The State of Influencer Payments 2024
It is not just about making payments.
Discover how the way brands and agencies pay influencers is highly impacting the relationship with their influencers, and what areas influencer marketing experts focus on to adapt to this fast changing vertical.
Insights shared by leading brands and agencies in influencer marketing
New approach to how influencers are compensated
Brands are now using influencer marketing to support their sales and content strategy, which led marketers to explore new compensation models.
"As this industry grows exponentially, we will push toward more streamlined, automated payment systems—but also better compliance tools—so agencies and brands waste less time worrying about compliance risks."
Growing regulations challenge brands and agencies to focus on compliance
Collaborating with influencers from anywhere in the world and of all sizes is leading brands and agencies to look for specialized legal and compliance help.
“It's not just about making payments anymore, but ensuring we are on the right side of evolving laws in each country."
Cross-border collaborations require complex due diligence processes
As brands engage with influencers across borders, they face challenges including varying tax regulations and additional compliance requirements, especially when collaborating with private individuals.
“Working with international influencers means navigating multiple layers of tax and compliance, which can delay payments."
Timely payments are essential yet constrained by rigid financial processes
Despite the emphasis on how important are shorter payment terms to marketers and influencers, complex procurement and financial processes are making NET30 payment terms hard to offer by brands and agencies.
“We've noticed that influencers are much more likely to prioritize a collaboration with us when they know they'll get paid early."
Automation and instant payments for a streamlined operation and happy influencers
Growing complexity in cross-border collaboration will require brands to automate their compliance and payment processes, to offer faster payments and improve influencer retention.
"As this industry grows exponentially, we will push toward more streamlined, automated payment systems - but also better compliance tools - so agencies and brands waste less time worrying about compliance risks."
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Learn how influencer payments are impacting how marketers do their jobs, from changing tax regulations to the rise of new compensation models.