What are the risks of Influencer Marketing?
Many times I have talked about Influencer Marketing in my previous blog posts. Have you ever thought why there is so much emphasis on influencers? Yes, you’re right. Influencers have done wonders for many brands and companies. Basically, they promote a brand and carry the name high that’s why influencer marketing has become one of the latest trends in marketing in the past few years. In 2018, it was reported that 81% of marketers using influencers bolster their marketing plans which were an effective strategy for them. Wait guys, these were the perks that I talked about influencer marketing, but do you know influencer marketing also carries danger with it.
By danger I mean to say, if you’re a marketer and want to invest in influencer marketing then you must be aware of the danger involved in bringing influencer marketing into your marketing strategy. So let me break down some risks or dangers that you might face working with influencers.
List of major risks involved in influencer marketing
– Unauthentic partnerships and contents
It is a known fact that not every influencer likes the product which they’re asked to endorse on social media. As per the report, 47% of customers are tired of influencer content that appears inauthentic and 62% of customers believe that influencer endorsements take advantage of impressionable audiences. Thereby, a marketer should partner with influencers who have authentic connections to their brands. For instance, a beauty brand must find an influencer who looks for beauty advice.
– Fake followers
Every influencer is known for having a large number of audiences that’s why they’re chosen by brands. However, some influencers purchase followers to appear more ‘influential’ than they actually are. As a brand, if you partner with influencer having fake followers will only waste your time on content that won’t really reach your audience. You must take help from sites such as Follower Packages or Genuine Likes that will help authentic influencer appear more favorable to brands. This will ultimately increase their chances to become a paid influencer.
– Influencers can change their persona
Anyone can change after a certain point of time so can influencers. It basically means that influencers can decide that they’re tired of being a certain way and then change their entire persona. So, marketers must ensure that the influencer they’re choosing must cater to the lifestyle in the line with their service or products. Ensure that influencer’s followers and style should suit the brand’s target audience.
– Influencers might not ensure FTC compliance
In April 2017, Federal Trade Commission (FTC) brought 90 warning letters to brands, celebrities, and influencers violating FTC guidelines. It provides them proper knowledge about advertising disclosers. When you use influencer marketing, then there you will find no assurance whether the influencer you choose adhere to FTC guidelines or not. So marketers must instruct influencers on how to disclose their sponsored products/contents following FTC compliance.
– The risk to financial stability
Not only famous personalities, celebrities or sportspersons charge you to endorse your products but also influencers who have a large fan following on social media such as Buvan Ban from BB ki vines. Oftentimes it can cost the national debt of a small country to put a brand’s product in the hands of a celebrity. So finding the right influencer for your brand is worth for your company and its brand.
Wrap it up!
No doubt influencer marketing is a good strategy to be used in marketing to promote brand products of a company. However, there are many risks involved in it which are mentioned above and these risks might lead your company in danger.
There are many influencers who are just for money and don’t have an interest in promoting your brand products. That’s why you must be aware and know which influencer is authentic for your company.
So use your good sense and effectively approach them. Till then keep reading and get in touch with us.