The traditional world of B2B (business to business) has begun to see a shift to B2P (business to people) with the growing popularity of social media platforms such as Facebook, Instagram, and TikTok to name a few. “Social media cuts across channels and is all about engaging with individuals, holding conversations not relying on press releases and launches” (R. Damian, 2015). The power and influence that popular people such as Logan Paul, Kim Kardashian, or Kylie Jenner has established an entirely new and more successful way for companies to market to audiences. I am an Instagram fan, and while I do not follow many celebrities, upon writing this blog post, it opened my eyes to the influencers that attract my attention. I follow mainly people who have pages geared towards health and fitness related content.
The one thing that stands out most to me about this type of marketing is the personal touch that comes along with it. When you have your favorite celebrity promoting a product, you may be more likely to purchase it because you admire them and respect their opinion. People often strive to be like the people they follow, and this includes using the products that they use. One interesting aspect however that I have noticed is that if the product is not one that stands up to expectations, there can be a very negative backlash on the influencer that was promoting it. There also needs to be a transparency when it comes to advertisements so that people are aware that the person is being paid to say great things about a product or service. B2P marketing however has done an excellent job of making well known people the face of their company for a fraction of the price of traditional marketing, and reaching mass numbers of people.
The strategies that are employed with influencer marketing are very smart for both the companies and the influencers. Companies traditional may need to pay to create an advertisement, shoot a commercial, pay to have the commercial aired only to reach a few million people. They now can pay a smaller price (although still large depending on the influencer), they basically create the ad, do the promotion, and can potentially reach an even greater number of people. For example, Logan Paul was paid a whopping $200,000 by Dunkin’ Donuts for a simple off the cuff advertisement for them.
While this may seem like a large price to pay, according to a 60 Minutes interview, the ad by Paul reached around 7 million people which is the same volume as a traditional prime time television spot (CBSnews.com, 2016).
While some people may feel that this is an overpriced concept, there is no doubt that these influencers are playing an integral part in this new age of marketing. They need to be wise about choosing companies to partner with, and they have to know their value. They are taking the place of a commercial, or print ad that we normally would see. They have the responsibility to be smart about who their audience is, and promote products that fit into that demographic. Influencers need to also worry about creating exciting content that centers around a product to ensure they create buzz around it and generate sales for companies. As I mentioned earlier, I love to follow food accounts on Instagram, and many of the pages I follow will do sponsored posts. One thing I have noticed is that they always align themselves with brands that are relevant to them. For example, I love @TheDefinedDish on Instagram.
Alex posts healthy foods that are mostly Whole30 inspired. She frequently will partner with food companies that sell products related to her niche, and she creates amazing recipes using them, which feels like an organic advertisement to me. If she is promoting a product as well, the company knows that her audience would have an interest because they follow her. Influencers are playing the part of a salesperson, testimonial, and sometimes customer service for marketing, and it needs to feel authentic to the audience or they will not purchase. The influencers’ reputation and trust with their followers could be at risk.
By using influencers in marketing, companies are not only able to sell products, they can use this relationship to gain perspective into their audience as well. They are able to see which products, sell better with certain influencers, because everyone has a different audience. They also can use this relationship to create new products that may be desired that they weren’t aware of. Sponsored posts are a public forum where brands can see how customers are reacting, see feedback, and create relationships with consumers. Basically, the influencer is bridging the gap between the customer and the company.
References
Logan Paul Dunkin’ Donuts Ad Image. (n.d.). https://www.tubefilter.com/2015/11/13/dunkin-donuts-logan-paul/
Ryan, Damian. Understanding Social Media : How to Create a Plan for Your Business That Works, Kogan Page, Limited, 2015. ProQuest Ebook Central, http://ebookcentral.proquest.com/lib/snhu-ebooks/detail.action?docID=2006876.
Created from snhu-ebooks on 2020-06-14 10:23:08.
Whitaker, B. (2016, October 23). The Influencers. Retrieved from https://www.cbsnews.com/news/60-minutes-kim-kardashian-logan-paul-social-media-influencers/
http://www.instagram.com/thedefineddish
Stock Featured Image Credit to Tofros.com
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