Influencer marketing is not a flash in the pan like many other fleeting trends in the digital marketing industry. It’s now a certified pillar of the marketing mix, and brands that fail to get with the program will find themselves behind the curve before long.
There are many factors that play into the rise of influencer marketing, and today we’re going to examine the reasons why you need to supercharge your strategies to make the most of this important development.
We’ll also throw in a few tips for how to maximize ROI on your influencer marketing spend, and point out some common mistakes to avoid in the process. Let’s get into it.
Budgets Are On the Rise
The most reliable metric to gauge the popularity and effectiveness of a marketing trend is to simply look at the numbers. How much are brands spending on influencer marketing, and what are they getting in return for their efforts?
According to stats gathered by the Digital Marketing Institute, the influencer marketing industry is on a rapid upward trend in terms of growth, with no signs of slowing anytime soon.
From a market value of $2 billion in 2017, the industry has expanded by over five times in less than three years, surpassing $10 billion in 2020.
This doesn’t just account for the money flowing between marketers, influencers, and audiences, but also includes the development of analytics tools and software used to scale campaigns to unseen levels.
More than two-thirds (67%) of digital marketers have stated their intention to increase their influencer marketing budgets in the coming years, and with an average annual spend between $25,000 and $50,000. That’s no small chunk of change.
In terms of ROI, influencer marketing is a sweet deal, especially when compared to the typical marketing tactics that take up most of the budget.
A Tomson study revealed that for every dollar spent on influencer marketing campaigns, businesses earned an average of $6.50. The top 10% of companies earned around $20 on the dollar. With returns like that, it’s no wonder why so many brands are hopping on the influencer marketing bandwagon.
Traditional Tactics Are Dying Out
We all have fond memories of classic ad campaigns featuring our favorite athletes and celebrities. Whether they were selling shoes, burgers, or car insurance, it didn’t matter. Their presence was enough to capture our attention and keep that brand in mind forever.
Times have changed, however, and while celeb endorsements are still effective, they are taking a back seat to influencer marketing for a few key reasons.
First of all, we’ve seen a significant decline in the level of trust the public has for traditional forms of advertising, largely due to the rise of the web and social media.
Younger generations are far less likely to be persuaded by TV ads, and that’s if they ever flip on the TV in the first place. The “cord-cutting” generation is a real thing, and the web has far outpaced television in terms of popularity.
Paid web advertisements also don’t hold as much power as they once, did. According to Influencer Marketing Hub, 45% of North Americans use adblocker software on their browsers, meaning nearly half your ad spend may be going to waste.
On the other hand, people follow influencers religiously and hang on their every word, whether it’s on the subject of fitness, fashion, finance, cooking, or travel.
Online users are far more likely to take recommendations seriously from their preferred influencers, which explains why these tactics are so profitable and widespread.
There is massive social leverage at play on social media, and those who follow influencers in a certain niche want to be up on the latest trends they see online. As Millenials and Gen Z grow up, the profitability of influencer marketing will only increase further.
Channels and Platforms Are Diversifying
When influencer marketing comes to mind, your vision of the concept may be a bit outdated. That’s to be expected, since the industry is moving faster than ever before, and it’s tough to keep up.
Instagram is the platform that currently dominates the influencer marketing space, but YouTube, Facebook, and Twitter are not far behind. We’re also seeing a bigger mix of content types, including stories, video, live streams, and traditional image-based posts.
Rather than putting all your eggs in one basket, branch out across a range of different platforms and content formats to see what brings you the best response from audiences. You never know which avenue will be most profitable, and a bit of trial and error can go a long way.
According to info from Big Commerce, marketers need to focus on the fundamentals, which include content quality, audience targeting, engagement rates, and on-brand messaging.
All of the classic marketing principles apply to influencer marketing, so don’t overcomplicate things. Your calculated risks will pay off if you stick to the basics while embracing new platforms.
Guest Posting Still Reigns Supreme
A common pitfall for those new to influencer marketing is biting off more than you can chew. Rather than partnering with a dozen different personalities and juggling campaigns left and right, it’s better to start small and master one platform at a time.
It’s easy to get stuck in the weeds when first navigating the world of influencer marketing, with so many possible avenues to take in terms of potential partners, platforms, and campaigns.
For these reasons, guest posting on personality-driven blogs is still a tried and true method of influencer marketing that will never die.
Guest posts allow you to convey bigger ideas to audiences and convert more interested readers than you might expect from a series of Instagram posts or Tweets.
The format allows you to demonstrate your authority on specific topics and connect with users in a real way that may otherwise be ignored in the fast-paced world of social media.
Polish up your guest posting capabilities and you’ll see your audiences expand slowly but surely over time, and earn quality backlinks that will also boost your rankings in search.
Conclusion
The advantages of influencer marketing far outweigh the negatives, and there are countless ways to make these strategies work in your favor.
Go heavy on research and discovery to find key influencers in your niche, form strong partnerships, and execute the campaigns you think will bring you the best results.
Whether you follow the blueprints laid out by marketing experts online, hire an agency to guide you through the process, or set out on your own to create an original plan, the key is that you get in the game as soon as possible.
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