Is Influencer Marketing Really Worth It?

Businesses face an ever-evolving challenge: how to effectively market their services and products to an audience that is constantly bombarded with content and advertisements in real-time.

You want to spend your marketing budget wisely, not whittle it away on avenues that bring very little return.

The issue is that today’s tech-savvy consumers are increasingly drawn to what some would consider more authentic and relatable content. The rise of social media has certainly contributed to this shift and has created a new frontier for marketers, in the form of “influencer marketing”.

But is it really worth the hype and (sometimes hefty) investment for businesses? Is it ultimately an attractive solution or a fad that needs flushing?

What is Influencer Marketing?

Influencer marketing is when businesses collaborate with individuals who typically have a following of prospective customers on their social media platforms. The influencers advertise the company’s services or products to their hundreds, thousands, or even millions of followers in exchange for payment or experiences, gifted products and services.

The partnership between brand and influencer can ultimately help to increase brand awareness for your business as the influencer can tap into a pre-existing, engaged audience using their already established authenticity and credibility garnered through their channel.

By regularly posting content and engaging with their followers, they can gain their audience’s trust, making their recommendations more persuasive than other forms of more traditional marketing.

And it’s not just B2C companies utilising this strategy in their marketing. B2B companies are also realising the value of partnering with influencers for marketing purposes, with influencer marketing budgets predicted to increase by 20% in 2024. So if it’s not just a fad, what are some of the benefits of adding influencer marketing to your marketing strategy?

The Benefits of Influencer Marketing 

While influencer marketing can come with its fair share of challenges, it can be extremely beneficial to businesses when executed well. If you’re thinking about incorporating influencer marketing into your marketing strategy, here are some key points to consider:

1. Reach and Authenticity

Influencers often have a genuinely engaged and loyal following, with 72% of Gen Z and Millennials following influencers on social media. This can make them a highly valuable asset for reaching your target audience, even more so if they align with your brand values. When a collaboration between a business and an influencer is authentic, the marketing message can resonate on a deeper level with potential customers. But be sure to do your research on any potential influencer you might choose to work with and look further than just their follower count. An influencer with a high number of followers can still have a low engagement rate, or their followers may not be the target audience you’re looking for. It’s better to partner with someone with a high level of engagement but fewer followers than the other way around.

2. Social Proof & Exposure

Influencer endorsements serve as powerful social proof. When someone whom consumers trust and admire endorses a service or product, it can significantly influence their buying decisions, which can, in turn, elevate your brand’s visibility. With influencers actively promoting your services or products, you can extend your reach beyond what traditional advertising alone can achieve.

3. Creativity and Content

When creating content for your social channels yourself, it can be difficult to keep up on top of current trends. Businesses that do this well have whole teams dedicated to content production. If you’re unable to do this and fall behind the curve, you can risk your content feeling outdated. Influencers are ultimately content creators, and their ability to craft compelling stories and visually appealing content can breathe new life into your brand’s image. Your service, product or business itself can reach a wider audience whilst staying in the loop with social movements.

4. Audience Insights

Collaborating with influencers can provide valuable insights into your target audience and how they interact with your services or products. This can lead to future sales, increased customer loyalty, and the opportunity to address any concerns that may arise from your products. By understanding your audience better, you can refine your marketing strategies and focus on a more customer-centric approach, helping to drive long-term success for your business.

How to choose the right influencer

Influencer marketing is not a one-size-fits-all solution, and its success can vary from business to business. To decide whether it’s worth the investment for you and your business, here are 3 things you’ll want to consider:

• Your target audience – an influencer may have a hefty social media following, but that doesn’t necessarily mean those followers are your intended audience. Be sure to choose an influencer whose followers are similar to your target audience and who has good levels of engagement within their community.
• The right influencer – cheaper isn’t always better in the world of influencing, so be sure to prioritise partnering with someone who aligns with your brand values and isn’t just interested in the financial benefits. Make sure their communication style and personality suit your brand and that the service or product you’re offering is a good match for their brand. It is also important that the influencer is transparent with their audience about any gifted or paid collaborations. You might think this would only reflect badly on them, but dishonesty relating to this can unfortunately come back to bite you too. Without full transparency, you could find your brand image being tainted, along with a loss of trust in your service or product.
• The right channel – if your target audience is more active on Facebook, there is little point in working with an influencer with a high TikTok following who isn’t active on Facebook. It may seem like a good idea to use an influencer to help you gain more customers from another social platform, but this is a risky move with no guaranteed reward. Instead, focus on your target audience and the channel they engage most with, even if it is not as expected.

So, is influencer marketing worth the hype? The answer to this will ultimately be different for every business. While it can certainly be a challenging place to navigate, when used effectively, it has the potential to drive brand growth, build strong customer relationships and generate a substantial return on investment for businesses that are willing to embrace this new, modern approach to outreach and marketing.

Need help with your marketing?

STORY22 help businesses set a clear marketing strategy to achieve their goals. They can support you with a range of marketing services, including Pay-per-Click advertising, Email marketing, Website Development, Social Media Management, Search Engine Optimisation (SEO) and StoryBrand Copywriting, all of which are proven to increase your reach and grow your brand. Find out more about STORY22 here.