After a successful first attempt, many brands prefer to sponsor multiple videos or streams with the same Creator, rather than trying their luck with new Creators. This allows them to have a more predictable profitability, and usually the successive videos manage to bring them new buyers, different from those of the first video for a while.
On the Creator's side, such a partnership also allows a better visibility on sponsoring revenues, and avoids the bad surprises that would be a bad reaction of the audience, which may have already reacted to the first video.
But for a creator, how to know which brand to choose to get a long term partnership later on? And how to know what price to apply for these new campaigns, or even for the first "test" video? Wizdeo explains...
Choose promising brands for the long term
The first criterion is to detect brands that are going to do a lot of sponsoring over the next year - and not only for a one-off campaign - but also who will do regular long-term partnerships. You can explore the YouTube videos of important Creators - everyone knows that NordVPN or Hello Fresh have been sponsoring for a long time, so they will continue - and also check if these brands sponsor Creators several times.
But it's a bit tedious and not very accurate; if you work with Wizdeo on the other hand, you'll have access to Wizapp and a list of brands sorted by the ones that do the most sponsoring and all the ones that work with ambassadors.
Once you have a list, you should try to choose the brand that suits your audience.
For the audience, for each brand, a first idea is to see if your channel's audience has expressed its feeling or reacted badly to a similar brand before, and to observe the reaction of the audience of channels close to yours to presented brands.
The easiest and most efficient way to do this is to access Wizapp: you will find a personalized list of brands for which your audience is most likely to be receptive, and an indicator on which ones fit best to you (green thumb, yellow thumb...).
Overview of your close brands list on Wizapp
Adapt your prices, up or down, to get the best partnership
Many Creators offer the same price for all brands, without differentiation. However, to avoid losing opportunities by remaining rigid on the price, or conversely to increase the price as high as possible without losing the contract, it is better to vary the price of your sponsored video depending first on the value of your audience for the brand, then on the success of your video in terms of views.
For a first video with a brand - before any renewal - it is complex to evaluate if your audience is worth more or less; again, you can check if a channel with a close audience has made a second (or more!) video(s) for the brand, it is a good indication that the brand was satisfied with the results.
Then, if you are sure that the video will get more views than usual, you can try to convince the brand that it will work, so that they accept a higher pricing; or offer in addition to the fixed fee, a bonus based on the extra views vs. regular video.
If you work with Wizdeo, even for a first video with a brand, Wizapp not only finds the brands that are close, but also calculates the maximum pricing for you, while preserving the brand's profitability.
After the first video: try to get the ROI of the brand to renew at the best price
To know if your audience has been receptive, it is important to ask the ROI generated by your video to the brand.
ROI is the return on investment, which is the ratio between the revenue from sales triggered by the video (clicks on the link) and the cost of the video.
Every brand uses an ROI threshold to know if a video has been profitable or not: if the brand's revenue is high enough compared to the cost of the video, you exceed this threshold. If the revenue is not large enough, you are below that threshold.
If your video is for example 20% above the brand's threshold, the brand will want to do it again, and, it will still be interesting for them even if you increase your prices by 20%. On the contrary, if your video is 20% above, they will only renew you if you lower your price by 20%. Or, you can keep your price, but you guarantee the brand that you will get 20% more views.
The best is to get the brand to give you both the ROI and the threshold: you can then know exactly how much you can increase your prices, or conversely how much you should decrease them or increase your views.
At Wizdeo, we always try and often succeed in getting the ROI of the brand. We are therefore able to help the creators who work with us to adjust their price, their views or their business model.
As a reminder, Wizapp allows you to identify the brands to which your audience will be receptive in order to get a strong return on investment and therefore brand satisfaction.
Depending on the degree of proximity of your audience to the brand, Wizapp suggests whether your rate is too low or too high compared to the profitability that the brand can expect by collaborating with you.
As part of the Sponsor+ offer, Wizdeo is able to guarantee a minimum number of sponsored operations per year in exchange for a bonus if we manage to reach this minimum, if you are interested, contact us.