Influencer marketing has grown immensely over the last few years – but as it grows, brands are also experiencing more and more problems. From influencer fraud to a decrease in trust from consumers, here are 5 reasons it’s time to ditch the traditional influencers and start rewarding your loyal (and new) shoppers instead.
1. Stop struggling to decide who to trust
You may be shocked to learn that some of the “sponsored” content that aspiring influencers have posted… are actually not sponsored at all. Many Instagrammers have admitted to faking sponsored content in order to build a “resume” and convince real companies to actually sponsor them.
It’s hard to weed through the crowd to find people you can trust to post authentic content to real peers. Instead of wasting your time on this, reward your actual shoppers for purchasing your products and talking about the brands they love (you!) to their peers.
2. Stop losing money to influencer fraud
Influencer marketing fraud cost brands $1.3 billion in 2019, according to a Mediakix report (CBS News). This is because the influencers often don’t have as many followers as they claim. A rising number of Instagrammers are buying followers and likes, resulting in seemingly legitimate profiles that are actually influencing… no one (CBS News).
The report estimated that companies spend “$8.5 billion annually to persuade influencers… to market their products, according to influencer marketing firm Mediakix. On a good day, roughly 15% of the corporate dollars spent are lost to fraud.” Your marketing dollars are better spent elsewhere.
3. Stop promoting people your shoppers don’t trust
One huge reason companies spend so much money on influencers is because they believe their followers hold their opinions in high esteem. The truth is, only 8% of consumers say influencer-created content highly impacts their purchasing decisions (Stackla).
So, who do shoppers actually trust? Each other. People find that user-generated content (UGC) – content created by their own peers – is 9.8x more impactful than influencer content. They trust each other more than influencers, and especially more than ads. According to Nielson’s Trust in Advertising report, 92% of consumers “trust earned media, such as recommendations from friends and family, above all other forms of advertising.”
4. Stop sacrificing authenticity
The importance of authenticity in marketing is increasing steadily. 90% of consumers say authenticity is important when deciding which brands they like and support (Stackla). And unfortunately, fewer and fewer shoppers consider influencer content to be authentic.
A huge part of authenticity is disclosing branded content. Another is giving a product or service context. And when an influencer uses a canned response for a product their followers aren’t even sure they use, trust in their authenticity immediately falls. AdAge believes that this lack of authenticity is soon going to kill influencer marketing. So why bother sacrificing authenticity for a dying field?
5. START providing an authentic, personalized experience your shopper can relate to!
Your shoppers are saying, “I want to hear it from someone who I identify with, not somebody who is just famous” (CBS News). Even better, 86% of young people say they would absolutely post social media content for money – and 61% of young Americans are already posting about the brands they like (CNBC).
Guru Club provides a solution for both brands and shoppers. Brands can get authentic, relatable content straight from their shoppers. Shoppers get cashback rewards for making their usual purchases and sharing their creative content on Instagram. It’s a no-brainer total win for everyone involved.