4 Core Reasons to Pursue Influencer Marketing in 2022
In recent years, the term “influencer marketing” has characterized the age of social media. The strategy has revolutionized the era of old traditional marketing to such an extent that today it has become the target of vitriol by boomers and has become remarkably popular amongst millennials and Gen Z.
Today influencer marketing is a core element used by companies to market their products to newer generations since young adults are increasingly resistant to corporate rhetoric and biased advertising. In fact, 66% of brands are expected to increase their influencer marketing budgets in 2022. Due to the growing usage of social media to provide and receive recommendations, influencer marketing has shaped the marketing field and become more effective than other conventional types of digital advertising. People have discovered that most company ads cannot be trusted and focus instead on feedback, testimonials and endorsements from social media celebrities. Marketing companies also realized that it’s easier to approach trusted influencers (who we already follow on social platforms) to push their marketing strategies and promote their brand.
Influencer Marketing is not a new concept. It began somewhere in the late 1800s where celebrities and royalties were charged to advertise the goods. But our digital and social media method of influencer marketing has flourished in the last generation and has become overwhelmingly popular recently. Influencer Marketing is a combination of both traditional and modern-day marketing methods. It takes the concept of celebrity endorsement and puts it in a modern-day content-driven marketing strategy.
The key distinction in the case of influencer marketing is that the outcomes of the promotion are partnerships between social influencers. Yet influencer marketing is not just about celebrities. Instead, it circles influencers, many of whom will never be popular in an offline world. Unlike celebrities, influencers are common people who took years and months to build their profile. Just like every field has its own influential people we seek guidance and reviews from, whether it be fashion, photography and gaming, these people post their honest reviews because they know that they do not have to follow any brand rules. These are people who have spent time creating their own identity and building their relationship with their customers; they would instinctively defend their image and the people who trust them.
But what makes it so effective? Let’s take a look!
1) Delivers 11x R.O.I. than other Digital Media
According to a report published by Tomoson, companies that use social media influencers as part of their marketing strategy earn $6.50 for every $1 spent. The strategy, due to it’s unique element of trust is perceived as more authentic and this results in enhanced engagement, and therefore enhanced return on investment.
2) Provides a wider audience:
A study also showed that influencer marketing is the fastest-growing online promotional strategy, smashing other marketing tactics such as affiliate marketing and paid search. When you collaborate with an influencer, it helps you to reach their fans and aside from getting better interaction, the content gains better reach and impressions. According to a study by Linqia, the total reach and impressions generated by social media marketing is far better than traditional marketing.
3) Enhances brand awareness:
Influencer marketing promotes brand awareness which in turns leads to more sales and eventually helps the company to generate better ROI. Influencers with their thousands, and millions of followers can reach the targeted audience in one go which then creates more awareness and engagement among people. Influencers are bringing you in front of a new crowd, which ensures that you get more eligible traffic and better future buyers as the number of viewers multiply the sales of a brand increases. There are several social media outlets to pick from when it comes to influencer marketing strategies. But it is on you to locate where your target audience spends the most time. For example, A study by Mediakix identified that Instagram Is the most preferred social media platform when it comes to business to consumer brands. Influencers are bringing you in front of a new crowd, which ensures that you get more eligible traffic and better future buyers.
For instance, A famous beauty brand, Sephora introduced “beauty insiders” which includes famous influencers all around the world, and they share their honest reviews on Sephora’s website. This leads to more trust in the brand and leads to higher sales.
4) Is cost-effective
Influencer marketing is being one of the most powerful online marketing platforms. The budgets are growing rapidly, and marketers see huge profits. The overwhelming majority of advertisers earn real money from influencer marketing, with the top 13 per cent making $20 or more for every $1 spent. With such returns, budgets will continue to expand in the near future.
Moreover, 22% per cent of companies agree that influencer marketing is the most cost-effective channel to enhance brand awareness. The same percentage was secured by email, while organic search came in third with 19 per cent. Affiliate marketing has done badly, rated by just 2% of advertisers as the most cost-effective.