In June 2018 Instagram reached the astonishing figure of 1 billion monthly active users (MAU). While Facebook continues to be the social network with the largest number of monthly active users, its growth rate has recently slowed a bit to 3.14%. Snapchat, grows at an even lower rate, at 2.13%. While Instagram has become the fastest growing social network at an impressive 5% quarterly rate.
On the other hand, the world's preferred video platform, Youtube, although is not necessarily considered a social network, it continues to add social functionalities to increase the interaction between users and creators. Youtube latest stats report 1.8 billion logged users and more than 1 billion hours of daily watch time.
With these dazzling figures of time spent on social media, it's no surprise that brands are increasingly choosing to communicate their brand messages through influencers. These are the lead stars of the digital social ecosystem and have been consistently proving that they can be an effective marketing channel.
Social Media boom, Influencer Marketing and Lemmonet's differentiator
Brands are seeing that influencer marketing is an innovative way to approach their potential clients by transmitting their messages through original, authentic and more credible contents.
It is not just a new way to reach people, these original contents generated by influencers look much less invasive than other advertising alternatives, such as TV ads or traditional display banners. And therefore, the result of these campaigns have a much more positive impact.
When talking to advertisers and agencies, we often hear that one of the main challenges that brands face when planning a campaign with influencers is that it is very hard to estimate the results that the contents of the hired influencers will end up generating. And this makes it very difficult to predict the outcome of the campaign in terms of KPIs (key performance indicators) or objectives.
We even see that many times, the KPI by which the influencers campaign will be measured against is not well defined. This is a big problem. It means that after the campaign is over, the advertiser will be clueless in terms of ROAS (return on ad spent). There's no way to know whether the marketing investment had an impact or not.
What can not be measured can not be controlled; what can not be controlled can not be managed; what can not be managed can not be improved.
Influencers usually charge for their collaborations with a fixed amount of money or with free products for which they commit to generate certain contents in their networks. Advertisers can try to estimate the number of engagements (likes, comments and shares) and impressions that these posts could generate, but the reality is that the performance of these varies a lot.
We have seen cases where the same influencer makes a collaboration for a brand and obtains certain results but then that same influencer, participating in another campaign, gets very different results. That is why, planning an influencers campaign based on content becomes a very complex task.
In Lemmonet we understand this problem. And that's why we take the guesswork away from the equation by guaranteeing the KPI chosen by the advertiser.
This way, brands can focus on what really matter to them, which are the results they would like to achieve with their advertising investment. They delegate to a team specialized at working with influencers, that complex task of estimating how much content the influencers should publish and what will be the best mix of profiles to make the most of the investment.
If the contents published by the influencers participating in the campaign, end up getting results below expectations, Lemmonet is responsible for asking influencers to publish additional content till we reach the minimum guaranteed KPI.
That's why we say that with Lemmonet you will have your KPIs guaranteed.
KPIs are performance indicators designed to measure and quantify the impact of your campaign. The idea of measuring influencers' campaigns with an objective KPI is precisely to know if the campaign had the result we were looking for. Also, once you start getting some experience with these type of campaigns, you will be able to compare your results against industry benchmarks and past campaigns.
Ok, then: ¿What KPI should I choodr for my campaign?
Depending on the marketing objective of your campaign, it will be convenient to measure one thing or another. Quite often we see that an advertiser who might be measuring a campaign against a specific KPI, then chooses another different KPI for another campaign.
When the marketing objective for the campaign is brand recognition or brand consideration, the best KPIs to measure that campaign will be impressions or engagements (likes, comments, shares).
Since the early days of influencer marketing, the cost per engagement (CPE) has been the most used KPI to measure the performance of these campaigns. This metric allows us to measure how well received the action was by the target audience. To use this KPI, the influencers typically publish Instagram feed posts or YouTube videos.
The response of the target audience will come in the form of likes and comments. In these cases it is a good idea to ask the influencers to interact as much as possible with their followers, asking open questions or surveys inviting them to participate and even answering the comments on the post. For the brand it is also an excellent opportunity to join these conversations and interact directly with their target audience using the official profile of the brand.
In these cases, the ideal is to measure the campaign with guaranteed engagements (likes, comments, shares): CPE.
When the advertiser prefers to include a link to direct traffic to an external site, the influencers will have to use the so popular Instagram stories. On Instagram, this is the only format that allows you to re-direct traffic outside the social network. In the case of YouTube, the influencers can place the tracking links in the description of the video.
Since Instagram stories don't have likes and public comments. The most suitable KPI for these campaigns will be the guaranteed impressions: CPM.
On the other hand, if you have a performance oriented campaign and your goal is to generate app downloads, leads or online sales, it is more likely that you will want to measure the cost per install (CPI) or cost per action (CPA).
In these cases at Lemmonet we recommend designing the campaign with a flat fee plus a per install or per action commission. This means that influencers will get paid the normal flat fee but they will also receive a commission that works as an incentive to get more installs and/or actions.
With the fixed investment, Lemmonet will be able to guarantee a minimum amount of impressions. Besides this, the brand will only pay per action or per install.
The idea of professionalizing influencer marketing and monitoring these key metrics will help you make more objective decisions based on data and not on mere assumptions
¿How can I get my campaign with a guaranteed KPI?
If you ever had to do a marketing campaign with influencers, I'm sure that you understand that if you develop strategies that involve people, unlike programmatic advertising which is machine to machine, the calculations may fail.
At Lemmonet we are aware of this, but since we trust in the great service that our delivery team offers, we are willing to raise the bet. When you choose to work with us, we will help you define the KPI for your campaign and it will be 100% guaranteed, always!
Interested in start promoting your brand through influencer marketing? Download our free guide: Influencer Marketing for professionals