Influencer Marketing: A Viable Vertical
To obtain information about including hard statistics about the influencer marketing industry, growth in the industry, and the efficacy of using influencers compared to traditional channels. This will be used to assure potential clients that investing in marketing spend in influencer marketing is worthwhile, using evidence-based data.
Influencer market industry
- Average firms that use influencer marketing earn on average $5.20 per dollar that they spent on influencer marketing while other business might earn up to $18 in media value per dollar spent.
- 25% of business lose or merely break even because of poor choices in influencers for their target market. The key is to use the services of influencers who can relate to the target market.
- The influencer marketing industry has grown from $1.7 billion in 2016 to $4.6 billion in 2018.
- In 2019, it was worth $8 billion and is expected to value up to $15 billion by 2022.
- While influencers use multiple platforms for marketing, Instagram seems to be the most attractive for influencers (79%), followed by Facebook (46%), and YouTube (36%).
- They can be used for targeted reach as well as niche brands.
- Influencer marketing is currently being used by brands such as Coca-Cola, Calvin Klein, Old Spice, and KFC.
- With the help of influencer marketing campaigns such as #ThisOnesFor, Coca Cola has gained 7.8% in average rate of engagement along with 173,000 likes and over 1,500 comments.
- One of the key influencers had up to 1.3 million followers (Poppy Deyes) while the lowest being 26,000 followers (Alex Decunha).
- Relatively young companies that have successfully used influencer marketing campaigns to reach a large audience include Banza, ButcherBox, Glossier, Leesa and MVMT. These brands all gained trust from consumers/customers with the help of the social media influencers that worked with them.
Influencer Marketing Success Metrics
- Influencer marketing success is mainly measured by audience engagement according to 89% of the industry professionals.
- Success metrics might include engagement, impressions, brand awareness, clicks, conversions, product sales, and audience alignment among others.
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