Using social media is an indispensable habit of every social network user not only in Vietnam but around the world. Every day, we still surf Facebook, TikTok, and YouTube channels continuously and spend a large amount of money to support social network idols. It can be said that influencers today have great influence (not inferior to famous showbiz artists) with today's increasingly young user community.
In this article, let's learn again with FinFan about ways to receive gifts and make money on social networking sites and predict its development and impact on fintech companies and those KOLs themselves.
There is no time like the present time when some KOLs can make a lot of money from creating valuable videos for viewers and receive relatively large sums of money from doing so.
There is no better time than now. Some KOLs can make a lot of money from creating valuable videos for viewers and receive relatively large sums of money from doing so. Making money can come from paying users to view ads, and it can also come from fans giving gifts to their favorite influencers.
According to the most recent statistics from FXCIntelligence, here is the table that contains the minimum purchase of a fan each influencer can receive on social media:
|
Key influencer gifting programmes Main details of influencer gifting programmes offered by social media platforms |
|||
|
Company |
Gifting Program |
Main token(s) |
Minimum purchase cost (USD) |
|
|
Live Gifts |
Stars |
$0.99 |
|
|
Instagram Gifts |
Stars |
$0.99 |
|
|
Contributor Program (Reddit Gold) |
Gold |
$1.99 (Mobile) $1.79 (Web) |
|
Snapchat |
Creator Gifting (Gifts) |
Snap Tokens/Gifts/Crystals |
$0.99 |
|
TikTok |
Creator Next (Gifts) |
Coins/Gifts/Diamonds |
$0.74 |
|
YouTube |
Partner Programme (Super Stickers) |
Super Stickers |
$0.99 |
Imagine you have 1 million followers on these major social networking sites, and then you will receive an amount equivalent to at least 1 million dollars when each follower gives you the smallest value on the above social networking sites.
*Furthermore, digital ‘stickers’ are a common form of gift on a number of platforms, with fixed values in either fiat (in the case of YouTube) or the token purchased by users (in the case of TikTok and Snapchat). In the case of the latter, these are often priced in a way where their value in fiat currency is not immediately clear, particularly as users may purchase the original tokens in quantities that are not easy to do conversions with.
For example, TikTok advertises Coins in units of 70, 350, 700, 1,400, 3,500, 7,000 and 17,500, as well as allowing custom purchases of larger amounts. These Coin values are equivalent to $0.74, $3.70, $7.40, $14.80, $37, $74 and $184. Following this, users then can buy around 100 different Gifts that are priced at a wide range of points between 10 and 1,999 Coins – equivalent to around $0.11 and $21.
By contrast, Snapchat sells Tokens in bundles of 80, 250, 500 and 1,100 – equivalent to $0.99, $2.99, $4.99 and $9.99 – and sells Gifts at price points between 50 and 1,000 Tokens. This means that users are purchasing Gifts for the equivalent of between around $0.62 and $12.33.
YouTube, meanwhile, prices its gifts in local currency, and while it offers a large number at low price points of $2 or below, it also has gifts at much higher price points than TikTok or Snapchat, with the largest gifts being $50 or the local equivalent.*
*Sourced by: FXCIntelligence
The table above describes the minimum reward an influencer can receive on the most used social networking sites globally.
So how can these social network companies pay the above amounts to KOLs? All must go through fintech companies that embed APIs to connect with payment tools and support social networking sites on the Internet. That’s called embedded finance.
According to the most recent report by FXCIntelligence, most social networking sites are affiliated with PayPal in paying money related to KOLs and KOCs. With the continuous development of the world's No. 1 payment startup, PayPal has been showing its dominance.
Next, some social networking sites that are local or less used will have other payment methods such as Cash App, Ko-Fi, and PATREON. Most of these payment methods originate from the daily consumption habits of local people through many forms such as e-wallets or some other financial apps.
Creating an embedded payment gateway for these social networking sites also brings significant value in terms of revenue for these payment gateway sites. For that reason, it creates a new trend and attracts many companies to invest in startups that bring these new values.
In short, creating a playground for KOLs and KOCs is also a form of support for all three parties: