How to Measure and Optimize the ROI from Influencer Marketing


How to Measure and Optimize the ROI from Influencer Marketing

John Smith
| March 11, 2020 Last Updated 2020-03-11T16:00:13Z

It has been observed during studies that consumers trust recommendations made by a third party rather than the promises made by the brand itself. In fact, most people trust the reviews and testimonials written by a total stranger.

The logic behind this is simple and the psyche of most consumers is such that they will not believe you if you say that you have the best product or service. This is because such claims sound like bragging. But is someone else comes and tells them that the products of so and so company are excellent then the target consumers are more likely to believe it. This is because the opinions and recommendations are more effective when the source itself if not propounding them. This is where influencer marketing comes into the picture.

Influencer marketing involves approaching well-known people who have a sway over their target audience. These individuals in turn should be convinced to promote your product or service. This kind of marketing is ideal because it not only generates awareness about your brand, but also increases the traffic and sales on your website. This is because the followers of your influencers trust them and they are more likely to listen to their recommendations about your products or services.

You should understand that in influencer marketing the quality of the followers of an influencer are more important than the quantity. It is important to opt for influencers who are relevant to your target audience. This means that it is necessary to choose influencers whose followers are the target audience relevant to you. This will ensure that your influencer marketing campaign will resonate better with them. The main thing that you should do is to measure the return on investment in an influencer marketing campaign. This will give you an idea about whether your campaign is a success or not.

Best Ways to Measure ROI

Set campaign goals – The first and most important thing to do is set clear goals and objectives for your campaign. This will help you choose the right influencer, types of content and distribution platforms. Some of the common marketing goals for marketers are:

  • Reach newt target audience
  • Increase the brand awareness
  • Improve the advocacy of the brand
  • Increase sales
  • Manage the reputation of your brand

These are broad goals and in order to experience an effective and successful influencer program you need to set clear and precise goals. This will help you to track the ROI of your influencer campaign.

Define metrics to measure the campaign performance – in this case you first of all need to be specific. For instance, if your goal is to increase revenue then you should define by how much percentage you want to increase the revenue.

  • Set a timeline – in this method you should start getting track of the increase in traffic on your website within 2 weeks.
  • Set achievable goals – The influencer marketing program will be a failure if you are unrealistic in your goals.

It is not necessary to pick a single metric to gauge whether you have achieved the goal. For instance if your goal is to enhance brand awareness then you should keep a count of impressions, clicks, follower growth, brand mentions, increase in engagement with the brand etc.

You should have and develop clear goals for individual influencers – it is necessary to know the impact of online influencers. Based on this analysis you should focus on the influencers that work and cut resources spent on the ones that don’t. The goals that you set for individual influencers should align with your campaign goals.

Best Way to Optimize ROI on Influencer Marketing

If you are wondering how to get the maximum benefit from the influencer marketing campaign then it is advisable to conduct a lot of research online. Articles and blogs like this one will give you an idea about the influencer marketing ROI that you are able to generate.

Let us look at a few strategies that will help you to maximize your influencer ROI.

  • First of all identify and research your target audience – This is the central and important part of your campaign. It is important to select an influencer who has the reach and connection with your target audience. This is bound to enhance the response to the influencer marketing campaign and most of your target audience will act to enhance your revenue on a particular campaign.
  • Find the perfect influencer – this is very important and almost 68 % of marketers face difficulty in finding and identifying social media influencers that are just perfect. Here you also need to take in consideration the budget for your influencer marketing campaign. You should actually sit down and analyze the qualities that you want in your ideal influencer. This will narrow down your search and you will then focus on the qualities like authenticity, engagement, activeness, expertise and leadership.
  • Investigate the influencer feed – before you hire an influencer it is important to understand the social media field of an influencer before you take the decision to hire one. Here you need to ensure that there is enough space in the feed of the influencer for your promotion. If the feed is already overloaded with other ads and promotion then your message may get lost among all this.

By examining the feed of the influencer you will get an idea of the frequency with which they will post content. It will also help you to calculate the engagement rate. This in turn will give you a better understanding of the influence they hold socially.

Of course the main goal of any business is to increase brand awareness which leads to increase in sales. Influencer marketing is the best bet nowadays which can win the trust of your target audience and help you to enhance your business. This field is relatively new and marketers will benefit from searching online for the articles like this one for more information on how to enhance the success of your influencer marketing campaign.
Comment Closed
  • How to Measure and Optimize the ROI from Influencer Marketing

Trending Now