3 In 4 influencers seek agency for business representation

A new study by Brunch and YOUPIX showed that 3 out of 4 (73,72%) digital influencers seek an agent or agency as a commercial representative. Although it is the desire of most, this is not yet the reality of the majority, since the same survey reveals that 74,25% does not have agency in the career. An anonymous creator, respondent of the survey, highlights the role of an entrepreneur in the digital career.

“Ter an agency that really understands the market was a key turn for me. Not only in negotiations, volume of jobs, and volume of R$, but also in the security of having someone who knows what he is doing, representing me and speaking for me”, said. According to Fabio Goncalves, director of international talent at Viral Nation, agency is fundamental to the growth and professionalization of the influencer's career: “Ter an agent who understands the market not only facilitates negotiations and expands the volume of opportunities, but also offers security and confidence of being well represented in such a dynamic scenario, helping brands to protect themselves and act badly in the role of the influencer.

This representation is not defined by a single model, there are some aspects as the same research shows. According to it, in 57,89% of the agreements the agency or agent has exclusivity to negotiate works on behalf of the influencer, while in 42,11% of the cases several agencies can offer the profile of the content creator in the market. 

According to Fabio, the choice between exclusivity and non-exclusivity in the commercial representation of influencers brings both advantages and challenges: “Com exclusivity, the content creator gains an integrated view of the business and the confidence of having a strategic partner in charge of negotiations. However, this can generate a dependence on the agency for making important decisions. Already without exclusivity, the influencer benefits from multiple sales channels and several showcases to exhibit his work, but loses control over how his image is presented in the” market.

The business model of the agencies with the influencers was also shown in the survey. About 9 out of 10 creators (90,53%) remunerate their agents only with the commission of the agreements, while 8,42% pays a fixed monthly amount for the service plus a percentage per closed work. Only 1% pays a fixed amount per month regardless of billing. 

These percentages can vary greatly according to the closed deals. According to the survey, 36,04% of influencers pay less than 5% of commission or do not even pay the company for the closed deal. On the other hand, 26,3% of these creators pay between 16% and 20% of commission and 17% pays between 21% of percentage, a very high number for market standards.

“When the turnover is low, the percentages may be lower, or even nonexistent, since commissions are based on the success of negotiations. However, when agreements are larger or more complex, commissions may be higher, reflecting the value and effort involved in the negotiation and representation of the influencer”, he says. 

Leticia Gomes, influencer who went viral on the internet because of her transformations using only makeup, is one of Fabio's agents in the Canadian company Viral Nation. According to her, the representative was crucial to the turn of her digital career: “He brought the confidence to deal with large negotiations and helped open doors that I did not even imagine. With a professional who understands the market, I was able to focus on my content, while he took care of the entire commercial side. Today, my career has a much larger dimension, and I am grateful to have someone so skilled representing me.”

METHODOLOGY

The survey, conducted by the agency Brunch and the consultancy YOUPIX, had 369 valid responses from breeders from all over the country, in a questionnaire conducted from august 13 to september 23.