Instagram Cuts Influencer Payments for Short Videos

Instagram is reaching into influencers’ pockets. The platform has now cut the amount it pays for short videos as it faces competition from TikTok.

Last year, Instagram introduced an invite-only program to some platform users, paying based on how many views a Reel receives. Influencers are given payouts within this program based on their specific view target. Their money is capped at a maximum fee every month.

Creators have revealed that their payments for Reels are down as much as 70 percent per view and the threshold to get paid is ten times higher. One influencer said their maximum payout per month is $35,000, but their views target raised from 58 million to 359 million.

TikTok became the world’s fastest-growing social media app in 2020, forcing rivals to compete for revenue-generating short-form clips. Instagram was quick to move towards video-based content since TikTok’s rise to fame.

Last year, Adam Mosseri, the head of Instagram, said, “Video is driving an immense amount of growth online for all the major platforms right now, and it’s one that I think we need to lean into more. We are no longer a photo-sharing app.”

Although Instagram saw a boom, the platform is quickly going downhill. Not only is pay decreasing, but so is the engagement. The number of views, likes, shares, and comments has dropped drastically, even for major influencers.

Instagram has not given any information about why they’ve decreased the pay, and with a lack of transparency, influencers are becoming more uncertain about the platform.

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