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Sponsored post rates for creators likely to fall by up to 25% because of the coronavirus

While a turbulent few months are expected because of the coronavirus, the market for sponsored posts is expected to grow long-term.

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A new report from influencer marketing firm Izea is warning creators that they’ll likely face a near-term 15-25% drop in the price of sponsored posts because of the economic impact of the coronavirus.

The prediction is based on Izea’s data about the price per paid blog post between 2006 and 2013 – a period where there was a recession between December 2007 and June 2009.

During the previous recession, the price per paid blog post fell by 45% between 2008 and 2009 and declined by a further 42% between 2009 and 2010, according to Izea’s data.

Izea’s data shows that the price per paid blog post fell drastically during the previous recession (Izea Insights Special Report - Coronavirus Impacts on Influencer Marketing - Slide 54)
Izea’s data shows that the price per paid blog post fell drastically during the previous recession (Izea Insights Special Report – Coronavirus Impacts on Influencer Marketing – Slide 54)

However, Izea’s report notes that the fall in the price of sponsored posts between 2008 and 2010 was before influencer marketing had gone mainstream.

While Izea is predicting that creators will face a fall in the price they can charge per sponsored post short-term, it has a positive long-term outlook on the market.

This positive outlook is again supported by Izea’s data about the price per sponsored post which has increased drastically since the previous recession.

According to Izea, the average price per sponsored post over the last five years has increased from:

  • $420 to $6,700 on YouTube (a 16x increase)
  • $29 to $422 on Twitter (a 14.6x increase)
  • $134 to $1643 on Instagram (a 12.3x increase)
  • $85 to $395 on Facebook (a 4.6x increase)
  • $407 to $1442 on blog posts (a 3.5x increase)
Izea’s data shows that the price per sponsored post has increased substantially over the last five years (Izea Insights Special Report - Coronavirus Impacts on Influencer Marketing - Slide 52)
Izea’s data shows that the price per sponsored post has increased substantially over the last five years (Izea Insights Special Report – Coronavirus Impacts on Influencer Marketing – Slide 52)

And looking at a longer period, the stats are even healthier with Izea reporting that the average price per sponsored blog post between 2006 and 2019 has risen from $7.39 to $1442.27 – a 195x increase.

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