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Instagram is no longer just a platform for sharing photos; it has evolved into a powerful hub for creators and businesses to earn money. From promoting products to building personal brands, Instagram offers countless opportunities for monetization, regardless of your follower count. Whether you’re a small business owner growing your audience or a creator seeking to turn influence into income, the right strategies can help you thrive in 2025.

You don’t need millions of followers to succeed. With as few as 3,000 followers and strong engagement, you can attract sponsored posts, sell products, or even launch your own services. This guide will teach you how to leverage Instagram’s tools, trends, and features to unlock its earning potential. Ready to turn your social media presence into profit? Let’s dive in.

Can You Make Money on Instagram?

Yes, you can absolutely make money on Instagram. With over 2 billion monthly active users, the platform has become a thriving space for creators and brands to turn their passions into income streams. While it does require consistent effort and creativity, the opportunities to grow and monetize an online presence have never been greater.

Back in 2021, Mark Zuckerberg, CEO of Meta (Instagram’s parent company), emphasized their commitment to supporting creators, stating: “To help more creators make a living on our platforms, we’re going to keep paid online events, fan subscriptions, badges, and our upcoming independent news products free for creators until 2023.”

With the right strategy, you can earn money on this visually-focused platform, even if you start with a small audience.

Ways to make money on Instagram

1. Partner with Brands Through Sponsored Content

If you’ve scrolled through Instagram, chances are you’ve seen a sponsored post. Sponsored content—also known as influencer marketing—is a key way creators and brands collaborate. It benefits both parties: creators earn money, and brands get access to engaged audiences. These posts are usually labeled with terms like “paid partnership” or “sponsored post,” making it clear that the creator is working with a brand.

Sponsored content works well for both small businesses and creators, but successful partnerships share some important traits. To get started, it’s essential to have a dedicated Instagram page that highlights your content and niche. Authenticity is critical in these collaborations. Brands often prefer creators who already use or enjoy their products, as this makes the partnership feel more genuine. Your followers trust your recommendations, so aligning with brands that match your values and resonate with your audience is crucial.

To connect with brands, consider joining influencer marketplaces, tagging your favorite brands in posts, or reaching out directly with an influencer media kit. Instagram’s Creator Marketplace is another excellent tool, using machine learning to pair creators with brands based on campaign goals. Building a portfolio of work helps brands assess if you’re a good fit for their campaigns.

When pitching to brands, include a media kit that showcases who you are and what you offer. This can include examples of past work, performance metrics, and case studies that demonstrate your value. By highlighting your content’s impact, you can position yourself as a reliable partner for future collaborations.

2. Earn Money Through Instagram Live and Badges

Instagram Live has become a powerful way for creators to connect with their audience in real time, share genuine moments, and foster a sense of community. With the introduction of Instagram Live Badges, creators can now monetize their live broadcasts and receive direct support from their most dedicated fans.

Badges are virtual icons that fans can purchase during a live stream to show appreciation for their favorite creators. These heart-shaped icons appear next to a supporter’s username in the comments, making it easy for creators to identify and thank them. Fans can buy badges at three price points: $0.99, $1.99, or $4.99.

Creators can also earn money from Reels through Instagram Gifts. Fans purchase stars to gift creators, and Instagram pays creators $0.01 per star monthly.

Eligibility for Live Badges

To enable Live Badges, creators must meet the following requirements:

  • Have at least 10,000 followers.
  • Be based in the United States (availability in other countries like the UK, France, Germany, and others is currently invitation-only).
  • Have a Business or Creator account.
  • Comply with Instagram’s Partner Monetization Policies and Community Guidelines.

To check if you’re eligible, go to Settings > Creator > Badges in your Instagram app.

How to Set Up Live Badges

If you meet the criteria, follow these steps to activate Live Badges:

  1. Go to your Instagram profile and tap the menu icon in the top right corner.
  2. Select Settings, then Business or Creator.
  3. Tap Monetization and choose Live Badges.
  4. Set up your payment information and agree to the terms and conditions.

Once enabled, badges will automatically appear during your live broadcasts. When a viewer purchases a badge, their username will be highlighted with a heart icon, allowing you to acknowledge and thank them.

Tips for Maximizing Badge Earnings

  1. Promote Your Live Broadcasts: Let your followers know in advance when you’ll be live and what topics you’ll cover. Use posts, Stories, and your bio to build excitement and encourage viewers to join.
  2. Engage With Your Viewers: During the live stream, respond to comments, answer questions, and give shout-outs to those who buy badges. Engagement creates a more interactive experience and encourages support.
  3. Deliver Value and Entertainment: Keep your audience engaged by offering useful content or entertaining moments. Consider hosting Q&A sessions, sharing tips, or collaborating with other creators.
  4. Show Gratitude: After your live broadcast, thank badge purchasers by tagging them in an Instagram Story or using the “thank you” sticker. This gesture strengthens your bond with loyal fans.

Instagram allows creators to keep 100% of badge revenue, excluding applicable taxes and the 30% cut taken by Google and Apple for in-app purchases. Payouts are made monthly, provided you meet the minimum payout threshold of $100.

3. Create and Teach an Online Course

As an Instagram creator, you’ve likely gained valuable knowledge and skills within your niche. Turning this expertise into an online course is a great way to monetize your Instagram presence while offering meaningful value to your audience.

Once your course is ready, use your Instagram platform to promote it and attract students. Share engaging posts, Stories, and Reels that showcase the benefits of your course, feature testimonials from students, and provide behind-the-scenes insights into your content.

Add a link to your course sales page in your bio to make it easy for followers to access. You can also run Instagram ads to reach a broader audience and boost enrollment.

While developing and teaching an online course requires time and effort, the rewards can be significant. By sharing your expertise, you can create a steady income stream and make a lasting impact on your students’ lives.

4. Start an Online Store

If you already have an online store, you’re likely using Instagram to promote and sell your products. But even as a creator, you can leverage your influence to sell physical goods, digital products, or services as part of your personal brand.

Use your content to showcase the value of your products or services and Instagram’s built-in selling tools to make it easy for your audience to purchase directly. Demonstrate how your offerings can solve problems or enhance your followers’ lives to drive engagement and sales.

The lines between creators and entrepreneurs are increasingly blurring, with more people turning their passions into businesses. Whether you’re selling handmade items, digital downloads, or professional services, Instagram can be a powerful tool for growing your store.

Ideas for Selling Online

  • Offer services: Promote your expertise in areas like photography, social media consulting, or graphic design. Use Instagram to direct followers to your professional website or booking page.
  • Sell digital products: Share ebooks, online courses, sound packs, or design presets that align with your niche.
  • Launch physical products: Sell your own creations and manage shipping yourself or through a fulfillment warehouse. If you need help producing items, research how to find a reliable manufacturer.
  • Try dropshipping: Use this method to sell products without managing inventory or handling shipping.
Image Source: iStock photos by Getty Images

5. Affiliate Marketing

Affiliate marketing allows creators to earn commissions by promoting brands and products. Each time a follower makes a purchase through a trackable link or unique promo code, the affiliate earns a percentage of the sale. Unlike influencers who often receive a flat fee for brand promotions, affiliates make money only when their efforts result in actual sales.

Many brands run affiliate programs to manage partnerships with Instagram creators. If you’re interested in affiliate marketing, you can either approach brands directly or join established affiliate programs to find opportunities that align with your niche.

How to Promote Affiliate Products on Instagram

  • Use your bio link: Add your affiliate link to your Instagram bio or a link-in-bio tool to promote multiple brands.
  • Leverage Instagram Stories: Share swipe-up links (if eligible) or use link stickers to direct followers to your affiliate products.
  • Include promo codes in captions: Since clickable links aren’t allowed in post captions, share unique promo codes to encourage purchases.

6. Sell Photos, Illustrations, or Digital Files

Instagram is a visually-driven platform, making it a great place for designers, photographers, and creatives to monetize their skills. You can sell your photos to businesses—especially in industries like travel—or offer your own artwork, such as prints and digital illustrations, directly to consumers.

If you have a photography website or an online portfolio, think of Instagram as your storefront window. Use it to showcase your work, attract potential clients, and drive traffic to your sales platform. By consistently sharing high-quality visuals and engaging with your audience, you can turn your creative passion into a profitable business.

7. Start a Dropshipping Business

Dropshipping allows you to sell products without managing inventory or shipping. As a middleman, you source items from suppliers who handle storage and delivery directly to your customers. With Instagram’s vast reach, you can showcase products, attract buyers, and create an additional revenue stream without upfront costs.

To get started, set up your Instagram profile and find reliable suppliers through platforms like Shopify, which offer direct-to-customer (D2C) shipping. Partnering with these suppliers enables you to provide high-quality products to your followers while focusing on marketing and customer engagement.

How To Make Money on Instagram
Image Source: iStock photos by Getty Images

Factors that affect how much money you make on Instagram

The amount of money you can make on Instagram depends on several key factors. While some influencers with smaller followings earn a solid income by targeting profitable niches, top celebrities can make millions from a single post. Your earnings are influenced by multiple aspects, from your niche to your engagement rate. Below are the most important factors that determine how much you can earn on Instagram.

1. Your Niche

The niche you focus on plays a crucial role in your earning potential. If your audience falls within a sought-after demographic or is interested in high-value products, brands will likely offer better partnership deals.

Your niche determines both who your audience is and how engaged they are—two key factors brands consider when selecting influencers. Broad niches like fashion, beauty, and fitness attract large audiences and higher engagement, making them appealing to brands with big marketing budgets. However, more specialized niches, such as sustainable living or niche art forms, may have smaller but highly engaged audiences. These often attract brands that prioritize authenticity and community influence over sheer numbers.

2. Your Follower Count

A higher follower count increases your reach, making brands more willing to invest in collaborations with you. The more people see your content, the more valuable your profile becomes to potential sponsors.

However, having a smaller but highly engaged audience can be just as profitable. Micro-influencers (those with smaller followings but strong audience relationships) are often preferred by brands because their followers trust their recommendations more. Even with fewer followers, you can still attract sponsorships if your audience is active and engaged.

3. Number of Income Streams

Your Instagram earnings also depend on how many monetization methods you use. Relying on a single income source, such as brand sponsorships, limits how much you can make. But by diversifying, you can increase your earning potential.

Diversification ensures a steady income and caters to different audience preferences. Some followers may prefer subscribing to exclusive content, while others may be more interested in purchasing products through affiliate links. Having multiple revenue streams also protects your income if one method becomes less effective over time.

4. Engagement Rate

Your engagement rate—how often your followers interact with your content—is a critical factor brands consider. A high engagement rate indicates that your followers actively like, comment, and share your posts rather than just scrolling past them.

Brands value influencers with engaged audiences because it means their message will have a greater impact. Even with a smaller following, strong engagement can make you more attractive to sponsors than an influencer with a large but passive audience.

A highly engaged audience also helps amplify your content through Instagram’s algorithm, increasing visibility. Additionally, engaged followers are more likely to take action, such as clicking on affiliate links or purchasing products, boosting your overall earnings.

5. Commission Rates for Affiliate Marketing

If you use affiliate marketing, your earnings depend on the commission rates brands offer. When you promote a product using an affiliate link or discount code, you earn a percentage of each sale generated through your recommendation.

Higher commission rates can significantly increase your income, especially in niches where followers are more likely to make purchases (e.g., beauty, fashion, or tech). If your audience trusts your recommendations, affiliate marketing can become a steady source of passive income, allowing you to earn from sales even when you’re not actively posting.

Tips for Succeeding on Instagram

Turning Instagram into a profitable platform requires more than just posting content. To grow your audience, secure brand deals, and maximize engagement, follow these essential strategies:

1. Choose a Clear Niche

Focusing on a specific niche makes it easier to attract followers and land brand partnerships. Instead of being too broad—like a general food influencer—narrow it down to something more defined, such as vegan recipes or gluten-free cuisine. Specializing in a niche helps you stand out from the competition and makes you more appealing to brands looking for targeted collaborations.

2. Actively Engage with Others

Success on Instagram isn’t just about posting great photos—it’s about building genuine connections. Engage with others by liking, commenting, messaging, and sharing their content regularly. This helps you form meaningful relationships with followers and other creators.

Additionally, storytelling plays a crucial role in driving engagement. People connect more with content that feels personal and authentic. Whether through captions, Instagram Stories, or Reels, share your experiences in a way that captivates your audience.

3. Expand Beyond Instagram

A multi-platform approach increases your reach and opens up more monetization opportunities. Consider cross-promoting your content on platforms like YouTube, TikTok, a personal blog, or an email newsletter.

For example, if you’re a musician, you can promote your songs on Instagram while also using Patreon to offer exclusive behind-the-scenes content or early access to new music. This strategy ensures that you diversify your audience and income streams.

4. Be Proactive and Stay Persistent

Opportunities won’t always come to you—you need to actively seek them out. Reach out to brands for potential partnerships, apply for brand ambassador programs, and collaborate with other creators to increase your exposure.

At the beginning, consider working with brands for free or at discounted rates to build your portfolio. Consistency, resilience, and adaptability are key to long-term success on Instagram.

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