Influencer marketing is resilient and growing. The influencer marketing industry will be worth up to $15 billion by 2022¹, and for good reason. Influencer marketing is an effective channel that’s worth the cost. Even during uncertain times, 96% of US and UK consumers engaged with influencers more during the pandemic, and brands are expected to spend $15 billion on influencer marketing by 2022.² This is great news for the industry, but with rapid growth, there are always challenges and adaptations to make it work for your company. The true cost of influencer marketing CHAPTER 1
If there’s one thing marketers agree on, it’s that influencer marketing is expensive
Popular macro and mega-influencers come with a huge price tag, with Kylie Jenner commanding a whopping $1 million per sponsored Instagram post, it’s no wonder that marketers cited the rising costs of influencers as a top challenge in 2019.³ With rapid growth of influencer marketing comes further challenges for marketers. Even though many now diversify their influencer partner portfolio to include more affordable micro- and nano-influencers, many marketers don’t have the capability to customize payments and incentives to suit a diverse portfolio.
¹ “Influencer marketing: social media influencer market stats and research for 2021.” Business Insider, January 6, 2021. https://www.businessinsider.com/influencer-marketing-report?r=USandIR.
² ibid. ³ ibid.
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