Are you still on the fence about trying influencer marketing for your D2C brand?
Well, you’re not alone.
Many companies are still uncertain about the true value of influencer marketing and whether it’s worth the investment.
82% of D2C brands use influencer marketing as a part of their overall marketing strategy.
The India influencer marketing industry is currently valued at INR 1275 crores and will grow at a CAGR of 25% for the next 5 years. India alone will be an INR 2800 crores market by 2026.
STATISTICS DON’T LIE.
But why are so many D2C brands turning to influencer marketing? Let’s figure it out.
Top D2C Brands Endorsing Influencer Marketing
There’s no shortage of examples regarding D2C brands endorsing influencer campaigns.
From beauty and makeup to sustainable living, D2C brands across various industries are turning to influencer marketing to promote their products and reach their target audience.
MyGlamm is a beauty and makeup brand that has collaborated with several popular Indian influencers to promote its products.
MyGlamm leveraged the personal experiences and expertise of celebrities like Sharddha Kapoor and several other influencers to promote their #MyGlamm campaign.
The result? Increased brand awareness and a spike in sales.
Myntra, an Indian D2C ecommerce platform for fashion and lifestyle products, has been making waves with its influencer campaigns.
In 2022, Myntra collaborated with over 2500 influencers to reach 250 million people for their End of Reason Sale (EORS).
They partnered with many famous Indian celebrities such as Virat Kohli, Anushka Sharma, Kiara Advani, Hrithik Roshan, and Siddhant Chaturvedi to promote their sale in a relatable and authentic way.
Licious is a D2C brand operating in a farm-to-fork model.
Licious is known for working with multiple influencers like food bloggers and chefs.
To make heads turn, Licious collaborated with celebrities like Sunil Kapoor and NTR for their marketing campaigns.
Licious took a smart step by working with NTR after his successful release of RRR, knowing the actor could effectively influence his audience.
Stats to Blow Your Mind
It’s going to be percentages and numbers for now; hang on! It’s worth it.
As mentioned before, statistics don’t lie. Have a look at the numbers supporting influencer marketing’s results for D2C brands.
Marketing Budget Spend
Among the entire marketing budget allocation, 17% of Marketers spend over half a percentage on influencer marketing.
ROI from Influencer Marketing
89% of marketers say the ROI of influencer marketing is high compared to other marketing channels.
Influencer Marketing Spend
The survey conducted among marketing agencies and brands globally in 2022,
- 39% invested 10-20% of their marketing budget
- 5% invested more than 40% of their marketing budget
Business Categories on Influencer Marketing
The top 4 categories contribute 70% of their efforts in influencer marketing.
Consumer Buying Decision
59% of consumers try a product, while 52% purchase the product when suggested by an influencer.
Influencer marketing is no longer an option but a mandate. Established and budding D2C brands endorsed influencer marketing; ignoring this would cost losing your D2C clients.
Why Influencer Campaigns Over Paid Ads for D2C Brands
Paid ads prevailed in the digital marketing business for a long time, but newbie influencer marketing is taking over how marketing is performed.
Paid ads are pop-ups on your screen or occupy any website’s white space.
You must have clicked on the “X” mark to make it disappear.
The point here is that ads are almost considered an annoying factor to most target markets out there.
Ads are designed with a catchy headline and CTA. That’s it. You get to target your audience based on demographics.
Yet ads don’t resonate with your target audience as an influencer campaign does.
See the below example to understand how influencer campaigns can impact a D2C audience compared to a paid ad.
Here Saurav Ganguly aka Celebrity is talking to his followers, trying to connect with them. Though the same brand’s paid ad has a catchy headline, good design, and CTA, it doesn’t connect to the audience as an influencer does.
The resonating level increases when a Micro/Macro/Nano influencer comes into the picture. The influencer would personally engage with your audience, building trust and driving them to buy the product.
The magic sauce here is the Human Touch.
Here’s a breakdown of the paid ads and influencer campaigns to understand better:
Know What Agency Folks Say
Autumn Grey is a creative and brand consultant specializing in digital and social advertising.
Autumn Grey performs full-fledged influencer marketing campaigns for their clients via the Qoruz platform.
OMS Digital is a Brand solutions division within the Times group handling influencer-led digital campaigns.
Madison World is a leading communications agency operating in a competitive yet long-term gains-driven model.
Benefits of Influencer Marketing for D2C Brands
Understanding the potential benefits of influencer marketing helps you help your clients achieve their desired goals.
Access to Target Market
Gen Z and millennials are the most active on social media and are heavily influenced by the content they see.
You can effectively reach this audience by partnering with influencers with your target market following.
Promotes Brand Awareness
When collaborating with influencers, your client’s brand eventually receives the target market attention as it should.
Increase in ROI
Targeting the right audience, any D2C brand can see a significant return on investment in terms of increased website traffic, conversions, and sales.
Additionally, influencer marketing can lead to long-term brand loyalty and advocacy, which can result in even more sales in the future.
Influencer marketing is a crucial aspect for any D2C brand to expand its reach, promote its brand and drive sales.
As an agency, it’s essential to understand how influencer marketing can aid your clients in achieving their goals. Don’t miss out on this opportunity to take your client’s marketing efforts to the next level by incorporating influencer marketing.