How to make money on Instagram Reels: Strategies and tips

As a creator or artist, you have a unique chance to transform your passion for creating Instagram content into profit. Whether you're new to creating Reels or already a pro, this guide will delve into effective strategies for monetizing your content.

This blog post presents strategies to generate income from Instagram Reels, covering strategies from merchandising and creating sponsored posts. We'll also spotlight Gelato’s print on demand platform, a game-changer for selling custom merchandise on the Instagram app.

• Creating Instagram Reels provides creators with diverse opportunities to monetize their content - including sponsored posts, affiliate marketing, and merchandise sales.

• Engaging with your audience and creating high-quality, consistent content is crucial for building a substantial following and driving revenue.

• Platforms like Gelato make creating and selling custom merchandise directly to your Instagram followers easy, transforming your Reels into profitable ventures for bonus earnings.

• Exploring unconventional avenues such as livestream donations, The Reels play bonus program, Instagram gifts, and brand ambassadorships can diversify your income streams.

• Instagram Reels monetization requirements, features, and policies are constantly evolving. Understanding these is essential for effectively leveraging them for Instagram payouts, monetization, and audience engagement.

Instagram Reels are short, engaging video clips that enable creators to share content with a wide audience. These 15- to 30-second videos can include music, effects, and other creative tools. Reels are designed to be discoverable, making it easier for creators to reach new fans and grow their presence on the platform.

When you monetize Instagram Reels, you can turn your creative efforts into a rewarding venture. By generating revenue through your content, you can support your artistic endeavors, fund future projects, and even make a living from your passion. 

Additionally, as Instagram continues to promote Reels, the platform provides significant exposure opportunities, allowing you to create reels and reach a wider audience. This increased visibility not only enhances your brand but also attracts potential sponsorships, collaborations, and sales.

Although the Instagram Reels Play bonus program has been discontinued, Instagram offers many other monetization features, such as Instagram Gifts. Here are the top 10 strategies to monetize your Instagram Reels: 

1. Merchandise sales

Offering custom merchandise is a bonus payout that can elevate your engagement to a new level. Here are some key strategies to maximize your merchandise sales: 

• Partner with a reliable POD service: A print on demand platform like Gelato allows you to create and sell custom products without worrying about inventory management. You can design unique items such as t-shirts, hoodies, mugs, or phone cases and have them shipped directly to your customers.

• Promote your merchandise in your Reels: Incorporate your products naturally within your videos. Show behind-the-scenes footage of the design process, do unboxing videos, or feature satisfied customers in your content. This enhances your credibility and makes your sales pitch engaging and entertaining.

• Create limited edition items: Offering exclusive or time-sensitive products can create a sense of urgency and excitement among your followers. Limited edition merchandise can drive immediate sales and make your audience feel like they're part of an exclusive community.

• Leverage Instagram Shopping: Set up Instagram Shopping to tag your products directly in your Reels. This smooth shopping experience allows your audience to purchase products effortlessly, increasing the likelihood of conversions.

2. Sponsored content

By collaborating with brands that align with your content and values, you can earn significant amounts while providing valuable information to your followers. 

Here are some strategies to optimize your sponsored content: 

• Choose the right brands: Partner with brands that resonate with your audience. This ensures higher engagement and maintains trust between you and your followers.

• Stay authentic: Authenticity is key. Always be genuine in your approach and only endorse products you truly believe in and would use yourself.

• Quality over quantity: Focus on the quality of your content rather than the number of sponsored posts. High-quality, well-produced content will more likely resonate with your audience and attract future collaborations.

• Leverage storytelling: Create a compelling story around the product. Show how it fits into your life and its benefits rather than just listing features.

3. Affiliate marketing

This method allows you to earn money without creating your own products, making it a convenient option for creators and artists looking to diversify their income streams. 

Here's how you can incorporate affiliate marketing: 

• Select relevant products: Choose products that align with your content and resonate with your audience. This ensures higher engagement and increases the likelihood of followers making purchases.

• Join affiliate programs: Sign up for affiliate programs that suit your niche. Well-known websites such as Amazon Associates, ShareASale, and Commission Junction provide a variety of products and services that you can advertise.

• Use trackable links: Ensure you use affiliate programs' unique affiliate links. These links help you track sales and get commissions added to your payout account.

• Leverage Instagram Insights: Utilize Instagram Insights or third-party analytics tools to measure the performance of your affiliate marketing efforts. Track metrics like engagement, click-through, and conversion rates to optimize your strategy.

4. Brand collaborations

By teaming up with brands, you can benefit financially and elevate your content to new levels with exclusive opportunities and resources. 

Here's how you can make the most of brand collaborations on Instagram Reels: 

• Research potential partners: Identify brands that align with your values and content. Look for companies whose products or services would genuinely resonate with your followers, ensuring an authentic collaboration.

• Craft personalized pitches: When reaching out to brands, avoid generic messages. Tailor your pitch to highlight how your content can benefit them. Include examples of your previous work and engagement metrics to strengthen your case.

• Negotiate fair compensation: You should be clear about your rates and the value you bring to the table. Don’t avoid negotiations; be realistic and professional in your demands. Knowing standard rates in your industry can help.

• Build long-term relationships: Don’t aim for one-off collaborations. Instead, focus on building long-term partnerships with brands. Consistent collaborations can lead to more substantial and steady income streams.

5. Digital products

Selling digital products is a highly efficient way to monetize your Instagram Reels in a digital world. Here's how you can use them to your benefit:

• eBooks and guides: Share your expertise or passion through eBooks and guides. Whether you’re sharing cooking recipes, business strategies, or travel tips, an eBook can be a valuable resource for your audience.

• Online courses: Offer in-depth knowledge through structured learning. For instance, you could create a course on photography, painting, or social media marketing; anything that aligns with your skills and interests.

• Printable art: If you’re an artist or graphic designer, you can sell high-quality printable art. Followers can purchase these digital files and print them at home or through a professional service.

• Custom software or apps: If you have coding skills, consider creating custom software or apps that solve problems or enhance productivity. These can be particularly lucrative if they fill a niche market need.

6. Live stream donations

This offers an excellent opportunity for creators to earn money via donations from their audience. Here's how you can maximize your earnings through live-stream donations on Instagram: 

• Promote your live streams in advance: Build anticipation by announcing your live streams ahead of time. Use Instagram Stories, posts, and even Reels to remind your followers of the scheduled stream.

• Engage with your audience during streams: Interaction is key. Respond to comments, shout out donors, and make your viewers feel valued. Engaging live streams are more likely to attract donations.

• Use Instagram's native donation features: Leverage Instagram's built-in tools, such as badges, where viewers can purchase badges to support you during the live stream.

• Offer exclusive content or perks: In return for donations, provide something special, like behind-the-scenes content, shoutouts, or answering specific questions.

7. Instagram gifts

Think of this as a virtual tip jar where your fans can show their appreciation for your content. Here are some key points to help you understand and utilize this feature effectively: 

• Eligibility criteria: To enable Instagram Gifts, ensure you have a professional account, are at least 18 years old, have a minimum of 5,000 followers, reside in a region where the Gifts feature is available, and comply with Instagram's monetization policies.

• How it works: Viewers can buy Stars and use them to send Gifts during your Instagram Reels. The more engaging and valuable your content, your audience will likely reward you with Gifts.

• Monthly revenue share: Instagram provides a monthly revenue share from Reels that receive Gifts. This allows for a steady income stream as your fanbase grows and becomes more interactive with your content.

• Threshold for withdrawal: You can withdraw funds once you reach a $25 threshold. This ensures that smaller amounts accumulate into a more significant payout, making it worthwhile.

8. Brand ambassadorships

Unlike one-off sponsored posts, becoming a brand ambassador means you’re likely signing on for a longer-term commitment, offering a more stable income. 

Here are some tips to become an ambassador:

• Authenticity: Your followers should believe that you genuinely use and love the products you’re promoting. Choose brands that align with your values and lifestyle to keep your endorsements genuine.

• Engagement: Always be ready to offer insightful answers and interact with your community to build trust.

• Contracts and agreements: Ensure you thoroughly understand the agreement, including deliverables, timelines, and compensation. Consulting with a legal advisor can be useful.

• Performance tracking: Brands often seek measurable results from their ambassadors. Use Instagram Insights to track the performance of your Reels and show the brand how effectively you’re driving engagement and conversions.

9. Event promotions

Organizing workshops, webinars, concerts, or other events can help build buzz and drive ticket sales if they are showcased through Reels. 

Here's how you can effectively execute event promotions:

• Behind-the-scenes content: Share behind-the-scenes footage of event preparations, including venue setup, guest speaker sneak peeks, and event planning. 

• Exclusive discounts: Through Reels, offer exclusive promo codes or early bird discounts to your Instagram followers. Encourage them to act quickly, leveraging the urgency and exclusivity of the offer.

• Interactive content: Include interactive elements such as polls or questions in your Reels to gather feedback or preferences from your audience, making them feel involved in the event planning process.

• Collaborate with influencers: Partner with influencers who resonate with your target audience to co-promote events. Their endorsement can bring additional visibility and credibility to your promotion efforts.

10. Consulting or coaching services

If you're knowledgeable in a particular field, whether it's social media marketing, fitness coaching, or personal development, you can provide tailored advice and guidance to your audience. Here's how:

• Offer free insights: Providing valuable information on your Reels for free can attract potential clients who appreciate your knowledge and may seek out your paid services for more in-depth guidance.

• Testimonials and success stories: Highlight past clients' success stories and testimonials in your Reels to build social proof. Showcasing real-life results can convince new clients of your effectiveness.

• Offer exclusive content: Offer tailored packages for one-on-one coaching, group sessions, or even online courses. Regularly promote these offerings to your Instagram followers.

• Set up a booking system: Integrate a scheduling tool directly into your Instagram profile to simplify potential clients' booking process.

Incorporating Gelato into your Instagram Reels strategy is a game-changer. From t-shirts, mugs, wall art, phone cases,tote bags, and photo books, Gelato offers a wide range of print on demand products that allow you to monetize your creativity effortlessly.

With features like global printing, fast shipping, and exceptional print quality, you can ensure your audience gets the best products at their doorstep.

Gelato’s effortless integration with Instagram makes showcasing your unique merchandise in your Reels easy, turning each video into a potential sales opportunity. 

Ready to elevate your income and creativity? Sign up for Gelato today and choose a subscription plan that suits your needs.

How many views do you need to get paid on reels?

Instagram Reels no longer offer direct payouts based on views. Instead, you can monetize your content through partnerships, product offerings, or Instagram Gifts. Brands typically seek influencers with substantial engagement, often starting around 1,000 views.

How much does Instagram pay for one reel?

Instagram no longer pays creators directly for Reels views. Previously, it offered Reels Play bonuses for existing Instagram Reels based on performance, but this program has been replaced by Instagram Gifts. Now, creators earn based on the number of Stars received, with each Star valued at $0.01 USD.

How much does Instagram pay for 1k followers?

Instagram doesn’t directly pay for followers. However, having 1,000 followers can make you eligible for partnerships and sponsorships, enabling you to monetize your presence through collaborations, affiliate marketing, and product sales. The actual earnings depend on your engagement rate and the niche you're in.