Instagram Subscription Launched: Users Can Now Make Money With Content! Find Out How?
Instagram is testing a subscriptions feature with which creators can monetise their content and earn consistent income.
How It Works
How it works is that followers can subscribe to receive exclusive content from their favourite creators such as Instagram Live streams and a purple badge denoting their subscriber status.
They will pay a monthly subscription fee for the exclusive content.
It is in the testing phase with a small number of creators and influencers in the US and will expand to include more in the coming weeks.
Only 10 US creators currently have this feature, including actor-influencer Alan Chikin Chow, basketball player Sedona Prince, gymnast Jordan Chiles, astrologer Aliza Kelly, model Kelsey Cook and digital Creator Lonne IIV.
The subscription fees fall in the range of $0.99 to $99 per month, and will be set by the creators.
Most creators will likely start with low price points like $0.99, $1.99, $2.99, $4.99 or maybe even $9.99 per month.
They may later choose to experiment with higher pricing like $19.99, $49.99 or $99.99 per month.
In order to promote the feature, Instagram won’t charge a commission to creators at least until 2023.
Apart from the new feature, it has other options available to creators to make money from their content.
Some of them are Creator Shops, affiliate e-commerce, branded content marketplace, etc.
Competition From TikTok
Instagram is only one among other internet giants with a similar subscription feature.
In the US, it faces fierce competition from TikTok on which a growing number of creators can get access to an impressionable and younger Gen Z audience.
Twitter offers a Super Follow feature in which users can pay between $2.99 to $9.99 a month for exclusive content from their favourite creators.
YouTube’s subscriptions feature is one of its well known and long standing features with which subscribers can pay to become “members” of their favourite channels.
They get access to member-exclusive perks such as loyalty badges, custom emoji, exclusive access to behind-the-scenes photos and videos, live streams and more.
Non social media platforms such as Patreon, Kickstarter, Ko-Fi are also popular among content creators to make money from subscribers/followers/fans.
$100 Bn Market
The high levels of activity in the short-form video products space is indicative of the size and scope of the market.
The creator economy is estimated to be a little over $100 billion dollars, and growing.
Even if Instagram decides to not charge creators commission on their earnings, it will have the opportunity to earn much more going forward.