An Instagram Reel is a short-form video that users can create, edit, and share to reach their target audiences on Instagram.
Instagram Reels can be monetized in a few different ways to help bring conversions and profits to your brand. And while Meta continues to experiment with new monetization tools—from bonuses to creator payouts—most of these programs are invite-only and change frequently.
The good news? You don’t need access to Meta’s latest pilot program to make Reels work for your business.
To create this guide, the team at Foursixty spoke with business owners who have real success using Reels to drive revenue.
We’ll pair their insights with our expertise to show you how to make money from Instagram Reels in 2025.
Top Ways to Make Money Off Instagram Reels
There are two main approaches businesses and creators can take to make money from Reels:
- Instagram’s built-in tools. For users in specific regions, Meta may provide bonuses for Reels that get lots of traction. You can also make money from social media subscriptions or product tagging that allows viewers to shop directly from your videos.
- External tools, partnerships, and affiliate marketing . Brands can work together with content creators on paid deals, add links to Reels to create shoppable content, or use Reels to drive traffic to products and services.
It’s worth noting that Meta has started shifting away from the original Instagram Reels Play Bonus Program and is testing a new Performance Bonus program on the Instagram app. The idea is still to reward creators based on how well their content performs.
But there’s no roadmap for exactly how to use Instagram Reels to get these bonuses.
In short: for 2025, there’s no direct way to monetize your Instagram Reels. There’s no button to click to get paid for views. But there are plenty of ways to use Reels to help drive profits for physical and digital products alike.
We’ll focus on the three top Reels monetization strategies in this guide—not on the ones that hinge on Meta’s unpredictable nature.
1. Tag Products Directly in Your Reels
One of the most straightforward ways to make extra money on Instagram is to link to your products in branded content on Reels.
You can do this by adding product tags to your Reels.
Before you begin, make sure you have a Business or Creator Instagram account. You’ll also want to have already connected Instagram to Shopify—or your ecommerce platform of choice—or created an Instagram Shop. You can’t tag products in Reels otherwise.
Tagging products in your Reels is fairly simple:
- Create a new Reel by recording it in the moment or uploading an existing video
- Add a cover image and caption
- Click More options
- Click Tag Products and choose the items (they must be physical products) you want to feature
- Click Done and Share to post your Reel
Keep in mind that Meta reviews every product, and everything you sell must align with Meta’s monetization policies, and specifically Instagram’s. Do a full review of product eligibility beforehand to make sure you don’t run into any roadblocks.
We talked to Sahil Kakkar, CEO and Founder of RankWatch, a digital marketing agency, to get an on-the-ground perspective on linking to products in Reels.
In one campaign for a wellness brand, says Kakkar, “We focused on educational Reels breaking down common myths around supplements in short and snackable segments.” In each Reel, Kakkar’s team linked to one of the brand’s product bundles.
The results were impressive. “Within 60 days, those Reels drove nearly 18% of all direct website traffic” says Kakkar, adding that the top-performing Reel explained the best times to take vitamins.
The Reel was informative without being preachy, and it racked up nearly 80K views. It offered viewers high-quality content, and they responded by engaging with it.
Key takeaways:
- Set up your Instagram Shop first. You can’t tag products in Reels unless your Business or Creator account is connected to an eCommerce platform and has an active Instagram Shop.
- Tagging is part of the upload flow. When posting a Reel, go to More options → Tag Products to feature physical products directly in the video.
- Tagged Reels can boost site traffic. In one campaign, product-tagged Reels generated nearly 18% of direct traffic in just 60 days.
2. Use Reels to Educate and Support Your Audience
As part of our research for this piece, we spoke with several business owners who have boots-on-the-ground experience with monetizing Reels.
One theme came up again and again: the best-performing reels educate the viewer or are genuinely helpful in some way.
One case study that stands out? A successful series of Reels highlighting the value of heavy machinery.
Here’s what we learned when we spoke with Tracie Crites, Chief Marketing Officer of HEAVY Equipment Appraisal, a company that provides appraisals for heavy machinery.
“Even for us, Instagram Reels can contribute to monetization, though it’s not always a direct click-to-buy scenario like a B2C product,” says Crites. Her company’s monetization comes through lead generation that ultimately drives closed deals.
Recently, her team ran a series of Reels focused on the hidden value of specific heavy equipment.
“One Reel showed our appraiser doing a quick walk-around of a large, specialized piece of construction equipment at a client’s site—with permission,” explains Crites.
“The video highlighted specific, often overlooked components that significantly impact the machine’s value, like the condition of the undercarriage or the type of hydraulic system,” she continues. “The appraiser briefly explained why these details matter for an accurate appraisal, which linked the information back to financing or insurance needs.”
The key, according to Crites, was the call to action at the end of the Reel: “Is your specialized equipment accurately valued? Get a complimentary consultation.”
As a result of this single Reel, the HEAVY Equipment Appraisals team saw:
- 25 direct inquiries through Instagram DMs or clicks to the consultation request link in their bio.
- 7 of those inquiries converted into qualified sales leads for the business development team.
- 3 of those qualified leads eventually signed contracts for appraisal services, with a significant contract value.
All within a span of three months.
The Reel, says Crites, attracted hyper-specific, relevant leads that understood the value of the company’s specialized service. A mass audience wasn’t needed for this type of Instagram monetization—just the right one.
Jason Hennessey, CEO of digital marketing agency Hennessey Digital, has also found that genuine helpfulness in Reels drives trust—and leads.
Hennessey decided to try Reels after seeing less engagement on Instagram Stories and posts. “But instead of just trying to sell, we focused on teaching,” says Hennessey. “We made short videos with quick tips, cleared up common myths, and shared client success stories in 15 seconds.”
In one Reel, the team explained a common misunderstanding in their industry. The Reel was shared hundreds of times, doubling the brand’s follower count and causing an uptick in free trial signups.
The trick, according to Hennessey, is to keep the conversion content on Reels simple and focused.
Key takeaways:
- Educational Reels build credibility and trust. Reels that teach, clarify, or provide insight—especially in niche or technical industries—attract high-intent viewers who are more likely to buy.
- Helpful content can drive real leads. A single educational Reel from HEAVY Equipment Appraisal led to 25 inquiries, 7 qualified leads, and 3 signed contracts in just three months.
- Focus on value, not virality. You don’t need a mass audience—targeting the right viewers with relevant, helpful content leads to better business outcomes.
3. Support Products Throughout Their Lifecycle with Reels
Plenty of brands use Reels to support product launches, but Reels can help promote your services or products throughout their entire lifecycle.
In this Reel from Nike—which has garnered a whopping 36.5 million views, which is high even for the athletic gear giant—there’s no obvious product-pushing. All you see is a video of an elite runner, Faith Kipyegon, and her quest to beat the 4-minute mile.
The only Nike product promo is that she’s wearing Nike gear. It’s not necessarily anything new or on sale—just a compelling story tied to the product.
You can do something like this no matter which phase of a product lifecycle you’re in.
Uber-watchable Reels like this can lead your target audience from the discovery phase to the consideration and conversion stages.
Take the experience of Angel Sanchez, owner of Wanderlust Portraits, a boutique photography studio in Orlando.
“Instagram Reels has become an unexpected revenue driver for us in the past two years,” says Sanchez. In 2022, Wanderlust Portraits began consistently posting behind-the-scenes Reels, quick photo editing tutorials, and viral “Disney family reveal” clips.
As a result, “Direct inquiries from Reels skyrocketed—from roughly 1 per month in 2022 to 10-15 per month in 2024,” says Sanchez.
Sanchez highlights one campaign from 2024, when her team collaborated with a local mom influencer on a Disney-themed mini session Reel.
“That video hit over 92,000 views in three days and led to 18 direct bookings, valued at $350–$600 each, driving a return of more than $8,000 on that Reel alone,” explains Sanchez.
The main challenge has been standing out, according to Sanchez. For her brand, niche content—like showing how to pose kids for candids or prepping for theme park shoots—outperforms generic promo every time.
Sanchez also used analytics to refine the CTAs for Wanderlust Portraits’ Reels. “We A/B tested CTAs and discovered that the phrase DM to reserve your spot drives three times more conversions than link-in-bio strategies for our type of service.”
Instagram’s audience insights also helped Sanchez tailor the timing of the Reels to Wanderlust’s core demographic: busy moms planning vacations.
“This precision, paired with authentic content and clear calls to action, made Reels our top growth channel for direct revenue in 2023–2024,” says Sanchez.
Sanchez’s smart take on influencer marketing helped, too.
Key takeaways:
- Reels keep products visible beyond the launch moment. Behind-the-scenes footage, tutorials, and day-in-the-life content help drive steady interest over time.
- Influencer collaborations give niche content a bigger audience. Partnering with relevant creators can help your brand reach the right audience.
- Small tweaks to CTAs can drive major results. A/B testing different calls to action (like “DM to book” vs. “Link in bio”) can significantly improve Reel-driven conversion, especially for service-based businesses.
Bonus tip: Put your best-performing Reels anywhere you want
Your highest-performing Reels don’t need to build a house on Instagram and live there forever.
They can travel—and make an impact—in the places that matter the most to your brand, like your website, product pages, or even your marketing emails.
With Foursixty, you can:
- Sync your Instagram Reels—both brand-created and user-generated content (UGC)—with your Shopify product catalog
- Tag featured products in each Reel to create shoppable videos your customers can engage with instantly
- Embed those Reels in curated galleries across your site, landing pages, or email campaigns
- Monitor performance with click-through and conversion tracking for every Reel
Whether you’re turning UGC into shoppable ads or using Reels to guide purchase decisions, Foursixty helps you bridge the gap between social engagement and sales.
Start your free trial to see how Foursixty can help you monetize Reels and generate money with UGC today.
FAQs
How do you monetize your Reels on Instagram?
Start with a Business or Creator Account and a complete Instagram profile. You can monetize by:
- Tagging products from your online store
- Earning from subscribers
- Using tools to create shoppable videos or ads
- Driving traffic to affiliate links, Amazon, or other platforms like YouTube Shorts and TikTok
- Qualifying for Meta’s invite-only ad revenue bonuses via your Professional Dashboard
How do you qualify for Reels monetization?
To qualify, you need a Professional Account, must follow Meta’s rules, and need to regularly post Reels. Access to bonuses and ad revenue is limited and often invite-only. Beginners should focus on growing engagement and checking their Professional dashboard for insights into how well Reels are performing.
What strategies can increase earnings from Instagram Reels?
You can increase your earnings on Reels in several ways, including:
- Use shoppable Reels to promote your online store
- Sharing educational, high-quality Reels that inform and engage your audience
- Collaborate on brand partnerships or share user-generated content
- Repurpose content across TikTok, YouTube Shorts, and Instagram
