May 30, 2019

Nano-Influencers – who are they and why they’re getting marketing returns

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Nano-influencers are on the rise and rise. Why? Because they work and are delivering great results to brands who are increasingly using these people to help them better connect with audiences in a manner that’s relevant and engaging.

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Read what Guardian has to say about this emerging marketing discipline in an article headlined: ‘The rise of the nano-influencer: how brands are turning to common people.’ In the OpEd Guardian states: “More recently, marketers have turned to micro-influencers: more specialised and thus more trusted individuals, who might be persuaded – for a micro-fee – to become a “brand ambassador” for a vegan bacon startup or share a post about an aspirational cuticle treatment. And now (according to the New York Times’s Sapna Maheshwari) we must welcome the nano-influencer. Perfectly ordinary digital citizens, with follower counts as low as 1,000, are being courted for their influence. The whole point is that they are not famous.”

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Nano-influencers are proving popular because they’re effective. Why are they effective? These influencers who have a much lower number of followers than big stars, unlock the power of authentic word-of-mouth marketing. Research shows that paid media isn’t effective as it used to be, which is why marketers are turning to influencer marketing to unlock growth.

 

According to Nielsen, 92% of people trust recommendations from friends and family over advertising. In the International Journal of Market Research, Nick Hajili explains why: “Trust, encouraged by social media, significantly affects the intention to buy. Therefore, trust has a significant role in ecommerce by directly influencing intention to buy and indirectly influencing perceived usefulness.”

 

Here’s what you need to know to use influencer marketing well, and to grow word-of-mouth marketing for your brand:

 

What is an Influencer?

Simply put an influence is a networked human [a person on social media], who has the propensity to affect the purchase decisions of the people who follow them. This ability is usually a result of the influencer’s authority, their expertise or knowledge on a subject, their status in society or because of the special relationship they enjoy with their audience.

 

Influencers have been getting a bad rap of late, because celebrity endorsers have been ‘outed’ for recommending products, in exchange for payment or ‘gifts’. The FTC (Federal Trade Commission) in the US enacted laws that oblige influencers to ‘clearly and conspicuously disclose their material connection to the … brands and/or companies” promoted in social media feeds.

 

When a celebrity is paid hundreds of thousands of dollars to make a single post about a brand, it becomes clear that advertisers believe this form of celebrity endorsement is effective. But influencers are about a lot more than a celebrity endorsement.

 

Types of Influencers

The influencer marketplace has been emerging for a while and is getting more formalised and starting to take a more recognizable shape. Today influencer marketing can be split into four basic types, namely of mega-influencers, macro-influencers, micro-influencers and nano-influencers. The main differentiator between each of these categories is the size of their audience:

 

Nano-Influencer: Nano-influencers are the new breed of influencers attracting marketers’ attention. They tend to have fewer than 1,000 followers. This could be an individual who has influence in the local region or neighbourhood. Examples might be a local pastor,  community leaders or a local government official. If you know just how to use them, nano-influencers could be the key to turning your brand from zero to hero.

 

Micro-Influencer: These types of influencers have followers between 1,000 to 100,000 and typically focus on a specific area where they are generally regarded as an industry expert. Companies like Adobe are known to use micro-influencer in their marketing campaigns.

 

Macro-Influencer: Macro-influencers have anything from 100,000 to one million followers. These influencers expect to make money from their status as influencers, and they focus on building a following through their channels, having grown from micro-influencer stats to a point where they earn through Google advertising or sponsorship.

 

Mega-Influencer: Typically, mega-influencers have more than a million followers, and, at the top end, would also be considered ‘famous’.  Mega-influencers aren’t always subject-matter experts but they have a great deal of reach.

 

How AI Will Drive the Future of Influencers

Nano- and Micro-Influencers are more relatable and more trusted than their counterparts with huge followings. Sponsored celebrity posts are viewed with scepticism, especially by millennials and more so given that it is now common knowledge that even wealthy celebrities like Kim Kardashian can be ‘bought’ to endorse certain products.

 

Nano-influencers, on the other hand, offer a return to authenticity which humans naturally resonate with. With an AI infused technology like Continuon, brands can interrogate social data across all of their social media audiences, and segment audiences in one pool regardless of whether your follower is on Twitter, Facebook, LinkedIn or Instagram.

 

Continuon, an AI-driven nano-influencer marketing platform, has a new way of segmenting social audiences that is far superior to the forced metrics offered by Facebook, Instagram, LinkedIn and Twitter. Instead of forcing segmentation Continuon’s AI clearly identifies nano-influencers in your audience set most likely to champion your brand. Further after activating a nano-influencer campaign it will help you track engagement, resonance and resonance. Unlike reach, engagement, resonance and resonance are much more valuable metrics because they relate more directly to customer behaviour.

 

At the end of the day, Influencer Marketing is all about using authentic humans to generate word of mouth on social and that will encourage sales. Digiday reports that nano-influencers achieve engagement rates of up to 8.7 per cent in stark contrast with celebrity influencers, whom research shows only get engagement rates of some 1.7 per cent.

 

Research clearly shows that nano-influencers can up your marketing game. Find your nano-influencers and  improve your return influencer marketing engagement and ROI rates. Sign up for a free seven day trial at https://app.continuon.co/sign-up.

This is what every major brand and agency should know about influencer marketing - research from 50 major brands.View Report
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