Every now and then, there’s another issue that faces online influencers. From the removal of likes on Instagram to inconsistent reviews, are Influencers worth investing in? And are online shoppers really listening?
By now the retail scene has been doused in the notion of Influencers. ‘Are they here to stay?’, ‘Are they gone for good?’ “What’s next?’ – Although we can’t predict the future, the Power Retail team has data to determine how customers view these online celebrities, and how brands best use them.
In the latest Spotlight Series report Influencers: Are Online Shoppers Really Listening?, only 14 per cent of online retailers don’t utilise Influencers, whereas 49 per cent have multiple forms of relationships with the online superstars, including paid.
As many retailers who use Influencers know, they can be rather expensive to hire. In March, James Charles, a beauty YouTuber who has 15.7 million followers on Instagram alone, stated that some Influencers can charge upwards of $100,000 for a single sponsored post. Alongside its dear price point, there is no real way to determine the company’s ROI. “… the value of Influencers is hard to prove. Risk-averse companies tend to avoid things like this,” explained the former CMO of Showpo, Mark Baartse.
What Topics do Influencers Best Cover?
According to Power Retail’s latest research, amongst followers, women’s fashion is the single most popular online shopping influencer topic (33 per cent). The social media Influencers often cover cross-topic subjects, including beauty, homewares and parenting. The cross-topic Influencer accounts for ten per cent of the community, the report states. Influencers on these topics also have a significant across all other followers.
Which Influencers Suit My Brand?
There are so many different types of Influencers that grace the screens of customers every day, so it can be hard for a retailer to know which one will best suit its brand. “Our research found that there are effectively two kinds of Influencers,” explained Mark Fletcher, Power Retailer’s Insights Manager, explained. “There are ones who talk about women’s fashion, beauty, homewares or home and cooking, and they have an impact across the board. However, because of their broad impact, they can also be more expensive to use. At the other end, retailers can choose to work with influencers whose posts are much more specific to categories.”
In Power Retail’s latest instalment of the Spotlight Series Reports, Influencers: Are Online Shoppers Really Listening? are further insights into the ever-growing marketing tool. The report covers in-depth knowledge of the follower demographics, its impact on Australian retail and the utilisation of online influencers.
Tune in to the Power Retail Podcast for an overview of the latest report with Mark Fletcher. Listen below for the full podcast.