2020 Influencer Marketing Trends - The Corner London

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2020 Influencer Marketing Trends - The Corner London
Influencer
Marketing
Trends

             2020
2020 Influencer Marketing Trends - The Corner London
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Introduction
2019 was the year that influencer marketing went
from being ‘pitch candy’ or an added value, to a fully
fledged business function, pivotal to the success of     “In 2019 we
many leading organisations.

We now know that 61% of consumers aged 18 to 34
                                                         collaborated with
have at some point been swayed in their decision-
making by digital influencers (MarketingWeek -
2019). The business results that occur as a direct
                                                         over 190 brands…
result of this industry are very real and rapidly
increasing.                                              and have put our
The Corner were not only part of this surge, but at
its forefront. In the past year we’ve collaborated
                                                         experience into
with over 190 businesses and brands in the
influencer space. We’ve put our industry experience
into this document for your success in 2020.
                                                         this document”
2020 Influencer Marketing Trends - The Corner London
Contents

          01                         05
                                 Measurement and ROI
Influencers becoming activists

                                     06
         02                       Shorter form video

    Increased regulation

         03                          07
                                 Long term influencer
 The (continued) rise of nano       partnerships
    and micro influencers

         04
     Quality story telling
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 1)
  In fl u e n ce rs
  Be co m i n g
  Act i v i sts

Living ethically has gone mainstream.

The modern consumer uses social media to research         There will also be a greater pursuit for self-
and discuss issues that are close to their hearts.        acceptance and self-actualisation. Influencers will
The modern influencer uses it as a platform to fuel       continue to champion themselves and encourage
activism.                                                 others to embrace their own imperfections. There
                                                          will be an increase in ‘unfiltered’ campaigns where
Celeste Barber is just one of many incredible             influencers will talk honestly and frankly with their
activists who has leveraged the power of social           followers, including discussing the up and down
media as a platform to spark international                realities of their lives.
movements. She has raised a record breaking $50
million for the Australian bushfires through                                          @meganroselane is a top
Facebook fundraising.                                                                 advocate of embracing
                                                                                      body image and
2020 will see more digital personalities vocalise their                               postpartum journey,
opinions about societal, environmental and political                                  overcoming self-judgment,
issues.                                                                               and how vulnerability and
                                                                                      authenticity are the
When surveyed, a staggering 81% of global                                             doorways to self-
respondents feel strongly that companies should                                       confidence.
help improve the environment. The percentage of
‘Belief Driven Buyers’ - people who choose or don’t        Brands who collaborate with influencers to not
choose a brand based on its societal stance - rose         only promote, but build upon their CSR will see an
from 51% to 64% from 2017-2018 worldwide                   unprecedented uplift. 2020 will see a rise in cause-
(Edelman - 2018). Simply put, for the vast majority of     led campaigns which have societal-benefits and
consumers, a key contributor in buying behaviours is       align with the passions of influencers and in turn,
the brand’s CSR.                                           their communities.
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2)
                                                           “Our message to brands and
In cr e a s e d                                         influencers couldn’t be clearer. Be
                                                             upfront with followers.”
Re g u l a t i o n
                                                        ASA’S Chief Executive, Guy Parker.

 Industry watch dogs are clamping down.

 Undoubtedly one of the hottest and most widely         Acceptable          Ad         Advertisement
 debated industry topics of 2019 was the increased      methods of
 governance from advertising watchdogs - the ASA        disclosure:            Advert           Paid Ad
 and the CMA. After releasing an industry code of
 practice in 2018, laws have become increasingly
 stringent throughout 2019 and look to bear more
 serious consequences for those not adhering in          @emilycanham adopting correct declaration
 2020, with influencers, brands and agencies all         methods - content is clearly labelled as an ad.
 equally liable. “The CMA definitely have teeth and
 the severity of the possible punishments they’ve
 announced shows how seriously they're taking
 this.” (Influencer - 2019)

 The ASA and CMA bear additional scrutiny of
 influencers on the topic of transparency.

 In the past, some influencers have done their best
 to disguise the fact that they’re being paid to
 promote a brand in order to maintain an ‘organic’
 appeal. This is where watchdogs have drawn a line in
 the sand. All influencer content which a brand has
 had any level of control over, must be declared
 upfront to audiences. In short, audiences must know
 that a piece of content is an ad before they engage
 with it. Additionally, for anyone who produces
 content / ads for children it is important to
 familiarise yourself with the Children’s Online
 Privacy Protection Act.
 As the influencer landscape continues to ramp up,
 so too do industry regulations - and rightly so.
 Influencers’ true strength comes from the trust
 audiences have in them and this trust must be
 upheld.
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3)
Th e (co nt i n u e d ) r i s e o f n a n o a n d
m i cr o - i n fl u e n ce rs . Myth!
     Myth!

          Influencer Marketing is a new thing                                Influencers are just YouTubers or
                                                                                            Connectors
         Technically, no. Influencer marketing is essentially an evolution   bloggers, right?
         of celebrity endorsement, a practice which dates back to            Knowing which influencers are available to you, and which
         the 1700s when the Royals were used to promote Wedgwood             are right for your brand, is essential for running a successful
         pottery. Brands have been using individuals in a position of        influencer program. To get granular, you can usually categorise
2020 will see brands increase / shift budgets
         influence for centuries to lure customers in through aspiration,
towards Nano and Micro influencers. Generally
         expertise or relatability. In fact, the creative methods have
                                                                              •      Macro - 100,000 +
                                                                             influencers into one or more of the below tiers.

speaking,barely
           thesechanged
                  two tiersin thehave   a years.
                                  last 70  lowerThe
                                                  CPE*   andshift in
                                                    recent
higher CTR**.
         perception is largely due to the domination of social media,
         and the birth of influential people who have learned to harness
                                                                              •      Micro - 30,000 +
         that
Influencers    power
             are      for their
                 beginning     toown
                                   be popularity.
                                       seen as more than a
distribution channel. The fact is that different                              •      Nano - 10,000 +
influencer tiers produce different results.
                                                                              (followers)
         * CPE - Cost Per Engagement
         ** CTR - Click Through Rate

          Who they are                      What they are                    How to use them
                                            good for

          Influencers with traditional &    Traditional & social media       Brand “Face”, event press
          social media status               reach and impressions            coverage, and social
                                                                             media partnership                             Celeb / Elite

          Following of over 100K on a       Large scale social media         Brand “Face”, event social
          single social media platform      reach and impressions            coverage, and social                              Macro
                                                                             media partnership

          Following of 30K - 100K on a      High social media                Social media
          single social media platform      engagement                       partnerships                                       Micro

          Renowned expert in                Industry approval                Written content,
          a particular field                                                 speaking occasions,                            Authority
                                                                             social promotion

          Journalists                       Press coverage                   Press trips, written
                                                                             content, social promotion                         Media

          Following of under                High social media                Social media
          30K on a single social            engagement in a                  partnerships                                       Nano
          media platform                    specific field

          Influencer gatekeepers,           Consideration &                  Product gifting, event
          i.e. agents/managers              infiltration amongst             invitation, experiences                       Connectors
                                            influencer circles
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       3)
       Th e (co nt i n u e d ) r i s e o f
       n a n o a n d m i cr o -
       i n fl u e n ce rs .

      In terms of immediate and attributable ROI (clicks,
      conversions, sales), Micro and Nano audiences are
      usually more effective.

      The smaller an audience, the closer the relationship
      between creator and follower: hence the stronger                       It is crucial to understand the
      the level of trust. Smaller audiences are often hyper
      local, less diverse and more engaged. In fact, Micro                   objectives of a campaign from
      influencers are 10% more likely to influence decision
      making than Macro influences.
                                                                              the outset and find the right
                                                                           influencers to help achieve them.
      The key here is in the selection process. It’s crucial
      that influencers are vetted and their audience data
      scrutinised in order to maximise effect.

      Average Impressions (per post)                                                            Cost per click
Impressions                                                                CPC £

                                                                            30
  110000
                                                                           22.5
  82500
                                                                             15
  55000
                                                                            7.5
  27500
                                                                              0
       0
        208,000        136,000          44,000        14,000                   208,000         136,000         44,000        14,000

                            Followers                                                                  Followers

                 Results from a recent campaign run by The Corner with a mix of Macro, Micro and Nano
                 influencers. It was clear that while impressions were higher from the Macro influencers, cost per
                 clicks was lower on the nano side.
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4)
Genuine                                                   “The responsibility sits equally with
                                                          the creator and the brand to ensure
S to ry te l l i n g                                            that their stories align”

  Influencers are born story-tellers.

  In many cases, their audience have been following
  their story for years. Consumers are intrigued and
  captivated by the lives of influencers, but they’ve
  become more savvy and can spot a disingenuous
  post instantly.

  An influencer authentically displaying how a product
  or service fits into their own life, helps to paint a
  picture of how it could fit into the audiences’.

  Advertisers need to be wary of:
  1)  smothering influencer creativity
  2) appearing out of place on an influencer’s page

  It’s important that a partnership between brand and
  influencer has a background story and context is
  given to audiences. Collaborations that feel
  insincere can have a negative effect on both the
  brand and influencer.
                                                          @hawkinsandshepherd content for Neutrogena talks
                                                           about the reality of living in London and the less-
                                                                than-glamorous effect it has on his skin.

                                                          Take away points:

                                                          • In 2020, brands will allow influencers more creative
                                                          freedom to speak to their audiences in a way which
                                                          feels natural. The process will become more and more
                                                          collaborative.

                                                          • Consumers have become disengaged with
                                                          unauthentic branded content. Brands need to allow
                                                          the influencer to add some real emotions to their
  @tobyandroo produced this campaign for Heinz
                                                          content so that it resonates with their audience.
Beans showing unreservedly the state of her kitchen
during renovations. Heinz is an everyday product for
                                                          • Keep influencer briefs open to interpretation. Allow
   everyday people. This post exceeded KPI’s and
                                                          influencers creative freedom to speak to their
 received 90% + positive sentiment from followers
                                                          audience in the way they know best.
       because it was relatable and sincere.
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5)                                                         “First, think about the actual objective you are
                                                           trying to achieve. What do you want influencers
M e a s u r e m e nt                                        to do? Then, set KPIs you can achieve, and find
                                                                    what’s working and what’s not.”
a n d RO I                                                              - Carlisle Campbell, Senior Director of
                                                                            Communications, Capital One

The first step to measurement, is setting clear
objectives.

57% of influencer marketers see measuring ROI as                                                 Use audience
their biggest challenge (Zine, 2019). As brands continue                                         sentiment in
to increase their influencer marketing, spend, there is                                           reporting
understandably an equally increased demand for
justification. Before brands try to create KPIs for an                                          The comments
influencer campaign, they must first decide what they                                           sections of an
are trying to achieve and how influencers can help. To                                         influencer post
create a successful influencer marketing strategy,                                              are essentially
they must first understand what actions or                                                    free focus groups.
behaviours will impact their business goals.                                                   Use comments in
                                                                                              your reporting to
                                                                                              indicate audience
Clicks, video views, or even sales?                                                               sentiment.

To date, impressions and engagement have been the
most common metrics brands have looked-to when
measuring the success of an influencer campaign.
However to fully understand the impact that an                 As the value of influencer marketing becomes more
influencer campaign has had, a more holistic approach          widely understood and brands begin to see greater
should be adopted. By using a personalised                     uplift from their influencer campaigns, more diverse
combination of measurements that align with their              strategies will be implemented. It is important that
goals, brands will be able to truly measure influencer         within this, there is a focus on measurable goals.
activity.

 Some measurable KPI’s could include:

         Clicks                       Leads                Sales                 Audience sentiment

                Engagement                     Content usage rights              App Downloads

          Increased followers                         Event Attendees                Product Reviews

                      Voucher Downloads                    Impressions                Reach
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6)
                                                               “Instagram stories will replace
S h o r t (e r) fo r m                                        likes. Stories allow for so many
                                                                 more means of engagement
video                                                            than grid posts ever could”

                                                          WhatsApp
Creative, short form video has been identified as one
of the most effective way of getting Gens Y & Z on
                                                          Messenger
board.

Todays youths are so well conditioned to rejecting
                                                          TikTok
                                                            TikTok

content that doesn’t appeal to them. If marketers          Facebook
want to have any cut through with these generations
(the fastest growing population cohort) it’s imperative   Instagram
that we listen to what does appeal, and respond
accordingly.                                                Youtube

Short form video has typically referred to video             Twitter
content with a duration of less that 15 minutes. In
2020 this refers to content shorter than 15 seconds.                   0        60        120         180      240
In a world of four-second attention spans, the                    Top Global App Downloads - Q1, 2019
usability of Instagram stories and Tiktok videos are                     (Sensor Tower - 2019)
incredibly welcome. Vast databases of audio and
filters, coupled with the ease of editing makes
uploading content far easier than before.
                                                          Additionally, engagement is enhanced by the
                                                          constant update of features from social media
Instagram stories were perhaps the biggest disruptive     platforms. Fun filters, voice modifiers and stickers
innovation to the influencer marketplace when
                                                          are interactive, enjoyable and memorable.
released in late 2016. They contributed over 1/3 of all
#paid posts on the platform throughout 2018.
                                                          Therefore, one of the worst mistakes marketers
(Marketing Land - 2019)                                   could make when working in such a raw medium, would
                                                          be to approach this audience with a traditional
According to data from analytics site Sensor
                                                          advertising mindset. It’s important to give influencers
Tower, TikTok has hit 1.5 billion total downloads.
                                                          guidelines and key brand messages, but short form
                                                          videos are often where influencers truly express
Nothing has landed the same impact since - until          themselves. It’s imperative this integrity is upheld.
TikTok. TikTok has seen unprecedented growth not
only in the UK market, but world-wide. Never before
                                                          For mediums like TikTok and Instagram stories,
have we seen an app so quickly adopted by an entire
                                                          influencer marketing is likely to be one of the most
generation. Short form videos feel more authentic.
                                                          effective forms of marketing in 2020. Influencer
Creators often post behind-the-scenes, off-the-cuff       marketing works best when audiences and influencers
content which they’re less fussy about. Videos are        feel relaxed and comfortable - to modern audiences
also better seen vertically, so phones are great for
                                                          this medium really hits the mark.
generating this type of content, meaning the creation
is often inexpensive and informal.
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7)
Lo n g - te r m In fl u e n ce r
Pa r t n e rs h i ps

Influencer marketing hasn’t always been regarded as a
method for customer retention. However, as spending                “Long-term influencer partnerships
grows, brands will become more strategic, which
includes trying to increase and retain brand loyalty.
                                                                   require more upfront work, but the
This is where longer-term partnerships with                        return appears almost immediately and
influencers have been showing real value. Collaborating
on an extended term with influencers allows for both               over time. One-off collaborations
consistent messaging and stronger alignment between
talent and brand.                                                  require seemingly less effort but can
                                                                   bog down a marketing team’s
                                                                   productivity with wasted time, money,
                                                                   and resources” (MediaKix - 2019)
            Warren Nash’s contract with ‘Lego Family’
            channel, in a 6-month partnership,
            produced 4 videos a week for the brand
            throughout the duration.                                                           @alexcrockford
                                                                                               has a 1 year
                                                                                               partnership with
                                                                                               Under Armour.
Pro’s of long term agreements:                                                                 Alex          is
                                                                                               contracted to a
-   Economies of scale (discounted influencer fees)
                                                                                               4 posts a month,
-   Likelihood of extra posting / added value
                                                                                               but offers far
-   Exclusivity of the talent within brand sector                                              more value than
-   The power of repetition                                                                    his contracted
-   Added reach if influencer following grows                                                  deliverables
-   S t r e n g t h e n i n g o f a ffi l i a te m a r ket i n g
    arrangements
-   Long term partnerships are considered more
    formal and respectable
-   The influencer is more involved in the brand and
    can provide valuable insights

Cons of long term agreements:

-   If you have selected the wrong influencer, you’ll
    be hitting the wrong audience continually
-   Much higher upfront costs
-   Longer time needed for planning
-   Pressure to choose the right talent
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Conclusion
In 2020, quick and easy ‘pay per post’ influencer partnerships will begin to be phased out, and emphasis will be put on
finding experts in a relevant field to contribute authentically to your brand promotions.

At The Corner we put an emphasis on matching well informed strategy with best in class creative. We’re often asked if
we have a ‘little black book’ of influencer names. Generally the answer to this is ‘no’. Of course we have extensive industry
network. However, having contributed to hundreds of influencer campaigns - we’ve found that it’s important to get to
the core of a brands’ problem and then strategically onboard the right influencers to help solve these.

Campaigns with a focus on real stories and emotions are the right way forward. The entire industry is founded on trust.
If an influencer is able to uphold this trust, add value to audiences and convey brand messages - all three parties will
benefit.

Influencer marketing as an industry is still developing. Base regulations are still being determined, various tactics are
being explored and influencer specialisations are still to be discovered. The one constant is that businesses are seeing
unprecedented results by implementing influencer strategy.

In 2019 people spent 128% more time on social media than in 2011 and still ad budgets don’t reflect this pattern (Thinkbox
Global Web index - 2019). Now is the time to solidify a brands strategy and industry foothold, while the fees are still
disproportionate to the results.

                                                   Credits
                                   louis.cosyn@thecornerlondon.com

                           alexandria.zaphiri@thecornerlondon.com
The Corner, London.
1 Richmond Mews, London, W1D 3DA, UK

   thecornerlondon.com/influencer
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