Influencer marketing is fast becoming the superior rival to traditional paid advertising which has long been the popular choice for brands seeking to raise awareness, drive engagement, and boost sales.
The rapid growth of the influencer marketing industry is hard to overlook, soaring from $1.7 billion in 2016 to a hefty $16.4 billion in 2022. With a quarter of marketers currently embracing influencer marketing as their preferred strategy, it begs the question: what are the advantages of influencer marketing for your business? Scroll down to read our thoughts.
The Rise of Social Media
In the digital age, social media has become the go-to information source and guiding force in purchasing decisions. The impact of social media on consumer trends is particularly significant among Gen Z, who make up a vast 1.3 billion social media users worldwide, and 90% of whom report being influenced by social content when making purchases.
It’s looking like social media may well surpass Google as our primary information source. At the Brainstorm Tech conference in 2022, Google’s senior vice president, Prabhakar Raghavan, revealed that young people are increasingly turning to TikTok or Instagram instead of Google when searching for information, such as best lunch spots.
Considering that Gen Z and Millennials account for 25% of the UK’s total retail spend, businesses must adapt their marketing strategies to effectively engage with this target audience and harness the power of social media platforms. This is where influencer marketing comes in.
A growing reliance on social media coincides with a wave of scepticism toward traditional advertising. According to Hubspot, the vast majority of millennials find user-generated content far more convincing than TV or radio ads. Today’s shoppers are more influenced by voices that represent them, whether it be age, race or nationality. Unobtainable celebrity adverts are losing favour as more of us turn to relatable, user-generated content.
Social media influencers have become trusted figures, with a staggering 63% of consumers valuing their opinions about brands over self-promotion by the brands themselves. These telling findings expose the ever-shifting dynamics of consumer trust. To stay ahead of the game, brands should be turning to influencer marketing to connect with consumers in a more genuine and impactful manner.
The data speaks for itself. According to a survey conducted by Statistica, a significant 60% of marketers agree that influencer marketing offers a higher ROI compared to traditional advertising methods. We see this in action over half of consumers surveyed by Meta admitted to being influenced by creators when making a purchase in the past six months. Talk about impact.
While running at a much lower cost, influencer marketing generates a much greater return than traditional marketing. It’s a win-win.
However, the modern consumer is savvy. Shoppers can sniff out anything that feels forced or inauthentic, so brands must strive to create genuine connections with their target demographics through influencer partnerships that make sense!
Whether it’s the likes of the Scottish Rugby Team partnering with Irn Bru, @MrsHinchHome and Flash cleaning spray, or our very own St. Enoch Centre’s use of real Glasgow influencers to generate captivating content, influencers have the power to inject some creativity and consumer interest to drive impressive results for businesses. Engaging with key influencers and leading industry figures is key to building brand awareness and audience engagement. The rapid growth of the influencer marketing industry, coupled with the impact of social media on consumer behaviour, highlights the need for brands to adapt their marketing strategies. Embracing an influencer marketing strategy is the key to thriving in today’s competitive landscape and capturing the hearts of consumers.