The future of influencer marketing: predictions and trends
Over the past few years, influencer marketing has attracted a lot of attention. In fact, there have been 1500% more Google searches for "influencer marketing" during the past three years. This demonstrates that there are plenty of opportunities for the industry's future. Influencer marketing is becoming more and more popular among brands, and as a result, more money is being put into it. According to a report by Influencer Marketing Hub, 63% of marketers want to raise their budget for influencer marketing this year.
Another study predicts that by 2020, the industry for influencer marketing would be worth $10 billion. Influencer marketing is undoubtedly here to stay. But what does the industry's future hold? It will inevitably alter as new technology and trends emerge, just like all other marketing methods. Let's look at some industry developments that we might expect to happen in the future.
The importance of micro-influencers
Brands are starting to understand that sometimes, less really is more. Any influencer marketing campaign's success is not only dependent on the number of followers. Because they purchase a lot of false followers, influencers have low interaction rates. Micro-influencers, on the other hand, have fewer followers but make an effort to keep a personal connection with their audience. As a result, more people interact with their posts. Micro-influencers are less expensive than well-known influencers with large social media followings. The future of influencer marketing will belong to micro-influencers.
Development of Influencer Networks
Influencer marketing's future depends entirely on the group. Marketers may start to classify influencers by their affiliations rather than by them as distinct people. Influencer marketing is all about surrounding yourself with the proper people, after all. If you have a connection to an influencer, your brand's reputation improves in proportion to its level of authority.
The brands that an influencer supports will also affect their reputation. It's similar to building influence centers for each specialization. Due to the overlap of numerous niches, each influence center is connected to the others. The interconnection of many niches will be emphasized in influencer marketing in the future. The most powerful influencers are those who have the ability to spread ideas among many groups.
In-House Influencer Programs are Growing
As more brands understand the value of working with influencers, they are looking for novel methods to do so. They also understand that stronger marketing requires establishing long-term relationships with influencers.
In-house influencer programs are the way of the future for influencer marketing. Building relationships with people is the main goal of internal influencer marketing rather than disseminating material. Additionally, this arrangement enables companies and influencers to collaborate more directly.
The loyalty and relatability that in-house influencers provide are qualities that other influencers just cannot match. Their recommendations appear more sincere and genuine as a result. These characteristics will determine how influencer marketing develops in the future.
Stronger Advertising Guidelines
Influencer marketing used to have a terrible rap for being unethical and immoral. The Federal Trade Commission issued formal warning letters after becoming aware of the unethical actions being taken in the sector. The FTC also released rules to safeguard consumers' best interests. Influencers must disclose their connections to brands in accordance with these rules.
Influencers are required to disclose whether they are writing compensated reviews or receiving complimentary products. Influencers frequently utilize the hashtags "paid" and "sponsored" in their postings as a result. Making policies to increase influencer marketing transparency has already started. Influencer marketing will put more of an emphasis on maintaining consumers' high levels of trust in the future.
Growing CGI Influencers
The introduction of CGI influencers to the influencer marketing sector has altered how brands approach partnerships. The term "CGI influencers" refers to influencers who were made using computer-generated imagery. Each scene from the life of a CGI influencer is produced in the virtual world over the course of hours by programmers and designers. CGI influencers can be spotted posing in far-off places on their social media platforms. Many luxury marketers have begun working with CGI influencers in order to capitalize on the intrigue that they arouse.
CGI influencers are becoming more and more well-liked by brands since they give them complete control over how their products are promoted. Real-world influencers' unpredictable nature can be avoided.
More specialized than ever
It makes sense that content and expertise will grow more specialized as there are more influencers online than ever before. Additionally, brands will have the chance for organic targeting thanks to the rise and popularity of micro-influencers. Brands may deliberately tailor content to reach people who are highly relevant to them by examining influencer content, values, and engagement.
In 2022, Livestream shopping has been the main topic of conversation. Social media sites are determined to figure out how to make in-app e-commerce a reality in Western countries, from Pinterest to YouTube and everything in between.
Social media networks both cut back on and increase their spending on in-stream purchasing and Livestream commerce services in 2022. With video-based holiday shopping presentations, Pinterest and YouTube are embracing the trend in business. Additionally, there have been recent rumors that TikTok is developing its own fulfillment facilities in the United States, directly competing with Amazon.