It's also noted that DTC companies that work with influencers are able to create an effective performance metric by sharing a percentage of sales with influencers.
In this way, influencer marketing helps DTC companies generate consumer data from each influencer in terms of what type of activity drives website visits, sign ups, and sales.
Some sales platforms such as Stripe and Shopify have even added data collection tools specifically aimed at DTC and e-commerce brands working with influencers.
DTC brands are more reliant on influencers than other brands, because their reputation is more critical to sales and growth.
For example, brand Glossier gets 80% of their sales from peer-to-peer promotion and discovery.
Because the influencer market has been criticized for being flawed and unregulated, and DTC brands are so reliant on it, brands like Seed, have actually created educational affiliate programs to support influencers in sharing their brand for profit.
Other DTC companies using influencer based marketing strategies are Simba, Away, Simply Cook, Harry’s, Ritual, and Tails.com.
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