Instagram continues to look for ways to monetize creators who post videos on their platform in the first place. The social network owned by Meta confirmed TechCrunch who are working on a new feature called Gifts, a feature that will allow users to send gifts that creators can exchange for money and this, to no one’s surprise, is very reminiscent of the option offered by TikTok.
TikTok essentially allows users to exchange money for virtual currencies to later send gifts as tips or support to creators who are streaming live. Creators can also receive and accumulate these gifts, and then exchange them for money. In the case of Instagram and according to the aforementioned media, the ability to send “Gifts” will be available only for Reels, and not all authors will be able to enable this option. That is, they must meet a number of requirements in order to be able to receive gifts from their followers and then exchange them for money.
At the moment, requirements unknown to apply the feature on Instagram, as well as the percentage of the commission that the platform will withhold after the creator decides to exchange gifts for real money. Instagram, for its part, only clarified that the feature “is an internal prototype and is not externally tested.”
Instagram also has subscriptions as a form of monetization for creators.
Interestingly, Instagram has already worked with a similar feature in the past, when the company was still focusing on Instagram TV videos. Users in this case could offer $0.99, $1.99, and $4.99 to their favorite creator badges, which could later be redeemed for cash.
However, this is not the only feature related to monetization of creators that Instagram is working on. The social network owned by Meta is also implementing a “Subscriptions” feature. This feature, in particular, allows subscribers subscribe to an account or user to be able to view exclusive content in exchange for a monthly subscription.
Creators can also set different rates, which range from $0.99 to $9.99 per month.. Depending on the price, they may include certain exclusive features. For example, the ability to create a chat with 30 participants or show exclusive stories from Instagram.
Source: Hiper Textual