Creative Content: Develop eye-catching and engaging ad content that resonates with your target audience.
  

Example: An e-commerce store could run a series of carousel ads showcasing their best-selling products, targeting users who have previously shown interest in similar items.

How to Make Money on Instagram as a Creator

As an Instagram creator, there are numerous ways to monetize your content and leverage your audience for financial gain. Here are some effective strategies to help you get started:

1. Collaborate with Brands

Leveraging Brand Partnerships for Monetization

Partnering with brands is one of the most popular ways for creators to make money on Instagram. Brands look for influencers to promote their products or services in an authentic way.

• Identify Potential Partners: Reach out to brands that align with your niche and audience.
• Create Engaging Content: Develop high-quality posts, stories, and reels that highlight the brand’s products.
• Negotiate Terms: Discuss compensation, deliverables, and usage rights before finalizing the partnership.

Example: A fitness influencer could partner with a sportswear brand, sharing posts and stories that showcase the brand’s new workout gear while incorporating personal workout routines.

2. Join an Affiliate Program

Earning Commissions Through Affiliate Marketing

Affiliate marketing allows you to earn commissions by promoting products and driving sales through your unique affiliate links.

• Choose Relevant Programs: Select affiliate programs that align with your content and audience interests.
• Share Affiliate Links: Include affiliate links in your posts, stories, and bio.
• Track Performance: Use analytics to monitor which products perform best and adjust your strategy accordingly.

Example: A beauty blogger could join an affiliate program for a makeup brand, sharing tutorials and product reviews while including affiliate links for followers to purchase the products.

3. Enable Live Badges

Monetizing Live Streams with Fan Support

Live Badges are a way for your followers to support you financially during Instagram Live sessions.

• Activate Live Badges: Ensure you meet Instagram’s eligibility criteria and enable badges in your settings.
• Engage with Viewers: Host live sessions where you interact with your audience, answer questions, and offer valuable content.
• Promote Live Sessions: Inform your followers about upcoming live sessions to maximize participation.

Example: An artist could host a live drawing session, engaging with followers and allowing them to purchase badges to support the creator.

4. Sell Your Merchandise

Turning Your Brand into Products

Selling your own merchandise is a great way to monetize your audience by offering branded products.

• Design Your Merch: Create designs that resonate with your audience and reflect your brand.
• Set Up an Online Store: Use platforms like Teespring, Shopify, or Instagram Shop to sell your products.
• Promote on Instagram: Use posts, stories, and highlights to showcase your merchandise and encourage followers to buy.

Example: A travel vlogger could sell branded travel accessories, such as backpacks and water bottles, promoting them through posts featuring their adventures.

5. Link to Your Blog or Vlog

Driving Traffic to Your Monetized Platforms

If you have a blog or vlog, you can use Instagram to drive traffic to these platforms where you can monetize through ads, sponsorships, or memberships.

• Include Links in Bio: Use the link in your bio to direct followers to your blog or vlog.
• Promote Content: Share snippets or previews of your blog posts or videos on Instagram, encouraging followers to click the link for the full content.
• Engage with Followers: Respond to comments and questions about your content to build a loyal audience.

Example: A food blogger could share recipes and cooking tips on Instagram, linking to full recipe posts on their blog.

6. Offer Paid Tutorials or Masterclasses

Monetizing Your Expertise

If you have specialized knowledge or skills, you can offer paid tutorials or masterclasses to your followers.

• Develop Course Material: Create high-quality content that provides value to your audience.
• Promote Your Classes: Use posts, stories, and IGTV to advertise your classes and share testimonials from participants.
• Host Live Sessions: Offer live or pre-recorded sessions and use Instagram Live for promotional Q&A sessions.

Example: A photographer could offer paid masterclasses on advanced photography techniques, using Instagram to share snippets of the class content and testimonials from past students.

7. Enable Ads on Reels

Monetizing Short-Form Video Content

Instagram allows creators to earn money by enabling ads on their Reels.

• Create Engaging Reels: Produce high-quality, entertaining, or educational Reels that attract views and engagement.
• Enable Monetization: Ensure you meet the eligibility requirements and enable ads on your Reels through your account settings.
• Track Performance: Use Instagram Insights to monitor the performance of your Reels and optimize for better engagement.

Example: A fashion influencer could create styling tips and trend videos in Reels, monetizing the content through ads.

8. Take Advantage of Instagram Bonuses

Earning Incentives Through Platform Features

Instagram occasionally offers bonuses for creators who use specific features like Reels or Live.

• Stay Updated: Follow Instagram’s announcements and updates on available bonuses.
• Utilize Features: Participate in the bonus programs by creating content that meets the criteria.
• Monitor Earnings: Keep track of your earnings and performance through Instagram’s monetization tools.

Example: A lifestyle influencer could earn a bonus by participating in an Instagram challenge that rewards creators for high engagement on Reels.

9. Create User Generated Content Campaigns

Engaging Your Audience for Content Creation

User-generated content (UGC) campaigns encourage your followers to create and share content related to your brand, which you can then share on your profile.

• Launch a Campaign: Encourage followers to share their experiences or use your products, tagging you and using a specific hashtag.
• Feature UGC: Share the best user-generated content on your profile, giving credit to the original creators.
• Offer Incentives: Provide incentives such as shoutouts, discounts, or giveaways to encourage participation.

Example: A fitness trainer could launch a challenge where followers share their workout routines using a specific hashtag, featuring the best posts on their profile.

10. Receive Donations and Gifts

Leveraging Fan Support for Income

Followers can show their support by sending donations and gifts, especially during live sessions or through special features.

• Enable Donations: Use platforms like Patreon or Ko-fi, linking them to your Instagram profile.
• Promote During Live Sessions: Encourage followers to donate during live sessions by offering exclusive content or shoutouts.
• Thank Supporters: Publicly thank your supporters to show appreciation and encourage others to contribute.

Example: A musician could host live performances on Instagram, allowing followers to donate through linked platforms or during the live session.

11. Sell Digital Products and Services

Offering Non-Physical Goods

Digital products and services such as eBooks, presets, or consulting sessions can be a lucrative income stream.

• Create Digital Products: Develop valuable digital products that your audience will find useful.
• Promote Through Posts: Share posts and stories that highlight the benefits of your digital products or services.
• Use Swipe-Up Links: If you have over 10,000 followers, use the swipe-up feature in stories to link directly to purchase pages.

Example: A graphic designer could sell custom design templates or offer personalized design consultations, promoting them through engaging Instagram content.

12. Sell Photos and Other Virtual Products

Monetizing Your Creative Assets

If you’re a photographer or digital artist, you can sell your photos or virtual products directly to your followers.

• Set Up an Online Store: Use platforms like Etsy or your own website to sell your virtual products.
• Share Your Work: Post your photos or artwork on Instagram, showcasing what’s available for purchase.
• Highlight Benefits: Emphasize the unique aspects of your work and how followers can use or enjoy your virtual products.

Example: A travel photographer could sell high-resolution digital prints of their photos, using Instagram to share stunning images and direct followers to their online store.

13. Sell Dropshipped Products

Launching an E-commerce Business Without Inventory

Dropshipping allows you to sell products without holding inventory, which can be managed through suppliers.

• Choose a Niche: Select a product category that aligns with your audience’s interests.
• Set Up a Dropshipping Store: Use platforms like Shopify to create your online store and integrate with dropshipping suppliers.
• Promote on Instagram: Share posts, stories, and Reels showcasing your dropshipped products and their benefits.

Example: A tech reviewer could sell tech gadgets through a dropshipping store, sharing reviews and product highlights on Instagram to drive sales.

How Many Instagram Followers Do You Need to Make Money?

The number of Instagram followers you need to make money varies widely depending on your niche, engagement rate, and monetization strategy. While having a large follower count can increase your earning potential, even creators with a modest but highly engaged audience can successfully monetize their Instagram presence. Here’s a breakdown of how follower count impacts your ability to make money on Instagram:

1. Micro-Influencers (1,000 – 10,000 Followers)

Micro-influencers typically have between 1,000 to 10,000 followers. Despite having a smaller audience, they often enjoy higher engagement rates and a more loyal follower base. Brands are increasingly recognizing the value of micro-influencers for their authenticity and close connection with their audience.

Monetization Opportunities:

• Sponsored posts and stories
• Affiliate marketing
• Selling digital products (e.g., eBooks, presets)
• Offering personalized services (e.g., coaching, consulting)

Example: A fitness coach with 5,000 followers could partner with a sports nutrition brand to promote protein supplements, earning a commission for each sale made through their unique affiliate link.

2. Mid-Tier Influencers (10,000 – 100,000 Followers)

Mid-tier influencers have a follower count between 10,000 and 100,000. At this level, you can attract more lucrative sponsorships and begin to see significant income from various monetization strategies.

Monetization Opportunities:

• Higher-paying sponsored posts and stories
• More extensive affiliate marketing partnerships
• Hosting paid tutorials or masterclasses
• Selling merchandise and branded products
  

Example: A travel blogger with 50,000 followers could collaborate with travel agencies or airlines, creating sponsored content that showcases travel destinations and earning substantial fees for their posts.

3. Macro-Influencers (100,000 – 1,000,000 Followers)

Macro-influencers, with followers ranging from 100,000 to 1,000,000, can command higher fees for sponsored content and have the potential to generate significant revenue through multiple streams.

Monetization Opportunities:

• High-paying brand collaborations
• Launching their own product lines
• Leveraging Instagram’s ad features like IGTV ads and Live badges
• Exclusive content subscriptions through platforms like Patreon
  

Example: A beauty influencer with 200,000 followers could launch their own line of beauty products, promoting them through Instagram posts, stories, and an Instagram Shop, driving significant sales.

4. Mega-Influencers (1,000,000+ Followers)

Mega-influencers have over 1,000,000 followers. They often work with major brands and can earn substantial income through high-profile partnerships and diverse monetization strategies.

Monetization Opportunities:

• Premium brand endorsements
• Extensive affiliate marketing
• Hosting large-scale events and workshops
• Launching high-profile product collaborations

Example: A lifestyle influencer with 2 million followers might partner with a major fashion brand for an exclusive clothing line, earning significant revenue from both the partnership and direct sales through their Instagram profile.

Tips for Building a Following on Instagram

1. Define Your Niche

Identify your area of expertise or interest, whether it’s fashion, fitness, travel, or technology. Focusing on a niche helps you attract a targeted audience.

2. Create High-Quality Content

Invest in good photography and editing tools to create visually appealing content. Use consistent filters and themes to maintain a cohesive look on your profile.

3. Engage with Your Audience

Respond to comments, like posts from followers, and engage in meaningful conversations. Building a community fosters loyalty and increases engagement.

4. Use Hashtags Strategically

Use relevant hashtags to increase the visibility of your posts. Research popular and niche-specific hashtags to reach a broader audience.

5. Collaborate with Others

Partner with other influencers or brands in your niche to reach new audiences. Collaborations can include shoutouts, joint giveaways, or co-created content.

6. Post Consistently

Maintain a regular posting schedule to keep your audience engaged. Use Instagram’s scheduling tools to plan and automate your posts.

7. Leverage Instagram Stories and Reels

Utilize Instagram Stories and Reels to share behind-the-scenes content, quick tips, or entertaining clips. These features help increase visibility and engagement.

8. Run Contests and Giveaways

Hosting contests and giveaways can boost engagement and attract new followers. Ensure the rules are clear and the prizes are relevant to your audience.

9. Analyze Your Performance

Use Instagram Insights to track your performance. Analyzing metrics such as engagement, reach, and follower growth helps you understand what works and adjust your strategy accordingly.

10. Stay Updated with Trends

Keep up with Instagram trends and algorithm changes. Adapting to new features and trends helps you stay relevant and maintain your audience’s interest.

By implementing these strategies, you can grow your Instagram following, enhance your engagement.

Related read: How to Increase Instagram Followers in 2024

Additional Things to Consider for Making Money on Instagram

1. Engagement Rate

A high engagement rate can be more valuable than a large follower count. Brands look for influencers who can drive interactions such as likes, comments, shares, and saves.

2. Niche Relevance

Choosing a niche that aligns with your interests and expertise can attract a dedicated following and make it easier to partner with brands that share similar values.

3. Content Quality

High-quality content is crucial for attracting followers and potential brand partners. Invest in good photography, editing tools, and content planning.

4. Consistency

Posting regularly helps keep your audience engaged and increases your visibility on Instagram. Develop a content calendar to maintain consistency.

5. Authenticity

Authenticity builds trust with your audience. Be genuine in your interactions and promotions to maintain a loyal follower base.

6. Mastering Instagram for Business

Optimizing Your Business Profile for Success

To effectively monetize your Instagram presence, it’s crucial to master the platform’s business features. Here’s how to optimize your business profile:

• Switch to a Business Account: Gain access to Instagram Insights, contact options, and advertising tools by switching to a business account.
• Complete Your Profile: Ensure your profile is fully filled out with a professional profile picture, a compelling bio, and a link to your website or online store.
• Utilize Insights: Regularly check Instagram Insights to understand your audience demographics, post performance, and engagement metrics. Use this data to refine your content strategy.

Example: A local boutique could use Instagram Insights to learn that their audience is most active in the evening, adjusting their posting schedule to maximize engagement.

7. Activating Instagram Shopping

Selling Products Directly Through Instagram

Instagram Shopping allows you to turn your profile into an online storefront, making it easy for followers to browse and purchase products without leaving the app.

• Set Up Instagram Shopping: Connect your Instagram account to a Facebook catalog through Facebook Business Manager. Ensure your products meet Instagram’s eligibility requirements.
• Tag Products in Posts: Use shopping tags in your posts and stories to highlight products, allowing users to click and purchase directly.
• Create Shoppable Content: Regularly post high-quality images and videos featuring your products, tagging them to drive sales.

Example: A handmade jewelry brand could post beautiful photos of their latest collection, tagging each piece to enable direct purchases through Instagram.

3. Learning Instagram Do’s and Don’ts

Understanding Best Practices for Effective Engagement

To build a strong presence and avoid common pitfalls, it’s important to understand the do’s and don’ts of Instagram.

Do’s:

1. Post consistently to keep your audience engaged.
2. Use relevant hashtags to increase your reach.
3. Engage with your followers by responding to comments and messages.
4. Collaborate with influencers and other brands to expand your audience.

Don’ts:

1. Avoid using too many hashtags, which can make your posts look spammy.
2. Don’t buy followers; focus on organic growth.
3. Avoid posting low-quality or irrelevant content.
4. Don’t ignore your audience; engagement is key to building loyalty.

Example: A travel influencer should focus on posting high-quality travel photos with relevant hashtags and engaging captions, avoiding generic or unrelated content that doesn’t resonate with their audience.

4. Leveraging Instagram E-commerce Apps

Enhancing Your Online Store with Integrated Tools

Instagram e-commerce apps can help streamline your sales process and enhance the shopping experience for your followers.

• Integrate E-commerce Platforms: Use apps like Shopify, BigCommerce, or WooCommerce to connect your online store to Instagram.
• Automate Sales Processes: Use tools like Later or Hootsuite to schedule posts and track sales metrics.
• Enhance Customer Experience: Implement apps that offer features like automated responses, inventory management, and personalized recommendations.

Example: An online clothing retailer could integrate Shopify with Instagram, allowing them to manage their inventory, process orders, and track sales directly through the app, providing a seamless shopping experience for their customers.

Important tools

• Instagram Money & Engagement Calculator – Check here
• Instagram Shopping – For setting up shop on Instagram. Enables direct selling of products through posts and stories.
• Influencer Marketing Platforms: Facilitate collaboration between brands and influencers for sponsored posts.
• Analytics Tools: Provide insights into follower demographics, engagement rates, and post performance.
• Content creation tools – Read this guide on new updates

Conclusion

Making money on Instagram requires dedication, creativity, and a strategic approach. By building a strong profile, growing your followers, and exploring various monetization methods, you can turn your Instagram account into a profitable venture. Remember to stay authentic, engage with your audience, and continuously adapt to the ever-changing landscape of social media. With persistence and the right strategies, the answer to “can you make money on Instagram?” will be a resounding yes.

Pro tip: Focus on building a niche audience, engage with followers, collaborate with brands, and utilize features like Instagram Shopping and IGTV ads to monetize your content.

FAQs on How To Make Money On Instagram