November 19, 2020
Marketing Agencies Face Challenges with Influencer Marketing
Brands' total influencer marketing expenditures in 2019 was $8 billion, and that number is expected to jump to $15 billion by 2022. Considering the growing popularity of this industry, marketing agencies that aren’t offering their clients this service are missing a huge source of revenue. Influencer marketing enables agencies to maximize their reach more than legacy marketing practices.
In a recent survey, 30% of marketing agencies said their biggest challenge is reducing the amount of time spent managing their influencer campaigns. Many agencies try to bring this service in-house, but don’t have the resources to do it properly.
Enter influencer management software. This software enables agencies to spend a fraction of the time managing their influencers. Agencies have many choices for influencer management ranging from paying a one-time upfront fee of up to $5,000+ for an on-site solution to a monthly fee of thousands of dollars for a company like Achoo. At the other end of the spectrum, RockitBoost™ offers completely free access to their platform for marketing agencies. All of these companies can help find and manage influencers, find campaigns for their influencers to promote, manage split-payments and communication to influencers—all with ease.
Another big challenge that over 50% of agencies say they struggle with is spotting fake followers. It is a well-known trend in the influencer industry, and brands fear investing money and effort into influencers with an artificially inflated follower count. One way to avoid the problem entirely is to use a platform like RockitBoost™ that only pays for results like traffic and sales. A fake bot is not going to convert. Pay-for-performance eliminates the problem entirely. Pay-for-performance reduces the uncertainty that comes from paying for posts that may or may not convert. Matt Moore, of MarTech Advisor, echoes that when he stated, “Most influencer marketing programs use vanity metrics, such as likes, comments, and shares, in an attempt to measure success. As influencer marketing grows in importance, marketers need to change their mindset and build performance-based deals with their influencer partners.”
If brands and agencies take advantage of an influencer management software to address the challenges of time commitment and fake followers, they will gain a better understanding of how influencer marketing can help them reach their business goals.