Digital marketing is always evolving at a rapid pace, making it tricky for agencies to stay on top of the latest client demands. With the uptick in interest in influencer marketing, it’s a no brainer for agencies to add the service to their arsenal. Influencer marketing can be used for brand awareness or for sales, and can easily tie into a client’s existing affiliate, paid, and ambassador campaigns – often modernizing those strategies by building on top of traditional blogging tactics by layering social media influencers on top of them. Here are some ways that influencer marketing can strengthen your agency’s offering.
Flexibility: Given the flexibility offered by influencer marketing in terms of types of creators, potential partnership types, and budgets, it’s the perfect addition to any service offering. Larger brands might opt for celebrity product collaborations and ambassadorships, while smaller brands might go for the micro and nano-influencer route, allowing them to get promoted for low rates or even just product exchanges and affiliate deals.
Mediakix’s annual report on influencer marketing trends highlights this variability in budgets. The most popular budgets for influencer marketing are between $1,000 to $10,000 and $100,000 to $500,000 annually, highlighting the range of potential brands and strategies that are perfectly suited to it. We’ve found combining influencer marketing with paid social advertising to be the strongest method of scaling ROAS, with the brand testing various influencers to find the best content creators and best audiences, and then combining them with larger ad spend to yield results. Regardless of size, strategy, or experience, there is a form of influencer marketing that proves itself a good fit for any brand client.
High Return on Ad Spend: Digital advertising costs have soared in recent years, with the trailing twelve months showing a 30% increase in Facebook ads costs alone.
With costs rising and market uncertainty due to the COVID-19 pandemic, keeping up with rising advertising costs is a challenge for many brands. Agencies can help their clients keep costs low by using targeted influencer marketing, whether it’s to build top of funnel brand awareness or bottom of funnel sales.
Using a tool like Smartfluence can help further keep costs down by helping agencies identify which influencers already follow their brand clients. We’ve found that influencers are significantly more amenable to accepting lower financial compensation for collaborating with brands they already follow and genuinely love.
Additionally, you can benchmark what each of these influencers would be worth by leveraging algorithms that take into account mountains of data on audience size, authenticity, paid post performance, and asking prices, such that your clients will never have to overpay for an influencer marketing campaign.
Revenue Generation Potential: While many brand clients on either end of the size spectrum focus on awareness on social media, the majority of clients aim to generate more revenue for their businesses. Influencers perfectly fit that goal, particularly micro-influencers, since their audiences genuinely display more brand affinity than most pages. By using Smartfluence’s software that can determine brand affinity, an agency can easily find influencers whose audiences are drawn towards a particular brand. Simply look for your client, or their competitors, and quickly determine whether an influencer’s audience would be viable candidates for purchasing your clients’ products. The simplest way to drive sales through influencer marketing is through the use of product reviews coupled with unique codes, and affiliate links (to increase the odds of an influencer accepting a lower upfront monetary compensation). Thus, attributing sales and earned media value to your influencers becomes extremely easy.
For an in-depth step-by-step guide on maximizing ROAS through influencer marketing, schedule a call with our team and we will walk you through a customized demo of how you can use influencer marketing with your clients.