Influencer Marketing is, at its simplest definition, the partnership between a Brand and a Social Media user with either large or specialized following base. However, Influencers have different audience sizes reach and they start from being the company Salesforce replicating content in their Social Media as mentioned in our Previous Article. With influencers Marketing the brand aims to make Sales from the Content Generated or replicated by the Influencer and pays them with free or discounted products, and in some cases directly paid.
ROI in Social Selling Processes with Influencers Marketing
To measure Influencer Marketing results of turning them into Social Sellers, companies can use Trackable Personalized links, and dedicated Landing Pages (Microsites) to track through their analytics, visitors, sales and the movement of customers in their microsites, and therefore get more accurate results of the ROI (Return On Investment).
Calculating the ROI of Influencer Marketing processes for a Direct Selling Companies is more complicated than the basic ROI formula we all know. The company, must consider all the resources invested and KPIs (Key Performance Indicators) to measure their goals.
Costs Drivers of Influencers Marketing:
- Time invested and people: searching, selecting, contacting and negotiating with the Influencers.
- Software: some companies might use Influencer Marketing platforms that charge a fee to select Influencers based on your Brand Message and expected audience reach.
- Influencer Marketing Agency fees: conducting the entire campaign with a specialized agency, might lower other costs and optimize the investment.
- Payment to Influencers: Trade payments are not very popular when using Influencers that are Social Media stars, because of the demand Influencers have nowadays. And even when it is in some cases high, it is worth considering that developing the content without the Influencers will have costs in models, styling, photography, locations and all the marketing processes, while Influencers have all those included in their rate which varies depending on their followers base, quality of production and specialized content- niche audience base.
- Sampling: the company will have to send samples to the Influencers for them to try the products that they are going to be working with, as well as to develop the content for the campaign and potential giveaways that might generate more traffic and audience reach.
- Paid ads: although the company is already paying the content generated by the Influencers, based on the popularity of the posts, sometimes the decision of sponsoring a post might turn into positive responses for the campaign, and those costs have to be assumed by the Company.
- Special content generation: these include the costs of traveling, styling and or special sets when the marketing campaign needs to be more specialized than the type of content the Influencer usually generates.
- Legal costs: these can be very representative even when you have an attorney in your organization. It is very important and trascendental when binding the Influencers and the company regarding sponsored content, licensing, ownership and disclosure.
- Measurement and Analytics tracking: software tools to track the campaigns depending on the assigned goals. Include the costs of each tool, the time spent analyzing numbers and conducting qualitative studies.
KPIs for Influencers Marketing in Direct Selling Companies:
There can be Brand Awareness Goals or goals of generating direct responses, but given the behavior of the clientele in the Direct Selling Industry, to measure Influencers as Social Sellers, goals must be aimed to track Direct response metrics.
Brand awareness goal metrics come from these measures:
- Social Reach: Increase in the number Followers or Subscribers, Impressions in the Influencer Posts.
- Engagement: Likes, Comments, Sentiment, Shares, Mentions.
- Social Media: press coverage or content replication.
- Website Traffic: measured in number of clicks or amount of sales in the Influencer microsite.
Direct response metrics come from these measures:
- Purchases from the Influencer Microsite or personalized link.
- New consultant registrations from Social Influencer sponsors, create buyer account in the company website, sign ups to the company newsletter.
- CTR to a dedicated link on your page
The best ROI Formula we can summarize to actually measure a Direct Sales Companies efforts with Influencers Marketing as social sellers would be:
Influencers Marketing costs are worth for greater results.
Creating sales with Influencers as Social Sellers for a Direct Sales Companies has new costs and process, but nowadays the personal touch of the consultant has moved in great part to Social Media interactions and information gathering has turned to search engines. Therefore, having options for clients to buy something they see in their Social Media is making brands closer to the people by creating Seamless Purchase Experiences and resulting in more sales.
S4DS Software Solutions to enhance Omnichannel Sales
At S4DS as one of our many tools to manage Influencers as Social Sellers for Direct Selling companies we offer Influencers E commerce Microsites and Influencers Backoffice for them to administer their profile, Network and Sales and for the Administrator company complete Software as a Service to manage Commissions, Catalogs, CRM, E commerce, Sales Cycles, and Indicator Reports.
If you want to know more about the rest of our Solutions