18 Mar The Rise of Influencer Marketing
The Rise of Influencer Marketing
While scrolling through your feed, you might notice a popular media personality showing off the new lipstick she “swears by”. Makeup masters from all over trust her opinion when choosing their new Saturday night lip color. Thus, investing in this influencer to endorse your latest lipstick would create a large reach over the market.
Influencer marketing is one of the most significant and effective digital marketing strategies. Not only can it be one of the cheapest forms of marketing when compared to TV ads and billboards, but it’s a great way to reach your target. A social media influencer is someone who has established credibility with a large following and persuades consumers through their authenticity. While establishing trust and brand awareness with your consumer’s social media, influencers can also increase your company’s overall ROI.
Macro v. Micro Influencers
A macro influencer is someone who has a relatively high number of followers on a specific platform. The number of followers on each platform may differ, for example on Instagram a macro-influencer has anywhere from 50,000 to 300,000 followers whereas on Youtube they could have 1 million followers. On the other hand, Micro influencers have a smaller following that ranges from about 2,000 to 50,000 followers on specific platforms.
When deciding on whether to use a macro or micro influencer as part of your social media strategy, it’s important to identify your company goals. Macro influencers are able to reach large audiences, making it easy to extend over the market. Celebrities are often macro influencers because the majority of their followers are real and there’s a higher level of professionalism. Although, these celebrities don’t work for cheap so they can be pricier than their counterparts.
Using a Micro influencer can give your company the advantage with a specific niche of people. These smaller influencers offer the business less investment, allowing the possibility to work with multiple personalities at once. Unlike macro influencers, the collaboration cost is quite lower making micro influencers more practical for smaller businesses. Compared to the cost of TV ads and billboards, using these media personalities can save your company cash in the long run.
Benefits of influencers
There are many different ways influencer marketing can impact your business. Here are 3 key benefits to using social media influencers in your digital marketing strategy:
- Studies have found that influencer marketing is the fastest way to enhance your e-commerce sales. Users tend to follow who they believe to be experts in certain fields. Therefore, it’s important to choose the right influencer to promote your product. If you are trying to promote the latest workout app, choosing a fitness influencer to promote it as part of their daily workout routine would be valuable to your brand.
- Collaborating with social media influencers can increase your company’s ROI. Companies can expect to make an average of $7.65 for every dollar spent on the influencer. This increase in conversion is due to the fact that 71% of consumers are more likely to purchase something when it is recommended on social media.
- Influencers are trendsetters with the ability to sway the public into buying your product instead of the others. With 45% of teens almost constantly online, these trendsetters have a huge impact on the millennial and Gen Z generations. Therefore, having an influencer promote your product would give it that “cool factor” in your market.
Influencing Gone Wrong
Before you choose to associate your brand name with an influencer, assess the risks. What these influencers do on their time can impact your brand image, both positively and negatively. For example, in 2016, tennis player Maria Sharapova was an influencer for Nike. However, after she tested positive for a recently banned, performance-enhancing drug, Nike let her go as her actions reflected badly on the brand.
Who can forget – what some call the marketing fiasco of the century – the Fyre Festival? This festival was proof of how influencer marketing impacts the public. Getting the top names in pop culture to post an orange square promoting an unverified music festival resulted in 300 million impressions on Instagram in 24 hours. Promised the VIP experience, thousands of people bought tickets which included a private jet, gourmet food, and luxurious villas along the Bahamian coast.
However, instead of private jets, everyone was crammed into coach, the food was a meager cheese sandwich with a side of lettuce, and the villas were actually hurricane tents on a stark, gravel-covered island in the middle of nowhere. If the festival had worked out it could have been extremely successful. Although the Fyre Festival was a complete disaster, the events that took place prove how much trust consumers put into these social media influencers.
The use of an influencer can have a positive impact on your company’s performance. When it comes to deciding whether an influencer is right for your company, The Westmark Group can help. We are committed to delivering expert digital marketing strategies to align with your business goals.