“People do not buy goods and services, they buy relations, stories, and magic.” A great quote by Seth Godin clearly defines how marketing strategies should be built. Nowadays, the customers don’t want to buy a product but rather they are looking to create a relationship with the product, and that has given rise to influencer marketing. This growing consciousness has been the growth platform for influencer marketing and today it has become a big game changer within the corpus of marketing. According to a recent report this sector is expected to grow to be worth $13.8 billion by the end of 2021.
In a world that is now greatly dominated by the digital route, Influencer marketing has become a big game changer. Earlier, celebrity endorsements used to capture the marketplace, but social media marketing has changed the whole game through its effectiveness and affordability. The main credit of this change goes to Millennials and Gen Zs who are running the whole show. According to ClickZ, 22% of users in the age group of 18–34 make their buying decisions after watching celebrity endorsements. The statistic clearly hints that brand image is built through the influencers, to a greater extent.
The major reasons that the influencer marketing has taken a huge lead compared to other marketing methods are:
- Small Budget, Large Influence: One of the biggest perks of this method of marketing, is that you don’t need a huge budget to start. One can hire Influencers starting from Rs 5,000 to Rs 50,000. And it is also noticed that the influencers with smaller fan bases can generate high revenue with engaged audiences.
- Build Authenticity & Trust: The influencer will build trust among the audience, as they can present the campaign with a different perspective and the audience of the influencer is eager to know what he/she thinks and it can drive to change the buying decision of the consumer.
- Tracking Influencer Success: With this method, the success of a particular campaign can be seen simultaneously by just providing a URL. The URL can provide you with ongoing updates and the revenue gathered by each influencer.
In the retail business marketing via ‘word of mouth’ creates a huge impact on the buyer. Earlier it was practiced directly by speaking about the brand, but now social media has changed the overall game. In a report by Market force, it was recorded that 81% of consumers make decisions based on their friends’ social media posts. Whether it’s food, beauty, fashion, insurance, gaming section or others, every sector is focusing on Influencer marketing to generate huge profits. Now, the Influencers are practicing paid partnership, sponsored posts, and reviews which creates a positive impact in the mind of the customers.
As the market gears up for more Omnichannel approach, creators are becoming the cornerstone of every marketing strategy. Today, brands are experimenting with different things, sometimes it succeeds and sometimes it fails miserably. The focus of the brand is to create unique content which is relatable for the target audience.