Over the past few years, the digital marketing industry has experienced a massive shift towards influencer marketing across various digital channels in order to generate brand awareness. Amidst the paradigm shift the market today has become a $5-10 billion dollar industry with increasing number of brands collaborating with social media influencers with a vision to achieve their organizational goals.
In order to achieve these goals on the social media channels, brands are looking upon models, celebrities, and personalities on Instagram, Twitter, and You Tube to leverage these platforms for building and marketing their own brands. Before getting further into the marketing statistics and facts, let us get into learning what is influencer marketing and to understand this type of social media marketing you need to understand who influencers are.
Who Are Influencers
Influencers are people who have created a strong base on social media channels through their stimulating tactics and content creation. These people have a loyal following with a strong influence on his or her following.
What is Influencer Marketing
Influencer marketing is a pure marketing tactics when brands collaborate with social media influencer to make maximum use of influencers’’ existing fan base. Companies sponsor an influencer’s content online in a specific target group to endorse its products or services, increase brand awareness, drive purchases, and improve conversions.
These influencers follow a thoughtful strategy with defined social media influencer programs to scale their content and narrate a story in an inspiring manner to fulfill the objective of the target audience as well as social media channels.
Influencer Marketing Statistics 2020
Let us now take an insight into the statistics and facts of influencer marketing for 2020:
- The year 2020 is believed to experience a high raise in influencer marketing with the market rising to around $10 billion industry.
- The marketing method is known to deliver 11 times higher Return on Investment (ROI) when compared to traditional means of marketing.
- It is believed that around $255 million is being used for influencer marketing almost every month.
- More than 68% people feel that Twitter has got more benefits concerning influence marketing.
- Twitter influencers are known to increase the purchase intent by around 5.2 times.
- Influencer marketing as a search keyword on Google has increased by around 325% during the last year.
- In just a span of 2 years or 24 months, more than 230 dedicated influencer marketing companies have ventured into the industry.
- Around 93% of marketers have experienced improved brand visibility through this form of marketing.
- More than 67% of marketers look to raise their marketing budget based on the tremendous results achieved by influencer marketing.
- Businesses today are earning around $6.50 on every single dollar spent on influencer marketing.
- Influencers possess high level of trust amongst their target audience. That’s the reason why more than 70% of teens have been able to trust influencers more than the traditional celebrities.
- More than 86% of women have their buying decisions influenced by social media channels
- Around 67.6% of marketers and advertisers face a tough time finding the right influencers for their marketing campaign.
- Around 57% of fashion companies have integrated with influencer marketing for their marketing strategy.
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- There are mainly five types of influencers – mega, micro, nano, macro, and mid-tier influencers.
- Mega-influencers are social superstars who have more than one million followers.
- Macro-influencers are those who have influencers with around 100,000 and 1 million followers.
- Nano-influencers are those with less than 1,000 followers.
- Micro-influencers are influencer with 10k to 100k followers and these are known to have the highest reach and audience engagement.
- Even today it is a challenge to measure influence and ROI on an infleuncer marketing campaign.
- Around 91% of millennial have faith on online reviews and testimonials as compared to what suggested by friends and family.
- Around 90% Instagram users connect with shopping posts on the channel and get influenced.
- Instagram is known to have more than 500,000 active influencers.
- In the year 2018, researches have revealed an expenditure of more than $1.6 billion on Instagram influencers.
- Earnings with socialmedia influencer marketing are estimated to be around $5,000 per post based on the web traffic they receive.
- Influencer marketing has made several You Tubers like Evan Fong (Vanoss Gaming), Dude Perfect, and Mark Edward the richest on social media channel with a growth of $15.5 million, $14 million, and $12.5 million respectively.
- Around 69.4% people choose to be influencers with a view to earn revenue with their strong presence on social media channels.
- More than 75% of marketing professionals verify the web traffic of an influencer to judge the competitive advantage of influencer.
- Around 49% consumers purely depend on the recommendations and advices provided by influencers.
- 6 in 10 people are able to trust and judge brands based on the influence created by celebrities of the social media channels.
- As of now Facebook is the most influential social media channel with around 2 billion monthly users across the world. Around 19% of purchasing or buying decisions are influenced by this channel.
- The most rewarding industry for influencer marketing on the Instgram is the travel industry. Travel influencers can earn around $220 per post.
- There are fashion brands looking for influencers after the success of Lord & Taylor. Lord & Taylor is a fashion retailer whoonce collaborated with 50 influential fashion influencers on Instagram making them wear the same dress and this in turn was able to sell out all the dresses in a short span of time. This also helped the brand introduce its new design collection to potential customers.
The Bottom Line
Adding to the above mentioned influencer marketing statistics there are several trends and facts that is pushing the growth and significance of this strategy in the digital marketing industry.