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With the pervasiveness of the internet, online advertising becomes profitable both for small and large businesses to attract consumers, compared to traditional media in the past five years. Online advertising revenues in the US rose by 22%, to a record of $72.5 billion, surpassing TV ads ($69 billion) in 2016.

An average person is exposed to over 1,700 online ads each month, but only half of them are actually viewed. The use of ad-block applications also rose by 30% in 2016. Consumers today have become immune to ads. They don’t take what brands are telling them at face value and prefer trustworthy sources – a trusted friend, family member, expert or social media influencer.

They rely on these sources before making purchase decisions to seek assurance of a good quality or experience. A research from Nielsen confirmed that recommendations from close peers or family are the most trusted source of information, rather than company websites, consumer reviews, and editorial articles.

This leads to the rise of influencer marketing. Influencers are considered to be credible because of their expertise in a specific subject matter and their ability to engage with their followers. Thus, brands can capitalize on this by using influencers to reach the consumers on social media platforms – where internet users spend most of their time.

In 2017, 71% of internet users are using social media platforms and these figures are expected to grow in the future. Social media has become the channel where influencers connect with consumers.

The most popular platforms for influencer marketing are Instagram and Youtube. According to Goldmedia, sponsored content from both platforms accounted for 34% and 31% of total influencers respectively.

Shifting to Top Tech Influencers

Huawei Mobile, a global provider of smart devices, partnered with a top tech influencer, Judner Aura to introduce the new Mate 10 Pro smartphone by giving an in-depth review of the phone on his Youtube Channel (UrAvgConsumer).

His Youtube channel has the most viewed technology product reviews of all time, with some of his most popular videos generating around 1 million views. The fact that he is extremely well-known for his knowledge of consumer-tech products makes his reviews credible. Thus, influencers like Judner Aura act as a guide that followers turn to before pulling the trigger.

Retail Chains Turn to Fashion Bloggers

H&M utilized Instagram to target young consumers, with its 700 million monthly users ranging from 16-24 years old. A research showed that 85% of Gen Z uses social media platforms to learn about new products and is more receptive to product information on social media.

To promote its H&M Divided Collection, H&M partnered with fashion bloggers, Julie Sarniana and Megan Ellaby on Instagram, resulting in a huge spike in followers just moments after the post was uploaded.

According to 2017 ShareIQ analysis, H&M generated 39 million Instagram engagements from just 486 posts and 20 times higher engagement than its competitors. Since then, H&M has been a strong performer on social media platforms, joining forces with fashion bloggers, style bloggers, models, and other fashionistas.

Joining forces with influencers are effective because it leads to building a brand’s credibility since they specialize in a particular category of content. Take advantage of their recommendations, testimonials, product reviews, and commentaries to attract consumers on social media platforms.

40% of respondents mentioned that they made a purchase after seeing a social media influencers using the product or service. Influencer marketing is a worthwhile investment and if you plan to increase your budget for influencer marketing for your business, make sure to check out the infographic below.

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