Ronece Chetty 2021/09/06
According to a study by InfluencerDB, there are already over 500 000 active influencers on Instagram with followings ranging from 15 000 to 100 000. Influencer marketing has been shown to be effective for brands seeking to gain recognition, credibility, and consumer trust.
There is no denying the effectiveness of Influencer marketing at this point. I’ve compiled a list of the top 13 business benefits of influencer marketing, so whether you just want to learn more about influencer marketing or you’re looking to grow your business through influencer marketing, this one’s for you.
1. Influencers increase brand awareness
- Creating and growing brand awareness is the first step to increasing sales in your brand.
- It is critical as to determining the success of your business by paving the way to greater heights, new leads and conversions. It also allows you to secure your position in the market.
- Through influencers and content creators, social media users can learn more about your brand, your motive/story and about the products or services you offer.
2. Expand your reach
- Influencer marketing is currently considered one of the most effective ways of growing a brand’s reach.
- A greater reach means more opportunities for people to see the content, which means a better chance of spreading brand awareness.
- By collaborating with the right influencers, marketers can create highly effective influencer campaigns that reach millions of consumers.
To increase your influence through influencers, you must run the right type of campaign, such as sponsored posts, branded content creation, brand rep programs, and giveaway contests.
3. Builds trust and gains credibility
This new form of marketing, called influencer marketing, encourages consumers to share information on your business’ behalf.
- Since influencers are also consumers, your target audience is more likely to find the information shared trustworthy.
- Your brand is also able to gain instant credibility through the content that an influencer creates.
- Building trust, authority, and credibility is critical in today’s business world. Consumers are unable to develop brand loyalty in the absence of it. You must reach out to influencers in a way that fosters trust and long-term relationships.
4. Influencers effortlessly reach your target audience and drive purchasing decisions.
- Point blank, influencers who mention your brand on social media drive more sales.
- Because consumers spend so much time on social media every day, many of them have turned to influencers for advice on which products and services to buy. Many people, I’ve discovered, trust people more than brands and marketers.
- Through influencers, your business will be able to receive more positive reviews, other than getting random reviews elsewhere.
5. Influencers connect your brand to Millennial and Gen Z consumers
Today’s largest consumer generation is a true digital native: Gen Z, also known as “Zoomers,” who were born between 1995 and 2010.
Gen Z consumers account for nearly a third of the US population and $29 billion in direct spending.
Furthermore, 93 percent of parents say their Gen Z children influence household purchasing decisions. As a result, marketing to Gen Z consumers should be a top priority right now!
According to statistics:
- 67% of Gen Z prefer seeing real people in advertisements
- 72% of Gen Z and Millennials follow influencers
- 73% of Gen Z consumers read or watch reviews before purchasing a product or service.
This proves that Gen Z consumers trust influencer recommendations, and prefer to see more authentic content from real people. Meaning that you would have to partner with influencers who have active, relevant and target Gen Z audiences.
6. Influencer relationships
“What we really need is a mindset shift that will make us relevant to today’s consumers, a mindset shift from ‘telling & selling’ to building relationships. – Jim Stengel
- An influencer campaign is about more than just sales; it is also about developing long-term relationships. You can achieve the best marketing results with your partnership if you have an established relationship. Allow your influencers to be creative; it is critical for influencers to maintain their authenticity (which in turn, will give your brand credibility).
- Having a good relationship will help you stand out from the crowd. Which shows the influencer that you value and respect them and their time. As a result, the influencer will be more engaged with your brand and make sure that you generate maximum results.
7. Influencers set trends
- Influencers are thought leaders who generate conversations, drive engagement and set trends amongst a receptive audience, which makes them a good choice for brands who look for new ways to reach their target market and generate sales.
- They are also able to break through the noise of traditional marketing and spread a brand’s message to the intended audience in a more authentic, natural way.
- They are known for setting trends, always finding new ways to create content, and marketing products and services.
8. Influencers are great for lead generation
Lead generation is the process of finding or identifying such people who would be interested in becoming your customers.
- Instagram has over 1 billion monthly active users. This carries a great potential for lead generation.
- Influencer marketing through Instagram is a popular lead generation strategy used by many brands today. You can collaborate with influencers on Instagram and generate leads using reviews, giveaways, discounts, and even Instagram Stories.
- Influencer marketing can be an incredibly powerful lead generation tool. It can motivate and inspire your audience to connect with you organically.
9. Save money (compared to traditional ads)
One of the many problems that brands face with traditional marketing is constantly having to spend money.
- Contrarily, an influencer will generally charge you a flat fee for each post created, or you can get something posted in exchange for a product or service.
- There are many ways to compensate an influencer, and so you generally don’t have to pay for every eyeball or click that lands on your website.
Keep in mind that social media posts always travel beyond the influencers normal audience.
10. Generate true sales and gain ROI
On average, businesses earn $5.20 for every dollar spent on influencer marketing.
- One of the reasons that ROI on influencer marketing is so high is because it helps generate demand for a product.
- Often, influencer marketing programs can be financed at low rates through marketing companies.
- Some businesses also run their own influencer marketing campaigns, such as offering incentives to existing customers to share reviews, or inviting bloggers and content creators to feature their products in exchange for a small commission.
- The costs of influencer marketing are generally low, but because this type of advertising is so effective, the return on investment can be huge.
Influencer marketing’s continued growth has proven to be beneficial for both brands and influencers, so keep this in mind as you consider the advantages of influencer marketing… When you work with the right influencer (someone who has a relationship with your target audience), you can reap the benefits of influencer marketing almost immediately.
As long as you launch a good, strategic campaign that targets the right audience with the right content, the benefits of influencer marketing usually outweigh the costs. Additionally, when Influencer Marketing is done correctly, it can propel your product to the top of your customers’ minds.
Read more about Influencer Marketing.