Brands are starting to take influencer marketing more seriously: According to a study from Yahoo, nearly 60 percent of marketers plan to increase their influencer marketing budgets in the next 12 months. Despite the maturation of the industry and the proven return on investment of influencer marketing, there are many skeptics who aren’t convinced.
A report from Yahoo provides insights into the how and why influencer marketing works, along with some best practices for teaming up with influencers online.
Influencer marketing is perhaps the most effective way to engage with millennial consumers, many of whom view their personal brand is the most important brand. These consumers look to brands to make them better and will be loyal to brands with strong personalities. For millennial influencers, seeking out and sharing original content is a big part of the personal brand development.
With 40 percent of surveyed users between the ages of 13 and 20 saying they would be more interested in a brand that partnered with an internet celebrity, marketers are turning to social media influencers to gain the respect and attention of young online consumers. To that end, influencer marketing has become a powerful tool for promoting content and launch new products using the authority of passionate online experts and creative talents.
According to Yahoo, one out of three internet users are social creators. There are three main types of influencers: the newbies, the rising stars and the socialites. The rising stars represent 61 percent of the social creator class and, while they average just under 800 followers, rising stars have the potential to reach more than 12 billion people online.
For brands, the rising stars and socialites are the best influencers to work with because they have a solid foundation and engaged following. Newbies may mention brands, but their audiences are usually smaller and less loyal compared to established social creators. Ultimately, Yahoo recommends working with established and emerging talent, making the relationship mutually beneficial and allowing them creative freedom.
Check out the full report from Yahoo for more details on what makes each type of influencer special, how to approach them and for case studies outlining best practices.