Influencer marketing has become one of the most effective ways to promote a product or service online today. And it's not just big-name celebrities who can take advantage of this strategy — anyone with enough social media followers (and maybe even some without) could be considered an "influencer." And now that many companies have embraced this trend, there’s no shortage of opportunities for entrepreneurs looking to join in on the action.
But before you jump into any new opportunity, here are five things to consider when deciding whether to work with influencers as part of your business. We'll also share how you might go about setting up an influencer affiliate program with these influential people so they can help spread word of mouth about your products.
What is the difference between affiliate marketing and influencer marketing?
In short, they're both methods of promoting a product or service by sharing information about it via various channels. But while affiliate marketing involves directly selling something through links to third party websites, influencer marketing does not involve sales at all. Instead, it relies entirely upon the influence of someone else to encourage others to buy from you instead. This means the only way you earn money is if those people actually follow through and purchase whatever it is they were exposed to.
This makes the process much more difficult than traditional affiliate marketing, since it requires building trust with potential customers rather than relying solely on clicks. That said, once you've built a relationship with the right influencers, you may find it easier to convince them to sell their followers' products than other affiliate programs. In fact, we wrote a guide focused exclusively on explaining exactly how to do this! It's called The Ultimate Guide To Influencer Marketing & Sales.
It should be noted that, although influencer marketing isn't technically direct advertising, it still falls under the umbrella of digital marketing. So if you want to learn everything there is to know about influencer marketing, you will definitely benefit from reading our guide.
Amazon created its own version of influencer marketing back in 2015, but it wasn't until 2017 that the company officially began referring to them as “Amazon Influencers.” These individuals aren’t necessarily famous musicians or actors, though they usually fall somewhere along those lines. They tend to be well known within certain niches like fashion, sports, beauty, etc., which helps make them attractive candidates for brands hoping to reach specific audiences using targeted ads.
You don't always have to hire an actual celebrity to run your influencer campaign either. Some smaller businesses choose to use regular Instagram users who already have thousands of followers, or YouTube personalities whose videos regularly attract hundreds of thousands of views, or even bloggers with loyal readerships. Regardless of whom you decide to partner with, however, you must ensure that whoever you select is following ethical practices and not violating any terms of service agreements associated with each platform.
If you're interested in learning more about what kind of content works best for different types of influencers, check out our guide to finding the perfect influencer for your niche.
No. While these two concepts seem similar, they are very different. An affiliate marketer pays commissions based on sales generated by his or her referrals, whereas influencers typically receive compensation for exposure alone. For example, if you had a friend who was really good at cooking, and she decided to create a recipe video on YouTube featuring your favorite meal. You would probably tell everyone you knew about it because it sounded delicious, and then try making it yourself after watching the tutorial. However, if you did end up buying the ingredients for your first attempt, you wouldn't expect to pay anything for your efforts beyond the cost of the food itself. Your friend would likely keep the profits and give you credit for helping her achieve success.
So yes, an influencer is not the same thing as an affiliate. If you’re wondering where the confusion comes from, it stems from the fact that there are plenty of instances in which influencers refer to themselves as ‘affiliates.' One notable example is when companies offer incentives for people to sign up for email lists, such as cash bonuses or free gifts. Often times, influencers will include a link to the site they came from in order to qualify for the bonus, which gives the impression that they are affiliates despite being compensated solely for generating traffic.
Of course, this doesn't mean that every single person participating in an influencer program needs to be a bona fide affiliate. Many companies simply use influencers as tools to build awareness around their services, and therefore have no interest in taking a cut of their earnings. Just remember that if you plan on signing up for any type of influencer program, it's essential that you understand how it operates. Otherwise, you risk running afoul of FTC regulations against unfair and deceptive trade practices.
Yes, there are plenty of successful influencers who make over $1 million per year thanks to their relationships with Amazon. There's no doubt that having an established presence on the world's largest retailer's website can boost your chances of becoming a household name overnight. After all, who hasn't heard of Oprah Winfrey or Ellen DeGeneres? Still, you shouldn't assume that your average internet personality is automatically worth millions of dollars simply because he or she happens to have tens of thousands of fans.
The truth is, unless you're willing to invest the time and resources necessary to develop a large following organically, you won't see results nearly as quickly as someone who receives assistance from major corporations. Even if you manage to land a high profile gig on a popular streaming channel, you still won't start seeing significant income until you hit several thousand subscribers. As far as earning money goes, you'd be better off investing your energy elsewhere.
Instead, focus on creating quality content that appeals to your audience and attracts attention wherever possible. Eventually, the search engines will begin to notice you and your page rank will increase accordingly. It takes time, but eventually, you'll enjoy consistent streams of revenue regardless of the size of your subscriber base.
We hope this article helped clear up any misconceptions you may have regarding influencer marketing. If you're ready to dive deeper into the subject, check out our complete guide to starting your own influencer affiliate program, including tips on how to avoid common pitfalls, plus advice on choosing the ideal partners for your campaign. Also, if you haven't done so yet, please read our post about why influencer marketing is better than ever before.
With so many options available, you certainly have a lot of choices when beginning your journey towards becoming an entrepreneur. By understanding the differences between affiliate marketing and influencer marketing, you'll gain valuable insight into the pros and cons of each approach. From there, you can determine which method offers the greatest rewards for your investment of time and effort.
If you’re looking at starting a new business or expanding an existing one, you may be wondering if hiring an influencer could help to increase sales. Influencer marketing has been around since as long as social media itself, but it's only recently that brands have taken notice.
Influencer marketing can take many forms, and there are several different types of influencer marketer organizations on the internet today. In this article we'll talk about some basics related to influencer marketing, including how the term "influencer" came into being, whether an individual or group would qualify as an influencer, and which platforms to use when setting up a campaign. We also explore tips for finding the right kind of influencer for your product, as well as ways in which influencers can benefit from partnering with your company.
The word “influence” comes from the Latin verb meaning to influence someone (to persuade). It was first used by Saint Augustine to describe human beings who use their words and actions to affect other people. This idea then spread through Europe and America before finally reaching Asia where it became popularized among the Chinese during the Ming Dynasty (1368-1644 AD) under the name guanxi. The English language borrowed these terms, and eventually combined them into the word “influencer.”
In its most basic sense, an influencer is anyone whose opinions and beliefs shape public opinion. As such, they should not be confused with celebrities, musicians, athletes, politicians, or even famous bloggers. Instead, true influencers are those individuals who possess strong followings within specific communities or demographics. They typically do so because of either inherent qualities like charisma or expertise.
An example of an influential person might be a chef who creates dishes based on cultural heritage or regional ingredients. Or think about a fashion designer who uses traditional techniques and materials while staying current with trends. These kinds of influencers will likely inspire others to buy products made by companies in their niche.
Not all influencers work online. Some prefer to create content offline, while others don't feel comfortable doing anything outside of their comfort zone. Others still, however, see themselves primarily as entertainers rather than experts. Regardless of what role they play, influencers usually find success using both conventional methods and digital ones. But regardless of their mediums, influencer marketing tactics tend to fall into three categories.
1. Direct Marketing – When done correctly, direct marketing takes place over email or text message, allowing consumers to contact influencers directly. While this method isn't always effective, it does allow influencers to interact more personally with customers. Another advantage of direct marketing is that it allows a brand to build trust between itself and the influencer. If the brand knows that the influencer won't just promote any old thing, it will be less inclined to push out junk emails promoting unrelated products.
2. Social Media Advertising - When done properly, social media advertising works much like direct mail campaigns. Brands pay influencers to post sponsored content within relevant groups. For instance, say a clothing retailer wants to advertise its newest line of jeans. Rather than paying $10,000 per month to run ads across Facebook alone, the retailer could instead pay an influencer to share information about the jeans' styles and prices. Since influencers already have large following bases, they're often able to reach thousands of people at once.
3. Online Advertisement - Online advertisements involve running paid ads on search engines like Google and Bing. Typically, these ads target keywords that relate to the product or service in question. By placing a link in the ad that leads users back to the website selling the item, advertisers hope that these users will purchase the product.
While none of these methods seem particularly groundbreaking, they all serve two main purposes. First, they give brands access to a wider audience, increasing the chances that potential customers will come across them. Second, they provide opportunities for influencers to make money without ever leaving home.
Although there are plenty of services available to connect businesses with influencers, here are four tools worth exploring.
Shop Style - This platform connects shoppers with retailers and makes shopping easier by automatically matching items that fit customer needs. Users sign up with Shop Style and upload photos of clothes they want to try on. Once uploaded, the app sends buyers requests to shop style sellers, who send the requested goods. Customers receive discounts on purchases that match their size, color, and material preferences. Sellers receive feedback from satisfied customers, helping them improve future offerings.
CJ Affiliate - CJ Affiliate connects merchants with affiliates who offer promotional codes for discounts and free shipping. Merchants choose the code they'd like to offer, select the price point of the discount, and add the coupon code to the checkout page. After purchasing, users enter the promo code in the comments box provided and get the discount.
ShareASale - Like CJ Affiliate, ShareASale enables merchants to sell discounted products via affiliate links. However, unlike CJ, ShareASale requires merchants to set up accounts and manually approve each sale. Both platforms accept payments directly through PayPal and Stripe.
ClickBank - ClickBank offers a variety of affiliate networks for ecommerce stores. One notable network is Powersellers Club, which gives members access to a marketplace of millions of affiliate partners offering products ranging from software to health supplements.
All of these sites will require you to fill out a form detailing your product, pricing, etc., which means you'll have to spend time creating listings for each item. Fortunately, most of these websites let you customize the listing templates to suit your own specifications.
No matter how you look at it, influencer marketing falls somewhere between advertising and promotion. On one hand, it involves a relationship between a brand and user, whereas on the other it focuses on building loyalty. Because of this, influencer marketing doesn't really belong anywhere in particular. You probably wouldn't call it advertising because it doesn't focus on making impressions. And you definitely shouldn't consider it promotion because it doesn't rely on generating awareness.
Instead, influencer marketing falls under the umbrella of branding. Branding refers to any activity designed to associate a certain image or identity with a company or product. Although no one seems to agree on exactly what constitutes good branding, generally speaking, it entails establishing a personal connection with clients and providing value above and beyond that of ordinary advertising.
It can include everything from creating memorable slogans and logos to sending personalized thank you notes after every transaction. Influencer marketing, therefore, builds on all aspects of branding that aren't necessarily tied to sales.
Tips for choosing the right influencer
To determine whether an influencer will be a good fit for your business, start by considering his/her demographic. Most influencers fall into one of five broad categories: young adults, women, men, teens, and seniors. Each category tends to attract a unique audience, so you'll want to pick an influencer whose interests align with yours.
Next, look closely at the number of followers he/she currently possesses. Not everyone who starts off with 1 million followers will stay successful forever, nor will every celebrity become rich overnight. Even though influencer marketing is relatively new, there are plenty of examples of big names losing popularity due to poor decisions. Therefore, it pays to invest in quality rather than quantity.
Finally, check to see if the influencer actually sells things. Sure, you might find a great artist on Instagram who posts pictures of her latest painting. But unless she's willing to ship said paintings to interested parties, she's unlikely to be useful. Similarly, if an influencer simply shares articles written by herself, he/she's probably not going to generate enough interest to be worthwhile.
Once you've found a few promising candidates, consider asking them to participate in a short video interview. During the conversation, ask questions regarding their background, goals, and experience. Then decide whether they're suitable for your brand. If so, proceed with negotiations.
If you're interested in learning more about influencer marketing, keep reading for our list of top 10 influencer affiliate programs.
There's a lot of buzz in the industry right now around "influencer" or "social media celebrity." Influencers have become increasingly popular as brands try to connect directly with their followers instead of relying on traditional advertising methods like television commercials, print ads, billboards, etc., which many consumers find annoying.
However, there is also growing interest from advertisers who want to tap into this large audience but don't necessarily have the budget to pay big-name stars for exposure. That's where affiliate marketing comes in - by partnering with an influencer you can get free (or cheap) publicity while generating revenue through sales generated by that person's social following. And it doesn't hurt if they're already connected with people who might be interested in buying products promoted by your company!
So how exactly does an influencer affiliate marketer partnership work? How can you decide whether it makes sense for you to join forces with one? What kind of compensation will you receive for promoting someone else's product? If you've never worked with an influencer before, read on to learn all about it...
An affiliate network works similarly to any other online shopping platform, except when you buy something via an affiliate link you'll earn commission rather than paying full retail price yourself. It's similar to referral commissions you'd typically see at brick-and-mortar stores.
For example, let's say you wanted to sell shoes online. You could set up your own website selling those same sorts of shoes using your own inventory and branding, or you could sign up with ClickBank to create a storefront and list your items for sale. When customers click through to purchase your item(s), you'll earn a share of the profits based on whatever rate you agreed upon with ClickBank.
The same goes for influencers, except the customer isn't clicking directly through to your site, they're going directly to the account of the person whose content they follow on Instagram or Facebook. The influencer receives a percentage of each sale made after he/she shares the promotion code from your offer.
If you run an ecommerce store, you may not even need to add an affiliate tracking system because most retailers offer tools that automatically track clicks back to your site. But if you're planning on offering physical goods and would prefer to keep things simple without extra software involved, then you might consider signing up with an affiliate management service such as Commission Junction or Shareasale.
You'll provide your affiliate ID number to these services so they can send payments out automatically once a sale has been completed. Both companies also allow you to manage multiple offers, allowing you to assign different codes to various promotions. For example, you might give a different promo code to every blogger who promotes your new line of clothing.
Of course, you must still have some sort of product to sell in order for this to work. If you plan on creating branded items designed specifically for bloggers, then you won't have anything to sell yet. However, if you're looking to expand beyond just clothes, accessories, makeup, and beauty products, you should check out our guide to choosing an affiliate marketplace.
In theory, yes. In practice, only certain types of influencers lend themselves well to affiliate marketing partnerships. Here are three key qualities that make for good influencers:
1. They've built a sizable social presence with lots of engaged fans
Influencer marketing requires building relationships with potential buyers, and to do that they first have to build trust with their audiences. This means engaging regularly with their fans' comments and questions, responding quickly to messages, retweeting relevant posts, liking photos posted by others, commenting on images shared by others, and sharing exclusive discounts and deals.
As long as your influencer has plenty of engagement opportunities available, she should be able to bring a significant amount of traffic to your page. Of course, quality beats quantity here, so focus on finding influencers with active communities that you feel comfortable interacting with.
2. They're known for being authentic
This ties closely with point #1 above because authenticity matters more than ever to today's digital age. Brands that rely solely on paid endorsements risk alienating their target demographic by coming off too pushy, fake, or disingenuous. Instead, look for influencers with a strong reputation for honesty and transparency.
3. Their fan base trusts them
Trustworthiness trumps popularity here. Many people flock to social networks simply because they enjoy checking in on friends, family members, acquaintances, and strangers alike. If you want to reach them, however, you'll need to convince them to take notice of you.
That's easier said than done, of course. To help you understand what it takes to gain the loyalty of influential people, we spoke with marketing expert John Jantsch, author of Influence Marketing. He explained that successful influencers tend to go against trends, and avoid hype and fads whenever possible.
They also strive to deliver valuable information and advice to their followers, instead of focusing on self-promotion and self-aggrandizement. These traits are especially useful in affiliate marketing because you want to attract people who are genuinely excited about your product or service. Your goal shouldn't be to pander to everyone, it should be to win over specific individuals who have expressed genuine interest in hearing more.
Jantsch says that you can tell if an influencer fits the bill by considering two main factors: her level of influence within her niche community, and her ability to convert visitors into leads.
He explains that people who post videos, articles, podcasts, YouTube channels, and blogs frequently are usually highly influential within their field. On top of that, they often generate a lot of organic traffic due to their high levels of search engine optimization skills. People who write books, hold seminars, and conduct webinars can also qualify as influencers.
It's worth noting though that anyone can start posting online, regardless of their qualifications. So you'll need to carefully vet prospective partners to ensure that they meet both criteria listed above. Once you identify potential candidates, ask them to complete a questionnaire that includes questions about their demographics, interests, hobbies, income sources, and past experiences related to your business.
Once you've narrowed down your options, choose one that seems like a good fit. Then you'll be ready to begin negotiating terms and conditions for your agreement. Depending on the size of your budget and the scope of your campaign, your influencer may charge anywhere between $50 and several hundred dollars per advertisement. She may also request a portion of the earnings generated by your promotional materials.
To figure out the exact breakdown, contact your chosen influencer and explain how you intend to split the money earned from his efforts. Ask him to specify what type of material he wants included and how many impressions it needs to generate in exchange for his fee. Negotiate until you agree on everything. Remember that it's ultimately his decision whether or not to accept your offer, so take care not to pressure him unnecessarily.
Many influencers opt to remain anonymous when accepting payment for affiliate links. Others will disclose their earnings publicly on websites like Poshmark, SpareFoot, and Fiverr. Some will even display pictures of luxury cars and designer handbags as proof of their success -- although you probably wouldn't associate a pair of Gucci sneakers with any real authority.
When you negotiate an agreement with an influencer, you should always include a clause stating that you expect a reasonable cut of the earnings from sales generated through his accounts. Otherwise, you risk losing control over how much money ends up flowing through your pockets. After all, you're likely hoping that your promotions lead to increased sales overall, not just to one particular individual.
One way to resolve disputes regarding how much you actually owe is to hire a third party arbitrator who specializes in interpreting contracts. A professional mediator can help you determine fair compensation for the time and effort required to fulfill your obligations under the contract.
Don't forget to factor in the cost of running your campaigns, including ad spending, hosting fees, production costs, shipping expenses, taxes, etc. All of these aspects play a role in determining how profitable your venture turns out to be.
Finally, remember that you'll benefit greatly from hiring a reputable agency to handle your influencer affiliate marketing campaign. An experienced consultant knows how to properly screen applicants, negotiate agreements, schedule events, monitor results, and troubleshoot problems. At the end of the day, nothing brings peace of mind quite like knowing that you've got a team behind you committed to ensuring your campaign runs smoothly.
Before contacting influencers to discuss joining forces, you'll need to gather details regarding their availability, pricing structures, preferred formats, and delivery preferences. Most platforms will require you to submit a standard form detailing the specifics of your project prior to making inquiries.
Just follow our battle-tested guidelines and rake in the profits.