Brands everywhere are clamouring for consumers' attention, and consumers are looking for authentic connections with brands – but it can be challenging to stand out in an already crowded digital space. Enter influencer marketing – the wild card in the marketing deck causing a stir and making brands everywhere sit up and take notice.
Influencer marketing as a marketing tactic has skyrocketed, firmly entrenching it in our marketing landscape.
Since 2016, there have been 465% more searches on Google for the phrase 'influencer marketing'.
The number of influencer marketing platforms and agencies has more than doubled in the previous two years, and most businesses intend to increase their spending in this area.
Influencer Marketing has proven to be an effective tactic for businesses to expand their customer base and increase revenue.
Here are a few crucial statistics that illustrate the power of influencer marketing:
- 93% of marketers have incorporated influencer marketing into their overall plan
- While only 38% of people trust branded material, 61% believe influencers' recommendations
- Women make up 84% of Instagram's global influencer population, dominating the influencer marketing game
- An estimated 44% of B2C companies say they will boost their spending on influencer marketing in the future
- The influencer marketing market was valued at $16.4bn in 2022 and is expected to grow to $84.89bn by 2028
- In a survey, 8 out of 10 consumers said they purchased based on an influencer's endorsement
- 72% of marketing professionals agree that influencer-generated content is more effective than branded postings
- 86% of marketers cite expanding brand recognition as a key priority
Putting money into influencer marketing is a good idea for several reasons. However, the primary objective of influencer marketing is to increase brand recognition and build credibility among target audiences.
As influencer marketing continues to grow, we look at key trends shaping how this tactic will evolve over the next few years.
There's been a rise in the importance of audiences keeping up with their favourite content providers across all their channels.
The prevalence of video media is only expected to grow. Short-form videos, like reels, will continue to be the preferred format to showcase your brand's offering
Marketers will increase their efforts to ensure their campaigns are inclusive and show diversity.
As a result of their dedicated fan bases and strong engagement rates, micro and nano-influencers will continue to be favoured brands.
Instead of working with influencers on isolated initiatives and campaigns, brands will build lasting relationships with content creators that align with their brand and target audiences.
TikTok will see an increase in advertising budgets.
Authenticity will be the watchword.
Understanding the magnitude of the creator economy
One further paradigm shift is the rise of the creator economy. Over 50 million content creators, curators, and community builders make up this category of businesses.
Influencers on social media, bloggers and YouTube creators are all included, as are the apps and financial resources created specifically to help them expand their audiences and monetise their content.
There are five significant players:
- Creators /Influencers
Founder of Hustle Media, Cindy Laufs, predicts that 2023 will be a watershed year for influencer marketing and that businesses that don't recognize its potential will be left in the dust.
"At Hustle Media, we're excited to continue to work with brands to create authentic and engaging influencer marketing campaigns that resonate with audiences and reach the brand's KPIs."
Now is the time to start using influencer marketing if you haven't already. Reach out to us, and let's make magic together.