Influencer Marketing Study - SES · 2018-08-31 · for influencer marketing activities Just under...
Transcript of Influencer Marketing Study - SES · 2018-08-31 · for influencer marketing activities Just under...
Influencer Marketing Study
June 2018
Background
Q: Which of the following geographies best describes your area of
responsibility?
• This document contains results from an
online survey of WFA members in Q1
2018
• 34 companies took part representing 15
categories and approximately $59 billion
in global media & marketing spend
• All respondents use influencers to market
their products online 54% “only
occasionally / in some markets” and 46%
“very often”
Global33%
Asia Pacific7%
China5%
EMEA38%
India4%
Latin America
4%
USA & Canada
9%
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership www.wfanet.org/members
Majority have an influencer policy in place
Q: Does your company have a policy on how to work with online influencers?
Q: Is influencer marketing covered by: Your marketing policy/A company policy specific to influencer marketing/Don’t know
BUT:
“Currently working on it”
“Coming soon”
Covered by:
• 45% marketing policy
• 55% specific policy for influencer
marketing
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
71%
26%
3%
Yes No Don't know
Majority rely on external partners to identify and
manage influencersQ: Who identifies the online influencers your company is working/wants to
work with?
Influencer identification Influencer management
64% 63%
Q: Who manages the online influencers your company is working with?
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Recommended external partners
ADDITIONAL INFORMATION
WFA is happy to pass on members’ experiences and/or recommendations. Please note that any such experiences and/or recommendations do not reflect WFA's position and should not be considered as WFA's experiences and/or recommendations. In particular, WFA does not undertake any investigations or make any judgments on the quality or the performance of any agency and does not take any responsibility for the accuracy of experiences and/or recommendations expressed by its members.
“We work with our PR agencies…”
…to help you manage the online influencers your company is
working with:…to help you identify the online influencers your company is
working with:
3
Identifying and contacting influencers
ADDITIONAL INFORMATION
WFA is happy to pass on members’ experiences and/or recommendations. Please note that any such experiences and/or recommendations do not reflect WFA's position and should not be considered as WFA's experiences and/or recommendations. In particular, WFA does not undertake any investigations or make any judgments on the quality or the performance of any company and does not take any responsibility for the accuracy of experiences and/or recommendations expressed by its members.
• “Social media stats – reach and revelance segments”
• “Social media analytics”
• “Manual search”
When managed internally, brands use the following tools to
identify online influencers:
3
58%
33%
25%
25%
Email Social Media Don't know Other
Personal contacts
from fairs & events
What is your primary form of contacting online influencers
about a potential collaboration?
70% of brands always sign contracts when
working with influencersQ: Does your company sign contracts when working with online influencers?
70%
22%
4%4%
Always Sometimes Never Don't know
Comments:
• [We] “very rarely [sign contracts] because we take
an editorial rather than paid approach. There is a
risk influencers do not deliver on expected ROI.
But 90% of the time, we get what we want and
more.”
• “This is managed through the agency who
indemnifies us.”
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Pre-peak for Influencer
marketing
Q: How important will online influencer marketing become for your company in the future?
Q: Looking ahead to the next 12 months, how is your company's online influencer marketing budget likely going to
change? (Including all resource costs, activation costs, agency fees, technology, etc)
• Whilst all participants use influencers (100%)
• 64% of respondents stated it will become
more important in the future - or stay the
same (32%)
• 65% shared their influencer marketing
budget is likely to increase in the next 12
months (anywhere from 10-100%). 30% said
it will stay the same.
Leading platforms for our respondents Q: Which online channels does your company select for influencer collaborations?
85%100% 44%67%
Facebook is the
second most
widely used social
media platform for
influencer
collaborations
Instagram is used
by all respondents
for influencer
marketing activities
Just under half of
marketers use
Snapchat for
influencer
marketing
comes in third with
67% of brands
selecting it for
influencer
marketing activities
Note: followed by Twitter 33%, Blogs (Tumblr/Wordpress) 30%, WeChat 19%, Pinterest 19%, Line 7%, LinkedIn 4%, FB Messenger 4%, Other 4%
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
4%
11%
11%
14%
21%
21%
32%
39%
50%
57%
11%
37%
61%
32%
46%
57%
39%
50%
46%
36%
That the influencer has a niche audience
That we can script/approve the content
The amount of followers/subscribers/fans of the influencer
That the influencer has a reasonable fee
The quality of engagements the posts of the influencer get
The amount of engagements per post of an influencer
That the influencer is transparent and discloses the commercialrelationship
The topics the influencer writes/speaks about
The quality of the followers the influencer has
Credibility and reputation of the influencer
Absolutely Essential Very Important Of Average Importance Of Little Importance Not Important At All
Reputation and quality paramountQ: Please rate the following criteria in order of importance for your company when choosing to work with an online influencer
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
59%26%
15%
Yes No Don't know
Brands seek reputable influencers, however, not all
encourage transparency about the collaboration…Q: Do you actively encourage the online influencers you work with to disclose the commercial relationship with your brand?
How members actively encourage transparency:
• “We stipulate that when working with an influencer our teams
must: "Ensure that the exchange of goods, services and
experiences is clearly disclosed in all relevant communication, by
both the company and the influencers involved. We have a
section in our dedicated policy which provides guidance and
examples of how this can be done both written and verbal”
• “Requirement to disclose commercial relationship is included in
contract”
• “Always with #AD #SPONSORED or #SPONSORED CONTENT”
• “[We] ask them to use our hashtags“
• Tagging us, saying "with xxx" (on FB), or disclosing in the editorial
text itself
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
23% 21% 19% 18%8%
45%42%
24%32%
8%
21%
29% 18%
23%
32%
17%
29%
18%
23%
14%
38%
Through the use of hashtags (e.g. “advertisement”)
In the description text of thepost/video
Through a “paid partnership” label (e.g. as provided on
Instagram)
Verbally mentioned (in avideo)
It is not disclosed
Always Very Often Sometimes Rarely Never
#Hashtags most commonly used to disclose
commercial relationships
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Q: How is the information about the relationship with the brand usually disclosed by the influencers you are working with?
14%10% 6%
52%52%
6%25%
11%
14%14%
22%
35%
16%
14%
10%
17%
10%
37%
5%14%
50%
30%37%
We offer them a flat fee perpost/video
We provide products/services forfree per post/video
We offer them a fee based onperformance
We do not compensate them (butmight send them products to test)
We provide products/services forfree based on performance
Always Very Often Sometimes Rarely Never
Majority of brands pay/offer free services & products
per post/video vs. based on performanceQ: How are the online influencers you work with remunerated by your company?
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Multinationals seeking awareness & new audiences
Q: What are the top goals your company wants to achieve through online influencer marketing? (Select top three)
86% 74% 69% 46%
Increase
brand
awareness
Reach
targeted/new
audiences
Improve
brand
advocacy
Increase
sales
conversion
Note: manage reputation also cited by 11%
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Success = reach (and engagement)Q: How does your company measure the success of online influencer collaborations? (KPIs)
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Main challenges in working with influencers
42%Lack of editorial
control & therefore
risk for brand
reputation
33%Lack of transparency -
non-disclosure of the
commercial
relationship
38%Non-compliance with
regulations/standards
Others:
• Resource: Lack of time to manage influencers - “We sign them up and forget about them”
• Lack of authenticity and brand fit – “Having a collaboration that goes beyond just money”
• Moving from an ad-hoc to long-term relationships
• Organic reach is very low
• Lack of professionalism of some influencers
• Measuring ROI – “Business fails to understand the impact”
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
21%
28%
32%
32%
38%
36%
28%
32%
Brand safety: influencer may be inaccurate
Reputation: influencer marketing is a sensitive area and can cause negativepublicity.
Legal/ financial: law suits/ financial penalties
Consumer trust: lines are blurred.
Very concerned Concerned Moderately concerned Slightly concerned Not concerned
Multiple concerns relating to risk management
Q: How concerned is your company of the following risks related to online influencer marketing?
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
Commonalities in terms of advice from peers
Approach and alignment
• Address internal
objections/understanding
first, by far our biggest
obstacle.
• Ask them to promote mass
product or send product
directly, do it before
important launches as
influencers rather do not care
about [your] timing.
• Make sure there is a
program for the influencer
already set up prior to sign
them up.
Q: Do you have any watch-outs or tips other members should keep in mind when working with online influencers?
Ensure risk mitigation
• Researching, risk
management
• Always get a legal
agreement and cover the
risk
• Ensure you have a process
in place and fully understand
who bears the risk. Ensure
FTC compliance.
• Payment should be
performance oriented
Transparency & authenticity
• Authenticity is key; long-term
trumps "one night stand“.
• Authenticity: Be clear about the
"overlap" between your brand's
value set and the influencer's
value set. It should be a true,
strong fit. Consumers have
gotten too savvy to be blinded by
commercial partnerships.
• Be transparent!
• Check legalities of disclosure,
which differs by platform and
market. Influencers talk to each
other... if you start paying one in a
market, there'll be an expectation
that you'll pay others too.
• Fraud.
“
”
WIP, WFA work on influencer marketing
90% of respondent would welcome WFA’s recommendations – so we will do that!
A practical guide for “better” influencer marketing:
effective and responsible.
Watch-outs for marketers
Practical guidance relating
to disclosure
Overview of existing rules (statutory and
voluntary)
Maybe reference sectoral
specificities (HFSS, alcohol,
kids involvement)
Source: WFA Online Survey. Date: Q1 2018 Respondents: 38 from 34 companies in WFA membership
All WFA benchmarks, survey results, agendas and minutes are reviewed by Hogan Lovells
International LLP, our competition lawyers.
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The purpose of the WFA is to represent the interests of advertisers and to act as a forum forlegitimate contacts between members of the advertising industry. It is obviously the policy of the
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As a condition of membership, members of the WFA acknowledge that their membership of the WFA is subject to thecompetition law rules and they agree to comply fully with those laws. Members agree that they will not use the WFA,directly or indirectly, (a) to reach or attempt to reach agreements or understandings with one or more of theircompetitors, (b) to obtain or attempt to obtain, or exchange or attempt to exchange, confidential or proprietaryinformation regarding any other company other than in the context of a bona fide business or (c) to further any anti-competitive or collusive conduct, or to engage in other activities that could violate any antitrust or competition law,regulation, rule or directives of any country or otherwise impair full and fair competition.
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