How much should I charge for a sponsored post?
This has turned into the one question I see more frequently than any other. When it comes to those sponsored posts, what do you charge? How do you know how much? What more should I know?
Before we jump into what to charge, let’s talk a bit more about these posts.
WHAT IS A SPONSORED POST?
A sponsorship is when a company wants to use your platform to advertise. It could be through a post, newsletter, social media share or even a podcast. They want to use your voice to talk about their product/service.
You will usually write the content, but there are times when the post is provided to you to be shared. The post may be a review of a product or just a regular post where you just create content you would otherwise normally share, and include additional links to the sponsors site.
Sponsors love to use bloggers and podcasters to get the word out about their brand as it is more affordable. Not only that, but you have a loyal following and your readers trust you. So, if you discuss a product or service, then they will be more likely to use it too.
HOW DO THEY BENEFIT BLOGGERS?
Simply put, they are a great way for bloggers to make money. Since they take time and effort, you can charge more for a sponsored post than you could for an ad placed in your sidebar. Not only that, they pay you because you have influence.
They can also help inspire you for a new post to put on your site. That can be helpful on those days when you have writers block and can’t come up with a new idea for your next great post.
WHAT DO YOU CHARGE?
This is where it gets a bit more complicated. Sponsored posts rates are not just black and white. Your rate needs to take several factors into consideration:
- Social Media Presence
- Newsletter open rates
- Podcast downloads
Each of these are given a value. The total value is the amount you should charge for your post.
For instance, let’s look at traffic and how to figure a fair rate on this measuring point. To start, look at your Google Analytics. Review your overall page views on the site over the past 3 months. You should always cover three months to cover traffic fluctuations for a more realistic traffic number.
Divide that total by 3, which gives you an average for your monthly traffic.
Once you know your monthly traffic, divide the total by 1,000. This provides you with a CPM number. a CPM is cost per 1,000 impressions. This is a term advertising networks use to determine how much to pay you, based upon the impressions those ads will get on your site. In order to give you post value, you will use this same calculation.
Now that you have your CPM number, you will need to charge a rate. You actually want to figure a range, so that you have a high and low number. This allows you more room to negotiate as may be needed.
The range to calculate is $0.80 – $1.25 per 1,000 impressions.
61 * 1.25 = $76.25
Now, this will not the be the final amount you will charge. This is your base rate. You will also include other factors such as social media reach, time to write the post and engagement.
You can also consider adding in additional services that you will provide, above and beyond the post. These will increase the final rate that you will pitch to the potential sponsor.
The one caveat I want to mention is the least amount to charge. If, after totaling all figures, your total rate to charge is less than $250, you should throw the calculations out the window. You should never charge less than $250 for a sponsored post.
ADD-ON FEATURES TO INCREASE YOUR RATE
One thing I love to do to make more from my sponsors is to add on additional options. I may offer to advertise on Facebook or even do an e-mail newsletter blast where I talk only about them. There may be additional tweets, or even a Twitter party. The ideas are endless – but you should charge for them.
The simple way I always do this is to provide tiered rates. In fact, I use a standard rate sheet and email that to anyone who may want a sponsored post. It saves me time from having to do the calculations every time I get an email.
Once every two months I review my rates. It only takes me a few minutes, but I make sure that I do not need to charge more for my posts. Once I have the base rates determined, I then add in more money for the add-ons.
– Pinterest Advertising
– Newsletter e-mail
– Additional Social Media Posts
– Twitter Party
– Facebook Live Event
Now, when it comes to pricing the add-ons, I ensure I still make money. So, if I offer to spend $150 in advertising, I will charge at least $200 more for that service. It covers my time to create the ad. Make sure that your add-ons will provide value to your sponsor, but will not force you give more than you can to the campaign.
Then, you can create your rate sheet. I just use Canva to make one, because it is easy to use and you can edit as needed. I offer three packages:
BRONZE: Sponsored post and shares to social media accounts.
SILVER: All in Bronze tier + Facebook Ad + two Twitter mentions.
GOLD: All in Silver tier + individual e-mail newsletter.
The interesting thing I find is that more often than not, my sponsors want to pay for the silver package. I sell a few bronze or gold, but the majority of my sponsors are willing to pay a bit more for the advertising and additional social media shares.
You can create any types of tiers you want, based upon what you know you can provide to them. Never offer any options with which you are not comfortable.
There is, of course so much more to sponsored posts, but this will get you started figuring out how much to charge for your next sponsored post. Your site has value and sponsors know that. Make sure you charge accordingly.
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