In the aftermath of the budget speech, it’s not uncommon to see businesses clutching their wallets a little tighter.
The immediate reaction often zips straight to cost-cutting mode, where marketing budgets might be the first on the chopping block. Yet, cursory slash in marketing investment, as some savvy minds would argue, could be a classic case of being penny-wise but pound-foolish.
In the mix of marketing strategies vying for a slice of your revised budget, influencer marketing stands tall. It’s not just a matter of following trends; it’s about leaning into a measurable, data-driven approach that stands up to scrutiny just as firmly as any ‘hard’ marketing tactic.
Gone are the days when influencer marketing was a gamble – today, it’s a science.
Unlike traditional marketing avenues, which may require significant upfront investments with uncertain returns, influencer marketing offers a more agile and measurable approach.
This is where a sophisticated software as a service (SaaS) platform becomes invaluable. It’s a far cry from the ‘spray and pray’ methods of old. Here, you have a dashboard that demystifies the journey from content to customer, spotlighting the paths leading to conversions and those needing rerouting.
Tug-of-war
The tug-of-war between survival instincts and the pursuit of growth is not new. The wisdom to discern between cost-cutting and value-creating investments is what sets resilient businesses apart. In this vein, insights from McKinsey & Company, are particularly salient.
Articulating a compelling strategy for marketers facing budget constraints, McKinsey cites that by eliminating inefficient spend and reinvesting it in high-growth areas, resilient marketers will weather pending storms while also creating opportunities to rebound stronger.
Recognising the fiscal shifts outlined by Minister Enoch Godongwana, where a net reduction in non-interest expenditure meets a cautious upward revenue revision, savvy businesses are already recalibrating their sails.
It’s a clear nod from the 2024 Budget Speech that the winds of financial prudence are blowing, and with them, the need for shrewder marketing strategies that don’t just cut costs, but smartly invest them.
Economic ambiguity
Amid this landscape, influencer marketing emerges not as a luxury but as a linchpin for businesses aiming to navigate through economic ambiguity. With its ability to create authentic connections and drive consumer actions, influencer marketing stands as a testament to the power of prudent yet proactive spending.
Humans naturally seek connections and value trust, especially in their purchasing decisions. Influencers, by sharing their genuine experiences and recommendations, tap into this psychological need, fostering a trust that traditional ads can’t replicate.
This trust is the foundation of influencer marketing’s effectiveness, making it a powerful tool for brands to connect on a more personal level with their audience.
The versatility of influencer marketing allows it to transcend industry boundaries. Whether it’s fashion, tech, or finance, influencers can tailor their content to reflect the unique values and selling points of any product, making it relevant and appealing to their followers. This is gold in any marketer’s books.
Engaging the right audience
This adaptability makes influencer marketing effective across all industries and maximises the impact of marketing budgets by targeting and engaging the right audience.
Here’s the deal on why a tight budget doesn’t mean you’re out of the game, especially when you’ve got influencer marketing on your side:
- Targeted reach: Influencers are like the sharpshooters of the marketing world. They’ve got the niche audience you’re after, which means less wastage on eyeballs that aren’t going to buy.
- Authentic engagement: Billboards don’t talk back, but influencers do. They create conversations around your brand, drumming up genuine interest that feels more like a recommendation from a friend than an ad.
- Agile campaigns: Influencer marketing campaigns can turn on a dime. Market shifts? Consumer behaviour changes? No stress. Influencers can pivot faster than a start-up in a Silicon Valley accelerator.
- Trackable ROI: With the tech that platforms like Webfluential offer, you’ll know exactly where your money’s going. It’s like having a GPS for your investment, tracking the journey from post to purchase.
- Content that keeps on giving: The content that influencers create doesn’t have a shelf life. It’s evergreen, it gets shared, and it lives on long after the campaign’s done and dusted, giving you more bang for your buck.
This is a clarion call for businesses to not just survive but to thrive – by making intelligent choices that will set them apart in the marketplace.
Albert Makoeng is head of sales at influencer marketing platform, Webfluential, a global Influencer marketing platform that provides technology and a fully managed service to brands and agencies through its franchise partners. Webfluential makes it easy for marketers to create, manage and track campaigns with credible influencers and provides influencers with the tools to market themselves to brands, and monetise their audience. The company has franchises in Spain, Brazil, South Africa, Croatia and Slovenia.
Reference:
- McKinsey & Company, “Beyond belt-tightening: How marketing can drive resiliency during uncertain times,” June 26, 2023.
- Journal of Business Research, “Understanding influencer marketing: The role of congruence between influencers, products and consumers”, August, 2021.
