How influencers make money?

Internet overloaded with new trends which only support manufacturers. By making people spend money on useless items. Most of the trends are micro trends which last for a few months or even weeks (fast-fashion).

YouTube and Instagram packed with fashion influencers. They get paid for promotional videos in which “buy more, use this coupon to save” main idea. With huge followers in social media, even worst quality items easily sold with right presentation. Which presentation? Buy more = save more. Here’s a few ways how influencers make money on your purchases:

  1. Ad networks. Mostly through Google AdSense to display third party ads and get paid for it. This leads to annoying amount of ads.
  2. Sponsorships. Paid by company to promote merchandise. Influencer get paid to tell good things about product. For example “I’ve been dying to get this handbag but you can buy it easy just follow link and use my promo code”, “This new nutritional yeast taste like cheese in your favourite pasta, I left link below so you can enjoy it too”, “How to get rich videos changed my life and will change yours too, just follow link”.
  3. Collaboration. It’s strategic partnership between influencer and brand to increase sales and make more money.
  4. Social media brand ambassador. Individuals or companies with significant and targeted online follower count.
  5. Marketing campaigns. Influencer mostly choose to partner with brands which reflect their personalities and will not damage followers trust.
  6. Affiliate links. Higher conversion because presented to targeted audience.
  7. Merchandising. Most Influencers sell own branded items with logos on Teespring, Spreadshop…
  8. Invitations & events. Various events for followers and that who with to became social media power house.
  9. Mentoring or consulting. Niche segment with highest income per sale.
  10. Crowdfunding. Some influencers going as far as asking followers to fund their ideas.
  11. Podcast and webinars. Cost effective way to make money.
  12. Shopify. Perfect tool to create and promote business.

Social media Influencers create high revenues and strong positive image for business. But they also contribute to next problems:

1)Negative environmental impact.
2)Textile waste.
3)Toxic chemical usage.
4)Water pollution.
5)Polyester micro particles in oceans.
6)Pesticides for growing natural fabrics.
7)Disposable garments and other useless items.
8)Climate change.

Environmental impact should be as minimal as possible but with current manufacturing processes it’s impossible. For example to make one average size cotton T-shirt require 2700 liters of water. To manufacture one polyester T-shirt require 350 liters of water. Also pesticides, energy, fuel and carbon footprint.

Influencers encourage to buy new items and not second hand items ( they won’t get commission) because they are paid by companies & speaking and doing things which company dictated in contract.

Social media not always positively influence on mental health. We are bombarded by thousands ads and this influence on ability to understand what is suitable & needed and what is not. Influencers present highlighted moments (in most cases paid moments) to followers. Followers believe and buy merchandise & services.

After using Instagram for commercial purpose for 18 months I’ve deleted account. Fake online life is drastically different from real life.

Please remember before buying new cheap trendy item advertised by influencer ask yourself “will it add value in my life?”. By asking yourself this simple question you can avoid accumulation of useless stuff which does not bring joy.

Thanks for reading. Please follow and share ideas for next articles.

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About my-financial-wealth.com

Trader, blogger, traveler

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