The business and technology world is always changing. As technology advances, generally business does as well. Social media plays a huge role in our lives today and many business’s have found new and unique ways to utilize this for their advantage. Social media has embraced this and has given business owners tools to help them expand their brand recognition, customer contacts and relationships, and sales among many other things. Influencer marketing plays a major role within the social media realm.
As advertising grows in social media, business’s are looking for new and unique ways to market their service or product. Consumers look to fellow consumers to inform them of their purchasing decisions. 92 percent of people trust recommendations from individuals (even if they don’t know them) over brands (source). Instead of looking at companies to sell them on a product, as they did in the past, consumers now look to each other and their favorite personalities, who are amassing huge followings on social media platforms like Instagram, YouTube, Facebook, Snapchat, Pinterest, and other platforms.
For reasons such as these, many believe influencer marketing is the next big thing in marketing and advertising. For companies seeking modern marketing, social media influencer marketing opens up a world of new possibilities. Influencer marketing is still new however. Many companies are timid to the risk of embracing a new marketing strategy. In this article, we will share some intriguing reasons why you need to launch an influencer marketing campaign and strategy as soon as possible.
Ad blockers scan websites for advertising code and prevent them from loading in a browser. 47 percent of online customers use ad block technology (source). It’s no secret that internet users are no strangers to seeking out information they need online. In fact Google processes over 40,000 search queries every second. Advertisers recognized an opportunity to introduce numerous types of different ads (Think; pop-up ads, ppc in search results, auto playing video ads, and the dreaded mobile ad that slows down your device and takes up the entire screen). As a result internet users have began installing ad blocking extensions by the millions and the install base is only growing everyday.
Desktop and laptops have had ad blocking extensions for browsers for some time now. Fairly recently, Apple and Android tablets and phones began employing ad blocking technology. As the tech industry seeks to give users a better experience with their device, advertising has taken a big hit in traditional marketing campaigns. The way to reach consumers is to provide content they want from people they trust.
25 percent of web traffic is driven by Facebook alone. Social is supplanting search for content discovery and Facebook’s 1.5 billion users are helping that happen. Their video play growth is huge, as well. Youtube’s famous user PewDiePie, has nearly 50 million subscribers, and almost 14 billion videos viewed. 8 in 10 of the most influential people for teen audiences are YouTube stars. As that number grows it pushes traditional celebrities further down the list (source).
A recent study by Mckinsey found that “marketing-induced consumer-to-consumer word of mouth generates more than twice the sales of paid advertising.” (source). Of those consumers that were acquired through word of mouth had a 37 percent higher retention rate. There’s no doubt that social media is huge in this day and age. Combining and consolidating the massive followings on social media presents amazing opportunity for brands to leverage the power of word of mouth at very large scales through personalities that consumers already follow and admire.
The term influencer marketing has seen staggering growth. Google classifies the keyword as a “Breakout”, meaning that the keyword is experiencing greater growth than 5000 percent from just a year ago.
Demand for traditional social media marketing is driving up advertising cost. As Facebook became more popular, more marketers started bidding for ad-space, driving up the prices by more than 335 percent in 2014 and diminishing everybody’s ROI.
Influencer marketing is currently seeing growth, the demand is on the rise. However, there is an insurmountable supply of influencers, comparatively the percentage of marketers is currently low. Meaning that the cost of getting an influencer promotion is below its real value, as measured by your ROI.
As more people learn about influencers and their value to their brand, the more people will invest, driving up the price. In 2013, the going rate for a branded Vine that got around 3 million loops was a mere $400. Currently (before Vine closes), a branded Vine with that kind of exposure goes for $10,000-$15,000, and prices are only going up.
There’s no doubt that as we use technology on a daily basis, we are exposed to A LOT of ads. In fact, we see so many that we’re unconsciously tuning them out, known as “banner blindness”. We see so many advertisements per day, a study found that only 14 percent of respondents could recall the last ad they saw and able to identify what was being promoted (source).
In contrast to traditional advertising, which hinders the consumer experience, influencer marketing places brands and products within organic content, which creates a more pleasurable experience for consumers and a more powerful marketing solution for brands. From the stats viewed through this article, it’s obvious that internet users want to learn about a product through content rather than through traditional advertising.
As stated previously, influencer marketing is fairly new, but is on the rise as marketers need to find new strategies to implement their marketing campaigns.
Additionally to building your brand and improving your sales numbers and ROI, influencer marketing also greatly helps search engine and page rankings. The more people that mention your brand on social media, the more popular and relevant you will be on social media. A major way of gaining better page rankings and higher search rankings is offsite and offpage SEO. When your website is linked to by another website, it tells Google that your page has good information that other people want to see or read, which in turn makes Google rank your page better. When an influencer mentions your page in their posts, this helps generate a lot of traffic from their page and from post shares.
For decades, and even today, the advertising industry marketed products and services using traditional strategies like, mail, television, billboards, etc. Many times sales from this data can be considered a shot in the dark at best, providing murky information about audience reach, branding impact, and sales funnel influence.
The digital world is a completely different ecosystem. Every social like, picture or video posted, and website visit can be tracked and analyzed, generating vast amounts of data that translates to valuable insights about your target market and advertising performance.
How to Implement Influencer Marketing
ARCtrinity has studied the market and analytics and can help brands gain exposure within their target market with modern influencer marketing strategies. We team with influencers of all types so we can partner them with companies in different industries, with various budgets. The best time is now to include influencer marketing into your advertising budget as the demand is only going to rise as it gets more recognition. If you are a company, you can visit our contact page to get more information on how we can help implement strategies into your current budget.
If you are an influencer seeking a company that can help you gain clients to utilize your social following, send us a message and tell us a little bit about yourself and your channel(s).