Justin Lalonde - Why Posting Content as a Business Owner Boosts Profits and Brand Growth
The influencer explains the financial dynamics of handling brand deals as a content creator. With half a million followers, they spend around $3,000 monthly on an editor to manage content posting. When they secure a brand deal worth $20,000, which requires creating three videos, the influencer not only fulfills the brand's needs but also benefits personally. Posting these videos increases traffic to both the brand and the influencer's account. Since 90% of their content promotes their own brand, this increased traffic indirectly boosts their brand's visibility and customer acquisition. The influencer calculates a profit of $17,000 from the brand deal after deducting the $3,000 cost of content creation. This scenario illustrates a negative Customer Acquisition Cost (CAC), as they are paid to promote a brand while simultaneously gaining customers for their own business, effectively turning a profit from the arrangement.
Key Points:
- Influencers can leverage brand deals to generate significant profit while promoting their own brand.
- A brand deal worth $20,000 can result in a $17,000 profit after content creation costs.
- Posting sponsored content can increase traffic to both the brand and the influencer's personal brand.
- 90% of the influencer's content focuses on their own brand, enhancing indirect promotion.
- The influencer achieves a negative CAC, gaining customers while being paid for promotion.