Influencer marketing is worth billions globally with the number is growing every year. In previous articles we’ve discussed how this relatively recent marketing strategy has embraced trends in consumer behaviour to become a successful and cost-effective customer acquisition method for retailers. We’ve also talked about how fintech companies can use influencers to educate the public on open banking, making mass adoption a realistic goal for the future.
Whether a marketeer works for a beauty retailer or a challenger bank, there are key considerations that they need to take in order to get a good return on investment. The great thing about open banking is that fintechs have access to enormous amounts of data that can help them create and manage detailed influencer marketing plans. Here are the main things a marketeer needs to look into before embarking on a campaign.
What’s the goal? Companies use influencer marketing for a number of reasons ranging from creating brand awareness, improving brand advocacy, generating leads and making sales. Is this part of a customer retention strategy, is it for up-selling, is it for cross-selling or is it to reach an entirely new audience? The goal needs to be clear. Influencer marketing isn’t a catch-all solution, the type of influencer, channel and content hinges on the objective.
Which influencers and which channels are best? Choosing the right influencers and the most appropriate social media channels means analysing data well enough to understand the target market and know how to reach them. This also means being adaptable. What’s hot today might not be hot tomorrow.
What’s the budget? A business needs to set an annual influencer budget just like with any marketing campaign so that the results have time to show themselves. Influencers sometimes accept free products or services, but the majority expect payment.
How authentic should the campaign be? A paid campaign is just that and must be tagged as such due to advertising regulations. However, there are ways to add authenticity to the project. If the influencer is educated well in the product and can give genuine, balanced insight to their followers rather than simply posting an advert, it will achieve better results.
How will the campaign be monitored? To know if the campaign has been successful, tracking and analytics need to be put in place. This will also help the marketeer to make changes mid-campaign if it’s not working. Some metrics, such as sales using the voucher code of an influencer are easy to track. Others, such as brand awareness, need more sophisticated tools
Data is everything when it comes to the modern marketeer’s toolbox. Open banking is making this data available in a secure way and fully dependent on the consent of the consumer. As this becomes more prevalent, third party apps are getting involved to offer analytical services that are useful for marketeers no matter which industry they operate within. We’ll take a look at some of these in the coming weeks.