At Grapevine, we recommend a CPM of $20 – $30. Designed by Elegant Themes | Powered by WordPress. Tiered pricing for available for projects with budgets over $500,000. Or, the brand sponsors the entire YouTube channel and then the YouTuber has to recommend (or use when appropriate) the product in every video. The sponsor is expecting a return on their investment equal to or better than alternative channels, Covering your costs is not the motivation – providing value and a return on investment for the sponsor is, You have qualified the target sponsor and they are an excellent fit with your audience, The sponsor is expecting a customised sponsorship proposal tailored to their marketing needs, Unique return visitors to your website in a 12 month period (you can get this figure from Google Analytics), Subscribers (email, podcast, publications etc. It’s your job, however, to help deliver qualified leads into the sponsor’s sales funnel and support the process with unique marketing initiatives as part of the sponsorship strategy. Please note … YouTube is one of the more complex influencer marketing platforms that influencers use to promote video content to target audiences for brands. You can calculate your audience size by adding together the following: Add up all these numbers and divide it by 3 to get your total audience size. They tend to have audiences made up mostly of people that match certain criteria, with... With over 2 billion logged-in monthly users, YouTube is one of the most popular search engines, processing more than 3 billion searches a month. What we need is a sponsorship pricing model that represents good value for the sponsor, is fair compensation for our effort and is based on a model we can use over and over again. Determining the value of your sponsorship inventory and defining your own sponsorship valuation formula is without a doubt the thing that strikes fear into the hearts of even the toughest sponsorship sales pro. Check out these Youtube secrets: The Ultimate Guide To Growing Your Following & Making Money As A Video Influencer The 15 page sponsorship proposal worksheet (Word doc format) contains 10 steps to create and deliver a winning sponsorship proposal. To help you calculate your sponsorship pricing I’ve created a Sponsorship Pricing Worksheet [DOWNLOAD] which includes all the steps and formulas you’ll need. Connect your YouTube channel or Instagram account so we can verify ownership and automate stats on your sponsored content. 10,000 to 50,000 monthly blog impressions: $175 to $250 per post, 50,000 to 100,000 monthly blog impressions: $250 to $500 per post, 100,000 to 500,000 monthly blog impressions: $500 to $1,000 per post, 500,000+ monthly blog impressions: $1,000 to $5,000+ per post. The spreadsheet has 5 tabs (located at the bottom left corner of the spreadsheet), 1 tab for each step in the calculation process. The sponsor will be able to leverage your sponsorship to build favor with their existing leads and customers. In the sponsorship game what you’re selling is access to your audience.

1. The easiest way to get this information is to ask your sponsor. Check the box next to “My video contains paid promotion like a product placement, sponsorship, or endorsement.” Select SAVE.

Sponsor Conversion Rate. Copyright KSO Holdings Pty Ltd - All Rights Reserved, study from MarketingSherpa on conversion rates by industry, 5 must-have skills every sponsorship seeker needs, How to get sponsored: a step-by-step approach, How to write a sponsorship letter that gets results, How to attract sponsors with an irresistible opportunity, How to get sponsored – 7 tips you need to know, Kick the bad sponsorship letter writing habit, How to put the right price on your next sponsorship proposal, How to deliver exceptional value in your sponsorship proposal, Firstly, you have an audience which the sponsor can market to and generate leads from, You’re not a charity and you’re not asking for a donation. The actual rates an advertiser pays varies, usually between $0.10 to $0.30 per view, but averages out at $0.18 per view. In this post we discussed how people make money on YouTube. Brands are partnering with influencers to spread brand awareness, gain larger followings and increase total revenue. We’ve conducted thorough research on influencer rates and done some YouTube sponsorship analysis. To get YouTube channel sponsorship, you need to have a great portfolio of work already uploaded. (typical retail is 25% to 35%), Customer acquisition cost = $666.67 per customer, Cross promotion with other sponsored properties. Both the Federal Trade Commission (FTC) and the social media platforms influencers post on have rules for sponsored content, and YouTube is no different. If you don’t have an audience or it’s very small, concentrate on building a minimum viable audience first. So the first step in the sponsorship pricing model is to calculate your total audience size.

The idea is for you to move from tab to tab in the spreadsheet as you move onto the next step in this article. If you are a business owner looking to start an influencer marketing campaign or an influencer marketing strategy, there are many affordable options out there. On average, bloggers charge brands around $175 to $5,000+ per post. Well, simple, you HAVE TO know-your-numbers.

A typical ratio is 3 to 1. 10% to 14% ad min fee for government grants (to be determined based on size and requirements of grant), Model C Sponsorship (more info can be found, 6.5% admin fee for projects with budgets under $500,000, 5% admin fee for projects with budgets between $500,000 & $1M. Let’s look at each audience segment and list some example marketing initiatives for the sponsor. On average brands pay around $2,000 per 100,000 followers. The single most important thing sponsors look for … Ok. this is it. Now that we have our total audience size figured out we want to understand how much profit the sponsor could make from a lead we provide and how much it costs to convert that lead into a sale. For example, try micro-influencer marketing. ... One tip about keeping your video engagement topnotch is maintaining your video retention rate and this is best achieved with videos that are of average length i.e. Rather surprisingly, the United States is not the country with the highest YouTube CPM. The cost of influencer marketing varies from influencer to influencer.

Sponsorship Rates We try to keep our administration fee as low as possible so more of the funds you raise can be used to further your charitable efforts. The final step in the calculation is to multiply the sales count by the price per conversion. When it comes to sponsorship, what you are fundamentally selling is the opportunity for a sponsor to market their goods and services to your audience. If so check out our other blog on how to become a social media influencer.

Once again, talk to the sponsor about their conversion rate. Lifetime customer value (LCV) is the estimated profit a customer will generate during their lifetime. To help us offer our fiscal sponsorship services and cover our basic costs while you are raising funds, we have a refundable minimum monthly admin fee or $29 per month. How does your total watch time looks like? The customer acquisition cost (CAC) is the amount the sponsor spends to convert a lead into a customer. Your role is to help the sponsor generate leads from your audience. To calculate the starting price first we need to divide our audience into the engagement segments. Before we go ahead, let’s discuss the factors you need to consider before setting your YouTube Sponsorship Prices. How many views per month does your channel accumulate? How´s your audience retention numbers? You need 10,000 subscribers on YouTube or 10,000 followers on Instagram to be eligible. Each of these customers has a value we can calculate and this forms the basis of our pricing model. Next we need to apply a lead generation rate to each engagement level. If you deliver 1000 leads and 100 of them turn into sales, the sponsor has a conversion rate of 10%. For info on why you need to tell YouTube, go to the "What happens when I check the 'This video contains paid promotion such as paid product placement, sponsorships or endorsement?' And to do that we need to know the audience size. By knowing exactly how your channel is doing you can easily design a plan on how much you can charge per thousand views, where should you “place” your sponsor’s pitch, and how to take full advantage from a th… Passive Followers – these people know about us and may follow us on social media but they don’t yet actively participate in any offline or online activities. Instagram influencer pricing and the cost of using social media influencers does vary, but this blog gives you an idea of what influencers are charging marketers and brands to promote their products and services.

A good rule of thumb is to build an email list of 2,000 or more subscribers before approaching potential sponsors.
This is the percentage of each segment we estimate will become a lead for the sponsor. If we use the standard ratio of 3 to 1, the activation effort is 25%. The percentage will increase as the engagement level increases. Podcast audience size is determined by how many downloads each episode receives on average over a 30 day period. Connect your YouTube channel or Instagram account so we can verify ownership and automate stats on your sponsored content. This fee will be refunded to your project once you have raise at least $5,000 each year you are fiscally sponsored. You've probably noticed that some individuals on social media will use their accounts to promote certain products and services.

Youtube Promoter is the most complete Youtube Views provider in the world.

Often referred to as the “halo effect”, these intangible benefits give sponsorship the advantage over other marketing strategies. 50,000 to 100,000 channel subscribers: $500 to $1,000 per video, 100,000 to 500,000 channel subscribers: $1,000 to $3,000 per video, 500,000+ channel subscribers: $3,000 to 5,000+ per video. In our example, the customer acquisition cost is $666.67 per customer. The buzz about influencer marketing is still on the rise. Without that you have nothing to sell. Too high and you price yourself out of the market. Keep track of your brand sponsorships and make lasting relationships with channel sponsors. Unlike many fiscal sponsors, we do not require a minimum balance or ask for a high sign-up fee. The starting price is then multiplied by the added value multiplier and then the halo effect multiplier to arrive at the final price. With Snapchat the cost of marketing is based on the amount of active views, since the platform doesn't have an audience size.

This equates to $3 - $5 per 1000 video views. This assumes you’ve developed a trusting relationship with them already, something I encourage you to do from the outset of your sponsorship journey. The activation effort is the amount of effort you will be putting into the marketing process on behalf of the sponsor. Each of these audience segments should be marketed to in different ways to maximise the leads we help generate for our sponsor and to speed up the conversion process. When you have a great number of videos, the brands that might sponsor you can get a clear idea on what your channel is about, how you evolved over … Let’s recap the information we’ve gathered so far using our example organisation: We need three more figures before we can begin the price calculation stage: Sponsor conversion rate is the percentage of leads who become paying customers. Bloggers are charged based on the quality of their content and the number of impressions they get each month. If you're a micro-influencer, we definitely still want to hear from you! In our example the price per conversion is $166.67 ($666.67 x .25) and the sponsor will be covering all the hard costs. Once again, should update the spreadsheet to reflect your audience. These include: Display ads – these appear to the right of the feature video, above the video suggestions list – on the desktop platform only. For example, here’s a study from MarketingSherpa on conversion rates by industry.

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