These days, most consumers are a lot more demanding and smarter than they used to be. Mostly this is because of the digital environment we live in. Additionally, given the fact that most paid advertising efforts and public relations have become a lot more expensive for companies, and in many cases perform worse than they used to in the past, a lot of companies of all shapes and sizes have started turning to influencer marketing efforts to generate more exposure and reach their target audiences.
This new change makes a lot of sense in theory. Consumers tend to put a lot of trust in their social circles compared to how much they trust branded messages. That means, if a company can persuade influencers to conduct a public relations and marketing campaign on behalf of the business and its solutions, it can increase the credibility of the brand, and potentially convert a lot more people.
Influencer marketing is a type of marketing effort that companies can use. It is focused on utilizing industry leaders and people with high numbers of followers on social media platforms. They promote a company and its branded messages or its solutions to a broader market. Instead of simply selling to a big audience, companies get the opportunity to work with influencers. They also get to pay digital influencers to promote the company and connect with customers.
As previously mentioned, customers these days tend to be more inclined to act and make purchasing decisions based on the recommendations and suggestions that they receive from their peers. This includes influencers they follow and various social media platforms. That’s why many influencer marketing campaigns tend to happen across social media platforms, or through content marketing efforts. If a company and an influencer both want to achieve more success, they must create high-quality content for their audiences. In fact, according to recent research, for every dollar a company invests in influencer marketing campaigns, it generates around seven dollars in return on investment.
Influencer marketing campaigns tend to generate incredibly positive results for companies that operate in the direct-to-consumer (D2C) industry. This is because most consumers in the market tend to rely on details and empathy when making purchasing decisions. However, in the business-to-business (B2B) market, a lot of customers tend to base their purchasing decisions on the personal encounters that they have with various influencers in the industry. This means that they are looking to get the same degree of connection and similar access in their professional lives too. That means if a company is looking to achieve more success through influencer marketing campaigns, it’s important to figure out innovative ways to target the people that already have a lot of industry knowledge, and a big reach in the market to influence potential customers.