FROM OUR CEO: If you were making any marketing decisions based solely on my LinkedIn feed last week, you’d probably be steering clear of influencer marketing — which, according to this article, is overblown and drying up, while somehow simultaneously funneling insane amounts of money into the top one percent of creators.
Someone posted this article along with commentary that the creator economy is “cratering,” thanks to platforms not following through on monetization promises while sending the majority of the money solely to the top one percent of creators — making costs too high for brands and ROI impossible for “middle influencers.”
As an agency CEO who’s been in the influencer biz for over a decade, I’ll tell you where the creator economy is NOT cratering: with the brands and agencies who work with influencers to put together effective campaigns.
Platforms can’t solve every creator or brand woe when it comes to efficient, influential partnerships. Who provides detailed post instructions? Who reviews the work for quality? Who goes back and forth with creators to get changes made? Would any of us really want all that managed by the platform itself?
Frankly, we aren’t seeing decreases in influencer budgets at our agency because our clients continue to want hands-on management of high-quality creative work.
As for the idea that only the top 1% of creators can earn the kind of ROI that fuels the creator economy, check out this terrific writeup on micro-influencers: the truth is, smaller and more engaged audiences often turn out to be the sweet spot for both creators AND brands.
All to say: the influencer marketing sky is NOT falling, particularly if you set aside clickbait headlines and talk to the actual creators and brands. For brands who want a more authentic way to build relationships and connect with target communities, influencer partnerships will continue to offer everyone — not just the ‘one percent’ — better (and often FAR more affordable) options over traditional advertising.
Want to hear more about the campaign work we can help you within 2023? Talk to us today about setting up a lunch and learn for your team, online or in-person.