What is Influencer Marketing? Influencer marketing is a strategy that uses influential contacts who can engage and create high impact conversations with your target customers regarding your brand, product or services.
There’s no denying that influencer marketing is one of the most popular B2C marketing strategies used by marketeers. Whether it is your favourite celebrity on retail window display posters endorsing a new product, or a macro influencer on the side of a retail display unit advertising the latest and most coveted beauty product. It is hard to ignore the impact that influencer marketing has on retail, and the power it has to catapult a brand from zero to 100. 57% of marketeers have budgeted for influencer marketing, making it a top priority for brands.
With this popular marketing strategy in brands paying macro influencers to promote their products, also comes with the challenge for brands to find the right influencers to use to promote their products.
What do we mean by macro influencers and micro influencers?
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Macro influencers are often household names, this includes celebrities such as Kylie Jenner, who has 114.2m followers and charges a mammoth £309,000 per post. However, influencer marketing isn’t just for the Kardashians. Nowadays there are beauty, gaming, fashion and life style influencers, each of these influencers have millions of followers and possess the power to influence a large amount of their follower’s buying habits. However, with the high visibility of promoting a brand through macro influencers comes the high cost of employing them to do so. In 2017, Huda Kattan was named the top Instagram (non-celebrity) influencer with 20.6m followers, Huda who is popular within the Beauty industry charged an eyewatering £14,000 for one Instagram post. Fast forward to 2018, Huda has increased her following by another 6 million. For social media channels like YouTube, the fees are in the 10s of thousands, with some influencers asking £60,000 to feature one product in their video. Where this is an effective way for brands who have a large budget for marketing, it is not feasible for smaller brands to utilise marketing like this as it will eat into the overall profit of the actual product. This is where micro influencers come into the picture.
Micro-influencers are accounts with followers between 1,000 and 100,000 followers. Because micro-influencers have a smaller number of followers, they are able to build a more personal relationship with your target consumer. As a result, this means that their follower engagement rates are higher, as they build more of a community, rather than a following. As the influencer market is relatively new, there are no solid guidelines to how much an influencer will cost your brand. Often micro influencers are seven times more efficient than macro influencers at driving engagement rates at a fraction of the price.
Originally an Instagram term, micro influencers have been known to drive eight times more engagement than celebrities do, due to a more intimate and trusting relationship with followers. Often their followers trust that they have a genuine motive, compared to questioning the opinion of a celebrity, due to the amount of promotional posts that celebrities push. This then decreases the credibility of the product and in some cases goes against the brand's objective of driving sales. Micro influencers are increasingly targeted towards a specific audience; research is needed to be able to choose the correct influencer for your marketing campaign.
Micro influencers are especially cost effective during peak holiday seasons. Try teaming up with a micro influencer and promoting them on your in-store marketing campaigns. To those who recognise the influencer, it will create a purchase based on recommendation by a person they trust and believe in. Whereas to the general public who may not recognise the influencer – they will simply appear as a model promoting the product – meaning you won’t be limiting your campaign to those who recognise the influencer.
Whether you utilise influencer marketing or not, make sure that you team up your campaigns with point of sale marketing materials such as a FSDU (Free stand display unit) with your influencer marketing campaign on.