The Engagement Rate

An industry bulletin for marketing pros.

Hey hey! You’ve almost made it through January. That’s almost 8% of 2024. Here is our latest bulletin in the influencer marketing world - we cover Gen Z insights, affiliate marketing & expand on our ‘influencer marketing done right’ piece from our last few newsletters. 

Influencer & brand wins of the week 🏅

🥤Poppi's star-studded sip 'n' shop

Gut health soda brand Poppi transformed its new flavor launch into a celeb-packed fiesta, welcoming influencers like Brittany Xavier, Jodie Woods, and reality TV stars to the vibrant Poppi Mart in Los Angeles, where they sipped sodas, shopped colorful merch, and grooved to a DJ set by Paris Hilton.

📽️Sundance shake-up

The Sundance Film Festival kicked off last Thursday, drawing independent filmmakers and brands to Park City, Utah, with Audible inviting content creator and loveable whack-o Brittany Broski to elevate their festival presence. 

^{Sponsored by Artlist}

To find out what’s going on in this fast-changing field, we talked to a range of experts with a diverse media focus and carried out a survey of over 7,000 content creators. This report contains the results: actionable insights to help you create best-in-class content in 2024. Get full report.

Why centering Gen-Z in your marketing universe is a game-changer

From fashionistas to YouTubers, the creator economy has exploded, making influencers a staple in any brand’s marketing mix. But here’s the real talk: working with influencers can be a hit or a total miss. In a world where everyone’s playing the same influencer game, breaking through the noise, especially with #paid and #partner content flooding feeds is no easy feat. 

So, how can brands stand out and make a real impact in this influencer frenzy? Simple – bring Gen Z on board as your campaign partners and masterminds. Gen Zers, with our $360 billion spending power, are the real MVPs in guiding influencer marketing campaigns. 

Why Gen Z? Well, for starters, we speak the language. Gen Z craves relatability, and guess what brands want? Yep, comments like “I relate to this so hard.” To truly connect with us, brands need to speak our lingo, and having a Gen Z copywriter in the room is like having the secret sauce to authenticity. No one wants a brand that’s too uptight or, heaven forbid, trying too hard.

And timing? We’ve got that on lock. Gen Z knows when to drop the hottest trends and create content that feels personal to a brand’s core message. We're not about being cringey marketers; we're about seamlessly becoming part of the conversation. We understand the audience's preferences and can help brands authentically engage in online discourse.

Here’s the kicker – we’re creators ourselves. The creator economy is our playground, where technology, creativity, and entrepreneurship collide. Don’t be afraid to dive into Gen Z waters; we bring the dual perspective of creator and consumer. We know how to navigate influencer strategies, craft impactful briefs, and, most importantly, cultivate relationships that transform influencer marketing into genuine brand love. So, why wait? 

In the world of affiliate marketing, TikTok eclipses Instagram

Here's a newsflash: TikTok still reigns supreme in the realm of short-form videos, especially when it comes to affiliate link engagement. According to KPI data from Captiv8, TikTok influencers boasted an impressive 5.2% engagement rate on affiliate links in 2023. Now, let’s put that into perspective—this is more than double the engagement on Instagram (2.0%) and a whopping 20 times more than YouTube (0.2%).

While Instagram Reels and YouTube Shorts are trying to snatch TikTok’s crown, the truth is they've got a long way to go in the influencer marketing arena. For those with zero to 50,000 followers, TikTok influencers scored a stellar 30.1% engagement, leaving Instagram influencers in the dust with a mere 1.8%. As follower counts rise, the gap narrows but TikTok still leads. In the 50,000 to 100,000 followers range, TikTok influencers boasted a 14.5% engagement rate, leaving their Instagram peers at 2.5%. Even in the 100,000 to 200,000 range, TikTok influencers maintained an edge with 7%, compared to Instagram’s 2.3%.

Here's the plot twist: bigger isn’t always better in the influencer world. Surprise, surprise! Those influencers with 50,000 to 100,000 followers, often termed "micro-influencers," take the crown for the highest engagement across both TikTok (157.1%) and Instagram (66.9%).

So, what's the bottom line? Advertisers, take note. Even though more are jumping on the Instagram Reels bandwagon, TikTok might just be where the real engagement party is for affiliates. And for smaller brands feeling lost in the influencer shuffle, fear not. It's not about the size; it's about finding the right influencer match for your brand. Quality over quantity, always.

Three key influencer metrics in 2024

In our last newsletter, we explored the key components of executing influencer marketing correctly. It received praise from brands who have lacked a data-led approach to reap the rewards from their campaigns and some came back curious on what are some of the essential metrics that should be collected and analyzed. There is certainly a plethora that should be recorded to perfect your blueprint, but if you’re starting off, here are three to get to grips with. 

Keep your eye on Audience Engagement – the heartbeat of any influencer collaboration. Likes, shares, and comments are the applause that signifies whether influencers are truly resonating with their audience. Another star in the influencer metric constellation is Conversions, representing the successful completion of a predetermined goal. Whether it's sign-ups, sales, or downloads, tracking conversions through tools like Google Analytics or influencer-specific codes ensures that your influencer collaborations go beyond mere social media applause. A notable 73% of marketers in our research share their influencer marketing budget with their social budget, underlining the need to showcase the tangible impact of these campaigns.

Finally, the influencer world bows to the metric royalty of Revenue. To truly measure the return on investment (ROI) and ascertain the influence of influencer campaigns on overall social media ROI, calculating the revenue generated is key. As influencer budgets compete with other marketing teams, the ability to show actual revenue becomes crucial. Tools like Google Analytics, promotional codes, and direct sales tracking on social media platforms play a pivotal role in determining which influencers offer the best ROI and, subsequently, adjusting strategy for maximum impact.