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As the influencer and digital creator space continues to grow, we see more and more companies investing their marketing dollars into the creators themselves and their ability to reach a wider audience. We’ll go through our latest report on the biggest spenders in the space, the goals they are trying to achieve and some of the latest influencer marketing news that you should know.
Influencer Marketing: Ads, Ads and more Ads
2020 has changed many aspects of our world, but one thing that seems to remain consistent is video content is still king. Video content not only resonates most with audiences who were aching to fill their time during quarantine, but also allowed brands to capitalize on the increased reach.
Key Insights from our 2020 Year in Review Report
Through our 2020 Year in Review report, we gathered data from roughly 4,500 that were activity sponsoring brands on Youtube, and the numbers were insane! The brands from 19 different industries spent around 1.1 billion dollars on influencer marketing campaigns, with the top three industries being:
- Food & Drinks
The industries are spending for good reason though, amassing 9 billion views over 31,000 videos and reaching roughly 51 billion users.
For more insight like this, check out our Social Intelligence page here to stay updated on all the latest influencer marketing news and trends.
Tech remained the leader in spending and views amassed, contributing to about 44% of the total spending and twice as much as the #2 spot, Gaming. The trends also continue to show brands favor integrated (in-video) ads where creators incorporate it into their content over dedicated videos or intro ads.
Through our research, we identified the 10 brands that spent the greatest amount on influencer advertising. These brands accounted for $368M of the total YouTube influencer marketing spending in 2020, with Honey contributing ⅓ of that metric. The brand singlehandedly spent $62.7M on influencer marketing and gained an overall reach of 866 million users. Bang Energy was the second-highest spender with a total IMV of $57.9M and a reach of 4.6 billion. These are all 10 top spenders and their metrics:
This isn’t by accident either. These top spending brands like we see above are strategically placing ads with proper influencer selection and reaping the benefits of skyrocketing within their industries. For an in-depth breakdown of the report, click here to check out the blog!
Latest Influencer Marketing News
Brands Are Holding On
In previous years, we’ve seen influencers do short-term brand deals with brands on both Instagram and YouTube to test out the waters. But in 2021, expect brands to build out longer-term deals with their influencers, as data has shown that it takes more than just one post to convert customers, no matter how strong or engaged the influencer’s audience is.
The results aren’t lying either. Taking an in-depth look at Charli D’Amelio’s Dunkin campaign starting back in September of 2020, Dunkin has seen a 44% increase in sales!
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According to 2020 data, 82% of brands use Instagram for their influencer marketing effort, making it the leading social media platform for influencer marketing compared to 41% using YouTube. To view a breakdown of the cost of influencer marketing on Instagram, click here.
While brands continue to find innovative ways to increase their brand awareness, influencers also get recognition and compensation, leading many to believe that this on-going trend will be the new wave of influencer marketing.
Are you looking to run an epic influencer marketing campaign on YouTube? NeoReach has the best experience in creating viral campaigns that convert on social media. Sign up here!
New Competitor for TikTok?
With the immense amount of popularity garnered by TikTok in 2020 alone, we’ve seen several competitors try to step in and take some of that market share. But competitors like Instagram reels and Triller seem to be rather working in tandem with TikTok instead of converting their users. Many TikTokers are simply taking the videos already posted on TikTok and posting them on other sites, which works in favor of the digital creators as they can increase their reach and gain more followers.
But a new competitor is in town, and it goes by the name of YouTube Shorts. YouTube’s entrance into the world of short, accessible video content comes as a result of TikTok being its largest threat in the video content space. And while YouTube hasn’t lost relevancy as a result, TikTok’s exponential growth can’t be denied
So what are YouTube Shorts?
YouTube Shorts is YouTube’s newest feature that would allow creators to post short videos, similar to TikTok and Reels, directly on the platform. Some key features include:
- Combining multiple clips
- Implementing music into video
- Mobile App Compatibility
Similar to TikTok, you can also discover new creators through an “explore” feature. One way YouTube is trying to differentiate itself from the competition is the views from these shorts will be converted into the creator’s overall channel views, which could be huge for those looking to grow on the platform as a whole.
Do you think YouTube will claim its stake in the short-video world? Take a look at our dedicated blog on the topic to find out more.
Brand’s Newfound Appreciation for Micro-Influencers and Nano-Influencers
With influencer marketing becoming the key to success and brand awareness for many businesses, 63% of brand marketers are looking to increase their budget within the field. And that means greater accessibility to find talent, even those with less following, that have a deeper connection with their fanbases.
By having a greater focus on influencer marketing, micro-influencers (those with 100,000 followers or less) and nano influencers (< 25,000 followers) can benefit from their high engagement rates with a dedicated fanbase. And for brands looking to get into niche markets, these influencers can be extremely valuable.
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Newest Social Apps for Brands to Lookout For
The digital content world continues to grow. And with growth comes new opportunities for entrants and marketers to capitalize on. Here are a few of the newest social apps that are highlighting our influencer marketing news:
If you haven’t heard of Dispo yet, you’ve probably heard of its creator and CEO, David Dobrik. David’s vision behind the app stemmed from his love of the original disposable camera, which he made a key part of his vlogs over the years. But what does the app do?
Essentially the app lets you take pictures and post them on a feed to followers and friends, but mimics the experience of a disposable where you must wait for the photo to “print out”. The app simulates this by developing the photos by the next morning at 9 AM and are replicas of photos that a disposable camera would print out.
While you might be thinking: Why would this app become popular when there are apps like Instagram? Many believe the big driver behind it is the following David has accumulated over the years, as well as the idea of “not having to find the perfect picture” but rather enjoying the moment and seeing the result after some time.
While the app doesn’t have a central feed yet, it’s believed to be coming soon and might be a great app for marketers to look into in the near future.
With new monetization schemes and plans that give creators options other than advertising, one group seems left out: YouTubers/vlog creators.
But what about a clash between content creators looking to build communities with their superfans who’d rather adopt this tipping/donation model? Look no further than Clash, the app looking to democratize creator monetization on social apps. With their recent acquisition of Byte, Clash will look to put creators first, and allow them to build their fan communities and choose how to monetize their content.
They’ve determined they will use Byte’s current interface while introducing the features that will change the creator monetization landscape forever. As for marketers, this might be a great way to find influencers that believe in their company’s products and can build long-lasting relationships with them. With so much more to come, you can download the Byte App here to witness the next big move for content creators and their fans!
Clubhouse has been making waves as it leverages the power of building connections through audio-only conversations. Think of a podcast that can have engaged listeners ask questions and get involved in the conversation rather than something prerecorded.
The community has brought in huge names like Elon Musk, Mark Cuban, Bill Gates among others through its ability to invoke great conversation. Also, its feature of exclusivity where you need to be invited into the app by a friend leaves many wondering what they’re missing out on.
Clubhouse just earned a $1B valuation after its most recent funding round, leading many to believe it’ll remain a big player in the social app space for years to come. The one issue is that Android users still have no access to it as it is still only an IOS app, but with the buzz it has earned in just the last seven months, it is definitely something for brands to look into who want their name to get recognized and network within the space.
The world of digital content creators and influencers is growing stronger than ever as we head into the second quarter of 2021. To keep up to date with all things influencer marketing news, make sure to check out our other blogs full of the industry’s topics in-depth!