With over 2 billion monthly active users, Instagram presents major money-making opportunities for creators and businesses alike.
From influencer sponsorships to selling products, coaching services to earning bonuses, there are numerous ways to effectively monetize an Instagram account once you build an engaged audience.
In this comprehensive guide, we’ll explore the top 10 methods for making money on Instagram in 2023, along with tips for implementation and common mistakes to avoid.
1. Earn From Sponsored Instagram Posts
Partnering with brands as an influencer is one of the most popular ways creators make money on Instagram today.
The basic process involves:
- A brand reaches out or you apply to collaborate on sponsored content
- You negotiate terms like pay rate and usage rights
- You sign an agreement outlining expectations, deliverables and timeline
- You receive payment, often split between upfront and back-end based on engagement and sales
- You create and publish a feed post, stories, Reel or Live that promotes the brand and discloses your partnership through tags like #Ad, #Sponsored or #PaidPartnershipWith
According to CreatorIQ, the average Instagram sponsorship is worth nearly $200 per 100,000 followers. Top influencers charge over $20,000 per post!
When seeking brand deals, identify companies that align with your niche and aesthetic. Review their existing influencer content to understand what performs well.
Craft partnership proposals tailored to how their products/services can uniquely serve your audience. Provide recent analytics like engagement rate and demographic data.
Be sure to follow FTC guidelines for properly disclosing paid endorsements on social media. Doing so builds trust with your followers.
2. Make Money With Affiliate Marketing on Instagram
Affiliate programs reward content creators for driving traffic, leads and sales.
As an affiliate marketer, you receive a unique promo code or link for a brand’s product. Whenever someone makes a purchase using your code/link, you earn a commission ─ usually between 5-20%.
For Instagram, incorporate affiliate links directly in your bio or share them within dedicated posts and Stories.
When showcasing products, speak genuinely from your own experience. Give honest reviews focusing on value for your audience versus hard sells.
Some top affiliate programs for Instagram creators include:
- Amazon Associates: Huge selection of products with up to 10% commission
- RewardStyle: Up to 20% commission from top fashion/lifestyle brands
- Etsy Affiliate Program: $2 per sign-up + 3.5% of purchases
- Clickbank: Digital downloads like courses + up to 75% commission
Study your analytics to discover what types of recommendations your followers respond to best. Consider seasonality too ─ some products sell better during holiday gift-giving seasons.
3. Sell Your Own Products on Instagram Shop
Having your own products to sell allows for maximizing long-term revenue from Instagram’s built-in shopping capabilities.
The steps to get set up include:
1. Switch to an Instagram business profile
2. Enable Instagram Shopping in Settings
3. Create product catalog and connect to your online store
4. Upload quality product images/videos that abide by eligibility policies
5. Tag products clearly and keep catalog updated
Once your Instagram Shop is enabled, add prominent links to it in your bio and Stories. Share eye-catching carousels of current merchandise. Use promotional codes and discounts to boost conversions.
You can also create dedicated posts and ads to showcase new arrivals. Instagram even provides analytics on impressions and clicks per product.
Remember – focus on solving people’s problems versus pure hardselling. Craft product descriptions that demonstrate the benefits for your target customers.
4. Sell Your Services on Instagram
Beyond physical goods, creators are making money by selling professional services to their engaged audiences.
Popular options include:
Social Media Marketing Consulting: Helping brands grow their own Instagram accounts with strategy services
Instagram Coaching: 1-on-1 or group training programs on growth, engagement, visual branding and more
Online Courses: Informational classes and digital downloads related to your niche that followers purchase for on-demand access
Graphics & Design Work: Custom illustrations, photos and videos tailored to meet clients’ creative needs
Influencer Marketing Management: End-to-end influencer partnership facilitation for brands
The process for getting set up is similar across all these service-based money-making methods on Instagram:
- Set pricing that demonstrates premium value
- Share case studies and client testimonials
- Outline service offerings in Linktree or website links
- Build rapport with ideal potential customers
- Close deals over DM/email explaining custom offerings
Remember – when selling services directly control the process, quality, results and overall customer experience from start to finish. This establishes you as an expert worth investing in.
5. Earn Bonuses for Top Instagram Content
Beyond brand sponsorships and affiliates, Instagram itself offers monetization bonuses for creators that consistently produce high-performing and engaging content.
For example, with Instagram Reels Play Bonuses, eligible creators can earn up to $10,000 per month based on the views their Reels receive.
And if you go live frequently, your viewers can purchase Badges during broadcasts as a way to send tips and stand out in comments. Instagram pays out 100% of Badge earnings.
To qualify for these bonuses, you must:
- Maintain an authentic, active account in good standing
- Comply strictly with Content Monetization Policy
- Have at least 10k followers, with most coming from USA
- Consistently hit view/engagement thresholds per post
Check your Instagram Professional Dashboard for latest bonus programs, eligibility and earnings reports.
While volatile, these direct payouts from Instagram provide incremental income that really adds up.
6. Earn Recurring Revenue Via Instagram Subscriptions
Launched in early 2022, Instagram Subscriptions enable creators to offer exclusive content and experiences to loyal followers for a monthly fee.
Fans subscribe directly within the Instagram app. In exchange they receive:
- Subscriber-only stories and Lives
- Exclusive IG badges and stickers
- Priority comments and messages access
- Unique behind-the-scenes content
- Discounts on products and services
- Community group chat features
The recurring subscription revenue model allows Instagram creators to establish predictable income streams. You can also segment top-tier audiences for gated distribution of your best content and direct conversations.
Subscriptions pricing starts at $0.99/month, with creators keeping up to 100% after fees.
To maximize recurring revenue:
- Offer differentiated subscriptions across various levels
- Consistently add value and novelty to retain subscribers
- Promote new content drops that incentivize sign-ups
- Surprise and delight with exclusive experiences
Position subscriptions as direct support that sustains your ability to keep creating amazing content!
7. License Your Instagram Photos and Videos
If you have a keen eye for captivating Instagram photos/videos, you can license your media to brands who need eye-catching visuals for their own marketing.
Through platforms like Getty Images and Twenty20, you upload polished content then set price-per-download rates.
Based on criteria buyers search for like aesthetics, subjects and technical quality, your photos/videos may get purchased for use across social media, websites, ad campaigns and more.
You retain full creator credit and earn royalties for licensing your original media, with platform fees taken out – for Getty that’s 40% of each transaction.
If pursuing commercial photography/videography,important best practices include:
-
Showcase diverse conceptual photography content not just random smartphone snapshots
-
Curate selections around themes that commercial buyers tend to need frequently (women entrepreneurs, technology innovations etc.)
-
Tag content extensively based on visual elements and what brands will actively search for in marketplaces
-
Upload only your best, highest-resolution captures that clearly meet demand
8. Run An Instagram Feature Account
Instagram feature accounts repost and credit content from other users. By aggregating themed content in one place, they build engaged niche audiences.
While manual approvals were required to operate these accounts before, now anyone can start an unpaid feature page.
To maximize money-making potential:
-
Select a specific, advertiser-friendly niche like travel, fashion, architecture, etc.
-
Curate and feature only top-notch content from both hobbyists and professional creators
-
Credit every user and link back to drive traffic
-
Enable business settings like Instagram Shopping once eligible
You can monetize the account over time in a few ways:
Promoted Features
Paid guaranteed features of follower submissions
Sponsored Posts
Paid posts promoting relevant brands
Affiliate Links
Feature products for a commission
The key is building niche authority and trust through consistent, quality features. This establishes value for potential commercial partnerships.
9. Become A Consultant On Instagram Business Topics
Leverage hard-won knowledge to help others succeed on Instagram. As a consultant, provide high-level strategic guidance tailored to addressing clients‘ specific organic growth, engagement and monetization challenges.
Those with an aptitude for hands-on Instagram tactics can offer one-to-one coaching and training services too. For example:
- Profile audits and visual branding education
- Content strategy and ideation sessions
- Creative direction for engaging Stories/Reels
- Technical tutorials around filters, editing apps etc
To establish expertise as an Instagram consultant or coach:
- Document your own measurable IG growth and monetization wins
- Create free value resources like IGTV videos, guides, case studies etc
- Confidently share rates and define scope of services
- Continuously expand knowledge of latest updates and changes
Position yourself as the top-tier subject matter resource brands and entrepreneurs turn to for guaranteed Instagram results powered by your proven methodology.
10. Release Online Courses Teaching Instagram Skills
Digital courses and memberships related to mastering Instagram represent another lucrative opportunity. Given it‘s hugely popular globally, people are actively seeking to both use and grow their accounts more effectively.
You don’t need to be a top 1% mega-influencer either to create courses that provide tremendous value. Leading experts suggest starting by identifying:
-
Specific struggles and pain points your followers have around Instagram
-
Special frameworks, tactics, insights or tools from your own experience that can help solve those struggles
Package that helpful knowledge into on-demand or live coaching masterclasses. Host them on a course platform like Podia or Teachable integrated with your website.
Promote course launches to your audience through an exclusive pre-sale. This incentives sign-ups and secures core patrons who will vouch for your teaching abilities.
Follow up with subscribers providing support and soliciting testimonials. Seek genuine feedback on enhancing course quality over time through additional lectures and community interactions.
By charging monthly memberships or one-time access fees, online educational courses unlock passive income. You get paid continually as students sign up now and into the future to access materials.
Building an audience and brand on Instagram does take consistent, thoughtful effort. But the types of monetization opportunities enabling real income growth make it well worth embracing for anyone passionate about social media influence and content creation.
Hopefully this guide provided ample inspiration and tactical advice on converting your account into a money maker through some combination of sponsorships, affiliates, consulting services, curriculum development or leveraging Instagram’s built-in monetization programs.
Remember – always keep your followers at the heart of strategic decisions. Seek to solve their problems and enrich lives while organically monetizing the audience’s attention. By focusing on service first, the income growth will follow!
