Influencer Marketing: Ways To Measure ROI

Not long ago, the idea of” Influencer marketing ” was just a thought. However, the last few years have seen a gradual change in the approach of agencies to influencer marketing as more companies adopt Influencer-based marketing strategies.

Unfortunately, unlike other marketing techniques, there is no quick and simple way to measure the success of this marketing approach. The metrics involved in this new type of advertising are still mostly a mystery to many businesses. Without proper parameters, there is no way to understand how successful a campaign is.

While these parameters clearly show growth in Influencer marketing, it doesn’t tell us if it’s done well. To determine the success of your Influencer program, you need to monitor campaign performance and make sure that the return is sufficient for the investment.

This plan allows you to track Influencer campaign ROI. Read on and prepare to launch your next Influencer program.

Step 1: Set campaign goals for accurate ROI tracking

The first and most important step in Influencer marketing programs is to set clear goals. Setting your goals makes you understand what types of influencers you will work with, content types, distribution platforms, etc.

Some common Influencer marketing goals for marketers include:

* Increase brand awareness 86%

* Reach new / target audiences 74%

* Improve brand advocacy 69%

* Increase sales by 46%

* Manage brand reputation 11%

But these are broad targets. Dive deeper and set goals at a more detailed level to run a successful Influencer program. This will make it easier to monitor your campaign ROI.

Step 2: Develop goals and performance metrics for individual influencers

It’s important to understand which influencers contribute and which fall behind your expectations so you can focus on what works and reduce resources spent on underperformers.

Individual influencer goals must be compatible with your campaign goals. For example, let’s assume that your main campaign goal is to generate a certain amount of revenue within a certain time frame. An individual Influencer target will detail the minimum amount a person will produce within that time frame.

Individual influencer measurements include:

* Total views

* Number of clicks to landing page/website

* Average engagement rate

* Conversion rate

* Amount of user-generated content

* Revenue

With this data, you can assess the performance or impact of each influencer and make deliberative decisions about how to use (or not) them in the future.

3. Step: Measure influencers

Although most brands measure overall campaign performance, this is often not enough. Select an Influencer group to start the campaign. Monitor the performance of each influencer at the beginning. Document the engagement rates for each influencer’s post and compare them with the collective influencers group. You can do it this way:

Unique URLs: Create a custom URL for each influencer to track traffic from the influencer’s blog or social media posts.

Unique discount codes: Provide a special discount code for each influencer to share. This metric is useful for associating the sales that each influencer brings.

Evaluate Results

With information about the performance of each influencer, you can filter out bad-performing relationships and keep only the best-performing influencers.

Add a few new influencers from your first list and start the next short-term Influencer program using these new influencers. With this process, you can increase the impact of your next campaign and run a successful influencer program for your brand.

It’s safer to run multiple short-term campaigns and continue to filter out underperforming influencers. If you run a long-term campaign with a fixed set of influencers, you may have prepared yourself for failure.