The State of Influencer Marketing - in Fashion, Luxury & Cosmetics - Amazon S3
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The S ta te o f
In flu en cer
2018
Ma r k etin g
i n F as hi o n , L u x u r y
& C o sm e t i c s
Content
01. Executive Summary
02. Featured Interview: Garance Doré
Fashion, Luxury & Cosmetics
Professionals on Influencer Marketing
03. Influencer Marketing Landscape 11. Compensation
04. Target Audience 12. Current & Expected Budget
05. Effectiveness 13. Relationship Management
06. User Scenarios 14. Measurement
07. Influencer Outreach 15. Tools
08. Tactics 16. Challenges
09. Channels 17. Key Takeaways
10. Influencer Expectations 18. Methodology
From an
Influencer’s Perspective
01. Influencers: Work Experience & Methods
02. Quantity of Work and Types of Influencer
Projects
03. Channels
04. Income Sources for influencers
05. Services Requested Most by Brands
06. Income Level
07. Collaboration Agreements
08. Influencers’ Motivations
09. Organic Collaborations
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
In 2016, a total of 65% of professionals New product and collection launches
claimed to have worked on influencer are still the main scenarios for many
marketing campaigns. For this edition, brands when working with
we surveyed over 600 professionals in influencers. When we think of the
Europe and the United States word “influencer”, celebrities such as
throughout 2017 and this time 78% Rihanna or Selena Gomez may be the
admitted to working with opinion first to come to mind. Yet, the fact is
leaders. This 13% increment is the that 46% of surveyed professionals
resounding answer to our question: Is claimed that micro-influencers are
influencer marketing still evolving and the most valuable asset in order to
growing? reach a niche audience and gain real
results.
Yes.
Not only will this edition of The State
Fashion, luxury and cosmetic brands of Influencer Marketing report help
still claim that their influencer you better understand the direction
marketing campaigns are most that this trend is taking, but you will
effective for generating brand also gain insights from the other side,
Ex e cuti v e
awareness or boosting sales. We the influencers themselves. We’ve
witnessed this last Fashion Week surveyed over 200 influencers and
season thanks to our Front Row to dedicated a section just for them to
Consumer report for which we obtain a global perspective.
Summ ar y
extracted data on designers such as
Jeremy Scott. At NYFW, Scott was We invite you to take a look at the
able to generate $2.7 million in data and conclusions in this report,
audience-driven Media Impact Value apart from our exclusive interview
(MIV) – 46% of the total MIV was solely with Garance Doré. We hope that you
from their channels. find it all very relevant and useful for
the development of future
The emergence of opinion leaders campaigns and strategies with the
Four years ago we began developing this annual report to new “holy grail” of the industry:
who are able to reach millions of
offer professionals a useful resource in which they could influencers.
people through their own social
better understand the evolution of influencer marketing. channels is not only part of the
That was also when many said that this phenomenon Sincerely,
democratization phenomenon that
would only be a passing or ephemeral trend. Yet, now that the industry has been going through
some time has passed, we have witnessed that this ‘trend’
was not as brief as some claimed, and that it has in fact
the last few years, but also a sign of
how vital it is to tell brand stories and
Michael Jaïs
stabilized and become a common professional practice reach audiences in a different way. Michael Jaïs, CEO of Launchmetrics
within our sector.
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Featured Interview
Garance Doré
Garance Doré is a celebrated photographer, illustrator, author and the founder of
Atelier Doré, a lifestyle and fashion blog. Doré’s successful career in fashion started
in 2006 as a street style blogger and has been credited with creating the template
for street style photography. After garnering attention for her talent in illustration
and photography in the fashion realm, the French native began collaborating with
Chloé, Chopard, David Yurman and Tiffany & Co. among others and has also
contributed as a writer and photographer to publications including American, British,
and Paris Vogue, The Wall Street Journal, The New York Times, T Magazine, Elle, The
Guardian, and New York magazine. Not only is Doré known for her artwork, she’s
adored by her fans for her light-hearted, funny and insightful writing on an array of
topics spanning beauty, style, love, travel and more. In 2012 Doré was awarded the
Garance
Council of Fashion Designers of America Media Award along with Scott
Schuman. She has since published her book Love x Style x Life, a New York Times
Best Seller
Doré
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Featured Interview
Garance Doré
How has your way of working with build trust – to me one of the most
brands evolved in the last few years? important values.
Everything in the last few years has Obviously creativity is a plus – or
become more pro, more controlled. something that I feel will bring value to
Every bit of social media is measured, my readers. For example an
included in contracts and monitored. experience that truly allows me to
What’s been really great is that finally create a story around it.
brands are able to understand that
each “influencer” knows their Where do you see the figure of the
followers better than anyone. They’ve influencer within the industry in a few
years?
started to value authenticity, to look
behind the numbers, to search for a Honestly there is no way to know. I do
new way of doing things. feel an increasing social media fatigue
for many reasons. Content is repetitive
Do you feel that the profile of the because people know what “works”.
influencers has become much more The time we need to spend on our me with my content. Posting, planning, much as I love pretty images! Then my
professional? phones just to “participate” is organizing. podcast, and then Instagram.
Yes, but it has now been years that exploding, creating a real social media Before that, it was always my longer
people see being an influencer or a burnout. I feel like a new app (or a new texts and illustrations for the site which How has your way of life changed in
the last 5-10 years with respect to
blogger as a job. way to share) could completely take are where I feel myself the most, and
social networks?
They have been professionals for a over right now – something that feels for Instagram, which is the only social
It’s been a great reality check to push
while! There are just more and more authentic, that doesn’t leave people media I do daily and personally, it was
me to understand what my message is
and more of them. feeling “less than". And with it we will just a pretty simple process (simple not
and what I want to do with my voice.
have a new type of influencer, meaning easy) of sharing pretty
It’s easy to get lost, and even though I
What do you value most when probably. moments of my life.
accepting a collaboration or work have real experience with sharing
with brands? What is the process you follow to online, I sometimes fall into traps, like
Which channel is most valuable for
I love to work with brands that are able prepare the content for your you when communicating with your everybody else.
followers? audience and why?
to establish long term relationships.
That way I feel like my followers truly Right now I am taking a little break and My website, because for me, writing
understand what I am like behind a when I start again (next week) I will conveys something that is impossible
product or a concept and have time to probably work with someone to help to sum up with just a pretty image, as
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018 Fas h i on , L u x u ry & Cos met i c s Prof es s io n a ls o n In flu e n c e r M a r k e ti n g
“ Influencer marketing for fashion brands has the power to
shift brand perception, target new consumer groups,
change their fashion conversation, and provide engaging
content for their consumers. It’s absolutely a channel that
“
should be explored and invested in.
Emma Gregson,
Managing Director of ITB Worldwide
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
INFLU EN C ER M A R KE T I N G
LANDSCA P E
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Not only has influencer marketing become an
established practice over the last few years, its HAVE YOU IMPLEMENTED ANY
prominence in the fashion, luxury and cosmetic CAMPAIGNS WITH INFLUENCERS OVER
industries has grown quite significantly. THE LAST YEAR?
Out of the 600 professionals surveyed for this
report, 78% have implemented influencer
marketing campaigns in 2017. This represents a 78.2% 21.8%
13% increase when comparing to the previous
year’s data. Yes No
The influencer phenomenon has spread
throughout FLC industries and has firmly
established itself over the last five years. Proof of
this evolution is the fact that 50% of those
surveyed admitted that they started working
NEARLY 80% OF with opinion leaders two or more years ago.
FASHION, LUXURY
On the other hand, we found that 22% of
AND COSMETIC
professionals didn’t work with influencers in
PROFESSIONALS 2017. Yet, 52% attribute that this was due to
IMPLEMENTED budget constraints.
INFLUENCER
IF NOT, WHY?
CAMPAIGNS IN 2017.
52%
60
40
03
23%
14% 13%
20
0
Budget Lack of the Lack of a Lack
Influencer Marketing constraints proper tools to dedicated
identify and
manage the
team
of time
relationships
Landscape with influencers
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Yes
No
78.2%
21.8%
TA RG ET M A R KE TThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
This year we’ve discovered new data which has
given us insights into the types of brands that
work with influencers. According to the
professionals who took the survey, of those who MILLENNIALS ARE
confirmed to have worked with influencers in
2017, 76.4% say their target audience is mainly
THE TARGET
generation Y – millennials – 24 to 38-year-olds. AUDIENCE FOR
76% OF
Companies who target Generation X (adults
between 39 and 53 years old) follow closely
PROFESSIONALS
behind, and in third place we find Generation Z WHO CARRIED
as the target audience (younger individuals OUT INFLUENCER
between the ages of 6 and 23).
CAMPAIGNS IN
According to consultancy agency, Bain & Co’s 2017.
Luxury Report last year, Generation Y
represented 30 percent of all spending and,
together with Generation Z (born between 1995
and 2010), generated 85 percent of the luxury
growth in the last 12 months
Social media and new digital platforms have
made it easier for brands to reach these digitally
native consumers through content and brand
WHAT IS YOUR TARGET AUDIENCE?
stories. Influencers are another gateway to this
growing audience.
Between 24-38 (Millennials)
76.4%
Between 39-53 (Generation X)
19.8%
04
Between 6-23 (Generation Z)
3.1%
Between 54-72 (Baby Boomers)
0.7%
Target
MarketThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
EF F EC TI V EN E S SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Regarding the effectiveness of influencer influencer marketing for building customer
campaigns, FLC experts revealed the following: loyalty (19% increase compared to 2016). As far
as driving sales, this is the only category in
which we see a drop (5% decrease from the
> 89.6% confirmed that the activities they
carried out with influencers effectively previous year).
generated brand awareness for their
companies or products.
We could attribute these variations to the
> 73.3% highlighted that influencer campaigns increasing shift towards focusing campaigns
are effective for building customer loyalty.
on strengthening brand image and positioning.
> 69% find influencer marketing effective for
Stories and strategies through branded
driving sales.
90% OF content on a brand’s own channels – what we
refer to as owned media – has become
PROFESSIONALS increasingly relevant and oriented toward
There are some variations when comparing
CONSIDER INFLUENCER these figures to last year’s results. When it brand building. This is an obvious trend when
MARKETING EFFECTIVE comes to the effectiveness of generating brand looking at Gucci or Chanel’s strategies in 2017,
WHEN IT COMES TO awareness, we can see an increment of 5.6%. At for instance.
the same time, we’ve also witnessed a
GENERATING BRAND
significant rise in regards to the efficacy of
AWARENESS. 69% SAY
IT’S EFFECTIVE FOR
BOOSTING SALES.
RAISE AWARENESS ABOUT YOUR INCREASE CUSTOMER LOYALTY
DRIVE SALES
COMPANY OR ITS PRODUCTS
Non Effective
Extremely Non Effective
Non Effective
Effective
3.8% Extremely 11%
Somewhat
14.5% 11% Extremely Effective
Effective
Somewhat Effective 17%
Effective 6.5%
29.1% Somewhat
20% Effective
21%
Highly 16%
Highly Effective
Effective
24%
21.2%
05
Effective
28.7%
Effective Effective
Highly
33.3% Effective 32%
31.8%
EffectivenessThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
U SER SC EN A R I OSThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Results in regards to the scenarios for which
NEARLY 42% OF
professionals implement influencer campaigns
in 2017 are only slightly different compared to
PROFESSIONALS
the previous year. Industry experts claim that CLAIM THAT
among the different scenarios, product PRODUCT
launches are best for working with influencers.
LAUNCHES ARE THE
41.6% of professionals confirm that they choose
LEADING SCENARIO
to work with influencers mainly for product FOR WHICH THEY
launches (3.6% more than the previous year). IMPLEMENT
This category is followed by influencer
INFLUENCER
collaborations for events (28.1%) and content
promotion (24.5%).
CAMPAIGNS.
USER SCENARIOS
Corporate
Announcements Other
1.4% 4.4%
Product Launches
Content
Promotions
41.6%
24.5%
06
User
Events
28.1%
Scenarios“ Micro-influencers help to engage the target audience and
to drive more conversions because they can connect with
a faithful audience.
“
Jeoffrey Romano,
Digital PR & Social Media Manager of Santoni
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
S ELEN
INFLU ECC I Ó NODE
C ER UTRLOS
E AC H
IN F LU EN C ER SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
The influencer marketing landscape in fashion,
WHAT TIER OF INFLUENCERS DO YOU
luxury and cosmetics is immense when it comes
CONSIDER MOST EFFECTIVE FOR YOUR
to the array of influencers. Brands such as
BRAND?
Versus Versace opt for niche influencers for
certain campaigns in order to reach a more Celebrity
segmented audience. Then there are others, (1.5M+)
such as Coach, which choose to work with
celebrity influencers like Selena Gomez,
11.3%
allowing them to impact a larger global Mega
audience. (501K-1.5M)
When the industry professionals were asked
9.3%
Micro
about which tier of influencers they considered (10K-100K)
were the most effective for their campaigns,
they answered the following: 45.8%
46% OF BRANDS > 45.8% prefer to work with micro-influencers Macro
(101K-500K)
on their campaigns (influencers who have
PREFER between 10k to 100k followers).
WORKING WITH > 33.6% opt for macro-influencers (101k to 500k
33.6%
followers).
MICRO-
> 9.3% said they preferred working with
INFLUENCERS mega-influencers (501k to 1.5 million
followers).
ON THEIR > 11.3% said it was more effective to work with WHICH OF THE FOLLOWING ARE MOST
CAMPAIGNS. celebrity influencers on their campaigns. IMPORTANT FOR YOU WHEN SELECTING
INFLUENCERS?
When it comes to selecting the right influencer,
45% of professionals said the quality of content Number
was the most important criteria. 32% claimed of followers
that the engagement rate was priority, and 15%
8.2%
said the influencer’s niche experience mattered
07
most. Only 8% of professionals claimed that the Her/His
number of followers was the decisive factor.
niche expertise
15.1%
Her/His
content quality
44.9%
Influencers Rate of
engagement
Outreach 31.8%The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
IF NOT, WHY?
TAC T I C SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Sample lending and/or gifting has once again
ranked as the most used tactic by professionals
SAMPLING AND
in fashion, luxury and cosmetics when engaging
with influencers – a whopping 98% use this
GIFTING RANKED
method to be exact. HIGHEST AS MOST
USED TACTIC
Social media outreach has gained popularity
positioning it at second place in the ranking –
AT 98% WHEN
this tactic was only the fourth most used in 2016 PROFESSIONALS
– followed by event invites and email outreach.
ENGAGE WITH
Among the different tactics used, we can see
INFLUENCERS.
that sending press releases is still at the bottom
of the list. Despite ranking low, this method has
increased in popularity by 4.9% compared to the
previous year; 63% of experts used this tactic in
2017.
WHICH OF THE FOLLOWING TACTICS DO YOU
USE TO ENGAGE WITH INFLUENCERS?
98.5%
90.5% 89.8%
88.7%
78.2%
69.10%
08
63.3%
51.60%
Tactics Send Product Social Media
Samples Outreach
Invite to
Events
Email
Outreach
Share your
company's
One-to-One
Meetings
Send Press
Releases
Phone
Outreach
digital assetsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
HOW MANY YEARS HAVE YOU BEEN BLOGGING OR
GENERATING CONTENT FOR YOUR COMMUNITY?
C H A N N EL SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
With the introduction of various functionalities
on Instagram such as Instagram Stories
(specifically the swipe-up feature for verified
accounts) and Instagram Shopping, it’s no
wonder this social media platform still reigns
supreme as the preferred channel for influencer
campaigns. Although growth is minimal (at
35.8% as opposed to 34% in the previous year),
it’s still more than twice as popular as Facebook,
which ranked second.
Pinterest WHICH CHANNELS DO YOU
The only two other channels that saw a slight
3% PREFER TO USE WHEN
increase in popularity were Twitter (8.6% as
opposed to 8% in 2016) and Linkedin (3.1%
DEVELOPING INFLUENCER
INSTAGRAM IS STILL PROGRAMS OR INFLUENCER
compared to 2% previously). Snapchat saw the LinkedIn
MORE THAN TWICE biggest drop, from 10% in 2016 to 5.6% in 2017, MARKETING CAMPAIGNS?
AS POPULAR AS ANY while YouTube and Blogs also fell slightly as the 3.1%
OTHER CHANNEL; preferred platforms.
36% OF Snapchat Other
Ultimately, when it comes to preferred
PROFESSIONALS
CLAIM TO PREFER
channels, this scenario is quite similar to that of
the previous year. Yet, the fall we see with
5.6% 3%
Instagram
THIS SOCIAL MEDIA Snapchat and slight increase in Instagram
PLATFORM WHEN preference proves that the latter is continuing to
grow as the favored platform. This is especially
Twitter 35.8%
DEVELOPING important for brands who are targeting 8.6%
INFLUENCER millennials as they “are slightly more likely to be
CAMPAIGNS. daily users of Instagram than of Snapchat”
according to CivicScience.
YouTube
12.4%
09 Blog
13.1%
Facebook
16.3%
ChannelsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
INFLU EN C ER EX P EC TAT I O N SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
When influencers collaborate or work with
brands they seem to have the same
expectations as they did the previous year,
according to the professionals in this survey.
However, the types of expectations are more
evenly divided and a new interest has appeared:
networking with other influencers.
27% of fashion, luxury and cosmetic industry
experts claim that monetary compensation is
WHAT THREE THINGS DO INFLUENCERS LOOK FOR
the main incentive for opinion leaders, while
WHEN COLLABORATING WITH BRANDS?
20% say influencers are motivated by the
visibility a campaign could offer them.
Interest in receiving free products has grown.
27% OF This is the motivational factor for 19% of 27%
PROFESSIONALS influencers, up 6% from the previous year.
BELIEVE THAT THE
Professionals also confirmed that curating
20%
valuable content for their communities is
MAIN MOTIVATION another driving factor for influencers (which has
18.8%
FOR INFLUENCERS increased by 7%). The biggest growth was seen
IS MONETARY
in the interest to participate in new experiences,
which saw a 9% increase compared to the
15.7%
COMPENSATION. 20% previous year.
CLAIM IT IS VISIBILITY. 10.3%
This scenario demonstrates that there’s
opportunity for brands to propose mixed
programs when working with influencers, 8.3%
proving that both monetary and non-monetary
compensation can be motivating for opinion
leaders, depending on the type of activity.
10
Influencer Monetary
Rewards
Exposure Free
Merchandise
Valuable
Content
New
Experiences
Networking
with other
Expectations
and Information peersThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
CO M P EN SAT I O NThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Industry professionals are divided on the topic
of monetary compensation. While 29% say they
pay opinion leaders frequently and 12% claim
41% OF FASHION,
they always pay, 24.4% admit to only LUXURY AND
paying them occasionally and 15.6% never do. COSMETIC
What truly stands out in this category is the
PROFESSIONALS SAY
number of professionals that claim to only pay THEY ALWAYS OR
influencers for big campaigns; this has gone ALMOST ALWAYS PAY
from 6% in 2016 to 18.7% in 2017 (12.7% growth).
THEIR INFLUENCERS.
This data leads us to believe that brands have
become more selective when spending on
influencer campaigns and that non-monetary
tactics can be as effective as monetary
compensation.
DO YOU COMPENSATE THE INFLUENCERS
YOU WORK WITH MONETARILY?
Frequently
29.1%
Rarely
24.4%
Just for big campaigns
18.7%
Never
15.6%
11
Always
12.2%
Compensation“ I think fashion brands should invest in building authentic
relationships with a wide range of talent across mediums.
Brands need to be multi-hyphenate. Influencer marketing
“
is only one piece of a comprehensive strategy.
Aliza Licht,
EVP brand marketing & communications, Alice + Olivia
and the author of “Leave Your Mark”
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
CURRE N T & EX P EC T E D B U D G E TThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
In 2017 we found that the estimation
HOW MUCH OF YOUR OVERALL
professionals made a year before was accurate.
MARKETING/COMMS BUDGET IS
The budget allotted to influencer marketing
ALLOCATED TO INFLUENCER MARKETING?
campaigns has grown between 3% and 6% 50-70%
globally. 3.1% More than
70%
The number of companies that dedicate less 40-50%
than 10% of their budgets to influencers has 2%
fallen by 6% compared to the previous year. In
6.2%
fact, we can see that most professionals – a total 30-40%
Less
of 60% – confirm that their budgets will increase than 1o%
in the near future.
11.5%
40.5%
INFLUENCER
MARKETING
BUDGETS GREW IN 1o-30%
2017 AND 60% OF 36.7%
PROFESSIONALS
CLAIM THEIR
IN THE NEAR FUTURE, THE PART OF YOUR
BUDGETS WILL BUDGET ALLOCATED TO INFLUENCER
CONTINUE MARKETING WILL:
INCREASING IN 2018.
Be taken
away
Decrease
1.8%
12
4.5%
Increase
Current & Remain
the same 60%
Expected Budget
33.6%The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
RE LATI O N SH I P M A N AG E M E N TThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
This scenario remains as it was in previous years. 41% OF PROFESSIONALS
41.3% of fashion, luxury and cosmetic experts
confirm that those responsible for influencer
CONFIRM THAT THEIR PR
management in their companies are the PR and AND COMMUNICATIONS
Communications teams. TEAMS ARE THE ONES
Social media teams have become more relevant
RESPONSIBLE FOR
in this category, ranking second, as opposed to INFLUENCER
third place in 2016, and are followed by the RELATIONSHIP
digital marketing teams.
MANAGEMENT IN THEIR
This year’s report shows that external agencies COMPANIES.
represent a mere 3.6% of the replies articulating
the growing value brands see in internalizing
this relationship management.
WHICH TEAM MANAGES THE RELATIONSHIP WITH
This year we’ve also witnessed a slight growth in INFLUENCERS IN YOUR COMPANY?
the number of companies that have a team
specifically for influencer management. 9.3% of Designated Influencer
companies have these types of teams, Relationship team
compared to 7% the year before.
External Agency
Content
9.3%
Marketing Team 3.6%
PR & Communication
6.2% Team
Others 41.3%
6.7%
13 Digital Marketing
Team
15.3% Social Media
Team
Relationship 17.6%
ManagementThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
M EASU R EM E N TThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Social media engagement is still the strongest
26% OF FLC
KPI for brands when determining just how
effective their influencer marketing campaigns PROFESSIONALS
are, representing 25.8%. The top three factors CLAIM THAT SOCIAL
used to measure effectiveness remain the same
MEDIA ENGAGEMENT
as in 2016:
IS STILL THE
> Social media engagement STRONGEST KPI
> Web traffic
> Impact on sales
WHEN MEASURING
THE EFFECTIVENESS
According to the survey, professionals place OF INFLUENCER
more weight on the increase of web traffic as an
CAMPAIGNS.
indicator of influencer campaign success (this
KPI saw a slight increase, from 17% to 18.7%).
However, industry experts claim that impact on
sales is less decisive, as this key measurement
fell from second to third place with a drop from
23% in 2016 to 18.2% in 2017.
HOW DODO YOU
YOU COMPENSATE
MEASURE THE INFLUENCERS
THE EFFECTIVENESS OF
The quantity and quality of the audience
reached has grown in strength as an important
YOUR INFLUENCER MARKETING CAMPAIGNS?
YOU WORK MONETARY?
indicator, as has press coverage, which is a new
player in this category. Yet, the number of
mentions in blogs has lost traction, at only 7.5% Frequently
Social media engagement 29.1%
in 2017 as opposed to 15% in 2016. 25.8%
Rarely
Overall we can say that social media Increase in website traffic
18.7% 24.4%
engagement is still the solid choice for
measuring the effectiveness of an influencer Justonfor
Impact big campaigns
sales
campaign and that when brands select 18.2% 18.7%
influencers, they should pay closer attention to
Never
Quantity and quality of audience
the ability the influencer has to engage their
18.8% 15.6%
audience, as opposed to their number of
followers. Always
Press coverage reached
14
11% 12.2%
Number of mentions in blogs
7.5%
MeasurementThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
TO O L SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Each year, before launching our surveys, we
carefully analyze the questions from previous 22% OF INDUSTRY
years and incorporate new ones to ensure that EXPERTS CLAIM
we are offering a 360-degree view on the state
of influencer marketing, As the influencer
TO WORK WITH
landscape continues to evolve, more tools and INFLUENCER
digital platforms are emerging to assist industry MARKETING
professionals in influencer identification,
campaign measurement, scalability and more,
SOFTWARE OR
which is why we thought it vital to ask experts INFLUENCER
about the tools they have chosen to use. MARKETPLACES.
When asked about how they identify and
manage relationships with influencers, 35%
affirmed that they work with social media
monitoring tools. Google Alerts, Twitter, WHICH TOOLS DO YOU USE TO IDENTIFY AND MANAGE
Instagram and other native tools came in a close
RELATIONSHIPS WITH INFLUENCERS?
second at 30.5%.
100
CRM tools and more specialized influencer
marketing software were practically tied, at
12.2% and 12.3% respectively. 10% of industry Influencer 75
professionals confirmed that they benefited Marketplace
from using influencer marketplaces to identify 10%
suitable opinion leaders for their campaigns. 50
Considering that 60% of professionals claim
Influencer Marketing
their budgets will increase in 2018, it is highly Software Social Monitoring
25 Tools
likely that we’ll see more and more industry 12.3%
experts using software designed specifically for 35%
influencer marketing. We’ll be following this
CRM
data closely in the coming years.
12.2%
Google Alerts, Twitter,
15
Instagram and other native tools
30.5%
ToolsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
C H A L L EN G E SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
This category is where responses varied most
compared to 2016 and the differences are
notable. When considering the challenges that
FLC experts face, influencer identification
emerged as the area they struggled with the
most, representing 29.6%.
Whereas in 2016 a whopping 47% of
professionals stated that measuring the
performance of influencer campaigns was their
biggest challenge, only 28.5% chose this same
answer in 2017. Although still the second biggest
concern, the dramatic drop could perhaps be
attributed to the increase in monitoring tools
available to FLC brands.
30%OF PROFESSIONALS CHALLENGES WHEN IMPLEMENTING
CLAIMED THAT In third place we can see that content, a new INFLUENCER MARKETING PROGRAMS
factor in this category, also presented struggles
INFLUENCER for professionals. As more and more content is
IDENTIFICATION WAS generated by brands, it’s no wonder industry 29.6%
THEIR MAIN experts find it difficult to keep up. 28.5%
30
CHALLENGE, WHILE The most significant fall was regarding legal 26.8%
29% FOUND IT TO BE issues. Only 6.4% of FLC experts confirmed that
MEASURING THE dealing with legalities (related to monetary
compensation and contracts) presented
SUCCESS OF challenges, as opposed to 32% in the previous 20
CAMPAIGNS. year. This decrease could be due to the
implementation of certain laws, and therefore a
clearer view about the legalities of campaigns,
such as the Federal Trade Commission
10
8.8%
requiring influencers to disclose relationships 6.4%
with brands when promoting products.
16
0
Identification Measurement Content Scalability Legal
Challenges“ Today in the buying process there’s a new step, the Zero
Moment of Truth (ZMOT), when the consumer looks online
for information, reviews, opinions, etc. So, the brand needs
to manage this moment with content actions through
“
influencers focused on their specific target.
Stefano Ardito,
Managing Director of TwentyTwenty
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
KEY T A K EA W A Y SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018 1. MORE FASHION, LUXURY AND COSMETIC BRANDS WILL USE INFLUENCER MARKETING IN 2018. 78% of companies in the industry have implemented activities with influencers and this number will continue growing. 2. INFLUENCERS ARE ESPECIALLY EFFECTIVE FOR REACHING MILLENNIALS. 76% of brands that implemented influencer campaigns in 2017 targeted millennials. 3. INFLUENCER MARKETING STRATEGIES ARE POWERFUL FOR GENERATING BRAND AWARENESS AND BOOSTING SALES. New scenarios such as generating sales or customer loyalty are among the objectives obtained by professionals. 4. PRODUCT LAUNCHES AND EVENTS GO HAND IN HAND WITH INFLUENCER MARKETING. Product launch cycles are becoming shorter and shorter and influencers offer the possibility to create a quick and lasting impact. 5. MICRO-INFLUENCERS ARE KEY WHEN IT COMES TO REACHING MORE SEGMENTED AUDIENCES. 46% of professionals claim they gain more effective results when working with this type of influencer. 17 Key Takeaways
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018 6. SAMPLING OR GIFTING IS THE MOST POPULAR TACTIC WHEN WORKING WITH INFLUENCERS. 98% of professionals use this tactic and when observing its evolution over the past year, we suspect this will maintain. 7. INSTAGRAM REIGNS SUPREME AS THE PREFERRED SOCIAL MEDIA PLATFORM FOR FASHION, LUXURY AND COSMETIC PROFESSIONALS. Not only has the Snapchat landscape shifted, but functionalities such as Instagram Shopping are fulfilling brands’ needs and expectations in the industry. 8. COMBINING PAID AND ORGANIC CAMPAIGNS HAS BECOME KEY TO OBTAIN BETTER RESULTS. The number of brands that claim to pay their influencers has grown, while the majority of opinion leaders say they often consider collaborating for free. 9. IDENTIFYING QUALITY INFLUENCERS IS A MAIN CONCERN FOR PROFESSIONALS YET AGAIN. The micro-influencer boom will require professionals to gain more expertise or use specialized influencer tools to identify key opinion leaders. 10. BUDGETS AND INVESTMENT IN TOOLS SPECIFICALLY FOR INFLUENCER MARKETING WILL INCREASE. 60% of professionals confirm that their budgets will grow in the next year, which points to an increment in the number of experts who will invest in influencer-specific tools in the near future. 17 Key Takeaways
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018 M ETH O DO LOGY
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
This report is based on a survey that was sent out between the 8th
and the 26th of January 2018. A total of 600 professionals in
marketing, communications and PR from the fashion, luxury and
cosmetic industries completed the survey. On the following pages
you will find a breakdown of the profiles of the participants.
LEVEL OF EMPLOYMENT
Senior Management
34.2%
Middle Management SURVEY ANSWERS BY MARKET
28.7%
Other
12.6%
68.5%
C-Level
10.5%
Entry Level
10.7%
US / UK
Trainee/Intern
3.3%
11.6% 2.7%
AREA OF EXPERTISE
ES FR
PR & Communication
17.1%
38.5%
Social Media
17.6%
Marketing
16.9% IT
18
Content Marketing
9.2%
Influencer Marketing
10%
Digital Marketing
7.8%
MethodologyThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
WHICH INDUSTRY DOES YOUR
COMPANY OPERATE IN?
Fashion
74.4%
Luxury
16.9%
Cosmetics
8.7%
WHICH COMPANY TYPE DO YOU WORK FOR?
Agency
Brand
31.5% 48.3%
18 Media
24.7%
MethodologyThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
F r om an
In flu e n c e r ’s
P er s pe c t i v e
Who is considered an influencer?
The Launchmetrics definition of an influencer today is
anyone who uses their voice to speak directly to
consumers; a journalist, blogger, style icon, editor,
digital influencer, model, celebrity, etc.
*The results presented on the following pages are based on a survey answered by 200
influencers in the fashion, luxury and cosmetic industries in the United States and Europe
between January and February 2018. The respondents are members of Launchmetrics’
private communities, Style Coalition our premium Influencer network of Micro, Mid-Tier
& Mega Influencers, as well as GPS Radar, the members-only platform for
FLC professionals to connect and share.The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
INFLUE NC ER S: WO R K E X PE R I E N C E
A N D M E T H O DSThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
After surveying opinion leaders who work
66% OF specifically in the fashion, luxury and cosmetic
INFLUENCERS industries, we found that 46% of influencers
JUGGLE THEIR have been generating content for brands for the
past 3 to 5 years. Nearly 33% of individuals have
WORK WITH been working as influencers for 1 to 2 years, and
OTHER PART-TIME 19% have 6 or more years of experience as
OR FREELANCE opinion leaders. This data confirms that the
influencer phenomenon has been present
JOBS. globally for more than 5 years now.
On the other hand, it’s interesting to see that
only 34% of individuals are full-time influencers,
while 66% admit to juggling their work as
opinion leaders with other part-time or
freelance jobs. And, despite how prevalent
influencer marketing has become, only a small
HOW MANY YEARS HAVE YOU BEEN IS YOUR BLOG / INSTAGRAM / YOUTUBE number of influencers can live off of the content
BLOGGING OR GENERATING CONTENT CHANNEL...CURRENTLY YOUR PRIMARY they create for brands.
FOR YOUR COMMUNITY? OCCUPATION?
Less than 1 year
I have a part time job/freelance
project in addition to my personal
2.0% channels
6 or more
19.3% 31.3% I have a full time job and
only blog in my spare time
3-5 years 34.7%
46%
1-2 years
32.7%
Yes, I’m a full time influencer
34%
01
Influencers’ work
experience and methodsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Q UA NTIT Y O F WO R K
A ND TYP E S O F I N F LU EN C E R PROJ EC T SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
59% OF 48% of opinion leaders surveyed claimed to
INFLUENCERS spend an average of 6 to 15 hours on generating
content for their channels weekly, while 59% say
PARTICIPATE IN they work on 2 to 5 campaigns with brands per
2 TO 5 month.
CAMPAIGNS
WITH BRANDS
PER MONTH.
WHAT IS THE TOTAL NUMBER OF CAMPAIGNS PLEASE CHOOSE A MAXIMUM HOW MANY HOURS DO YOU DEDICATE
YOU PARTICIPATE IN PER MONTH? OF 3 TOPICS YOU ADDRESS IN YOUR CONTENT: TO YOUR PERSONAL CHANNELS PER WEEK?
48%
10 or more Women’s Fashion
84%
5.3% Beauty 60
5 to 10 68%
Travel 29.3%
16.7% 30.7%
Luxury 40
2 to 5
Food 29.3%
15.3%
59.3%
Home Decor 20% 20
1 or less Men’s Fashion 7.3%
20%
18.7% Sports & Health 0
8.7%
02
6-15 hours 16-40 hours 41 or more hours Less than 5 hours
Quantity of work and types of influencer projects“ My belief is that influencer relationships will begin to
deepen with brands in order to harness more integrated
relationships that build advocacy. Peer to peer influencer
marketing will certainly grow and the platforms coming to
“
the market to enable micro influencers to engage directly
with brands will facilitate this even further.
Emma Gregson,
Managing Director of ITB Worldwide
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
C H A N N EL SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Not much confirmation was needed as it is
INSTAGRAM HAS already a well-known fact that Instagram has
positioned itself as the preferred social media
TAKEN OVER AS THE channel for fashion, luxury and cosmetic brands.
MOST USED 99% of opinion leaders in the survey confirmed
PLATFORM. 99% OF that this is the star platform for them, followed
by blogs which are used by 85% of influencers,
INFLUENCERS and Facebook in third place which is used by
PREFER THIS 67%. Surprisingly YouTube only made it to 6th
CHANNEL. place, falling behind Twitter and Pinterest.
WHICH CHANNELS DO YOU USE TO CREATE CONTENT?
99.3%
150
85.3%
67.3%
100 56.7%
41.3%
31.3%
50
12.7%
6.7%
03
0
Instagram Blog Facebook Twitter Pinterest YouTube LinkedIn Other
ChannelsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
I N CO M E SO U RC E S
FO R I N F LU EN C E R SThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Sponsored content (articles, Instagram posts
82% OF OPINION or other formats) seems to have become the
main source of income for 82% of influencers.
LEADERS CONFIRM
THAT SPONSORED Social media ads are the second biggest
POSTS ARE THEIR source of income for 63% of opinion leaders,
and in third place we find that 49% of
MAIN SOURCE OF influencers received the biggest chunk of
INCOME. their revenues from affiliate links.
PLEASE INDICATE YOUR TOP 3 REVENUE SOURCES
Sponsored posts
82%%
Promotion on social networks
62.7%
Display media
48.7%
Affiliate links
40%
Event hosting and personal collaborations
04
36%
Video
11.3%
Income Sources
for InfluencersThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
S E RV I C ES R EQ U E S T E D
M OST BY B R A N DSThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
Not only is sponsored content the main source
of income for influencers, it’s also the type of
FOR 85% OF service that brands request from them the
INFLUENCERS, most. Among the top 3 services that brands
seek from opinion leaders are social media ads
SPONSORED – approximately 81% claim that FLC companies
CONTENT IS THE request this frequently – and display media or
SERVICE THAT banners on influencers’ websites (which 37% of
brands request).
BRANDS REQUEST
THE MOST.
PLEASE INDICATE THE TOP 3 SERVICES ADVERTISERS REQUEST FROM YOU THE MOST:
84.7%
80.7%
36.7%
33.30%
30%
12%
Sponsored Promotion on
posts social networks
Display
media
Affiliate
links
Event hosting
and personal
collaborations
Video
05
Services requested
most by brands“ [A great influencer campaign means] tapping
influencers that make sense for the brand and not
because a competitor worked with them! I love the
idea of a campaign that tells a story and having a
diverse cast of influencers create the messaging in
“
their own unique ways.
Aliza Licht,
EVP brand marketing & communications, Alice + Olivia
and the author of “Leave Your Mark”
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
INCOM E LEVELThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
When asked about their income level and how
much they expect it to grow based on the past
62% OF few years, we can see once again that only a few
INFLUENCERS SAW receive a notably high income. Nevertheless,
A 25-TO-50% RISE most opinion leaders claimed that their earnings
have grown compared to the previous year.
IN THEIR INCOME
OVER THE LAST 46.3% of opinion leaders receive less than
YEAR. $5,000 per year, meanwhile 62% confirm that
their income grew by 25-to-50% in 2017
compared to previous years.
WHAT IS THE TOTAL REVENUE YOU DID YOU SEE REVENUE GROWTH
GENERATE FOR YOUR INFLUENCER SERVICES PER YEAR? IN 2017 COMPARED TO THE PREVIOUS YEAR?
Less than $5,000
Yes, my revenue grew 50%
$5,000 - 10,000
Yes, my revenue grew 25%
$10,000 - 25,000
No change
$25,000 - 50,000
Yes, my revenue grew more than 150%
$50,000 - 100,000 11.9% 7.7%
14.2% Yes, my revenue grew 100%
$100,000 or more 7.5% 7%
16.4% My revenue has decreased
3.7%
3.5%
06
20.3%
29.4%
32.2%
46.3%
Income
levelThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
COLLA BORAT ION
AGREE MENTSThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
When working with brands, only 32.7% of
ONLY 33% OF influencers confirmed that they always
signed collaboration agreements, whereas
INFLUENCERS 60.7% claimed to sometimes work with
CONFIRM THAT THEY contracts. 4% of opinion leaders secure
ALWAYS SIGN agreements through influencer marketplace
platforms, and only a mere 2.7% said they
COLLABORATION never signed any form of a term sheet.
AGREEMENTS WITH
BRANDS. This data could be attributed to several
factors. For instance, many activities carried
out between brands and influencers happen
organically and don’t require a signed
agreement. And, the fact that only a small
number of opinion leaders work on big
WHEN YOU COLLABORATE WITH BRANDS, campaigns could also be an influential factor.
DO YOU USUALLY SIGN A COLLABORATION In any case, it will be interesting to keep track
AGREEMENT? of this data over the next few years to
understand the evolution of influencer
marketing in our sector.
Not Always
60.7%
Never Yes, always
2.7% 32.7%
07
4%
Collaboration
Agreements
I always work with
brands through
marketplace
platformsThe State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
INFLU ENCER S’ MOTIV ATION SWHEN CHOOSING TO Discovering influencers’ two main
WORK WITH BRANDS, motivations behind working with brands
INFLUENCERS ARE proved to be an interesting category,
especially considering the differences in
MAINLY MOTIVATED BY opinion on the topic between industry
GENERATING VALUABLE experts and the influencers themselves.
CONTENT AND
Whereas only 27% of marketing,
RECEIVING MONETARY communications and PR professionals
COMPENSATION; EACH claimed that influencers were motivated by
CATEGORY monetary rewards, a total of 62.70% of opinion
leaders in this survey confirmed that this type
REPRESENTING of compensation was their main incentive for
APPROXIMATELY 63%. working with brands. However, monetary
compensation was only in second place as
63.3% of opinion leaders claimed that
generating valuable content for their
communities was their primary objective
behind working on campaigns with FLC
companies. Conversely, a mere 15.7% of
WHAT ARE YOUR TOP 2 MOTIVATIONS industry experts believed that creating
FOR WORKING WITH BRANDS? valuable content was the main motivator.
Interest in gaining exposure through working
with brands on campaigns was the third
63.3%
biggest motive, according to a total of 52% of
62.7% opinion leaders. The two final incentives
chosen by influencers were networking
opportunities and free merchandise,
52%
representing approximately 20% each.
40%
What we can draw from this data is that
08
20.7% influencers are mainly interested in
20%
generating appropriate and engaging
content, and receiving monetary
compensation for it.
Valuable content Monetary Exposure New experiences Networking Free
for my brand compensation with other merchandise
relevant peers
Influencers’
motivations
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
ORGAN IC
COLLA BORAT IONSPreviously in the survey we could see that
influencers were mainly motivated by the
opportunity of creating interesting content for
their communities, and secondly, monetary
compensation. However, in this final category
we find that influencers are not completely
closed off to working with brands for free.
In fact, 44.7% admitted that they would be
interested in working with brands, but only
ones they truly admired. Meanwhile, 46%
claimed they would consider working for free
if the FLC company offered something in
return: whether it be trips, free products,
samples or others - as long as the
non-monetary compensation was enticing
enough.
WHEN DO YOU CONSIDER COLLABORATING
WITH BRANDS FOR FREE? Only a slight 2.7% refuse to work for free and
6.7% consider it would be worth it if the
opportunity led to working with other
Sometimes, when there are I never collaborate relevant bloggers or influencers.
other relevant for free
bloggers/Influencers From this data we can confirm that FLC
involved
2.7% professionals have a wide array of options
when it comes to their influencer strategies,
6.7% It depends on the
incentivizing opinion leaders through paid or
unpaid (but with other types of
type of
compensation they compensation) methods.
offer me (trips,
gifting, samples,
etc.)
46%
Only when it comes to
a brand that I really
love
44.7%
09
Organic
The State of Influencer Marketing in Fashion, Luxury & Cosmetics 2018
CollaborationsWorking on your
influencer campaigns
could be much e a s i e r w i t h a n
I n fl u e n c e r Relationship
Management platform
Get started on your strategy today with
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