Samantha Turner, Commercial Director at Glispa, examines the possible decision-making motives in the following article and shows different solutions for using ROI as the primary KPI (key performance indicator) for measuring success. With the help of social influencer marketing, advertisers and CMOs can expect a real effectiveness of their campaigns and, for example, expect significantly increased user engagement, such as app installs, registrations, subscriptions and transactions for mobile applications:
Extent and range
Anyone who has already successfully built up a reputation online often reaches millions of relevant readers with their own posts. This happens not only in the lifestyle and fashion sector, but also in the gaming industry: For example, the Swedish web video producer PewDiePie currently has over 40 million followers with his YouTube channel of the same name. Cooperations with such social influencers therefore not only expand the radius of action of the companies, but are also in no way inferior to paid burst campaigns in terms of their reach. In comparison, paid ads are much more expensive and their amount varies depending on the market and the size of the target group.
Positioning and visibility
Incent media or other low value formats are generally used for "financial" compensation. In terms of value, however, only a few paid ads are compensated by this, as they have no real value of their own. Only the organic downloads that are achieved through visibility in the app charts also have real value.
Interestingly, it turns out that strategic measures with social influencers pay off in the same way as classic burst campaigns. Influencers in particular are able to achieve the set goals within a manageable period of time, for example via live stream, and at just under half the cost of classic campaigns.
Furthermore, the additional value creation - especially the benefit of a brand - which is otherwise achieved solely through chart visibility, outweighs the benefits. This is reflected not only in the mere increase in page visits, but also in the variety of user-generated content of the relevant target groups in the (local) communities, on social or fan pages, in videos or discussion forums.
Quality and User Lifetime Value (LTV)
On average, organically targeted campaigns scale two to three times better than their paid counterparts. With targeted influencer marketing and the help of their community leader, the majority of users can distinguish supposedly organic content from authentic and trusted sources. A look at the data shows that influencers have a much stronger direct and indirect impact on user lifetime value than other platforms, channels or even media.
ROI and partner selection
Referring to the above, the great potential of conversion coming from influencers is not surprising, but always also dependent on an extremely targeted influencer selection and the advertising content agreed with the partners. Nevertheless, the majority of current influencer offers are rather problematic from a performance point of view. Many offers are only accessible via special influencer networks, agencies or platforms, and 90 percent of them are geared toward publishers. Paid access to these networks or other payment models are usually the first hurdles when marketers with tight budgets want to achieve a high user lifetime value while spending as little as possible.
Here, it is better to apply performance-specific KPIs such as CPI and CPR, which have nothing to do with brand awareness. However, the majority of solutions move in the wrong direction, and the few advertiser-focused companies that offer influencer relations as a performance model tend to work both ways. That is, they use very high CPIs, CPRs as well as minimum sales to avoid risk. Others are based on rather uncertain selection procedures, which are used to filter out the most suitable influencers in each case. The quality of such a selection is not immediately obvious. After all, a high reach of followers does not automatically mean an equally high relevance or status of a social influencer.
Selection of the appropriate market
A prior consideration of the targeted market is absolutely necessary. For the success of large-scale campaigns, it is easier to first target important core regions such as Western and Central Europe and Southeast Asia, rather than CIS (former Soviet republics) and Latin America as a first step. Due to the manageable costs incurred for influencer marketing, the potential risk also remains in the low range. Regionalities, such as language, should also definitely be considered in the selection process: An influencer in Mexico who communicates in Spanish will not only achieve a large reach in his home country, but also in all probability in all of Latin America and even in Spain.
Find the right platform
The right platform is also crucial in the context of influencer selection. Can an influencer who operates on Twitter achieve an equivalent reach as an influencer who focuses on YouTube? A YouTube channel makes the content it produces available to its audience via live stream and/or upload. In contrast, a tweet, with a more limited text or image-based format, offers decidedly less scope for information and remains prominently placed for followers for only a short time. This measure offers no sustainable value, with an initial impact equally questionable. Realistically, it proves best to use amplifiers in campaigns, but certainly not to focus on a specific platform.
It's a different story, of course, when you can draw on a multi-million dollar marketing budget like Nike did for a Twitter-based influencer campaign featuring the ten most popular NBA players. Few advertisers, however, are in the enviable position of being able to draw from such a budget.
For all others, it is important to derive as much as possible from your own experience and to work with partners who have real expertise and can present relevant case studies. For every market entry strategy, performance-based social influencer campaigns can be absolute success boosters, which can be used to identify transactions and sales.
Samantha Turner started her career at M&C Saatchi Mobile and is now Commercial Director at Glispa, managing key advertiser accounts and supply partners including influencer relationships. She is also the initiator of Voltu, the performance-based social influencer network for mobile user acquisition.
Glispa Global Group is a mobile marketing pioneer that enables its clients to activate global audiences and enter new markets. With its ad mediation platform Ampiri, which gives mobile app developers full control and visibility over their entire mobile app inventory, and the recently launched social influencer platform Voltu, Glispa works with the largest publishers and app developers worldwide. Headquartered in Berlin and with offices in Beijing , Bangalore, San Francisco, Tel Aviv, Sao Paulo and Singapore, Glispa employs an international team representing 45 nations and speaking 32 languages.