How do you measure the ROI in influencer marketing and why should you do it?
Watch the video or read through!
It is a fact that the influencer movement is changing the marketing industry completely. Nowadays, all the marketing industry talk about is the efficiency of influencer marketing. In the video, Danielly Netto shows some recent statistics.
- Influencer marketing is planned to reach 5 to 10 million dollars in marketing industry in 5 years.
- 90% of the marketers report that they see improved brand awareness whenever they work with influencers.
Traditional social media marketing has never achieved these numbers so far. Moreover, 37% of the consumers block ads. They are not interested in seeing advertisement anymore.
There are many things that influencer marketing can do but traditional marketing can not. One of them is forming long term relationships and authenticity. Influencers have power in business.
There are ways to classify influencers in the marketing industry. One and most common way to categorize them is according to the number of followers. Micro influencers have a stronger relationship with their audience. They contact their followers, they respond to DMs, they respond to comments. Mega influencers, usually celebrities, are not able to do such connection with their followers. They can be also classifed according to their engagement rates and reach capacities.
- Micro influencers have an engagement uplift up to 33%. It’s not much but for small business it is a way to go.
- Macro influencers’ engagement uplift possibility is up to 88%.
- For celebrities it is 2000 percent engagement uplift.
As the engagement uplift increases, the marketing costs a lot of money accordingly. It is all about the return of investment, the business side of influencer marketing.
How to measure ROI for better campaigns?
There are three important things to do:
- Content effectiveness
You can watch the 10-minute YouTube video and learn the details of those three factors on measuring your return of investment.
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