How to Make Money on Instagram in 2023 (9 Best Ways)
Last updated: July 17, 2023
With over 1.35 billion users worldwide, Instagram has evolved far beyond a simple photo-sharing app, becoming a thriving business platform that empowers millions of social media creators to generate substantial income. If you’ve ever wondered how to make money on Instagram and if you can achieve it too, you’re in the right place.
In this article, we’ll delve into the strategies that successful social media creators have used to monetize their Instagram presence, regardless of their follower count. Get ready to discover how to make money on Instagram and build a sustainable and profitable income stream from monetizing your Instagram presence.
Here are 9 best ways to make money on Instagram in 2023:
- Launch sponsored posts or branded content on Instagram
- Earn commission through affiliate marketing
- Launch your own brand or business
- Offer Instagram social media management services
- Build a membership website
- Become an Instagram online coach
- Go on Instagram live and make money through Instagram badges
- Open an Instagram shop
- Sell online courses
1. Launch Sponsored Posts or Branded Content on Instagram
When it comes to making money on Instagram, partnering with brands takes center stage as the most popular and well-known method for creators. Brands are willing to pay a substantial amount of money to influencers with a significant following to promote their products or services.
To kickstart your brand partnerships, consider creating a few posts showcasing your favorite things, be it restaurants, beauty products, or anything that resonates with your true self, even if it’s initially done for free. These posts can later serve as a compelling portfolio when reaching out to brands. It also provides a great benchmark for the brands to get to know the quality of your photo or video production value.
Remember, transparency is key in sponsored posts or paid partnerships. Make use of appropriate hashtags, clearly mark the post as sponsored, and provide explicit information about the partnership in your captions. Instagram provides guidelines on using the “paid partnership label” to tag branded content. Not only does following Instagram’s branded content guidelines prevent post removal, but it also ensures ethical and trustworthy practices that build trust and credibility with your followers.
Instagram influencer @alineh_a provides a great example of a sponsored post that contains a “paid partnership” label and a #sponsored hashtag.
2. Earn Commission Through Affiliate Marketing
Affiliate marketing is another lucrative strategy to make money with your Instagram presence. By partnering with companies and promoting their products or services through unique referral links, you can earn a commission for every sale made through your link.
Similarly to sponsored posts, you will need to disclose your affiliation with the company using hashtags and other means as part of ethical practices when posting content. We recommend choosing products that resonate with your value and your audience, and provide genuine recommendations to build trust and credibility.
The easiest way to find a massive list of companies that offer affiliate programs is to sign up on affiliate networks like ShareASale, CJ Affiliate, Awin, and Rakuten Affiliate Network. Joining affiliate networks is real simple and it provides content creators with a range of benefits such as access to a wide variety of brands, simplified program management, exclusive offers, and transparent commission rates. These networks will help ensure reliable tracking and automated payments for your commission.
3. Launch Your Own Brand or Business
Whether you have a physical product to showcase, or digital products like eBooks, music, online courses, or offer services like coaching, art commissions, and more, Instagram provides an incredible opportunity to increase your brand visibility, drive traffic, and boost sales.
The best way to launch your own brand is by creating a professional website where your audience can browse and purchase your products. You can use Payhip to create a beautiful and professional website for free (and without needing to write a single line of code). Payhip’s platform already comes with eCommerce functionalities so you can sell digital and physical products from your own website. Check out Payhip’s comprehensive guide on How to Create a Website for Free.
4. Offer Instagram Social Media Management Services
If you possess strong social media management skills, you can offer your services as an Instagram social media manager. Some examples of your daily responsibilities as an Instagram social media manager may include developing content scripts and concepts, scheduling content posts, writing Instagram captions, developing strategies for follower growth, handling account operations, driving audience growth and engagement, analyzing performance metrics, managing influencer partnerships, and staying updated with platform trends and features. You might also need to be familiar with social media management tools like Hootsuite.
The income of a social media manager on Instagram can vary greatly depending on factors such as experience, location, client base, and job scope. Generally, social media managers can earn anywhere from $30,000 to $70,000 per year. However, experienced managers working with larger clients or running their own agency may earn significantly more.
5. Build a Membership Website
Let’s face it, sometimes creating content to earn money on Instagram can take up a huge chunk of time. You might spend hours crafting top-notch content, diving deep into research, and ensuring every pixel is perfect. In these cases, creating exclusive content and offering it to your followers through a membership model can be a more rewarding way to make money while being able to produce the content that you’re passionate about.
By launching a membership site, you can provide access to exclusive premium content, behind-the-scenes content, personalized advice, or exclusive discounts to your most loyal followers in exchange for a monthly or yearly subscription fee.
You can offer previews of your content for free through Instagram to promote and raise awareness for your membership site, drive your followers to join your membership site and pay recurring fees to enjoy higher quality content from you.
Platforms like Patreon or Payhip make building and expanding your membership seamless. Check out our guide on How to Build a Membership Website for free to get started.
6. Become an Instagram Online Coach
If you’re dominating the Instagram game with a massive and engaged following, becoming an online coach and offering your expertise is another way to make money on Instagram. People are hungry to learn the secrets to make money on Instagram, and guess what? You hold the key to their success.
You can also become an online coach for any other niche. For example, many people are searching for effective strategies and tips on how to make money and achieve financial success. You can become a life coach or a business coach and promote your coaching business through Instagram.
Check out our guide on How to Start an Online Coaching Business to get started.
7. Go on Instagram Live and Make Money Through Instagram Badges
If you frequently go live on Instagram or host virtual events, you can monetize your Instagram live streams through Instagram Badges. Consider them as digital tips your audience can shower you with during your broadcasts. Your followers can purchase badges at different price points, choosing from three levels of hearts (one for $0.99, two for $1.99, or three for $4.99) and show their support during your live sessions. As a content creator, you receive a portion of the revenue generated from these badges.
Note that there are some restrictions to Instagram’s program as the Badges is currently only available to all eligible creators in the US. Access for eligible creators in the UK, France, Spain, Italy, Germany, Japan, Australia, Turkey, Brazil, and Mexico is currently invite-only
8. Open an Instagram Shop
Instagram Shop is a feature that enables users to sell products directly through their Instagram profiles. If you have a physical or digital product to sell, you can set up an Instagram Shop, showcase your offerings, and facilitate transactions directly on the platform. This eliminates the need for users to navigate away from Instagram to make a purchase.
The downside to owning an Instagram Shop is exactly due to the fact that it is an online store that only exists within Instagram. With the rising popularity of users who use multiple social media apps like TikTok, Youtube, Twitter, and more, you’re better off selling your products on your own website, and linking your website on your Instagram bio. That way you won’t have to set up various different platforms for your customers to be able to purchase your products.
9. Sell Online Courses on Instagram
If you have valuable knowledge or expertise in a particular field, creating and selling online courses can be a fantastic way to generate income. With millions of active users on Instagram, you have a massive potential audience to promote and sell your courses to.
By leveraging the visual nature of Instagram, you can create enticing content that showcases the value and benefits of your courses. Whether you’re an expert in photography, fitness, marketing, or any other niche, Instagram allows you to reach a targeted audience and establish yourself as a trusted authority. Through compelling visuals, engaging captions, and strategic use of hashtags, you can attract interested learners and drive them to your website or learning platform to purchase your courses. Learn how to create and sell online courses for free with our comprehensive guide.
FAQ – Making Money on Instagram
How many Instagram followers do you need to make money?
While there is no set number of followers required to start making money on Instagram, having a substantial following is beneficial. Brands often look for influencers with a significant reach to ensure their products or services are exposed to a large audience. However, engagement and niche relevance are equally important factors that brands consider when determining the amount of money they would spend on their influencer partnerships.
How to make money on Instagram without followers?
Although having a strong following can make monetizing your Instagram account easier, it’s not the only way to make money on the platform. You can focus on other strategies such as offering Instagram management services, becoming an Instagram coach, or launching your own online store. These methods allow you to generate income based on your skills and expertise.
Do Instagram users get paid?
Yes, Instagram users can get paid through various monetization methods. As mentioned earlier, sponsored posts, affiliate marketing, and selling products or services are common ways to earn money on the platform. Additionally, features like IGTV ads, Instagram badges, and the Instagram Shop offer additional avenues for users to monetize their presence.
Can you make money on Instagram?
Absolutely! Instagram has evolved into a powerful platform for content creators, influencers, and businesses to generate income. By leveraging your unique strengths, providing valuable content, and building a loyal community, you can turn your Instagram presence into a profitable venture.
How do I connect my website (e.g. Shopify, Payhip) to Instagram?
If you’re using Shopify, you can integrate your website with Instagram by connecting it through the Commerce Manager. This involves adding product catalogs, setting up product tagging, and linking your website. Once the integration is complete, you can start tagging your products in your Instagram posts and stories, allowing users to directly access and purchase them from your website. In order to do all of the above, you’ll need to set up a business account on Instagram if you haven’t already, and make sure you meet the eligibility criteria for accessing shopping features. Bear in mind that Shopify also comes with pretty hefty monthly fees.
Another option is to build your website for free using Payhip and simply put a link to your Payhip website on your Instagram bio.
Final Thoughts – Making Money on Instagram
Hopefully this list gives you some great ideas on how to make money on Instagram. Our recommendation is to approach it with a well-defined strategy. Whether you choose sponsored posts, affiliate marketing, or launching your own brand, Instagram provides ample opportunities for monetization. Focus on providing value to your audience, building strong relationships with brands, and continuously refining your content to maximize your earning potential. With perseverance and creativity, you can turn your Instagram account into a profitable business venture.