Last year, the influencer market was valued at $13.8 billion with businesses making over $5.20 for every dollar spent, said Keana Hoard, social media specialist for Ludwig Marketing & Sales, during a Maker Pass Session on Extending Your Reach With Specialty Food Influencers, at the Winter Fancy Food Show, yesterday.
“There are lots of benefits to working with influencers like receiving good quality content that you can use on your social media channels and your website,” said Hoard.
She related that there are five tiers of influencers including:
Nano influencers have between 1,000 to 10,000 followers, and are usually unpaid but brands may send them product in the hopes that they’ll post something about it in their feed or make a Tik Tok video about it, Hoard said.
Micro influencers have about 10,000 to 50,000 followers. They may recieve compensation in the form of a percentage of sales or rewards for the sales they make, which can be tracked via links and codes, noted Hoard. More than half (53 percent) of microinfluencers have never been paid to promote a post.
Mid-Tier influencers (50,000 to 500,000 followers) are typically paid and have a larger reach. “Their reach isn't always organic so we recommend standing between nano and micro, because once you reach these higher ranges, influencers don’t necessarily believe in what they’re selling,” Hoard said.
Macro influencers have about 500,000 to 1 million followers. “You’ll pay these influencers a lot of money to do a post,” Hoard said.
Mega influencers have more than 1 million followers.
When choosing an influencer, brands should consider their reputation, content, target audience, experience, and authenticity, according to Hoard. The influencer’s location is also important.
“In the U.S., it wouldn’t make sense to partner with a Canadian influencer, for instance, if you couldn’t ship your products to Canada, but if the influencer had 80 percent of its following in the U.S., it would,” said Hoard. In order to match your niche consumer segment, consider an influencer’s age, if they’re male or female, their family, activities, interests, values, passions, and the causes they support, she added.
When approaching an influencer, Hoard recommends first studying their page and sending a personalized email that is short and to the point so that it doesn’t get overlooked.
“Before discussing price or signing a contract, you want to decide if the content vibe matches yours,” said Hoard. If it’s a fit, brands may consider testing the waters with a discount code that is good for 24 hours. “Flash sales are also a great way to see if the influencer will bring in the sales you want,” she said.
Brands should also think about the shared benefits of an influencer relationship and focus on building quality relationships, since an audience will trust an influencer's authenticity especially if they see the influencer trying your products over time, said Hoard.
Related: Maker Q&A: Engaging Influencers; Establishing Influencer Marketing Compliance.