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Home > Blog > Digital Marketing > PPC >

Influencer Marketing ROI: Boost and Measure Your Marketing Effort Effectively

Influencer Marketing is a new form of marketing that is seeing more and more popularity. It’s an opportunity for brands to leverage the power of influential people who have a significant following on social media. It is a low-cost, high-impact strategy that can often increase sales and brand awareness. You will learn about the challenges in calculating influencer marketing ROI and which tool can help to measure the campaign performance effectively.

Influencer Marketing ROI

Research has shown that 84% of consumers have at least made a purchase based on an influencer’s recommendation so why to miss to boost ROI with influencer marketing? Let’s dive in.


ppc-signal-optimization-tool

What is influencer marketing, and how does it work?

Influencer marketing is a strategy companies use to tap into an influencer’s followers and promote their products or services. Influencer marketing braved Covid-19 to grow by 42% in 2021 from $9.7 billion in the previous year to $13.8.

Marketers can hire or work with influencers on social media sites like Instagram, YouTube, and Twitter. The most successful campaigns are those where the company has found an influencer who’s similar to their target market.

Influencers are in demand. The average social media user trusts an influencer up to 10x more than any other form of marketing. Establishing a relationship with influencers can be both time-consuming and costly, but it will provide your brand with the best ROI. They already have an established following, which you don’t have to work to gain, so promoting your business through them will be an effective way to promote your products or services.

How effective is influencer marketing?

  • Influencer marketing is now an integral part of any marketing strategy. More than ever, consumers are taking their cues from influencers on social media rather than companies. But how effective is it? The nature of this type of marketing is that you often don’t know the ROI until after the campaign has ended. A high ROI can be achieved if influencer posts can drive website traffic and people sign up for your newsletter.
  • Influencer marketing is effective – Most of people said they read at least four reviews before purchasing a product, and around 80% of them said that influencer marketing influenced their purchase decisions.
  • Influencer marketing, popularized by social media sites like Instagram and YouTube, can be effective. As people are more likely to believe recommendations from their friends than ads or other sponsored content, influencer marketing can be great for getting your brand in front of potential customers.
  • Influencer marketing is not just about celebrities. Instead, it’s interlinked with other networks in the context of social media. The goal is to communicate your message naturally to target audiences. Brand ambassadors are able to do this well by providing their opinion or perspective on your brand or product or by communicating with followers about products and services they use themselves.

7 Ways To Boost Your ROI with Influencer Marketing

There are many ways that influencer marketing can help your company’s ROI. Here are ways to boost your ROI with influencer marketing.

i-Find the right influencer

You want someone relevant to your product or service, has a following that matches your target demographic and is the right fit. You also want to look for someone with a track record of success in social media marketing. Optimally, you’ll find an influencer who’s achieved at least 5% ROI through their social media efforts. You can find these people by looking for their “influence score.” So influencer marketing ROI is directly affected by how much people have influence on others when they promote your brand or services.

To boost ROI with influencer marketing, the best way to find the right influencer is to think about what you need. A company with a product for young children will want someone who has experience working with babies and young kids.

You also need to think about what your influencer’s audience wants. If your company manufactures organic food, you might want to find someone who focuses on healthy eating or gluten-free dieting.

ii-Measure ROI From Influencers

One of the most important things to do is measure your ROI. This should be done at least every quarter and should also be completed before you start using influencer marketing. You want to set a target for sales and then observe how sales increase with the help of an influencer and then calculate your influencer marketing ROI. It is normal that the ROI will differ from one campaign to another, but it is important that it’s always calculated, no matter what.

Influencer marketing is becoming more and more popular as brands realize that it can provide a big ROI. With the help of influencers, brands can connect with audiences they might not otherwise be able to reach. However, it is possible for companies to go about influencer marketing without understanding what return on investment (ROI) means and how to measure it.

iii-Set Goals

When it comes to boost ROI with influencer marketing, you need to set goals. This will help you determine your ROI and whether or not it’s worth the efforts to try and find an influencer.

You should set realistic goals that are achievable and will result in a higher ROI because there is no point in going through the trouble of finding an influencer if you don’t have a specific goal in mind.

iv-Use Hashtags

An influencer marketing campaign can be a great way to increase your ROI, but only if you’re using the right hashtags. If you’re not using one of the most popular hashtags, your posts will go unnoticed and won’t generate the reach that they deserve so effort may go in waste if you want to boost ROI with influencer marketing.

v-Offer affiliate links

Affiliate links are the best way to boost your ROI. They are so effective because they are designed to provide you with a commission for driving traffic to an online store. When your visitors click on your affiliate link, they will be redirected to an online shopping site.

You can either use it as a marketing tool or offer it as a visitor-generated content opportunity within your blog post. Also, affiliate links provide make it easy for you to track ROI. You can create affiliate links for each influencer to make it easy for you to monitor their individual performances.

vi-Provide promos

Influencer marketing has been around for a long time. It is a powerful way to reach your target audience, but it can be difficult to manage. The best way to execute this strategy is by providing promo codes or coupons to influencers to give to their followers. Getting them onboard is the key to success.

vii-Use several influencers in your marketing.

Influencer marketing is much more than just paying famous people to promote your products. It’s about strategically building relationships with influencers who have a large following and can help you achieve your goals.

Working with lots of different influencers will help you reach a wider audience than if you only work with one or two. You’ll also want to work with influencers who are active on social media and have an engaged audience. Plus, it’s important to vet each influencer for their relevance to your brand.

Tips

Benefits of Influencer Marketing ROI

  • With digital influencers, you can reach more people than ever before and simultaneously cut down your advertising spending.
  • Influencers have the ability to interact with their followers and give their opinions on various topics such as product reviews, personal anecdotes, and expert advice.
  • Partnering with influencers who match your target demographic is a way to grow your ROI by tapping into existing customer bases quickly.  Rather than building your own customer base, you can use platforms like YouTube and Instagram to collaborate with influencers who already have an existing following. This will give you access to their subscribers and help build your brand reputation.
  • Influencer marketing is a great way to get your product/service in front of your target market. It costs less than traditional methods and can be an effective technique for getting customers to take action on your ads.
  • One of the benefits of influencer marketing is that customers are able to connect with the product or service on a personal level because it’s coming from someone they already know, like, and trust.
 ppc audit report bottom

Which tool can help to measure Campaign Performance in PPC?

Gone are the days when your advertisement was working on intuitions, now you have stats, facts and figure to measure when your digital campaigns are running.

PPC is a great way to target the most intended advertisement based on the user search. But you can’t ignore the detail stats of your advertisement. Having good impressions may not be your goal if you want to have more conversions. Similar, if you are having conversions but still your campaign is wasting a lot of money and your cost per conversion is going high then instead of getting profit and high ROI you will be going in loss.

You can feel ease if you have a smart tool like PPC Signal. This tool has amazing technology to monitor simultaneously multiple campaigns and do analysis on large data to filter out such results which needs immediate attention. Let’s have a look on its dashboard below.

Boost ROI with Influencer Marketing

If you look at different tiles on the image, each tile is representing a unique signal or alert.

In one signal, it is highlighting conversions are moving downward and on another signal it is highlighting cost per conversion is moving upward, so both signals are important.

If you look at signal tile closely you will find that when that change has started to occur. In which campaign it is happening on which ad group and keyword.

Boost ROI with Influencer Marketing

You can even click on Explore button to go into the detail of that signal.

Boost ROI with Influencer Marketing

Even you can add multiple metrics on the same signal to check the behavior of the trend.

Boost ROI with Influencer Marketing

As you can see in above image, clicks are also added on the chart to see the comparison side by side with conversions.

So just assume, if you have hundreds of campaigns and each campaign has minimum 10 keywords and each keyword is costing you minimum $1, you might be missing thousands of dollars in a single day if your conversions are going down and you only getting clicks.

So why keep on missing the areas which is draining your budget and causing decrease in your ROI.

Adopt such amazing AI and machine learning enabled tools and save lot of money to increase your ROI.

 ppc-signal-optimization-tool

FAQs:

How do you increase sales with influencer marketing?

A successful influencer marketing program increases your ROI by bringing more people into contact with your brand. This means that they will be more likely to purchase something from you. The best way to do influencer marketing is to find influencers with similar audiences to yours.

Do influencers increase sales?

Influencer marketing is quickly becoming an important part of the advertising industry. It is estimated that as many as 70% of millennial trust their favorite influencers as much as they trust family and friends. Brands are more than willing to pay influencers with a strong following because they can drive so many sales.

Wrap Up

Influencer marketing is a powerful tool that, if executed successfully, will boost your return on investment. You need to carefully measure the ROI of an influencer campaign before you commit to it because many things can go wrong. It’s not something you want just to start doing blindly to boost ROI with influencer marketing.

There are so many advantages to partnering with influencers. You can still market your product or service without spending a lot of money on advertising. If you choose the right influencer, they could give you access to their social media audience. This is an incredible tool for increasing brand awareness and boosting ROI.

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