Social media has all the hype in today’s world. This growing popularity is making businesses adopt modern marketing trends. One such trend quickly gaining momentum is influencer marketing. This strategy means leveraging social media influencers to promote your products. Around 47% of Australian brands spend more than 10,000 AUD a year on influencer marketing. Even the top eleven per cent surpass 500,000 AUD in spending on influencers.
Let’s talk about the influencer marketing benefits, so you know why it matters that much for businesses nowadays.
Top Reasons for Influencer Marketing Hype
This marketing strategy has a massive impact on your overall marketing campaigns. Let’s discuss influencer marketing benefits to explore it in real time.
Saves You Money
First things first, one of the influencer marketing benefits is that it saves you money. Let’s put it into numbers. According to a survey, 89% of marketers gauge influencer marketing as comparable to or more powerful than other forms of digital marketing.
On top of that, ad production costs for traditional digital marketing channels are much higher. You need to hire photographers, videographers, editors, and scriptwriters to create an ad. This isn’t the case with influencer marketing.
Considering all these factors, if we compare ROAS (return on ad spent) for both these methods, influencer marketing takes the lead. Influencer marketing offers an average ROAS of USD 3.35 on every dollar spent. On the other hand, Instagram, Facebook, and TikTok provide USD 2.87, USD 1.8, and USD 2.5, respectively, for the same dollar spent.
That’s not the only benefit of influencer marketing. Influencers provide User Generated Content, which gets more traction than other methods as buyers trust such content. According to Forbes, ads based on user-generated content have 50% lower cost-per-click and four times higher click-through rates compared to average ads.
All you need to do is contact the influencer and provide them access to your services, such as products, articles, or video guides. In return, they will promote your products to their loyal audience, increasing your website visibility and conversions.
According to Harvard Business Review, a 1% increase in influencer spending can increase brand engagement by 0.46 per cent. And if brands optimise their strategies, this engagement percentage can go to 16.6%. This shows that the financial compensation provided by influencer marketing is way more than the initial investment.
Adds Personalisation
Personalisation is the key to turning visitors into your customers. And influencer marketing brings that personal touch to your products. Social media influencers endorse your products or services, making the audience perceive it as a genuine recommendation from someone they trust.
It’s like getting a suggestion from a friend rather than encountering a generic ad. The promotion doesn’t look like sales and helps you gain the trust of the desired audience. This personalisation fosters a stronger connection between your brand and the audience, enhancing the effectiveness of your marketing efforts.
Easy to Track and Analyse
One of the major benefits of influencer marketing is that it’s easy to track and analyse. Traditional marketing methods make it murky to analyse the effectiveness of your marketing efforts. In contrast, digital platforms offer insights and clear metrics for influencer campaigns.
You can easily track engagement, click-through rates, and conversion data in real time. This helps you measure the success of your campaign. You also get valuable insights into your concerned audience’s behaviour. Hence, you can refine your overall strategies, understand what works best, and optimise future collaborations for maximum impact.
Improves SEO Ranking
Influencer marketing makes a positive impression on the audience and also on search engines. It’s simple – influencers create content linking to your website or mention your brand – adding valuable backlinks. Search engines love these endorsements, seeing them as a vote of confidence in your credibility.
The more quality backlinks you get, the higher your website’s search engine rankings climb. It’s like giving your digital presence a turbo boost. This makes it easier for potential customers to find you amidst the digital noise. You see more website traffic and an increase in your sales. However, avoid overdoing it, as Google might penalise you for it.
Helps Make New Customers
The influencer marketing benefits are countless, and one of them is aiding you in making new customers. Influencers who pick your brand for promotion have the idea that their audience resonates well with your product. It means promotion will go smoothly, giving you better ROI. It not only brings conversions but also introduces your product to the potential target audience, building your customer base.
51% of marketers say influencer marketing helped them acquire better customers. It’s your chance to convert interest into loyal customers. Influencers endorse your products and introduce your brand to their audience.
They share positive reviews that help build people’s trust, which is another one of the influencer marketing benefits. It’s like having a friendly referral from a trusted source. This trust translates into more people tending to invest in your products. The result? A growing customer base is made through genuine connections and the persuasive influence of those who believe in your offer.
Promotes Your Brand Through Various Channels
Influencers have all the right tools and technologies that they can use to promote your brand in the best way. They can either share content in the form of reels or stories and posts. Reels offer a quick and entertaining format, perfect for showcasing your brand’s personality. Posts serve as a visual catalogue, giving a more in-depth look at your products or services.
Stories also allow influencers to share real-time updates or behind-the-scenes glimpses of your products. It’s like deploying a versatile team that excels in different areas.
Therefore, influencer marketing benefits ensure your brand message resonates effectively and creatively with potential customers.
On top of that, influencers are usually active across various platforms. So, they can promote your product on all those platforms without any significant increase in cost. In contrast, you need to run separate ads on each social media platform, which are quite expensive.
It’s Your Chance to Target a Specific Niche
Most influencers work in a specific niche, and micro-influencers comprise 47.3% of all influencers. For instance, an influencer may share tips for baby care while the other may guide the audience mums about navigating the life challenges after pregnancy. This is a great way to connect to your target audience, as you only partner with influencers relevant to your field.
Imagine you have a brand that sells organic baby products. You can collaborate with a parenting influencer who shares tips on raising eco-conscious babies. This is a strategic move! How?
The audience, predominantly new parents or parents-to-be, follows influencers for advice on sustainable parenting practices. By partnering with them, you get the chance to promote your products. This will increase the likelihood of a purchase, and you may get new customers.
Tap Into International Markets
Many times, influencers have a fan following that goes above borders. This means by partnering with an influencer, you also get the opportunity to tap into international markets. It is one of the most significant influencer marketing benefits.
Influencers become your brand ambassadors. They speak the language, understand the culture, and can seamlessly integrate your brand into new markets. This enhances your brand visibility and builds diverse connections. You reach out to so many countries, something which wouldn’t have been possible with traditional marketing. That can be a perfect recipe for expanding your business beyond Australia.
Makes You the Trend Setter
What’s better than setting a new trend in the business world? Embracing influencer marketing is your chance to become the trendsetter in your industry. Especially considering that many businesses have yet to tap into this dynamic world.
Being an early adopter of this technology, you can guide others about its potential. Your business will become a pioneer, leading others to recognise the innovation and adaptability that influencer marketing offers.
Influencer Marketing Trends in 2024
All done with influencer marketing benefits? Here are the trends to look for in 2024:
AI Will Take the Lead
AI is impacting every field, and influencer marketing is no exception. Artificial intelligence changes the way businesses interact and employ influencers. The AI algorithms will analyse vast amounts of data. This data serves as the base for identifying influencers with the same audience demographics and engagement patterns.
You can see which influence has the content that perfectly matches your brand’s image. Then, you can use AI chatbots to send quick texts to them and invite them to partner with you.
Combining Influencer Marketing with Affiliate Marketing
The fusion of influencer marketing with affiliate marketing is yet going to be trendy in the coming days. This means influencers won’t only give the product review but also share personalised affiliate links with their audience. And when a follower purchases through that link, the influencer will earn money through a commission. It’s like turning influencers into brand advocates with a direct stake in driving sales.
Challenges in Influencer Marketing
The challenges or disadvantages of influencer marketing are:
It’s Difficult to Find the Right Influencer
Influencer marketing benefits are great indeed. However, finding the right influencer for your brand promotion is a real hassle. You may not find industry-specific influencers or come across someone who doesn’t have the right knowledge. A 2021 report says 56% of brands say it is fairly difficult to find the right agent of influence.
Coming Across Imposters and Fake Activities
In search of the best influencers, you may come across imposters or fake influencers. Some people may pretend to have knowledge and information about a specific niche. While others may gain followers through inorganic or fake activities, scamming you in the name of influencer marketing. This is another big challenge that makes it difficult for you to partner with the right influence agent.
Less Engagement on Sponsored Posts
Another challenge that you may come across is less engagement on sponsored posts. Influencers may fail to curate the post as per your brand preferences or don’t convey the message properly. This means fewer people resonate with your services, and you may not see the desired engagement.
Conclusion
Influencer marketing benefits range from bringing more customers to boosting SEO and tapping into international markets. In addition, you can become a trendsetter by adopting this strategy. In case you are struggling to find the right influencers for your brand, Referwo has you covered. We have a network of credible influencers and connect them with businesses to pave the way for exceptional marketing.
Get in touch with us today to enjoy a result-oriented journey of influencer marketing!
