WEBVTT - How Influencers Turn Social Media into Cash

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<v Speaker 1>Hello, my name's Santasha Nabananga Bamblet. I'm a proud Order

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<v Speaker 1>Order Kerney Whaltbury and a waddery woman. And before we

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<v Speaker 1>get started on She's on the Money podcast, I would

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<v Speaker 1>like to acknowledge the traditional custodians of the land of

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<v Speaker 1>which this podcast is recorded on a wondery country, acknowledging

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<v Speaker 1>the elders, the ancestors and the next generation coming through.

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<v Speaker 1>As this podcast is about connecting, empowering, knowledge sharing and

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<v Speaker 1>the storytelling of you to make a difference for today

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<v Speaker 1>and lasting impact for tomorrow. Let's get into it.

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<v Speaker 2>She's on the Money, She's on the Money.

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<v Speaker 3>Hello, and welcome back to She's on the Money cost

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<v Speaker 3>Millennials who want financial freedom. Last Saturday, things get a

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<v Speaker 3>little bit spicy when we dove headfirst into the wild

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<v Speaker 3>world of influences and the very fine line they walk

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<v Speaker 3>between authenticity and cashing in. So if you missed that chat,

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<v Speaker 3>I highly recommend giving it a listen. The episode honestly

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<v Speaker 3>had you buzzing. My dams were blowing up. So today

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<v Speaker 3>I'm bringing you another special Saturday treat. As always on

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<v Speaker 3>a Saturday, it is just me Victoria Divine here to

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<v Speaker 3>show you exactly how influencers are turning their social media

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<v Speaker 3>savvy into some serious cash and spoiler alert, it's actually

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<v Speaker 3>way more than just posing with pretty products and using

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<v Speaker 3>trendy hashtags. Did you know that there are over five

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<v Speaker 3>billion social media users worldwide? That's almost sixty percent of

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<v Speaker 3>the global population scrolling, lacking, sharing, and buying. And with

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<v Speaker 3>this digital world, influencers have carved out a unique space,

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<v Speaker 3>becoming trusted voices for millions. According to findings by Matter Communications,

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<v Speaker 3>sixty nine percent of consumers trust influencer recommendations. To me,

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<v Speaker 3>that is crazy. This level of trust gives influences significant power,

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<v Speaker 3>especially when it comes to making money. So how exactly

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<v Speaker 3>do influencers cash in on all this? Let's start with

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<v Speaker 3>the bread and butter of the influencer world, sponsored posts

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<v Speaker 3>and brand campaigns. Essentially, brands pay influencers to showcase their

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<v Speaker 3>products or services, whether through a single Instagram post, a

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<v Speaker 3>series of stories, or even a full blown campaign that

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<v Speaker 3>includes blog posts and videos. It's all about leveraging the

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<v Speaker 3>influencer's unique voice to promote the brand. And then there's

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<v Speaker 3>the next level, brand ambassadorships. This is where influencers form

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<v Speaker 3>long term partnerships with brands, becoming the face and voice

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<v Speaker 3>of their products. Over time, these gigs usually come with

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<v Speaker 3>arguably a higher paycheck thanks to the ongoing promotion and

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<v Speaker 3>deep brand integration. It's all about building a stable income

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<v Speaker 3>stream while staying authentic and relatable to their audiences building

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<v Speaker 3>on those partnerships. Another money maker for influencers, which arguably

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<v Speaker 3>has been hot topic over the last couple of weeks

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<v Speaker 3>on TikTok and Instagram alike, is affiliate marketing. For influencers,

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<v Speaker 3>affiliate marketing is like having their own digital storefront. They

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<v Speaker 3>share a special link or a code in their posts,

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<v Speaker 3>and every time someone buys something using that link, they

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<v Speaker 3>earn a small commission. This small commission can range anywhere

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<v Speaker 3>from five percent to thirty percent of the sale price,

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<v Speaker 3>depending on the brand and the deal. They're getting paid

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<v Speaker 3>to share their favorite fines, and the more affiliate programs

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<v Speaker 3>they join, the more they're able to earn. Although for

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<v Speaker 3>affiliate marketing to really pay off, influencers actually need to

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<v Speaker 3>be genuine. As we highlighted last week here, authenticity is key.

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<v Speaker 3>It's not necessarily about market saturation and having everyone where

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<v Speaker 3>you could say the same cardigan without it, influencers risk

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<v Speaker 3>losing the very thing that makes their audience actually listen

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<v Speaker 3>to them and want to be like them and purchase

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<v Speaker 3>their products, which is trust. And it's not just brands

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<v Speaker 3>who are recognizing the value that influencers bring. Social media

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<v Speaker 3>platforms have been stepping up their game by offering direct

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<v Speaker 3>payments to influencers. These platforms know that influencers play a

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<v Speaker 3>key role in keeping us hooked on their platform, so

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<v Speaker 3>they're offering financial rewards to encourage influencers to create even

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<v Speaker 3>more engaging and even more frequent content tied directly to

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<v Speaker 3>audience interaction. The most well known here is probably YouTube's

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<v Speaker 3>Partner program, where creators earn money just from running ads

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<v Speaker 3>on their videos. Other platforms are currently experimenting with different

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<v Speaker 3>ways to do this. Instagram's currently trialing a new feature

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<v Speaker 3>called Bonuses, and TikTok has their Creator program. This feature

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<v Speaker 3>allows influencers to earn extra money from the platform based

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<v Speaker 3>on their content's performance, such as views on VID videos,

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<v Speaker 3>how long people watch videos for, or engagement on posts.

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<v Speaker 3>While Instagram's currently rolling out this feature in select regions,

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<v Speaker 3>it hasn't actually launched yet in Australia, so it's going

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<v Speaker 3>to be really interesting to see if and when it

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<v Speaker 3>rolls out here. And to sweeten the deal even further,

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<v Speaker 3>some social media platforms are up in the ante by

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<v Speaker 3>letting their users pay creators directly. For example, Instagram is

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<v Speaker 3>testing a subscriptions feature that lets influencers offer premium content

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<v Speaker 3>to their most dedicated fans. Exclusive content like behind the

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<v Speaker 3>scenes footage, special live streams, and tutorials exist here. It's

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<v Speaker 3>a great way for influencers to secure a steady income

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<v Speaker 3>stream while building a more engaged and more loyal community.

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<v Speaker 3>Over on TikTok, live gifts give followers the ability to

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<v Speaker 3>buy virtual gifts during live streams that can then be

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<v Speaker 3>converted into cash by influencers. It's a direct way for

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<v Speaker 3>followers to show their support, and it can be especially

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<v Speaker 3>loose creative for influencers with a really strong and really

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<v Speaker 3>engaged audience. I've been talking. I feel like I've got

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<v Speaker 3>a mouthful of marbles and I'm currently underwater. So let's

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<v Speaker 3>go to a really quick break and on the flip side,

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<v Speaker 3>I want to talk about how smart influencers are diversifying

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<v Speaker 3>their income streams. All right, we are back and we

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<v Speaker 3>are talking about how influencers make money. And while all

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<v Speaker 3>these platforms YouTube, Instagram, TikTok are a great addition, at

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<v Speaker 3>the end of the day, successful influencers know that they

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<v Speaker 3>can't rely solely on them and I always say that

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<v Speaker 3>putting all your financial eggs in one basket is never

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<v Speaker 3>a good strategy, and the same goes for the social

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<v Speaker 3>media world. Smart influencers are diversifying their income streams. They

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<v Speaker 3>might launch their own product lines think makeup or clothing,

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<v Speaker 3>fate the label I am looking at you. You have

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<v Speaker 3>done it incredibly well. They're creating online courses, or they're

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<v Speaker 3>even writing books. This diversification is key to building a

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<v Speaker 3>more stable income for themselves, as relying solely on platforms

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<v Speaker 3>like Instagram or YouTube can be really risky with ever

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<v Speaker 3>changing algorithms and the consistent risk of maybe losing your profile. Take,

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<v Speaker 3>for example, a beauty blogger who starts their own skincare line.

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<v Speaker 3>It's a really savvy way to turn a passion into

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<v Speaker 3>a really thriving business and it's always inspiring to see

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<v Speaker 3>influencers grow in new and different directions. Now, while all

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<v Speaker 3>of this might actually sound very glamorous, we have to

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<v Speaker 3>remember it is a full time gig that requires a

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<v Speaker 3>ton of skills and serious hard work to make it

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<v Speaker 3>sustainable long term. Influencers have to create engaging, high quality

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<v Speaker 3>content that resonates with their audience, whether that's some photos

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<v Speaker 3>or videos or a blog post. This means a lot

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<v Speaker 3>of planning goes into shoots, editing their content, editing concepts,

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<v Speaker 3>and often collaborating with a team of photographers or videographers

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<v Speaker 3>to bring it to life. On top of that, they

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<v Speaker 3>need to be social media savvy. They need to be

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<v Speaker 3>engaging with their followers, responding to comments, staying ahead of

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<v Speaker 3>the latest trends, and making sure they know what's going on.

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<v Speaker 3>And let's not forget the business side. They not only

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<v Speaker 3>need to negotiate their brand deals, manage legal contracts, and

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<v Speaker 3>dive into the analytics, but they also have to manage

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<v Speaker 3>their tax and subranuation and any other small business feature

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<v Speaker 3>that they've got going on. It's a role that demands creativity,

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<v Speaker 3>some business smarts, and a whole lot of hustle in

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<v Speaker 3>an ever changing digital world. Let's not forget that being

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<v Speaker 3>in the public eye also brings some very significant challenges.

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<v Speaker 3>Every single detail shared online can be and often is,

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<v Speaker 3>dissected and criticized, subjecting influences to arguably some very intense scrutiny.

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<v Speaker 3>This pressure to uphold an arguably flawless image can lead

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<v Speaker 3>to stress and then impact mental health, especially as they

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<v Speaker 3>juggle audience expectations with brand commitments. The constant comparison and

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<v Speaker 3>negative comments can intensify feelings of inadequacy or anxiet, revealing

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<v Speaker 3>that the job is far more challenging than it might

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<v Speaker 3>seem from the shiny exterior and as a legitimate form

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<v Speaker 3>of work, the industry is filled with challenges and risks,

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<v Speaker 3>especially because it's largely unregulated. One of the biggest issues

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<v Speaker 3>is the potential for exploitation, with influences often facing unclear contracts,

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<v Speaker 3>delayed payments, and sometimes no compensation at all. This lack

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<v Speaker 3>of standardization and protection can make it feel difficult for influencers,

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<v Speaker 3>especially those just starting out, to advocate for fair treatment

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<v Speaker 3>and compensation. The industry's lack of strict legal and ethical

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<v Speaker 3>guidelines means influencers must navigate the murky waters of advertising

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<v Speaker 3>standards all on their own. Without clear rules, they risk

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<v Speaker 3>unintentional ethical breaches, which jeopardizes their credibility and their audience's trust,

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<v Speaker 3>or being canceled and losing their entire income, which we've

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<v Speaker 3>seen time and time again online. I know that a

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<v Speaker 3>lot of you are going to listen to this and

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<v Speaker 3>still think that maybe influenceans have it easy. But please

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<v Speaker 3>don't forget. There aren't that many influencers who become successful,

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<v Speaker 3>and I guess they have it my friends. The Saturday

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<v Speaker 3>wrap up of the real story behind how influencers are

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<v Speaker 3>making their cash. It's a wild world full of opportunity,

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<v Speaker 3>but one that also requires a ton of hard work, creativity,

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<v Speaker 3>and resilience that often doesn't get the credit that it's due.

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<v Speaker 3>From brand deals to affiliate marketing, to navigating the highs

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<v Speaker 3>and the lows of being in the public eye, influencers

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<v Speaker 3>are juggling a lot more than just pretty pictures and

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<v Speaker 3>a few hashtags. So next time you're scrolling through your feed,

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<v Speaker 3>remember there's a whole business behind these posts. The advice

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<v Speaker 3>shared on She's on the Money is general in nature

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<v Speaker 3>and does not consider your individual circumstances. She's on the

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<v Speaker 3>Money exists purely for educational purposes and should not be

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<v Speaker 3>relied upon to make an investment or financial decision. If

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<v Speaker 3>you do choose to buy a financial product, read the PDS,

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<v Speaker 3>TMD and obtain appropriate financial advice tailored towards your needs.

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<v Speaker 3>Victoria Divine and She's on the Money are authorized representatives

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<v Speaker 3>of money sherper P, T y L t D A

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<v Speaker 3>seven zero eight afs L four five one two eight

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