2 Most Important Elements of Your Influencer Program

Have you ever wondered how brands like Gymshark or Lululemon become household names through influencer marketing while other brands struggle making their influencer program work? In this article we will explain the number 1 reason brands fail with influencer marketing and how to avoid this. 

As you are running a business it all comes down to ROI. Especially with a physical product business managing your cash flow effectively and being able to acquire customers profitability is essential to keep your business going and re-invest into growth. 

The biggest mistake a lot of brands make is to calculate the ROI based on how much the influencers sell in their first post without taking into account that the majority of the ROI comes from building long lasting relationships with performing influencers.

Your influencer program should essentially consist of two central parts:

• Part1: Influencer testing: work with new influencers every month to identify the winners
• Part2: Seasonality campaigns: which you organise with your performing influencers

Part 2. is the driver of the majority of your revenue and ROI while part 1 is the engine which keeps increasing your revenue in part 2.

Brands often think they have to achieve a 4-5X ROI in part 1. The first posts you receive from the influencers you work with. What they overlook is that the majority of their ROI will come from the long lasting relationships you build up in part 2. We call the process in part 1. "Influencer testing" as you are looking to identify your winners. 

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Influencer Marketing follows a strong power low distribution.

We often refer to the 80/20 principle / Pareto principle which explains that 80% of your revenue comes from 20% of your influencers. In reality it is often more profound and what we see is that around 5% of the influencers you work with generate over 80% of your revenue. 

In part 1. Of your influencer program where you are "testing influencers" you are essentially looking to identify the top 5% which generates 80% of your revenue. This is why your returns can be a lot lower in part 1 as long as you are identifying performing influencers with which you can build up long lasting relationships: Part 2. Of your influencer program.

Gratis influencer-lijst

Ontvang een lijst met alle influencers die u op Instagram volgen. Influencers die u al kennen zijn 8 keer meer geneigd met u samen te werken.

GRATIS LIJST HIER OPENEN

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De onderstaande grafiek visualiseert dit

• De rode lijn visualiseert de ROAS van deel 1.
• De gele lijn visualiseert de ROAS van deel 2.

Influencer ROAS op basis van campagnetype

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Omzetprognose plannen voor uw inventaris en cashflow ziet er als volgt uit:

Deel 1:

Stel dat u per maand met 50 influencers werkt en de gemiddelde verkoop per influencer 1,5 is. Dit betekent dat u maandelijks 125 eenheden nodig heeft:

50 (voor influencer gifting) + 50*1,5 (voor klanten) = 125 eenheden.

Deel 2:

U zult ook rekening moeten houden met het aantal posts per influencer voor de prognose. Stel bijvoorbeeld dat u 200 performante influencers hebt die gemiddeld 12 producten per post verkopen en u elke influencer 4 keer tijdens uw campagne laat posten. Uw prognose zou zijn:

200 influencers X 12 conversies X 4 posts = 9.600 verkochte eenheden

Als we uitgaan van een gemiddelde orderwaarde van $130, zou de geraamde opbrengst zijn:

Deel 2 = $1,2M (9.600 X $130)

Deel 1 = $16.300 (125 X $130)

Dit toont hoe belangrijk deel 2 van uw influencer-programma is en de bijdrage ervan aan uw algehele groei en omzet.

Belangrijkste conclusie: uw merkambassadeurs / langetermijnrelaties met performante influencers genereren het merendeel van uw omzet en ROI.

Voor meer informatie hierover bezoekt u Influencer Hero Academy

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