Article

Brandon Brown
Brandon Brown 5 April 2019
Categories Search Marketing

How to Maximize the ROI of Your Influencer Marketing Campaigns

Let’s take a look at the ideal investment in influencer marketing, and how much ROI you should expect.

Brands spend billions on influencer marketing. In fact, Mediakix reported that brands have already spent around $1.6 billion on influencers this year. What kind of ROI do they expect? And do you think it’s worth it?

Let’s take a look at the ideal investment in influencer marketing, and how much ROI you should expert.

Returns in Revenue and Brand Sentiment

For every £1 ($1.26) spent on beauty influencers, Celebrity Intelligence suggests that you can get an ROI of £8.81 ($11.38). Influencer marketing can get you an 11x times higher return than banner ads.

Influencer-created videos for Iceland Foods have reportedly garnered a 55% retention rate on Facebook and 59% on YouTube. They also saw an increase in their approval rating from 10% to 80% after their target audience was exposed to the vlogger-created content.

This shows that influencer marketing helps improve brand reputation and engages an audience.

You can also repurpose influencer content for your brand’s social media profiles and for your ads. But of course, you need to have the influencer’s approval to use their content.

So, for this kind of return, what do you need to invest?

Cash

Influencers, especially the bigger ones, will expect monetary compensation for promoting your brand. Depending on their niche and reach, the exact cost will vary.

Product

Some influencers may accept products or event tickets for promoting you. You can always set a budget and let them choose anything up to that amount.

Commission

You have to pay influencer’s a commission if you are using an affiliate model. In this case, you pay them a percentage of the sales instead of paying them cash up front. All you need for this is special tracking links.

Apart from these, you need to invest your valuable time, mostly on the required communication with the influencers. From rate negotiations and campaign details to product fulfillment, there’s a lot of communication needed.

To get a better understanding of influencer marketing ROI and the investments, you can check out the following infographic.

The-ROI-of-Influencer-Marketing-Infographic.jpg

                                                                                  Image courtesy: Grin.co

Please login or register to add a comment.

Contribute Now!

Loving our articles? Do you have an insightful post that you want to shout about? Well, you've come to the right place! We are always looking for fresh Doughnuts to be a part of our community.

Popular Articles

See all
‘Complainer marketing’ – should we harness rage to promote brands?

‘Complainer marketing’ – should we harness rage to promote brands?

As marketers, we're always looking to get the best results for our clients. But should we highjack the emotions of their customers to do so? No, as I explain in this post, you're better than that.

Tom Chapman
Tom Chapman 18 July 2018
Read more
7 reasons why social media marketing is important for your business

7 reasons why social media marketing is important for your business

Social media is quickly becoming one of the most important aspects of digital marketing, which provides incredible benefits that help reach millions of customers worldwide. And if you are not applying this profitable...

Sharron Nelson
Sharron Nelson 6 February 2018
Read more
8 Digital Marketing Trends to Watch in 2023

8 Digital Marketing Trends to Watch in 2023

The internet has conditioned customers to demand instant gratification, and that’s only set to continue. In 2023, customers will expect a response time of just hours. No more sending an email and waiting days for a...

Azeem Adam
Azeem Adam 3 May 2022
Read more
The Impact of New Technology on Marketing

The Impact of New Technology on Marketing

Technology has impacted every part of our lives. From household chores to business disciplines and etiquette, there's a gadget or app for it. Marketing has changed dramatically over the years, but what is the...

Alex Lysak
Alex Lysak 22 September 2020
Read more
Deep Link vs. Universal Link: Which One is Better?

Deep Link vs. Universal Link: Which One is Better?

Are universal link and deep link the same thing? There are some big differences, let's understand them.

Stefano Pisoni
Stefano Pisoni 17 March 2020
Read more