Price creator partnerships properly: cost per engagement, effective CPM, attributed revenue, and true campaign ROI across nano to macro tiers.
Engagements = Reach × Engagement rate. CPE = Cost ÷ Engagements. CPM = Cost ÷ (Reach ÷ 1,000). ROI% = (Attributed revenue − Cost) ÷ Cost × 100.
A $4,000 partnership reaching 180,000 with a 4.2% engagement rate produces 7,560 engagements — a $0.53 CPE and a $22 CPM. If 1.1% of reach converts at a $65 AOV, attributed revenue is $128,700... but with a realistic 0.35% conversion, revenue is $40,950 and ROI is 924%.
The working benchmark is $100 per 10,000 followers per in-feed post, adjusted for engagement rate, exclusivity, usage rights, and platform. Nano creators (1k–10k) often price higher per follower but deliver the best CPE.
Engagement rate falls sharply with size: roughly 4–8% for 1k–10k followers, 1–3% for 100k+, and under 1% for celebrity accounts. Ten nano creators usually beat one macro creator at the same budget.
Under $0.50 CPE is strong on Instagram and TikTok; $0.50–$1.50 is acceptable for high-consideration products; above $2 usually signals inflated pricing or a padded audience.
Use a unique discount code plus a UTM-tagged tracking link, and run a post-purchase 'how did you hear about us?' survey. Codes alone undercount by 30–50% because viewers search the brand later.
If you plan to run the content as paid ads, yes — expect 20–50% of the base fee for 30–90 days of whitelisting. Creator-led paid ads typically outperform brand-produced creative on CTR, so the uplift usually covers the fee.
Check for engagement rate far below tier norms, comment-to-like ratios under 0.5%, follower spikes in the growth chart, and a geography mix that doesn't match the creator's language.