The Question We Get Asked Most

If there’s one question we get from creators more than any other, it’s this: How much should I charge for a brand deal?

It’s also one of the most important financial decisions a creator makes. Undercharge and you leave significant money on the table. Overcharge without the data to back it up, and deals don’t close.

This guide is our attempt to give you a practical, data-backed framework for setting your rates.

The Baseline: CPM and CPE

Most brand deals are priced on one of two metrics:

• CPM (Cost Per Mille): What the brand pays per 1,000 views/impressions
• CPE (Cost Per Engagement): What the brand pays per like, comment, share, or click

As a starting point, here’s what the market looks like across platforms:

YouTube

• Sponsored segment (60-90 second mid-roll): $20-$50 CPM
• Dedicated video: $30-$80 CPM

Instagram

• Feed post: $10-$30 CPM
• Story: $5-$15 CPM
• Reel: $15-$35 CPM

TikTok

• Integrated mention: $15-$40 CPM
• Dedicated video: $25-$60 CPM

These are ranges. Where you fall within the range—and whether you can exceed it—depends on several factors we’ll cover below.

Factors That Move Your Rate Up

1. Engagement Rate

A creator with 500k followers and a 5% engagement rate commands significantly more per deal than one with 500k followers and a 0.5% engagement rate. Brands know this.

Benchmark: 2-3% is average. 5%+ is strong. 8%+ is exceptional.

2. Audience Demographics

Not all audiences are equally valuable to advertisers. A U.S.-based, 25-34 demographic earns more CPM than a global, under-18 demographic—because the purchasing power and advertiser demand is higher.

Know your demographics. If yours are strong, lead with them.

3. Niche CPM

Finance, software, B2B, and real estate audiences command higher CPMs. If your content overlaps with high-value niches, that premium applies to your brand deals too.

4. Track Record and Case Studies

A creator who can show that a previous brand deal drove measurable results (clicks, conversions, coupon code redemptions) can charge more—and close deals faster—than one who can’t.

Start tracking your performance metrics from day one.

5. Exclusivity and Usage Rights

Brands often want exclusivity (you won’t work with competitors for 30-90 days) and usage rights (they can run your content as paid ads). Both of these should come with a premium—typically 20-50% on top of the base rate.

How to Actually Set Your Rate

Here’s the framework we recommend:

1. Start with your average views (use the average of your last 10-15 pieces of content, not your best performers)
2. Apply the relevant CPM range based on platform and content type
3. Adjust upward based on engagement rate, demographics, and niche
4. Add premiums for exclusivity and usage rights
5. Test and iterate: if every brand says yes immediately, you’re undercharging

A Note on Negotiation

Most creators set one rate and treat it as fixed. The better approach is to have a floor (below which you won’t go) and a target (what you actually want). Leave room to negotiate without leaving money on the table.

Also: don’t undervalue yourself because you’re new. Brands pay for access to your audience—and your audience’s trust in you. That has value regardless of how long you’ve been creating.

Tools That Help

• Karat: We offer financial services built specifically for creators, including tools to help you understand your earning potential.
• Creator marketplaces (AspireIQ, Grin, Creator.co): Can give you market data on what brands are paying in your niche.
• Your peers: Don’t be afraid to ask other creators what they charge. The creator community is generally more open about rates than traditional industries.