How to Make Money on Instagram in 2025? A Guide for Creators

Gone are the days when you needed a million followers to earn a decent income on Instagram. Today, anyone—regardless of account size or profile—can leverage their Instagram page to secure paid partnerships, promote and sell their own products, or monetize their online presence through paid subscriptions. With 2 billion monthly active users on Instagram, the question is no longer if you can start your journey as a creator, but how.

If you’re looking for a detailed, no-nonsense overview of proven Instagram monetization methods and practical steps to implement them, keep reading!

5 Proven ways to make money on Instagram

1. Influencer marketing & sponsored content

Influencer marketing is a collaborative model between brands and individuals who have the power to influence a specific audience and impact their purchasing decisions through recommendations.

For brands, this approach offers a far more effective way to reach Instagram users with sponsored content. Partnering with influencers yields significantly better results than traditional paid advertising. It’s no surprise that in 2024, the global influencer marketing industry was valued at an impressive $24.7 billion, with projections indicating a further 35% increase by 2025.

Now, let’s explore how you can leverage this and get paid as a creator.

[fs-toc-omit]Nano-influencers are on the rise

If you’re reading this, you’re likely an aspiring influencer without a massive Instagram follower count—but that can actually work to your advantage! In 2024, 75% of Instagram influencers were nano-influencers, defined as accounts with 1,000 to 10,000 followers.

Why is this important? It’s clear evidence that engagement rate matters more than sheer follower count. Brands are increasingly interested in collaborating with smaller accounts. The reason is straightforward: influencers with large audiences often charge significantly higher rates for sponsored posts and may struggle to build close relationships with their hundreds of thousands of followers.

In contrast, smaller Instagram accounts typically focus on a more specific niche, have more engaged followers, and can promote a brand for a fraction of the cost of larger accounts with millions of followers. This translates to better ROI and improved campaign results from the advertiser’s perspective.

[fs-toc-omit]What do brands and agencies look for?

Does this mean that larger accounts will struggle to find clients in 2025? Not necessarily.

When selecting Instagram creators for collaboration, advertisers consider various criteria based on the campaign’s objectives, target audience, and budget. Key parameters that brands and influencer agencies typically evaluate include:

• Audience Profile: Does the account reach a specific niche?
• Account Size: Number of followers.
• Engagement Rate: Number of comments and shares.
• Click-Through Rate: How many users click on the links shared by the creator.
• Reach: The number of users who see the posts.
• Overall Content Quality and Relevance
• Price per Post

An influencer's success is a mix of their niche, follower count, and the engagement they can generate.

In 2025, the focus should be on authenticity and relationships, as these factors are likely to be the most effective in growing your audience and attracting brands looking to sponsor their content.

[fs-toc-omit]How do influencers actually earn money

There are several ways influencers can get paid on Instagram. It’s all about sharing sponsored content, but there are different approaches you can take:

• Classic Instagram Posts: Showcase a brand or its products in your feed.
• Instagram Stories: Use custom filters, brand tags, and links to the client’s site. You can also pin stories for a while!
• Instagram Reels: Create short vertical videos that catch attention.
• Live Streams: Engage with your audience in real-time.
• Bio Links: Add a link in your bio for a limited time to promote something special.

These collaborations can be one-time gigs, a series of posts, or long-term partnerships, each with its own pros and cons.

One-time collaborations offer flexibility and the chance to work with different brands, but they can lead to unpredictable income. Becoming a brand ambassador allows you to build a genuine connection with a brand over time and often comes with better compensation. However, it requires a long-term commitment, which can be challenging if the brand no longer aligns with your personal style. Plus, there’s the ongoing pressure to promote the same product, even if your audience starts to lose interest.

Ultimately, it’s about finding the right balance that works for you and your audience!

[fs-toc-omit] How much can you earn from sponsored posts?

So, let’s talk money. The amount you can earn on Instagram can really vary, but there’s generally a strong link between your follower count and the rates you can charge per post. According to Influencer Marketing Hub, here’s a breakdown:

• Nano-influencer: 1,000–10,000 followers (10–100 per post)
• Micro-influencer: 10,000–50,000 followers (100–500 per post)
• Mid-tier influencer: 50,000–500,000 followers (500–5,000 per post)
• Macro-influencer: 500,000–1 million followers (5,000–10,000 per post)
• Mega-influencer: 1 million+ followers (10,000–1 million+ per post)

But that’s not the whole picture! Earnings can also vary based on the type of post, with reels being the most sought-after and typically the highest-paying option. Plus, there are other forms of compensation for influencer collaborations, especially for smaller accounts. These might include free products and services, discounts, or even cost coverage for event participation.

There are also online calculators that can help you estimate how much a specific influencer charges per post. While these tools are mainly designed for brands looking for creators on Instagram, they can give you insights into your competition, including their average engagement rates.

[fs-toc-omit]Earn money on Instagram without showing your face  

Influencer marketing is often linked to charismatic individuals who effortlessly speak on camera, lead exciting lives, and invite their followers into their everyday experiences. While recording reels and talking to your phone is definitely a skill you can learn, we understand that it might not be for everyone.

For those who don’t feel comfortable with this approach but still want to make money from Instagram, there’s an alternative: trade influencer marketing and the concept of faceless accounts.

Faceless accounts operate without revealing the personal identity of the person behind them. Instead of showcasing a specific individual, these accounts focus on niche content, themes, or brands. They often use curated images, graphics, memes, or videos to engage their audience.

Check out @thepositiveminds, a 100% faceless account with over 2 million followers that’s successfully selling the Daily Affirmation book.

The challenge here is finding a way to monetize your Instagram account. For deal hunters, this often means getting paid to share or review specific products. Other creators leverage their high-reach accounts to promote digital products, such as e-books or online courses.

2. Sell your own products

Platforms like Instagram, YouTube and TikTok are among the most effective channels for creators to earn money by selling their own products—whether it’s eBooks, courses, art prints, or branded merchandise. They help you connect with your ideal audience and drive traffic to your website.

[fs-toc-omit]How to start selling your products on Instagram?

Before you start posting about your product and inviting people to buy it, it's worth taking some time to plan.

First, decide whether to create a dedicated Instagram page to showcase your offering or use your existing account. The latter might feel more intuitive, especially if you already have a decent follower count and engagement, and your followers connect with your product. However, if you've mostly posted vacation photos and your followers are mainly friends and family, it’s wise to create a new, dedicated account.

Plus, Instagram’s algorithm tends to favor new accounts that quickly gain traction. It’s also a smart long-term strategy—those interested in your products can follow your business account. This is exactly how it works for Hannah from @ballerinafarm, who also runs another account, @ballerinafarmstore, for her shop.

Don’t be afraid to experiment—no one knows exactly how the algorithm works! Creating a new account doesn't mean you have to stick with it forever. The ultimate goal is for the account to help you earn income, not just to increase your follower count.

Then, you need to decide how you will actually transform your visitors and followers into customers. There are several scenarios and tools you can use:

• Instagram shop
• Your own online store
• Checkout link
• Sales through emails

The key thing here is how your visitors and followers will actually finish transaction. Here's a short recap of different scenarios:

[fs-toc-omit]Instagram Shop

Both Instagram and Facebook allow you to create your online shop within the platform. You simply upload details of your products, and then tag them in your posts or instagram videos. When someone click the tag, they see products details and hopefully decide to purchase it.

If so, there are two options - you can redirect them to your own online store or use Instagram payments or their integration with ecommerce solution. The latter has multiple constraints, some of its features are available only in US, creators must be 18 or older, and if you ask me, launching it is not straightforward at all, especially when it comes to costs.

[fs-toc-omit]Promoting your online store

If you already have an online store, you can use Instagram to promote your products and direct potential customers to your website. Share details about your offer through posts and reels, and consider paid advertising as well.

The key challenge is converting Instagram visitors into real customers. Their journey from liking a product post to making a purchase can be lengthy—especially if they’re redirected to a general product listing instead of the specific item they liked.

To increase the chances that visitors will turn into customers:

• Link in bio: Add a link to your store, preferably to a specific product, in your bio as the #1 position on the link list.
• DM automation: Use automation to send a product link via DM to anyone who comments with a specific phrase. Tools like ManyChat can be super helpful here.
• Implement analytics: Monitor how many visitors from Instagram become customers, as well as how many abandon their carts and why. This data is crucial for optimizing your sales process.

[fs-toc-omit]One-page checkout

Another option that can be a lifesaver, especially if you don't have your own store yet, is the one-page checkout. You simply create a checkout for a specific product and link it in your Instagram feed, just like you would with your online store. They you need to get your followers to click the link and they go straight to a single page where they can see the product details and make a payment right away. This significantly reduces friction, speeds up the process, and lowers the chance of cart abandonment.

You can also consider a solution like Easytools, which allows for one-click payments in your cart for an even more seamless shopping experience, especially on mobile devices.

One-page checkout is worth considering even if you already have an online store. A one-page checkout keeps users focused and prevents distractions. They just click the link and go straight to a page dedicated to that specific product, where they can quickly make a payment.

The best way to know if it works for you is to try it out! Run a simple test by creating a checkout for one of your products and linking it in your bio. Then, observe how it influences your conversion rate.

[fs-toc-omit]Sales through emails

An increasingly outdated practice is conducting sales on Instagram via email. In this approach, prospects contact the seller through direct messages (DMs) and receive payment details either via DM or email to complete a traditional transaction. This method poses several drawbacks for both sellers and buyers.

For sellers, managing orders is entirely manual—requiring them to send product details or account information to each prospect, verify payment completion, and then manually deliver the product.

For buyers, this process means they can only view product details on Instagram and must place significant trust in the seller regarding payment security and product delivery. This arrangement functions like a handshake deal, offering no legal protections to enforce commitments. Given the availability of more efficient options, I strongly advise against using this approach.

Alternative? Use a checkout link! This allows you to avoid setting up a full store while providing a secure, transparent checkout experience and an automated product delivery process.

[fs-toc-omit]How many followers do you need?

We’ve already discussed how engagement rate is more important for your Instagram monetization efforts than just follower count. But you still need to reach those people to sell something, right? So let’s calculate how many followers and how much reach you actually need.

Your followers are likely familiar with your brand, but they aren't your only customers. The Instagram algorithm favors traffic and engagement, especially shortly after a reel, story, or post is published. So even an account with 100 followers can reach 100,000 views a month and generate decent income.

But let's assume your posts won't go viral and define how many followers are enough to make Instagram an effective sales channel. Here’s how:

1. Take your product price, e.g., $79.
2. Estimate what percentage of your audience might be interested, e.g., 30%.
3. Assume a realistic conversion rate, e.g., 22%.

If your account has 1,000 followers, you could estimate your first-month earnings as:

$79 × (1,000 × 30%) × 22% = $5.214

Not bad, right? The challenge is sustaining and expanding your customer base to maintain these results in the coming months. You can either:

• Run paid ads to reach new potential buyers.
• Gradually grow your follower base to increase organic sales.

Don’t be discouraged—if you’re just starting out or running an Instagram freelancing gig while keeping your 9-5, even selling 10 eBooks a month can be a great start and a perfect opportunity to learn before you go all in.

3. Affiliate marketing

Another way to monetize Instagram is through joining an affiliate program. This model is similar to influencer marketing but follows a clear commission-based structure.  So as a creator, you share affiliate links or discount codes and earn a percentage of each successful sales. The main difference to classic influencer marketing is then that you only earn a commision when someone makes a purchase using your link or code.  

Here are a few things to consider when starting out an affiliate marketing gig:

• Choose a product that you truly like and can recommend - otherwise it will be super hard to stay authentic
• Opt in for a product or service that is related to your lifestyle or target group - like fitness apparel when you run account with fitness tips
• Never agree to promote a product that you haven't tried yet - it may just as well turn out that you hate it

[fs-toc-omit]How to promote affiliate links?

The more natural and authentic you can be, the better! The best way to showcase a product is by using it in real life or by being completely transparent when introducing a sponsored product that you genuinely recommend.

Take Diana from @beingmommywithstyle, who offers her followers extras if they call The GateWay to book a Universal Studios adventure and mention that they heard about it from her. It couldn’t look more like a friend’s referral, if you ask me!

Apart from staying authentic, you can:

• Mention the product in posts and stories.
• Create reels highlighting the product’s benefits.
• Write detailed reviews or tutorials.

[fs-toc-omit]Who should try affiliate marketing?

Affiliate marketing is ideal for:

• Creators without their own products.
• Influencers looking for passive income.
• Those who want to build relationships with brands.

Many brands now offer open affiliate programs, meaning anyone can join. Start by researching if one of your favorite brands is looking for affiliates, or approach them directly. The perfect scenario is when the product is promoted by someone who has used it for a long time, knows its features, and genuinely values it.

4. Paid subscriptions

A growing trend on Instagram is monetizing exclusive content through paid subscriptions. The model is quite simple—alongside your standard content, you prepare more exclusive materials that are available only to those who pay a monthly fee.

These could include:

• Reels available only to subscribers
• Extended materials, like articles
• Private live sessions and meetings with you as the creator
• A closed broadcast channel

Introducing paid content to your offerings can be a great way to generate additional, predictable income. However, remember that regular high-quality content creation can be demanding. It’s worth calculating, just like when selling your own products, how many people would need to subscribe to your paid content and what the subscription cost would need to be for this model to be profitable for you.

Example:

If you have 7,361 followers and 2% decide to pay monthly for access to your content, with a subscription cost of $20, your steady monthly income would be: $2.940!

I assumed a 2% conversion in our example because users today are really overloaded with content and will only commit to a monthly fee if the value you provide is consistently high. It also might be a good idea to run some tests to gauge how much your followers would be willing to commit if you offered paid content, as $20 may be quite an investment for them.

[fs-toc-omit]How to sell subscriptions on Instagram?

Depending on your follower count, you have a few options:

• Direct subscriptions on Instagram: This option is available only for accounts with over 10,000 followers and users over 18. You can find the full list of criteria here.
• Subscriptions through services like Patronite: In this model, Instagram serves primarily for promotion, while the subscription and content delivery happen outside the platform. For example, you could send exclusive content to subscribers via email.
• Subscriptions through Easytools: This works similarly to selling subscriptions through Patronite but involves a much lower commission and gives you full access to sales data and your customers, along with many additional features for creators.

5. Earn live badges

Instagram live badges allow influencers and creators to earn money during their live broadcasts while engaging with their audience in real-time. It's like receiving virtual tips from followers who want to support you. In return, these followers receive special badges with hearts, where the number of hearts reflects the amount of support they've given, providing them with extra recognition for backing their favorite creators.

While badges can be a nice way to appreciate your most loyal followers, they may not serve as a significant revenue stream, as viewers can purchase badges for $0.99, $1.99, or $4.99.

The live badges feature is primarily available in the US, provided you comply with Instagram's policies and guidelines. You also need to be 18 years old or older and have over 10,000 followers. For other countries, including the UK, France, Spain, Italy, Germany, Japan, Australia, Turkey, Brazil, and Mexico, this feature is invite-only, and it's not yet available in many other regions.

Useful tools to create instagram content and manage your account

Many creators start their Instagram journey while still working full-time. If you want to save time and optimize your workflow, these tools can help:  

• Easytools (sales)
• Canva (posts design)
• Lightroom, Snapseed (photo editing)
• CapCut (video editing, post captions generator)
• Opus clip (automatic short video generation)
• ChatGPT, Claude, and other LLMs (writing text)
• Perplexity (research)
• Unsplash (free high-quality images)
• Midjourney (AI image generation)
• Carrd (landing pages)
• Dub.co (link shortener)
• Linktree (link aggregator for instagram bio)
• Manychat (automated DMs)

Tips & Best Practices for getting paid as an Instagram Creator  

[fs-toc-omit]1. Done is better than perfect  

Your content should be high-quality, but it doesn’t have to be perfect.  

Followers value authenticity over overly polished content. Instead of using stock images, or tons of filters, show real photos of you and the products you recommend.  

Natural, unfiltered content helps build trust and makes recommendations feel more like friendly advice rather than an ad.  

[fs-toc-omit]2. Label sponsored content properly

Every paid collaboration must include a paid partnership label so users can easily recognize ads. Failing to comply with these regulations can result in severe financial penalties, which can reach millions of dollars depending on the country.

So, how can you label your sponsored content to avoid penalties?

• Use Instagram's branded content tool: Set this up in the Settings and Privacy section of your account. It will display "Paid Partnership With [Brand Name]" above your post.
• State it clearly in captions: Use clear language like “sponsored,” “ad,” or “paid partnership” at the beginning of your caption.
• Be transparent in videos: Mention the partnership verbally or use on-screen text to disclose the sponsorship.
• Avoid ambiguous language: Stick to clear terms; simply saying "thanks to [brand]" may not be sufficient.

Make sure to follow these rules with every sponsored post to stay compliant and avoid penalties.

[fs-toc-omit]3. Always sign a contract

Before collaborating with a brand or agency, always sign a contract that clearly defines:  

• The scope of work.  
• Publication deadlines.  
• Compensation details.  
• Usage rights for your content.  

A well-structured contract protects both the creator and the brand making money on Instagram, ensuring a transparent and professional collaboration.  

[fs-toc-omit]4. Be patient

Making money on Instagram takes time. Don’t be misled by accounts that grow by 130k followers overnight and earn a million within the first month. Even if there's some truth in their claims, these are really rare cases. Most successful influencers didn’t achieve overnight success—they spent months or even years building their audience.

While some accounts may experience rapid growth, the majority of creators need to consistently test, refine, and improve their content before seeing significant results.

[fs-toc-omit]5. Find your niche  

You might be wondering, "How can I stand out when there are so many influencers in my niche?"

While it's true that Instagram is highly competitive, becoming a top-tier influencer is challenging, but building a small yet engaged audience interested in your content is absolutely achievable. Why else would so many cooking or fitness accounts exist and thrive simultaneously? After all, there are 2 billion active monthly users, remember?

[fs-toc-omit]Instagram monetization in 2025

Instagram is a powerful platform where creators and businesses can connect directly with their audience.  But before you turn in to a revenue stream, mind that it may take quite some time to learn how to make money on Instagram.

The best monetization strategy depends on:  

• Your experience level.  
• Your niche.  
• Your long-term goals.  

If you’re just starting out, be patient and willing to experiment. It may take time to find the best approach, but once you do, Instagram can become a valuable income stream.