New subscription feature may change the way people earn on Instagram

3 Feb 2022

New subscription feature may change the way people earn on Instagram

Instagram has started testing paid subscriptions on Wednesday in the US, which will allow creators in Instagram to have paid followersSource: 9to5Mac

Similar to Twitter, Instagram may be monetizing on the popularity of OnlyFans and following a trend. This week, the photo and video sharing, income making or breaking application Instagram, owned by Meta, launched their new subscription feature.

The subscription feature will allow account owners akin to content creators and influencers to charge their followers for exclusive content such as Live sessions and posts. While initial reports place news of this feature around November of last year in 2021, this feature is still currently in the testing phase, it is only available in India and the United States at this time. 
With a definite "range" of prices that can be offered to insta-fans being made available by the application, people are wondering if this may change the way influencers make money on the platform, and therefore how we see content. Would non-paying customers be subjected to social media FOMO and missing out of actually great content? Or would influencers still need to maintain a good driving stream of followers and subscribers in order to increase their "turnover rate'' into subscribed fans? 
The new subscription feature will guide potential "Fans'' through App Store or Play Store's in-app purchases at the beginning. The payment in US-based accounts begin at USD 0.99 and go on a high up at USD 99. After completing the payment, newly minted subscribers are left with a tiny purple badge next to their name, allowing the content creators to see that they are an exclusive fan. 
As for if this may change the landscape of instagram interactions, it turns out that there are several instagram influencers such as Gabi Abrao, at @sighswoon who are already making paid exclusive content for a certain subset of fans. Four hundred out of her 94,000 followers, are listed as her “Close Friends" by paying a mere USD 3.33 on Patreon to gain access to her musings and poetry. 
On 19th January, the CEO of Instagram, Adam Mosseri took to posting a video announcing the testing phase of subscription and said, "Now creators do what they do to make a living, and it's important for that to be predictable. Subscriptions are one of the best ways to have a predictable income, a way that is not attached to how much reach you get on any given post which is inevitably going to go up and down over time".  

Instagram being used to bolster and supplement people's spending habits is not exactly a well-kept secret. According to Instagram's business blog, Instagram Business, about 80 percent of Instagram's 1.3 billion follow at least one brand, 60 percent of people use the platform to discover new products, and about 200 million accounts check out a business profile each day, with 66 percent of profile visits coming from non-followers.
Instagrammers make money by joining in on the affiliate marketing programs and promoting and recommending products for a good enough commission. Another way insta-fluencers can rake in the cash include, through sponsored posts. This is when the marketing division of a company pays an influencer to partner up on presenting a high-engagement post. Those earning big bucks on the platform may also be selling their own physical products such as cosmetics, jewelry and earth-friendly products while others may employ drop-shipping services where orders are delivered straight from manufacturer to buyer with the instagrammer essentially acting as the middleman. 

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