If you have heard of influencer marketing but have yet to test it out for yourself, you are in for a treat. Working with influencers brings a new level of connection with consumer connection, and demands a whole new approach to marketing relationships on the whole. What once was an industry that swam in exorbitantly priced billboards and fancy design firms now seeks to build a foundation based on trust, authentic relationships, and customer engagement. We have entered a new era in society, and a new era in business, branding, advertising and marketing. Slapping together a few ads no longer makes the cut, so what does compel consumers to buy from brands?
Influencer marketing in itself is proving profitable; a McKinsey study from 2014 reported that the average ROI for every $1 spent on influencer marketing was $6.85. That number skyrocketed to $9.60 in 2015. We see new trends emerge within this exciting niche. It’s worth approaching your next influencer marketing campaign with an uber niche strategy using some of the upcoming trends.
4 Influencer Marketing Trends Shaping the Industry
1. The Brand Content-Creator Influencer
An in-house or external advertising firm is very Mad Men 1955. These advertising firms thrived through the 1990’s and into the early 2000’s, but as UGC (User-generated content) rivaled advertising firm content, advertisers have become more and more obsolete. It’s not that advertising companies are no longer worth their weight in gold, but advertisers, marketers, and brands are now wising up and taking advantage of user-generated content because of its niche targeting and intimate connection with consumers.
Think of it this way: influencers are people just like you and me, creating exceptional content on social media platforms. They become experts within their niche, which cultivates a foundation with a loyal, trusting, engaged audience. These are potential consumers with whom brands want to connect.
Brands no longer need to hire advertising agencies to do their bidding. They can cut out the middleman and go straight to expert content creators – marketers and advertisers in their own right – the influencers.
2. Industry Arbitrage No More
Influencers are a hot commodity. They are worth their weight in gold and companies can expect an increase in influencer price tags in months to come. Until recently the sheer number of influencers far outnumbered brands seeking influencer services. Now that companies have caught on to the influencer marketing return on investment, they are signing up in droves. Influencer fees are going up, folks, so get in while the getting is good.
3. Social Trends Drive Influencer Strategy
Influencers keep up with the trends – they are social media marketers. One of the biggest trends we are seeing is a move towards video and live streaming. As influencers create and post more video-focused content, and their audiences eat it up, influencer campaigns will follow suit to maximize ROI.
4. Influencer Agencies Running Point on Campaigns
Influencers are expert content creators. Brands do what they do best and know their company and target market. Influencer marketing agencies, unlike the former and the latter, are experts on the bigger picture of everything influencer-related. Brands can partner with influencers directly, but more and more influencer marketing agencies are taking the lead. Here are a few of the reasons why:
- Agencies have built-in personal, intimate relationships with influencers
- Agencies manage the gritty details that can squash campaigns before they begin:
- influencer compensation
- express contract details
- well-thought out pre-and-post campaign expectations
- manage campaign metrics; before, during, and after the campaign
- agency fees are nearly always part of the campaign budget
If you’re ready to get ahead of the market trends and boost your business through an influencer campaign, reach out to us today.