Celebrity Vs Influencer: Which one should a company pick?
Companies are, for few years, using digital influencers to run their advertising campaigns. This usage is changing years of habits.
Endorsement started in the 18th century with royal celebrities used to promote porcelain in UK. At the beginning of 20h century first athletes were used to promote cigarettes brands. After world war II and the emerging of television, movie stars were used to promote all kind of goods. Recently brands developed new product lines having the name of stars. The model of endorsement has evolved in many ways and the revenues of the celebrities as well. The 21st century has seen digitalisation appear and social media being a critical communication channel for companies. This placed high pressure on traditional brand ambassadors who had to change their marketing habits as well and compete with new actors: digital influencers.
A digital influencer is a person who is gathering an audience and who can influence its actions and opinions. The influencer is gathering by the content he/she provides, and the communication he/she makes through social networks and medias. A celebrity is mainly a brand which convey the image of success at different degrees.
In UK, companies are spending more on Digital influencers than on celebrities for endorsement and commercial opportunities in 2016 and almost 61% of companies have worked with an influencer and 57% with a celebrity there. So why companies are trusting one group more to conduct advertising campaigns?
First, data provided by digital resources can be used to measure efficiency of digital influencers.
For example, we know that today a digital influencer will give back more than 17 times the money spent on him/her.
Secondly, companies can target better thanks to a more precise audience personality and identity enabling with influencers. 85% of companies are looking for this feature when choosing a person to work with. For almost half of the companies answering the surveys, it is very hard to define the audience of a celebrity. This could have impacted the revenues of celebrities from advertising which has decreased by more than 30% between 2016 and 2017.
Then 75% of the influencers revenues are generated by female influencers. Companies do not hesitate to create specialized advertising campaign for one influencer, and use more and more a new third group which is emerging: the niche influencers.
In addition to the effectiveness of the targeting, influencers are costing way less than celebrities in average. The influencer has become a very competitive product, so we can now question on the veracity of the messages it conveys to its audience. Some famous digital leaders have seen their audience fall, and mass bashing, after conducting too repetitive and guessable endorsements. Some influencers started to question and bash companies. Digital media users must be very careful on the persons they follow and develop a
SKEMA Digital Marketing
Thursday, 30 November 2017
Social Media Influencers: A Powerful Digital Marketing Strategy
Social Media Influencers:
A Powerful Digital Marketing Strategy
What is an influencer?
Well if you are thinking of an influencer as
just someone who has thousands or millions of followers you are not completely right.
She or he might have a lot of followers, but what the influencer has is a lot
of presence and mostly a lot of credibility across his followers. This last
aspect is the most important one: people values hugely their judgment and
opinions.
It’s is important to emphasise that the most
important thing of an influencer is not the quantity of followers he has, what
is really relevant is if people trust them. Actually, we can state
categorically that having more followers does not mean being a better influencer.
What we need to know is if he has the capacity of persuading their followers
and push them into certain direction.
For example, Lionel Messi (the football player mega
star) has almost 90 million followers in Facebook, however, that does not mean
that he could be very effective at promoting fashion clothes, construction
equipment or wine, just to name a few examples. On the other hand, we could
find influencers with much less followers, let’s say 100 thousand, but who are
very respected by their audience in those specific subjects or fields we talked
about and whose thoughts and views are indeed more valuable that Messi’s one.
In a few words, influencer are though leaders, not just famous people.
Why influencers are important
in your digital marketing strategy?
As we just pointed out, influencer are though
leaders, not just famous people. And as a though leader they have the power to
persuade people. Actually, 70% of YouTube subscribers relate more on YouTube
creators than in celebrities[1].
This means that the audience of
influencers is more loyal and feel related in a more personal and intimate way,
which makes them easier to reach and persuade.
Another strategic aspect you of having an
influencer promoting your brand is that they are very good a creating engaging and
valuable content, the kind of content that people expects and enjoys the most. In
fact, a survey[2] from
Vocus and Brian Solis showed that 62% of the people follow an influencer due to
the content they create. So when you lack of ideas or just want fresh and
valuable content, and perhaps even cheaper (not always), an influencer would help
you effectively with that work.
But of course, it is always about how much you
will get at the end, how much you will earn, and influencers are perhaps the
most cost-effective investment you can do. Let’s see why based on different
surveys and statistics:
·
According to Hubspot, 71% of people is more
likely to purchase based on social referrals [3]
· 86%
of women surveyed use their social media accounts to see opinions and
recommendations and 72% engage with their social media community “frequently”
to get help for their purchasing decisions[5].
· And finally, in
avarage, for business the return of the influencer generates $6.50 in revenue
for each $1 invested[6].
And this is
just the beginning of social media influencers so you better start getting
involve with it.
[3] https://blog.hubspot.com/blog/tabid/6307/bid/30239/71-More-Likely-to-Purchase-Based-on-Social-Media-Referrals-Infographic
Geolocation and the future of Digital Marketing
Geolocation has just started to change our daily activities and the way we live. For all those of us who feel completely lost and desperate if asked to go from A to B without using Google Maps, this is only the beginning. When it comes to marketing, the implications of geolocation and geolocation-based technologies are limitless. An article by Fortune listed and analysed 15 of them, giving us an overview of what is expecting us in our future as shoppers and consumers.
The most famous example is probably augmented reality, the technology that rose to world fame thanks to the well known Pokémon Go game. Augmented reality provides the basis for interesting evolution in digital marketing, such as augmented events and augmented advertising. The former is very advanced geolocation technology that allows visitors to unveil with their mobile devices products or artworks that appeared on a screen, simulating physical presence. The latter consists of dynamic ads that come alive and can be interacted with by the user.
Among the examples illustrated by the author of the Fortune article Chirag Kulkarni, there is also focal clustering, a technology that goes way beyond determining the user’s physical location, as it can even detect in what direction the user’s look is directed. This opens up huge possibilities for tailoring user experience.
The most curious technology illustrated in the article is probably whether-based geolocation advertising. Its function is to offer customers specific deals according to the weather, like tire chains on a snowy day or umbrellas in case of sudden rain.
source: freeimages.com
In our opinion it’s very interesting to analyse the impact that geolocation and geolocation-based technologies will have on the retail sector in the near and more distant future. As we all know, retail it has started to lose ground to e-commerce. For many clothing companies for example, brick and mortar shops in big cities are by now more a sign of physical brand presence, while the big part of the revenue comes from online sales.
On one hand, geolocation could be seen as an opportunity to revitalise retail. It can do so by capturing foot traffic and directing it to the physical stores. Beacons can be a tool to achieve the same result. These technologies could be even more effective when combined with the so called time limit marketing mentioned in the article — a way local businesses can promote targeted offers to local clients just for a short, limited amount of time.
On the other hand the constant and rapid development of augmented reality and virtual reality technologies might end up playing in favour of e-commerce, eventually erasing the need to be physically present in a store completely. What if we could see exactly how a sweater looks on us — size, colour and cut — or on our avatar, just while we’re sitting on our couch or cooking some dinner? Only the future will tell.
For now, we recommend you check out the Fortune article by clicking on the link below:
fortune.com/2017/02/06/geolocation-marketing/
Andrea Ballini
Reality Check: Small Businesses Must Be Using Social Media
Reality Check: Small Businesses Must Be Using Social Media
 |
| Source: Photo Dune |
There was a time in which many businesses questioned themselves if they should take action and participate in social media or not. Nowadays having effective social media accounts is not only an option but a necessity if companies want to succeed, as it gives them the opportunity to communicate more effectively with their customers. Still there are some small businesses out there who decide not to use it.
BestCompany´s CMO Chase Sagum states “It’s no secret that small business owners are hungry to get a prospect’s attention, while keeping their current customers coming back for more”. During the 2016 Small Business Technology Impact Study, the procedures and criteria consumers used to select the business who to buy from were analyzed. The results:social media and a business website are a must. The rest of the findings of this study will now be presented.
2016 Small Business Technology Impact Study Findings
To begin with small businesses need a solid online presence. From the people surveyed during the study a 36% answered they probably wouldn't decide to make businesses with a small company that has no website. And not for a bad reason, your company's website is one of the first contact points your company has with the consumer, if it doesn't exist then the customer won't engage with you or even find you at all.
Another finding of the study is that companies have to be active in social media, specially when it comes to answering to critical reviews. According to the study 1 in 5 customers will avoid businesses that don't respond to bad reviews. Customers like to see that companies accept their errors so that they can correct them and improve their service.
Knowing the age of your customers and how to approach them is another important point. As an example the study revealed that when it comes to presenting the owner and the history of the company the millennial population (73%) were more interested in it than the population of 55 years and older. Developing your strategy according to demographics like age is a basic practice in marketing and applying it to your digital marketing strategy aswell is a smart move.
Finally another key finding is that data protection is one of the most important factors when it comes to customer retention, this comes with no surprise. As a customer when you choose a company the least you expect from them is that they will do everything to keep your information safe. If a company can not assure this then just a few people will be willing to purchase a product or service from them.
Small Businesses Still Lacking Digital Marketing
As important as digital marketing is today there are still a lot of small businesses who don't have a good strategy and even some of them don't have a strategy at all. According to a 2016 marketing trends report 1 in 5 small businesses did not have any intention of investing in digital marketing. Unacceptable considering all the main industries are going through a digitalization process.
The problem is not only that small businesses are not investing in their strategy but that they are not doing it properly. The trends report indicates that 50% of the respondents didn´t even know what their Return on Investment was. And of the ones who knew, 14% indicated they were not receiving an acceptable ROI.
To conclude we can say that small business owners need to invest in their digital marketing to keep gaining customers but specially they need be critical of the way they invest in it. The findings given previously are just an example of ways to properly implement their digital marketing strategy. If small business owners follow them and in addition apply the knowledge of their own being critical, they will see their social media improve and as a result their whole business be more successful.
Gerard Galindo & Marcus Pernegger
References:
Video Marketing: The Future Of Content Marketing
Video Marketing: The Future Of
Content Marketing
3 Feb 2017- FORBES
Today, the impressive advances in
technology are changing our habits, our ways of living, of communicating, of
learning, simply changing our lives. This technological revolution has become
global, and this is just the beginning. The digital world is moving: we replace
our computers with our phones, digital technology has no limit, the type of
content has changed... Indeed, people are more and more interested and
attracted by attractive content, with which they can interact easily, and the
only content to fulfil all these criteria are the Video marketing. This article from the Forbes newspaper describes
how video marketing is fundamental and how it represent a real opportunity for
businesses in Digital marketing. On one hand we are going to show the potential
of video by figures. And on the other hand we will explain why this way of
communication could help you and your business!?
We pick the four most relevant data that Hub Spot
shared. To understand and to preview
easily this various information we decided to exposed it as schema:
So by this figures we understand the potential and the impact of video in
Digital Marketing. Videos are more impactful than word and more receptive to
attention, especially thanks to the empathy and sense of closeness. Bringing
credibility to broadcast messages, it becomes essential in the communication
devices of companies.
This article is also presenting the 5 reasons why use video marketing. First
of all, one of the big advantages of video is its visual and auditory strength,
which allows the user to more easily retain and understand the proposed
concept. Secondly, the video can be a good way to improve its referencing.
Which represents a real asset, indeed as seen in class the SEO allows the
success of a business. Another gain through the use of this media is that it is
possible to read this content on any digital tools: tablet, laptop ... Moreover, thanks to the freedom of design in
video , the image of the brand can be renewed and thus more attractive to
Internet users. Finally, the video is often shared and therefore very quickly
"viral". Indeed, according to the figure of the article "92% of people who consume mobile
videos share them with other people".
To conclude in my opinion video allows to combine several advantages: to
present an activity in a fun way, to prospect new markets, to obtain a better
referencing on the big search engines and consequently to boost the traffic of
the Internet sites. Moreover, we think that video is also a means of internal
communication for companies as part of an employer brand strategy, to inform
employees, motivate them and bring them together around common goals and
values.
Article: https://www.forbes.com/sites/forbesagencycouncil/2017/02/03/video-marketing-the-future-of-content-marketing/#60c90f296b53
You think you want a Chatbot ?
SO YOU THINK YOU WANT A CHATBOT ?
10 QUESTIONS TO ASK BEFORE BEGIN
We have chosen the article : https://www.fjordnet.com/conversations/so-you-think-you-want-a-chatbot-the-10-questions-you-need-to-ask-before-starting/
This article is written by Merici Vinton and published on the 6th of December
2016, it deals with the interest of the chatbot and the artificial intelligence
design. Its objective is to answer to 10 questions which seem to be
important to consider before begin with this « new tool ».
First of all and
before summing up this article we are going to define and to explain the
utility of a chatbot. The second phase will be to talk about those 10 questions
and to conclude this project we will give our point of view concerning the use
of those technologies.
This new tool
isn’t so new, indeed, the Chatbots have already been fashionable in 2004 known
as virtual assistant. But even if it’s not really new they know a real success.
Why ? Because they can facilitate a lot of tasks in your professional and
personal life as well. They can for example, make some technologies more
accessible by using the Cloud power. Or they can exploit the exchanges
digitalization and mobility. In other words, the Chatbot learn questions in
order to answer to new ones by understanding the natural langage.
Those 10 points
aim to identify the potentials questions you would have after investing in a
chatbot. They begin from the kinds of tasks your chatbot will be able to solve,
go through its physical aspects and its personality. This article really cover
every point of the use of your chatbot. The last part of this article is about
the big question you have to answer : do you really want a chatbot and how
it would improve your personal or professional life ?
The author of this article said that the chatbots could helpful particularly concerning the customer service department because it can improve the relation ship between the customer and the firm thanks to the rapidity for example. But to my mind, the chatbots won't always be useful, my first argument in favor of what I'm saying is that I used to work for the customer service of Chanel and to my mind luxury customer want to talk with a real ambassador of the brand and not a computer of something like that. Even if the luxury is going to the digitalization too, it needs to respect it origines. But of course, if we talk about chatbots by thinking about Siri for example, yes I would answer yes to the first and final question "Do you really want a chatbot?" because it would only improve the use of my iPhone and allow me to save my time by doing different things in the same time.
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