We all have Instagram accounts we admire. You know, the ones with tons of followers and a business that feeds off their beautiful content. If you’ve ever wondered how these accounts make money on Instagram, you’re not alone.
Millions of Instagram users have asked themselves the same question, dreaming of turning their passion for creating content into a steady income stream.
Bills don't pay themselves, and the idea of making money through a platform you already enjoy using is incredibly appealing. But where do you start? How much can you really earn? And is it even possible if you don't have thousands of followers?
If you've ever felt overwhelmed by these questions or discouraged by seeing others succeed while you're still trying to figure it all out, take a deep breath. You're in the right place.
Whether you're a budding influencer, a small business owner, or just someone looking for a side hustle, this guide will walk you through the ins and outs of making money on Instagram.
We'll explore everything from sponsored posts and affiliate marketing to selling your own products and building a community. And the best part? You don't need to be a celebrity or have millions of followers to start. With the right strategies and a bit of creativity, you can turn your Instagram account into a money-making machine.
Can You Really Make Money on Instagram?
In short: yes, you can make money on Instagram.
The amount you make will depend on how you use Instagram and the size of your audience, but the variety of Instagram monetization features means there’s something for everyone.
Here’s some proof to get the inspiration flowing.
- In 2023, Instagram generated around $49.8 billion in advertising revenue, accounting for almost 37% of Meta’s total revenue (basically, it’s a lucrative platform for advertising).
- Influencer marketing is on the rise—in 2024, 53.7% of US marketers plan to use Instagram Reels for influencer marketing, making it the perfect platform for brand collaborations and sponsored content.
- 44% of Instagram users shop on the platform every week and businesses that tag their products in posts see an average 37% increase in sales.
- Successful influencers can earn thousands of dollars per post. Even those with small accounts can command $100-$500 per sponsored post.
Whether you want to open an online shop, work with your favorite brands, or sell digital products, there are plenty of opportunities to make money on Instagram.
10 Different Ways to Make Money on Instagram
Looking to make money on Instagram? Try these 10 strategies to see what works best for you.
1. Instagram Shopping
Instagram Shopping lets you tag products directly in your posts, stories, and reels, directing users to buy without actually leaving the app. If you already have an online store and want to increase sales or you’re thinking about starting a shop, this feature can drive sales where your audience is already hanging out.
According to Instagram, 70% of shoppers use the app for product discovery and 87% say they’ve been inspired to make a purchase when scrolling through their feed.
Mecca Beauty takes advantage of this by adding tags to its feed photos that link directly to the sales page. Shoppers can complete the purchase without ever leaving the app.
The amount you make via Instagram Shopping will vary wildly depending on the kind of products you sell, your marketing methods, and the size of your audience. If you have a large following and in-demand products, you can make a decent chunk of money with an Instagram Shop.
How to get started with Instagram Shopping:
- Set up an Instagram business account and connect it to a Facebook catalog
- Use high-quality, visually appealing product images
- Create engaging content that showcases products in use
- Take advantage of Instagram's built-in features, like Stories and Reels to promote products
2. Affiliate marketing on Instagram
Affiliate marketing involves promoting products to earn a commission on any sales generated through your unique affiliate link. Instagram has a built-in affiliate program it’s currently trialing, which lets you choose products to promote from various brands, but you can also sign up for external affiliate programs and share those programs on your Instagram page. Note that as per Instagram’s guidelines, you have to explicitly state if you’re going to receive any commission from sales made through your link.
The amount you can make through Instagram affiliate marketing depends on how many followers you have, your engagement rate, and the commission rates set by the brands you work with—this can range from 5% up to 40%. A few affiliate marketers are killing it on Instagram, like Chad Bartlett, who made $5,000 in seven days, but you can expect to earn anywhere from a few hundred to several thousand dollars per month if you’re successful.
Sarah SW promotes her affiliate code for spice kits on Instagram.
How to get started with affiliate marketing on Instagram:
- Go to your professional dashboard on Instagram and tap “set up affiliate”
- Once you make it through the onboarding process, go to the shop you want to promote, choose your products, and add them to your wishlist
- When creating content, tag the products you’ve saved in your wishlist
- The final post will appear with a mandatory disclosure that says “eligible for commission” at the top
3. Sponsored Instagram posts
If you have a decent amount of followers, you can earn money through sponsored posts. This essentially means a company pays you to post about their products and services. For example, a fitness influencer might get paid to post about a new protein shake or a popular dog account might get paid to promote a new dog harness.
How much money you can make depends on your follower count and how engaged those followers are—most brands want to work with accounts with highly engaged followings as this indicates your followers trust your recommendations.
Someone with a few thousand followers might make $50-$100 per post, while bigger influencers with hundreds of thousands of followers could make $1,000 or more for a single post. Obviously, celebrity accounts with millions of followers can demand incredibly high rates—Kim K, for example, nets $2 million per post.
It’s not easy money, though. It takes time and effort to build a big following and create posts that companies want to sponsor.
Stephanie Wong shares sponsored content on her Instagram feed.
How to get started with sponsored posts:
- Build your following and audience engagement
- Specialize in a specific area, like fashion, food, or fitness
- Create quality content that companies want to be associated with
- Put together a media kit that includes your follow count, engagement rate, and audience demographics
- Reach out to brands (start with smaller, local brands that fit your niche) or join influencer networks like AspireIQ and Tribe, which connect you with relevant brands
4. Use your profile as a funnel
This is the primary way I use Instagram to make money. In every post, I encourage my followers to click a link in my bio and download a freebie. This action adds them to my email list, where I can then nurture them with a sales sequence and nudge them toward one of my paid products. This is particularly effective if you already have digital products or a service you can sell.
For best results, you need to create engaging content that attracts your ideal audience, and then use those posts, Reels, and Stories to direct followers to your website, online store, signup form, or landing page.
I don’t make a ton of money through Instagram this way—maybe a couple of hundred dollars a month, but there’s potential. If you have a well-optimized funnel and a large, engaged audience, you can make thousands or even tens of thousands of dollars monthly. The key is to consistently share valuable content and guide your followers through the buying process.
When someone clicks on the links in my bio they’re directed to a list of my products and freebies.
How to use your Instagram profile as a funnel:
- Choose your end goal—what do you want followers to buy from you?
- Add a link in your bio that feeds followers toward that end goal (e.g. a signup form or landing page)
- Create an automated email sales sequence that pushes followers toward your desired outcome
5. Dropshipping products
Dropshipping involves selling products through third-party providers for a profit. When someone buys a product, you purchase it from a supplier who ships it directly to your customer. You make money by charging more than the supplier’s price—ergo, turning a profit.
You can do this in the same way you would if you had a regular shop that held inventory—you just skip the part where you have to personally fulfill the order. Someone else does that for you. While this means you have very little overheads and don’t have to worry about excess stock, dropshipping isn’t always easy money. You need to find in-demand products, build a following, and handle customer service or any issues that crop up with orders.
That being said, there’s potential to earn decent money using this method. One dropshipper made $19,000 in two months dropshipping bubble tea toys to his Instagram followers, while another duo made $1 million through dropshipping by promoting their products via Instagram influencers.
Tze Hing Chan created an Instagram profile for his dropshipping business selling bubble tea plushies.
How to get started with dropshipping on Instagram:
- Choose a niche and decide what types of products you want to sell
- Research and connect with reliable suppliers
- Set up an online store (or use Instagram Shopping)
- Build your Instagram following by posting regularly
- Share your products via Instagram posts, Reels, and Stories
6. Become an influencer
While becoming an influencer isn’t a direct way to make money on Instagram, it can open up doors that otherwise wouldn’t be available. For example, influencers can go on to sell their own products, partner with brands, and get paid to speak at events.
To do this, you need a large and engaged following who lap up your posts, Stories, and videos. The amount you can make as an influencer varies wildly depending on your follower count, your niche, and how engaged your audience is. Those with smaller followings (around 1,000 to 10,000 followers) might earn $50 to $100 per post, while those with larger followings (100,000 to 1 million followers) can make $1,000 to $10,000 per post.
Travel influencer Helena Bradbury makes $5,000-$10,000 a month through affiliate marketing—much of which she promotes on her Instagram account.
How to become an Instagram influencer:
- Choose a niche to help you create focused content and attract a targeted audience
- Optimize your Instagram profile with an engaging bio
- Focus on producing high-quality content and growing your audience
- Collaborate with other influencers or brands in your niche to expand your reach
- Network with brands and reach out to potential partners
7. Monetize Instagram Reels
There are a couple of ways you can make money through your Reels. Firstly, make sure you meet Instagram’s requirements, which include having a professional account, at least 5,000 followers, and following the platform’s monetization policies. Once eligible, you can earn money through features like Instagram Gifts, where viewers can send virtual gifts that translate into real money. You can earn $0.01 for every star you receive.
Other ways include monetizing your Reels externally, such as promoting paid partnerships or directing followers to your paid products.
Dot at The Faffing Nest often promotes products and sponsors in her Reels.
How to make money on Instagram Reels:
- Focus on creating engaging, visually appealing Reels that resonate with your target audience
- Enable Instagram Gifts if you’re eligible
- Use Instagram Shopping to promote and sell your products directly through Reels by tagging them or driving followers to your online store
- Partner with brands to create sponsored Reels
- Include affiliate links in your Reels to earn a commission on any sales generated
- Use Instagram Subscriptions to offer exclusive Reels to subscribers who pay a monthly fee
8. Sell digital products
I regularly use Instagram to promote my digital products—in fact, during the launch of my latest resource, The Promo Playbook, I posted Reels, Stories, and posts every day to remind people to snap up the early bird discount.
You can add a link in your bio to your digital products and direct followers to them through engaging content on your feed and in your Stories.
The amount you can make selling digital products on Instagram will vary depending on your products, how many products you have, and your follower count. The more followers you have, the more money you can make. Likewise, you might make more selling a signature $999 digital product than a low-level $19 one.
The duo behind Maha Copy has created an entire digital product shop that they promote via Instagram.
How to get started selling digital products on Instagram:
- Create your digital products (I recommend having a few at different price points)
- Add a link in your bio to your digital products or a landing page where followers can sign up to receive sales emails
- Create a funnel that promotes your digital products
- Consistently share engaging content related to your digital products and use a call-to-action to encourage followers to purchase
9. Ask for donations
You can make money on Instagram by asking for donations—especially if you’re creating content for a cause or providing particularly valuable information. Do this by adding a donation button to your Stories or including a link to a donation platform in your bio (popular platforms include Whop, PayPal, Ko-fi, or Patreon).
How much you make will ultimately depend on your follower count, how engaged your audience is, and the perceived value of your content. If you’re sharing amazingly useful content that people can’t find elsewhere, you’re more likely to get donations than if you’re posting a photo of your breakfast every day.
Some creators might receive a few dollars here and there, while others with larger, more dedicated followings could potentially earn hundreds (or even thousands) of dollars a month through donations.
How to ask for donations on Instagram:
- Add a donate button to your profile (you need a business account to do this)
- Use the donation stick in your Instagram Stories to make it easy for viewers to contribute
- Host Instagram Live sessions to connect with followers in real time and encourage donations during the broadcast
- Set up fundraisers directly on Instagram for specific campaigns or goals
- Consider offering small rewards or recognition for donors
- Include a clear call-to-action and link to your donation page in your Instagram bio
10. Create a paid fan community
You can make money on Instagram by creating a paid fan community where followers pay a subscription fee for exclusive content and perks. Use a platform like Whop or Instagram’s own native subscription feature, which lets you offer special posts, Stories, and live sessions to paying subscribers.
The amount of money you can make depends on the subscription fee and number of subscribers. If you charge $5 a month and have 200 subscribers, you can make $1,000 a month. This is a particularly good way to make money if you consistently provide valuable and engaging content your followers are willing to pay for.
Tip: Take your paid fan community off Instagram and on to Whop, where you can add courses, chats, video calls, discussion threads, and digital products to your community all in one place. Get started for free.
How to create a paid fan community on Instagram:
- Switch to a Creator or Business account
- Make sure you meet Instagram’s eligibility requirements for subscriptions (e.g. you need at least 10,000 followers)
- Apply for Instagram Subscriptions through your professional dashboard
- Set your subscription price (choose a monthly fee between $0.99 and $99.99)
- Create subscriber-only posts, Stories, and Reels
- Maintain a regular posting schedule for exclusive content
- Consider expanding your subscriptions on a community platform like Whop, where you can add courses, digital products, and other services
Making Money on Instagram: Commonly Asked Questions
Now you know how to make money, let’s go over some questions you might still have before we dive into a couple of tips.
How many followers do you need to make money on Instagram?
There’s no concrete figure here, but obviously the more followers you have, the more money you can make. As a general rule, you need 1,000 followers to start making money. Many brands look for influencers with 10,000 or more followers and to use some of Instagram’s native money-making initiatives (like Subscriptions and Gifts) you need 5,000+ followers.
How do you make money on Instagram without followers?
It’s tough but possible. While you might not qualify for Instagram’s built-in money-making methods, you can still sell your own products or services, do affiliate marketing, and offer freelance services to businesses.
Does Instagram pay you for likes?
No, Instagram doesn’t pay its users directly for likes. While likes can help grow your account and attract sponsors, Instagram itself won’t pay directly for them.
Do Instagram users get paid?
Some do. There are native Instagram features, like Subscriptions and Gifts that pay users, but most people making money on Instagram do so outside of the platform—they just use Instagram as a promotional channel.
Here are some of the most common ways Instagram users make money:
- Sponsored posts
- Affiliate marketing
- Selling products (both physical and digital)
- Brand partnerships
3 Top Tips for Instagram Monetization Success
Use these tips to maximize your chances of success.
Carefully choose a niche
Pick a specific area you’re passionate about and knowledgeable in—this will help you stay motivated and make sure you’re targeting a niche section of the market. Run some research to check there’s audience interest and potential for monetization before you dive in. It can help to look for niches with less competition but strong demand, but you can also combine two interests for a unique angle (e.g. vegan fitness).
Create an engaged community
Building a community around your Instagram account can help grow your audience quicker and, as a result, start earning quickly. Start by consistently posting high-quality, valuable content. Then, make sure you respond to comments, ask questions, and use Instagram features like polls and Q&As to boost interaction.
Go outside of Instagram
Don’t focus your efforts solely on Instagram—you never know when the algorithm will change and you ultimately don’t “own” your audience there. Instead, use multiple platforms to reach a wider audience. For example, you might also build an audience on TikTok and YouTube, create a blog, and set up a Whop hub to build and manage a paid community. To save time, you can cross-post content across your different channels, but I’d also highly recommend setting up an email list for direct communication with your audience.
Is Instagram the Best Place to Make Money Online?
Let’s get into it—is Instagram really the best place to make money online?
Like any of these things, it completely depends on your brand, your niche, and your appetite for hard work. Instagram does offer diverse ways to make money, but it’s highly competitive and challenging to stand out. The majority of users don’t make a ton of money (if at all) and there are limited passive income opportunities. However, it does make it easy to partner with brands and post sponsored content, which is great if your goal is to become an influencer.
Unlike Instagram, a platform like YouTube provides far more sustainable long-term income through the YouTube Partner Program, and there are also passive income opportunities through ads on old videos. You also get a higher pay per follower compared to Instagram, but again, it’s a lot of hard work to build a decent viewership.
And then there’s TikTok, which offers the TikTok Creator Fund and makes it easy to collaborate with brands. It also provides opportunities for content to go viral quickly and has a younger, highly engaged audience, but it has limited monetization options compared to YouTube.
While all these platforms have their own monetization options, the most effective way to make money is still taking people off platform and funneling them to external communities where you can sell paid memberships, content, and services without having to meet strict platform requirements.
Making Money with Instagram and Whop
You can use Instagram as a way to attract and engage an audience, and then direct followers to your own website, online courses, membership programs, or other digital products.
With Whop, you get a centralized platform where you can offer exclusive content, products, or services to your most dedicated followers. Unlike Instagram, which limits your ability to monetize directly, Whop lets you create subscription-based communities, sell digital products, and offer paid services all from the same place. Once your audience is in your whop, they don't have to leave - they have communication, connection, and products, all in one place.
This can lead to a far more stable income stream, but it also gives you more control over your community. Discussion forums, chats, and direct messaging can foster deeper connections with your audience and you get better data and analytics tools, which can help you understand your community’s needs and preferences.
By funneling your audience to Whop, you’re less dependent on Instagram’s algorithm changes and can build a more sustainable, diverse online presence—even better, the innovative app model that Whop uses means you can customize your community until your heart’s content. And, unlike other community platforms, Whop doesn’t charge a monthly fee. You just pay a 3% commission on each sale you make, whether that’s a membership spot or a digital product.
Turn Instagram into a true money-making venture by pairing it with Whop. Start building your online community with Whop today.
