Stephanie Jiang’s Post

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Director of Growth Strategy @ Darkroom

Most brands have no idea how much they should be paying influencers, and make completely arbitrary decisions based on emotion. But you can actually make very systematic budget decisions around influencer marketing, just like any other performance media channel. Here's how you should think about it: 1. What are you primarily looking to get out of this influencer? Is it content, revenue, or brand awareness? (And if your answer is "all of the above", you're setting yourself up to fail.) 2. Can the influencer actually deliver on what you're asking for? Have they delivered on the objective for other brands? 3. What's the KPI for success? 4. How much can you afford to pay this influencer while having a reasonable chance of success? Based on your answers, your budget and the type of influencers you'd be working with would vary greatly. If you're looking primarily for content, don't reach out to an influencer with 300K followers. The ROI would be terrible. Work with nano-influencers or content creators who can make you a TikTok style ad for $200-350. If you're looking to drive revenue, don't seed your products to 100 micro-influencers and hope for a miracle. Terrible ROI against time spent. Work with macro-influencers with great presentation skills and an engaged community (this shows up in the comments section). Rates generally go for $10-15K per 100K views on YT/IG. If you're looking to create brand awareness, there are two routes: The Parade route is for brands who are cash-poor and product-rich—seed your products to nano-influencers within your product or community vertical. The cost is entirely loaded on product + shipping. The Revolve route is for brands who are cash-rich and product-poor (as in your products are too costly to send out en masse)—work with a few high-profile influencers with 600K+ followers and onboard them for long-term, organic activations. These partnerships tend to be on a retainer model, with a certain # of required postings per period. Expect 5-figure deals or higher. Go into influencer marketing with the right expectations and things will flow a lot easier :)

Danny Groner

Fixing what ails consumer businesses

1y

Thanks for sharing this. Can you discuss, briefly, how growth stage of a business factors into these decisions? What stage of a company's growth would lead them to begin to speak about the power of influencers, and, conversely, when would they consider moving away from using influencers? I've heard conflicting wisdom on that. I'm especially interested in this subject now that we are in a bearish market, and every marketing dollar needs to be spent wisely, with limited budgets available for "Let's try this out and see what happens." So whatever data you can share, relevant to what's happening in 2023, would be appreciated.

Malize E.

Co-Founder, Joint-CEO & CMO w/ Raftur Games, talks about #VideoGames, #NeuroDiversity, #InfluencerMarketing #BrandManagement, #ProductManagement

1y

If you don't mind, I would like to offer two additional pieces of counsel: Establish a relationship with influencers prior to presenting any proposals. This should be approached with a similar mindset as a B2B relationship, as failure to do so will result in the proposal going unnoticed or the influencer not being aligned with your brand. Consider prioritizing brand safety over the number of followers. The influencer partners you choose speak volumes about your brand and serve as a reference point for your target audience. These may seem like basic considerations, but they are often overlooked 😊

Kylie Wiser

Content Marketer | Web Designer

1y

Great advice. I've seen too many business owners discount influencer marketing "because it doesn't work" when they're simply taking the wrong approach.

Kasey Luck

Founder of Luck & Co | Email & SMS for Ecommerce

1y

Omg wow! Amazing advice and love this structure. I think so many brands will pick “all of the above” in step 1 (and not only when it comes to influencer marketing, but other channels, too)

Himanshu Saleria

Product Manager | B2B SaaS | Creator Economy | Developer Tool

1y

Do you know any product that has solved this well?

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Alie Campbell

Slightly Interesting Marketer | Campaigns | Content | Social Media | Events | Partnerships | Demand Generation ✨

1y

This! 👏👏

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Joyce Chou

Fractional Content Marketer | I support bootstrapped teams with content strategy, operations, and writing/editing.

1y

This is gold, Steph!

Michael Fulwiler

Brand Marketing at Heard, the financial back office for therapists | Founder of Fulwiler Media | Author of Therapy Marketer

1y

Brittney Reynolds

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