Brands and Bloggers: Kid-Friendly Resort And Established Parenting Blogger

by anna on September 2, 2010

Monetizing The Mommyblog, Brands And Bloggers: An ABDPBT View definition in a new window Personal Finance Series

This is the second installment in the latest incarnation of the Monetizing the Mommyblog series on ABDPBT Personal Finance. This Bloggers and Brands Series focuses on content-column pairings — the compensation involved, how the deals are made, and the pros and cons of each deal between a blogger and a brand for a placement within the content column of a blog. Since I don’t want to jeopardize any of these deals, I am striving to maintain strict confidentiality about the identity of both the brands and the bloggers involved in all of these examples, while still making the process and compensation transparent for people who are interested in arranging similar deals for themselves.

Case Two: Kid-Friendly Resort With Established Parenting Blogger

This successful parenting blogger was approached to do a consulting job for a resort company that was looking to make its facilities more kid-friendly in order to target the growing market of parents vacationing with young children. The blogger was already well established in the parenting community and earning money for both her blogging and for work done in a consulting capacity. The resort’s original pitch to this blogger included:

  1. a four day stay at the resort;
  2. air travel, cab fare to and from airports;
  3. food and drink while at resort (resort is all-inclusive); and
  4. one spa treatment while at resort.

The package, based on current market value, is worth between $1500-$2000, and was offered to the parenting blogger in exchange for:

  1. Listening to a 3-hour timeshare presentation and offering critiques on how to make it more appealing for a kid-friendly/parenting audience;
  2. Doing a few on-camera interviews about her experience at the resort (total time spent on this, she told me, was no more than “ten minutes”);
  3. Taking a few sightseeing tours, on which they were filmed for promotional videos; and
  4. Posting a widget for the resort on her blog when she returned from the trip.

Regarding the widget, the blogger agreed to post it within the text of a post on her blog that would be archived, but if they wanted it to appear as a sidebar ad, they would need to purchase it through her advertising network. She also told the resort she was interested in their deal, but that she was used to being paid for her consulting work. Given the fact that this package included other, non-cash income, they negotiated a reduced rate of $1200 for the consulting work, which brought the grand total value for the deal to $2700-$3000 in cash, goods and services when all was said and done, in exchange for four hours of work, one post and posting a widget.

Not bad — just remember to report it and put aside $750 of that $1200 for Uncle Sam.

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{ 3 comments }

1
Kerry September 2, 2010 at 4:56 pm

That person is very, very smart. That’s some good negotiating right there.

2
fairydogmother September 4, 2010 at 12:43 pm

I agree with Kerry, nicely done on the negotiating. One question, though: wouldn’t she be taxed on the value of the travel package as well?

3
anna September 4, 2010 at 12:56 pm

Yes. I was advising she take 25% of the total value of the package (25% of $3000=$750) and set it aside for her quarterlies. Depending on what tax bracket she’s in, she might have to take out more or less than that — especially since the rates are changing this year. But just as a general rule, putting 25% of the total value of income aside is a good way to make sure you’re not hit with an unexpected tax bill that you can’t pay.

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