How to Measure Influencer Marketing

The world of marketing has been in a state of constant flux. The methods for customer outreach and conversion which were once reliable are fast becoming obsolete. Earlier adverts on television disrupted your favourite show. Banner and video ads popped up when you were reading something. But, influencer marketing has changed this.  The phrase “influencer marketing” can be often heard today. If executed correctly there are several benefits of influencer marketing. The rise of influencer marketing has triggered major changes in how marketers advertise their services and products. The key to successful influencer marketing lies in the quality and performance of the influencers. For success, it is important to gauge who are the best influencers for your brand.

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The new wave of influencer marketing has helped brands to move away from disrupting what people love to becoming what people are interested in. In an influencer marketing campaign brands need to measure certain metrics:

Measuring investment

At the onset it is essential to determine how much you will be actually investing before calculating your return. Investment may involve more than monetary cost. Resources like manpower and hours spent on training too should be considered. Your cost of investment should include various elements such as expenses on researching for the influencers or setting up an influencer campaign. At times you may have to set up demo tests.

Reach and ratio

The next important metric is the reach and ratio. Businesses often make the mistake of focussing on the number of followers an influencer has. A high number of followers may certainly be advantageous but it surely does not guarantee success. Say for instance, an influencer may have a large number of followers but the following may not be engaged with the influencer. In such a situation, the response which your brand receives from the influencer may not be as robust as expected.

Assessing the sentiment

It is a good idea to measure the sentiment of the target audience. By evaluating how your brand is perceived by the target audience, you will be in a better position to identify areas which resonate with the target demographics. Additionally, you can see which messages have received a favourable reaction. It will also allow you to identify areas which upset a particular demographic. You can amend the message accordingly and initiate a crisis communication if necessary. Once you know which influencer receives a favourable reaction, you can increase the awareness around him which in turn will help improve the perception.

Pricing mechanism is a challenge

It needs mention that one challenge in this nascent form of marketing is the pricing mechanism. Brands do not know what to expect for costs are left completely puzzled when it comes to pricing. Conventionally, advertising is measured by reach. But, in case of influencer marketing reach can equate to the number of subscribers, followers an influencer has. An influencer may have up to 500K followers however only 10% may engage.

Engagement – A new currency

In most cases the client may be aware that he is overpaying the agency. However, a new type of currency has been proposed which keeps the agencies accountable and does not keep the clients short. This currency is “engagement”. By optimising a campaign for engagement, the number of people who engage in a campaign add an incentive for agencies to develop compelling content. The more they can do this happier are the clients. Engagement is actually a definable concept where it refers to creating online and offline conversations between you and the customers. Engagement is an important indicator as it means that the audience has taken time to view content which resonates with them. Before an influencer marketing persuades you to buy something, it will win your attention, prompt you to think and finally may lead you to share.

The changing trend

In the early days of influencer marketing most brands adopted a campaign centric approach. It was all about finding and reaching out to influencers who could help promote a new product launch. However, the result of this was very disappointing. The influencers did not respond well to the outreach. The impact was not sustainable. As the practice evolved it was discovered that the key to success lied in building relationships with influencers over time and gradually convert them into advocates for your brand.

Effective strategies for Influencer marketing

For successful influencer marketing you need to identify the most relevant influencers. It is necessary to analyse the social media landscape for the most influential profiles. Next, form arelationship with the influencers and request them to advocate for a product. It is essential that you find out the influencer preferences. You can deliver advertising material and content in a format which is convenient for the influencer. Influencers in all likelihood will share content with their followers and so it is crucial that they have an easy access to content. You can opt for online tools which make sharing of content easy. It is advised that you do not neglect the minor social networking sites.