According to average influencer costs, brands are getting a bit of a deal when Kim Kardashian charges up to $1 million dollars for a single product post on Instagram. Influencer marketing is steadily climbing, and it’s projected to become a $6.5 billion dollar industry in 2019. With these kinds of staggering income figures, many social media users are seeking out ways to break into the industry. What exactly is an influencer? What are the costs, risks and/or rewards for a brand to partner with one?
In marketing terms, an influencer is defined as “a person or group that has the ability to influence the behaviour or opinions of others” (link)
There are three main types of influencers, and each type has their own advantages and disadvantages when it comes to brand partnership.
- < 10,000 followers
- high engagement rate
- specific audience/narrow niche
- 10,000 – 250,000 followers
- likely to have brand partnership experience
- 250,000 – 1 million+ followers
- High reach/low engagement
Each influencer category aligns with different types of social media goals that a brand might have. For example, if your goal is conversion, a power-middle or micro influencer with a high engagement rate might be more suitable than a macro influencer.
I found the Micro Influencers vs. Celebrities tool provided by the Influencer Marketing Hub to be pretty interesting (and also quite humbling!). When I used my personal Instagram account in comparison to Kim’s, I was actually a little surprised by my cost per post estimate. My engagement rate blew Kim’s out of the water. She eclipsed me though with well over 1 million more followers, so in the end, her reach resulted in a substantially higher earned media value. Would a slow and steady (and authentic) follower count maintain high engagement and win the race? A brand looking to reach a very specific audience might not be as interested in a macro (sorry, Kim!) or even power-middle influencer because their followers are much too random and varied.
A brand can receive many rewards from a successful influencer partnership – content, reach, conversion, etc. There are also potential risks, one of them being influencer fraud. Buying followers and fake comments from bots can make an influencer seem much more appealing than they are. One sign of fraudulent social media activity is a high follower count coupled with a low engagement rate. Some social media sites like Instagram and Twitter have tried massive culls of fake accounts on their platforms, but the problem still remains widespread.
Are you influenced by what you see on social media? What makes someone influential to you?
Did I just beat Kim Kardashian at something? Is influencer marketing right for your brand? Learn more about the pros and cons here! http://bit.ly/2WLdQHS #influencermarketing #socialmediamarketing
Lincoln, J. E., & Lincoln, J. E. (2018, June 19). How Much Does Social Media Influencer Marketing Cost? Retrieved from https://ignitevisibility.com/much-social-media-influencer-marketing-cost/
Barna, D. (2019, May 05). Apparently Kim Kardashian Makes THIS Much Per Instagram Post. Retrieved from https://www.allure.com/story/kim-kardashian-one-million-dollars-instagram
The State of Influencer Marketing 2019 : Benchmark Report [ Infographic]. (2019, May 28). Retrieved from https://influencermarketinghub.com/influencer-marketing-2019-benchmark-report/
INFLUENCER | meaning in the Cambridge English Dictionary. (n.d.). Retrieved from https://dictionary.cambridge.org/dictionary/english/influencer
Johnson, T. (2019, May 23) How Much Do Influencers Charge? | Paying Influencers 2019 Guide. Retrieved from https://www.cpcstrategy.com/blog/2019/05/how-much-do-influencers-charge/
Katie. (2019, April 11). The Complete Guide to Instagram Influencer Rates in 2019. Retrieved from https://blog.hootsuite.com/instagram-influencer-rates/
Clark, J. (2018, May 14). How Influencer Fraud Can Damage Your Brand’s Reputation. Retrieved from https://www.grouphigh.com/blog/how-influencer-fraud-can-damage-your-brands-reputation/