Brands have been working with celebrities for ad spots and endorsements for years now, but today, there are millions of people online who could be considered some kind of star, even if their reach only qualifies them as a “micro-celebrity.”
This culture of celebrity endorsements continues to play a huge role in the modern marketing landscape, especially with the rise of social media platforms, through influencer marketing. The impact of influencer marketing on consumer behavior has not yet been fully realized – but brands have realized that it’s an effective way to drive sales.
In this blog, we’ll discuss how to drive sales through influencer marketing, how usage rates affect the way you work with creators, and, ultimately, how influencer marketing can help you grow your business.
What Are Some Influencer Marketing Strategies?
Developing an influencer marketing strategy is no easy feat.
From tracking down the right content creators, to hoping they’re available, to creating some kind of contract or agreement, to publishing promotional content across channels, there are lots of moving pieces to keep track of. And that’s not even mentioning all the things that go into a marketing campaign!
Luckily, there are a few best practices you can be mindful of. Here are our top 5 tips for implementing influencer marketing:
- Develop an excellent, influencer-driven marketing campaign. It simply doesn’t make sense to work with an influencer if you don’t have a plan for how to use them. While the content specifics can be hashed out with the influencer you choose to work with, having a campaign brief that includes content scope, channels, and timeframe is key to starting off a great partnership.
- Keep your goals and KPIs in mind. Even if changes have to be made throughout the campaign, it is always best practice to have metrics that you are tracking against. For example, X% increase in followers, X% engagement rate, X number of impressions, etc.
- Choose your channels wisely. The list of social media platforms that can be effective influencer marketing channels is constantly growing. However, Instagram is still the preferred social media channel for content creation, with Facebook and TikTok also being favorites.
- Clearly mark sponsored influencer content. It’s important for influencers to be unambiguous about whether their content is organic or paid. The FTC requires influencers to disclose the material connections they have with brands they endorse, so be sure to maintain this standard to avoid legal troubles.
- Track results by influencer. When you are working with multiple influencers, it is important to create different tracking codes for each of them. For example, consider differentiating their designated hashtags or utilizing UTMs (urchin tracking module parameters) in the campaign links, so you can measure performance by creator.
How Can Influencer Marketing Help Grow Your Business?
Now that we’ve covered more about how to effectively work with influencers, let’s discuss what’s really on everyone’s mind. How do you actually drive sales through influencer marketing?
Those new to this space often wonder how brands effectively use influencer marketing to grow their business. Here are a few routes to take to start driving conversions.
- Have influencers review your products. Product reviews are a huge phenomenon in today’s digital advertising landscape and help millions of people with their purchasing decisions. Because consumers trust influencer recommendations much more than brand-produced content, sponsored product reviews have become easy vehicles for promotion.
- Give your influencers exclusive discount codes. With 97% of consumers looking for deals during their shopping, offering a discount code will often push people closer to a purchase. By putting the discount code in the hands of a trusted content creator via affiliate codes, who will be encouraged to drive sales to earn their influencer commission, people are even more likely to click “buy.”
- Run a contest or giveaway. Giveaways are a classic social media marketing strategy. A brand and influencer will partner, agree on a branded item or collection of items to raffle, and create entry rules and a giveaway deadline. Typical contest rules include following the influencer, following the brand, and taking an action such as leaving a comment or tagging a friend, to enter.
What Are Usage Rights For Influencers?
Usage rights are an important concept in influencer marketing, as they define who owns the created content, as well as where and how it can be used.
Generally, usage rights depend on two factors:
- Placement (i.e., where content is distributed)
- Length of time (i.e., when and for how long)
When brands negotiate their rights to influencer content, they can predefine where it can be used and over what timeframe. For example, they may opt to use the content for organic digital advertising (as most do), sponsored content across social media channels, or even in print, TV, or outdoor advertising.
Because of how important usage rates are in defining who owns the content and where it can be used, it has a large effect on the fee that an influencer can charge a brand. The longer and further a brand wants to distribute their content, the more they can charge.
How Effective Is Influencer Marketing?
Influencer marketing has become a crucial way for brands to reach audiences online. It is an incredibly effective tool to build product awareness, increase brand affinity, and drive sales. In fact, 89% of marketers say ROI from influencer marketing is comparable or better than other channels, with a staggering 48% saying it was better than traditional channels.
Not all marketers know how to measure the effectiveness of influencer marketing. However, there are a few ways to track influencer marketing ROI, with most people tracking the metrics of reach, impressions, and engagement rate, by influencer and channel, throughout the duration of a campaign.
How Lionize Can Help With Your Influencer Marketing Strategy
If you’re wondering how to get started with influencer marketing, Lionize can help. Our AI software matches you with great influencers for your brand and streamlines the entire influencer marketing process. Let us help you build your influencer marketing strategy. Book a Discovery Call today.