As one of the leaders in the influencer marketing space, we have worked with many brands over the last few years and have seen our fair share of failures and successes of influencer programs.
Behind the vast majority of influencer advertising fails, are just two root causes: one philosophical and one operational.
The philosophical cause of the failure of an influencer marketing program is that the majority brands experimenting with influencer marketing for the first time, think about their practice as being transactional involving an influencer and a new. In other words, ‘let’s attempt to reach out to a few influencers about this item launch we’re doing or this seminar we’re sponsoring and see when we get some outcomes’.
Invariably this strategy is going to be met by a resounding failure. Why, you because for influencer marketing to operate, you have to create connections and relationships that are fantastic are like cathedrals, they require time to build.
Imagine for a minute I purchased this suit that is new, allow me to set up a bunch of dates that you’d approach dating the same manner and I will know if relationship ‘functions’. Hmm.
It’s only once you’ve accepted that you need to spend time on your influencers that you’ll be able to cross the chasm of influencer activation ROI.
Success in influencer marketing doesn’t needunlimited fundsbut it calls for a balanced strategy
Playing the long game with influencer marketing doesn’t mean that taking a measured approach to progressively ramp up your investment in time and money can’t be attained, rather the contrary.
However, the factor to dial down or up your influencer marketing efforts is not time but instead the amount of relationships you attempt to construct once.
The other root cause for influencer program neglect is purely operational. In the start of an influencer program, you and your teamprobably have very little experience in influencer marketing. Though there’s hardly any magic or sophistication in executing such programs,you may be attracted towards oversimplification.
We see that all successful influencer programs are composed of three Important elements:
- Technology (influencer detection, management, analytics)
- Resources (whether internal or external, usually a combination, to develop relationships with influencers and also manage the program)
- Influencer invest (commissioning work for the influencers or spending cash on them, such as traveling, free products, etc)
Too often, brands fresh to influencer advertising will invest the majority of their funding in these 3 categories while dismissing another two, resulting in the predictable collapse of an app hardlyborn.
Success in influencer advertising does not needinfinite fundsbut it calls for a balanced approach involving all three categories of expenditures. By tuning your strategy, finding success and starting small, you will be able to justify greater scale and investments.
Keep track of budget
Though technologywilloften be over represented in the first days of an influencer program, itshould notabsorb the totality of an IM budget. As the app scales, technology will be immediately superseded by funds in costs.
Influencer costs will probably be slower to creep up as money is best spent oninfluencers once a relationship has been established, but it is going to then become your dominant expense once your apps has attained maturity.
Such investmentsat influencer advertisingwill vary almost you to 100 depending on the business, its business and its degree of maturity together with the practice of influencer advertising.
There is a process and a discipline to budgeting for these apps. Here is we chose to share our own budgeting frame and hopefully help you build a budget on sound ground.