How Indian Snapchat Influencers Find Brand Deals in Indonesia

The fact that the world is flat doesn’t only apply to the Earth. The internet has made it possible for anyone with a smartphone to be an influencer anywhere.

This is especially true for the many young Indian Snapchat influencers who have recently set their sights on Indonesia and other Southeast Asian nations.

🇮🇳 The Rise of Indian Snapchat Influencers in Indonesia

Snapchat as a platform has a very different character in India than it does in the west. Users there are largely teens and young adults who mostly communicate through images and videos. The platform has a strong emphasis on private messaging, which means that the vast majority of users don’t bother to post public stories.

This is unlike Indonesia, where Snapchat is a prominent player among brands and celebrities. The platform is often characterized by large-scale brand campaigns that frequently feature contests, celebrity endorsements, and promotions.

As such, the character and relationships of the platform are vastly different in Indonesia than in India. It’s for this reason that many Indian influencers have chosen to tap into the Indonesian market for brand deals.

🌏 Why Indonesia?

When Snapchat was launched in 2011, it was geared towards young adults. However, it has morphed into a platform for people of all ages. The diversification began with the introduction of public stories in 2013, which allowed users to share their snaps with the world. What started as a platform for short-lived messages and photos has transformed into a social media powerhouse that attracts 500 million daily users today.

Along with this growth came new audiences. Snapchat has found its way into markets that could never have been predicted, including Indonesia. The Southeast Asian archipelago is home to over 270 million people, making it the largest market for Snapchat in the Asia Pacific region.

According to a report by Statista, Snapchat is the most popular social media platform in the country, outranking Facebook, Instagram, and TikTok. Additionally, 63% of Indonesian users say they use Snapchat daily, compared to 29% of users from other countries.

This popularity has made Snapchat an attractive platform for brands in Indonesia. The country’s leading fast fashion retailer, Cotton Ink, was the first Indonesian brand to run a campaign on Snapchat.

The campaign, which featured a custom geofilter, launched the brand’s spring/summer collection. Since then, many local and global brands have adopted Snapchat as an integral part of their marketing strategy in Indonesia.

🛍️ Brand Deals for Indian Influencers on Snapchat

While Snapchat is a popular app with millions of users in India, the culture of influencer marketing on the platform is very different from Indonesia.

In India, the platform is still predominantly used for private messaging rather than public stories. As such, the vast majority of Indian Snapchat influencers have low follower counts, typically less than 1,000.

It’s difficult for brands to work with influencers who can’t provide return on investment, and so many have turned to Instagram and YouTube for their influencer marketing needs.

This is why many Indian influencers have turned their gaze to the Indonesian market, where Snapchat is a prominent player in influencer marketing.

Many Indian influencers use the Snapchat app to connect with brands that need exposure in the country. They post public stories showcasing the brands and often receive payment through local Indonesian bank accounts.

Some influencers have even set up accounts with local payment services like Gopay and ShopeePay, which allow them to receive money through QR codes.

💸 Payment for Indian Influencers in Indonesia

Brands in Indonesia have a plethora of payment options when it comes to working with influencers, but many prefer using local payment services like Gopay and ShopeePay. This is because these services are more efficient than traditional banking methods, which can incur steep fees and take much longer to process transactions.

Gopay and ShopeePay are popular e-wallets in Indonesia, which allow users to pay for products and services from their smartphones. They are also two of the most popular payment options for Indonesian influencers looking to partner with brands.

These local services allow brands to send money directly to influencers via QR codes, eliminating the need for influencers to have an Indonesian bank account.

This also means that most Indian influencers who are securing brand deals in Indonesia are not taxed on their earnings.

🏦 Taxes for Indian Influencers Working in Indonesia

When it comes to tax policy, India and Indonesia are very different. Under Indonesian law, any revenue generated by a foreign resident working in the country is subject to taxation. This includes income from social media platforms.

However, the implementation of this law is another story.

When it comes to influencer marketing, brands are technically required to withhold income tax from any foreign influencer’s earnings. This means that if an Indian influencer works with an Indonesian brand, the brand is responsible for withholding tax from the payment made to the influencer.

Even if the influencer is not a resident of Indonesia, they are still subject to withholding tax on the income earned while working in the country. This is often 20%, which is much higher than the average 5–10% tax rate in India.

However, the practicalities of actually collecting these taxes can be very difficult for Indonesian brands. Many simply don’t bother, especially if the influencer is using a local payment service like Gopay or ShopeePay.

Since these services allow brands to send money directly to influencers via QR codes, they act as intermediaries that shield the brand from any tax obligations.

While they may technically be liable for withholding taxes on payments sent through these services, many Indonesian brands are willing to take the risk.

🌐 Indian Influencers in International Markets

India is no stranger to international influencer marketing, with many Indian influencers working with brands from all over the world.

Global brands like H&M, L’Oreal, and Nike have all utilized Indian influencers to promote their products and services.

However, there is a notable difference when it comes to the international efforts of Indian influencers working with brands versus those of Indian influencers working with Indian brands.

Companies based in India are often much stricter about the rules of engagement when it comes to influencer marketing, especially with regard to what constitutes a fair bargain.

For example, Indian influencers who work with Indian brands typically require that a deal is made for every post they make on behalf of the brand. If they make multiple posts, they will often require multiple payments for each post.

On the other hand, Indian influencers who work with foreign brands often negotiate a lump sum for a certain number of posts. They then have the freedom to post at will, allowing them to create scarcity and a sense of urgency around their posts.

This creates a win-win situation where the influencer has more control over their content and the brand benefits from the increased exposure.

📰 The Future of Influencer Marketing in Indonesia

According to a report by Statista, the influencer marketing industry in Indonesia is set to grow to $1.6 billion by 2025. This is around 20% of the global market share, making it one of the largest influencer marketing industries in the world.

This growth is fueled by the high engagement rates that influencers in Indonesia have, as well as the increasing number of brands that are recognizing the value of influencer marketing.

The Indonesian influencer marketing industry has been shaped by its unique culture and consumer behavior. According to a study by YouGov, Indonesian consumers are more likely to be influenced by celebrities and social media personalities than by traditional advertising.

This means that influencers in Indonesia need to have a strong personal brand that resonates with their audience.

The report also found that celebrities are the most trusted source of information for Indonesian consumers, followed closely by social media influencers, making them among the most trusted sources of information in the country.

❗ Final Thoughts

The rise of Indian Snapchat influencers in Indonesia is indicative of the dynamic nature of influencer marketing.

As social media platforms evolve and audiences shift, influencers must adapt to new markets in order to remain relevant.

For many Indian Snapchat influencers, this means looking beyond their home market and exploring opportunities in countries like Indonesia, where they can find new audiences and unlock new revenue streams.

As influencer marketing continues to grow in Indonesia, it’s clear that Indian influencers will be at the forefront of this trend.

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