The Influencer Impact

The other day while I was combing through my hair, the distinct image of the pastel bear shaped hair “vitamins” flashed into my head. The image was none other than “Sugar Bear Hair Gummies”, a brand that has become somewhat infamous for their pervasive usage of influencer marketing. While I’m fairly aware of my susceptibility to ads, I was amazed by my ability to remember products in posts I scrolled past after less than seconds on my social media timelines. I then realized it wasn’t just the gummy vitamins that seemed to enter the archives of my brain- I basically had a directory of influencer-pushed products in my head, from cosmetics products to VPN softwares.

This moment sparked a realization of sorts — that there is one marketing concept that seems more prevalent than ever: the concept of influencers. Spend one minute on Instagram and this will become startlingly clear, posts focused on the endorsement of products like “Rapid Detox Teas” or fitness apparel are almost essential to the pages of figures with large enough followings.

As someone who is frequently on social media platforms where influencers hold great power, the images of Influencer-pushed products have been seemingly burned into my head, and I’m not innocent of scrolling through pages of posts about product reviews or new product releases. I’m aware this claim may feel skewed as I am in a demographic group that is possibly the most susceptible to be “influenced” by the influencer on a daily basis, but the concept of these social media rulers still intrigues me. The practice of using celebrities to sell products is by no means new, and social media has now become a must-have platform for marketing, but what is it about our modern “influencer marketing” culture that has allowed it to become a prominent force in not only our buying behaviors, but our entertainment, pop culture, and business culture?

I’ve quickly realized there isn’t really a concrete definition for what an influencer is- there is a sense of ubiquity for the term that differentiates an “influencer” from titles such as celebrity or public figure. Some influencers are stay-at-home mom micro-influencers that promote products like children’s toys and diapers, and others are travel Youtubers, or industry makeup artists with sizable followings. With such variations in mind, it is not surprising that the status of being an influencer is ambiguous, and due to the fact influencers are typically involved in matters like social media or entertainment, the term has been used by some as a more condescending label.

Despite this ambiguity, their purpose is clear. Their role is, simply, to influence. They are someone with control over the buying behaviors of a specific audience, and they may have specialized knowledge, authority, or insight about a specific subject. They are trusted by an audience, whether it is niche or not, and are viewed as a credible source for information about products, trends, business, or entertainment. While they are trusted and still appear to be public figures, they still carry a sense of familiarity or approachability that A-list celebs or corporations may lack. This aspect, the feeling of authenticity and “reality”, is a key player in the influencer effect: suggestions from these figures emulate a conversation between friends rather than advertisements, which may seem cold and distant. Through these repeated transactions, the influencer builds credibility and trust between not only themselves and their audience, but also between their audience and the brand they are promoting.

While there is a sense of authenticity that goes beyond the traditional advertisement, the influencer marketing technique is still, at root, a method for companies to boost profits. Some are hesitant to trust these figures who are paid large sums of money to promote products, and there is always the looming concern that dazzling reviews left about products are only so positive due to grand paychecks coming their way. Despite the overall lack of knowledge the public has about how influencer’s operate, some brands and influencers have disclosed the sometimes shocking payouts top influencers can make through product spotlights, and earnings can be as high as $60,000 for one video, which is slightly higher than the average yearly wage in the US. When looking at data for people’s faith in influencer-promoted products, it seems these earnings are either unknown, or simply irrelevant to the consumers. An Adweek study conducted in 2019 found that nearly half of Americans make purchases based on influencer recommendations, with a minority (30.4%) not trusting their authenticity. As people from online blogs become encapsulated into our everyday lives, it does make sense that they are bound to become sources we trust and are comfortable with.

Regardless of their potential for controversy, it is undeniable that influencer marketing has effectively placed a payout on social media metrics like likes, views, and other forms of engagement. Businesses are now viewing this form of engagement with their consumers as mandatory rather than an optional boost, and this is clearly evident in the abundance of product endorsements easily viewable on the most popular social media platforms. A 2018 study of various industries by Linqia Marketing revealed that 86% of marketers used influencer marketing, and 92% of these marketers found their influencer marketing effective in raising profits.

In terms of the future, I am interested to see how prominent this engagement-heavy marketing tactic becomes in the consumer’s everyday life. Today, products endorsed by these figures are typically niche and specific to target interests, but with the effectiveness of this strategy, products of all scales may need the push of these everyday experts. The players most important in our consumer decisions could still be industry leaders, or we could see an eventual shift to this influencer-heavy system.

The next time I reach for a product, will my decision as a consumer be fueled by my own subconscious choice or the effect of an influencer’s words?

Written by: May Zhou | IQ Associate