67% of Marketing Firms Increase Funding for Influencers

Influencer marketing has become a mainstay for the advertising industry because of the fact that this is the sort of thing that could potentially end up connecting brands directly to consumers. CreatorIQ just put out a study that revealed the tremendous growth rate that this sector has seen over the course of the past year, and it suggested that influencer marketing budgets have become a lot higher than might have been the case otherwise.

Based on the findings in this report, two thirds of all marketing firms, or 67% to be precise, stated that they increased their marketing budgets for influencers between 2022 and 2023. 76% of them went so far as to divert funds from other areas in order to increase influencer investments. That reveals the true value of influences, since a majority of firms clearly think them to be far more useful than other marketing channels.

This is no surprise, considering that 61% of brands that used influencers reported that their sales went up with all things having been considered and taken into account. In spite of the fact that this is the case, not all firms used sales to judge the effectiveness of influencers. 51% preferred to look into their engagement levels, 28% analyzed the rate of conversions, and 11% dove deeper to look at what kinds of impressions they were getting.

One thing that bears mentioning is that brands are more likely to work with influencers that have already marketed their products in an organic manner. 77% of the companies that participated in this survey stated that they did this, which indicates that brands want to hire influencers whose audiences are already familiar with the products to some extent.

It’s not just larger companies that are benefiting from influencers either. The companies ranged in size from having just 15 employees to as many as 10,000, which clearly shows that influencers have a unique level of appeal across the board. It will be interesting to see how this market changes in the coming years as influencers become an increasingly critical component of the advertising industry around the world.

Read next: Influencers Are Far Less Effective Than User Generated Content, New Report Reveals
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