The secret to success for any business is effective marketing. However, based on differences in resources, brand identity, and industry needs, marketing strategies vary from business to business. For local businesses, marketing can be an email newsletter, flyers, social media posts and videos, and even word-to-word marketing. Here, we will discuss the impact of the newest marketing model in the industry, influencer marketing concerning local businesses.
Understanding Influencer Marketing
With the rise of digitalization, one major type of marketing that has emerged in recent years is influencer marketing. Influencers are social media personalities with a dedicated follower base. They create content through which they can influence their audience to purchase or avail of the services of any product they showcase in their content.
In fact, according to Forbes, the global influencer marketing industry is projected to grow with each year and has reached an impressive $21.1 billion in value in 2023, with 80% of businesses reporting profitable outcomes from it.
A question arises in this regard as to whether influencer marketing is only for big brands. The answer is no. Influencer marketing can help local businesses significantly in establishing a brand identity and awareness and also attract new customers.
Local Businesses and Influencer Marketing
For a local business with budget imitations, influencer marketing is a tested way to reach more audiences and acquire sales. Influencers can be of different categories. The following section highlights the key benefits.
- Targeted Reach: Influencers have followers who are highly interested in specific topics or niches. In fact, influencers come in different niche segments. There are lifestyle influencers, fashion influencers, food influencers, travel influencers, etc. Collaborating with influencers relevant to the industry your local business belongs to will ensure that their message reaches the right people.
- Generates Trust: Most influencers work on a model that makes them appear as us and not some fictional character or celebrity. This makes them relatable, and relatability translates to trust. Followers thereby value their recommendations and this leads to credibility for the business they endorse.
- Better Visibility: Collaborating with an influencer is a great way to increase visibility both online and offline. Depending on the terms of the contract, the influencers will promote the content related to the local business across their social media platforms and even during events.
- Budget-Friendly: When compared to conventional marketing techniques like advertisements, billboards, and celebrity campaigns, influencer marketing is a cost-effective solution for local businesses. This ensures a more concentrated strategy with measurable results and lesser cost.
The Benefit of Micro and Nano Influencers
Despite being a cost-friendly option, availing the services of influencers with millions of followers can often be expensive. When it comes to local businesses, micro and nano influencers are an ideal way to step into influencer marketing. These individuals have around 10,000 to 20,000 or even fewer followers but have impressive engagement rates; in fact, these influencers work on an engagement-driven model and have a highly targeted audience. It feels as if they almost know the other person, offering each follower a sense of importance and validation, which generates more trust and credibility.
In fact, many people nowadays prefer micro and nano influencers since they feel that these individuals provide credible information that is not impacted by brand endorsements. Mirco and nano influencers usually create their follower base around local people and focus on local brands and businesses. With micro and nano influencers actively looking for collaborations with local businesses, the latter can reap significant benefits from this marketing model.
This is a key factor that can help local businesses since both parties share the same demographic and values. In fact, these small-scale influencers offer unwavering dedication and time since they are on a journey to grow themselves; thereby, they are always working hard to come up with creative ideas and take each collaboration as an opportunity to show their skills. When choosing between micro and nano influencers, consider their target audience and your own to get the best results.
Strategies for Effective Influencer Marketing
While influencer marketing offers a range of benefits, you also need to implement a few strategies to guarantee the best results. The top 5 strategies are listed below.
- Contact The Right Influencer: When choosing between micro and nano influencers or even influencers with a higher follower count, always consider engagement and target audience. Check for factors like location and interests and see if it aligns with your business. You can reach out yourself or through an agency.
- Build Genuine Connections: Think of influencer collaborations as partnerships and not transactions. Build a genuine connection with them and engage with their content to show them that you value their creativity and also get an understanding of their audience’s needs.
- High-quality Content: Needless to say, nothing can attract customers more than visually stunning, unique, and compelling content. Work together with your influencer to create content that resonates with the ideals of your business. Give them creative freedom to use their skills and offer suggestions when needed,
- Measure Results: Get access to the analytics to check the performance of each post, video, or campaign and assess the results. Monitor key areas like user engagement, reach, and conversion rates to assess how effective each post is. Modify weak areas and focus on the positive ones.
- Suggest User-Generated Content: Encourage the influencer and followers to make user-generated content of UGC related to your products and brand. UGC not only increases reach but also uses the influence of existing customers and followers for your benefit.
- Have Transparency: When partnering with an influencer, ensure that the contract is detailed and clear so that each party is aware of the deliverables, remuneration, and mode of payment. This will help you manage your cost ratio and avoid future discrepancies.
Conclusion
Influencer marketing is an exciting opportunity for local businesses to increase their reach and grow their business. Partner with the right influencer and negotiate the terms to match your budget and needs. While it may seem a bit overwhelming, with a clear vision and strategic planning, an influencer partnership will open avenues for scalability and engagement that can take your local business to newer heights.
