Influencer marketing is one of the fastest-growing markets to grow customer relationships. At least 55% of marketers believe they get better customers from influencer marketing and 80% report influencer marketing to be effective. Influencers have a direct and indirect impact on brands that creates an increase in brand awareness, social media followers, website traffic, and sales. It can be intimidating if you have not worked with influencers before, but if you want to increase your ROI and build an organic reach, you need an effective influencer strategy to optimize your marketing results.
Influencer marketing is no longer just about celebrities and socialites who are paid to simply hold products and pose for photos. Influencers are authentic, passionate content creators who produce quality content and genuinely engage with their loyal audience. There are a variety of niche industries that include a range of “micro-influencers” with a following from anywhere between 3k-100k followers on their social accounts to “macro-influencers” who have 100k+ followers on social accounts. For the sake of small businesses trying to grow with tight budgets, the most economical way to grow a brand is by partnering with micro-influencers. According to AdWeek, average engagement rates of micro-influencers can be up to 60% higher than the average macro-influencer. These influencers have smaller audiences, but they understand what their audience likes and dislikes, which means your brand can leverage an influencer’s followers to market your product towards your target audience.
Having influencers routinely post about your brand promotes short term and long term ROI. Whereas traditional paid media campaigns involve blatant advertisements that are less likely to be engaged with, influencer marketing involves organic reach with an increase in follower engagement due to the fact that followers often trust the influencer’s credibility. In order for campaigns to be successful, thoughtful research is necessary to collaborate with qualified and proven influencers who consistently post on social media. Though the idea of partnering with influencers seems easy, brands need to have established relationships and connections to partner with relevant talent. There is also the thought of how to achieve ROI, where to find influencers, cost, and time needed to run a successful influencer campaign. Our agency has built strategic partnerships that can connect your brand with influencers who provide quality content that gets the results your brand is looking for.
Harness the power of micro-influencers by spreading your budget across multiple influencers and multiple audiences that can generate broader reach and thoughtful engagement. A rookie mistake in beginning influencer marketing is simply partnering with one influencer and directing all your budget to one collaboration in the hopes their large following will mean an instant boost in ROI. Though it may lead to a slight increase in the short-term, your brand will benefit more from continued, long-term growth. Especially if you are a small business, you need to maximize a variety of channels to gain a wider audience rather than one singular channel. This allows you to directly target consumers who share an interest in what your business has to offer. You can also leverage the content created by influencers to repost on your own social media page and purchase for other use. This can give your brand access to fresh, new content that will create interest on your own page as well. With micro-influencers, you can generate real recommendations and real leads from people that genuinely advocate your product.
If your goal is to generate sales from influencer marketing, you need to find out how many sales have been generated, which will give you a better idea of your ROI. There are a few ways to determine the revenue through affiliate links, Google Analytics, and Promo Codes.
You can generate affiliate links and send them to your influencers. When people will click on these links and make a purchase, you’ll be able to track them. Usually, the influencers receive a commission for every sale that they generate which is a great incentive for them to collaborate with you. These links will also give you an idea of the number of clicks that were made on each link. You’ll even know the average value of your sales and the total number of sales. Based on this, you can find the success of your campaign and also the performance of each influencer.
Google Analytics can also help you track online sales. You can set up an “Event” and see which customers visited your website via the influencers’ posts. This will help you find the ROI of your influencer marketing campaign in terms of sales.
Promo codes are great for tracking the purchases that are generated from a specific influencer. When you create a discount code for an influencer, their followers can use that code upon purchasing to get a discount during a set period of time. When the code is no longer active, you can see how purchases resulted from using that code then calculate your ROI using this information.
In the ever-evolving landscape of technology, social media can become overwhelming at times, and it can be put on the back burner when your focus is on other important aspects of your business. However, social media is a vital tool in helping to grow your business by effectively communicating with current and potential consumers. It has become synonymous with cultivating your brand’s identity and values. Incorporating effective social media campaigns with influencer marketing can scale your business in a short amount of time and you don’t need billions of dollars to do it.