ID: MRFR/ICT/6936-HCR | February 2021 | Region: Global | 141 pages
Today consumers spend a large amount of time over a number of social networking sites. From checking Facebook to posting photos on Instagram, social media has become a necessity to stay connected in today’s world. These social media platforms have paved the way for several growth opportunities for digital marketers and service providers. Platforms like Instagram, OTT, Facebook, and Twitter have become a key source of advertising and promotion. Various industry verticals, such as automobile, fashion and cosmetics, travel & tourism, are significantly using digital platforms to reach their intended audience.
According to a survey by Hootsuite Inc. on “The Global State of Digital, 2019”, there are 3.48 billion social media users, worldwide who, on average, spend 2 hours per day on social networking sites and messaging platforms. Social media has become an important aspect of people’s lives which they use to stay connected and up-to-date with current affairs. This trend has given rise to a new community, the social media influencers. The influencers create and post relatable content over social media. These posts help them to gain followers. Due to their popularity over social media platforms, global brands collaborate with them to promote and advertise their products. Brands have realized that collaborating with social media influencers can help them conduct effective marketing of their products and services to a larger set of audience. This kind of marketing activity is known as influencer marketing where brands collaborate with influencers to promote and advertise their products through them. There are various challenges that brands face while initiating influencer marketing. These challenges include monetizing advertising campaign, reaching the right audience, and collaborating with the right kind of people. Influencer marketing solutions provided by solution vendors help the brands in overcoming these challenges in an effective manner. The influencer marketing solution providers help brands to find social media influencers, provide insights on the effectiveness of campaigns and track their progress. There are different types of companies operating in the market. Some companies offer software platforms that connect brands to a number of influencers. These platforms also help in providing comprehensive insights on various campaigns. For instance, AspireIQ is a leading influencer marketing platform that offers end to end influencer analytics. Similarly, Scrunch is another marketing platform that helps brands in discovering and connecting with influencers. Other companies offer influencer marketing in the form of managed services. For instance, Social Beat Digital Marketing LLP and IMA Agency offer services wherein the companies help in effectively conducting end-to-end influencer marketing activities.
According to Social Beat Digital Marketing LLP, 23% of the marketers consider influencer marketing as a better substitute for traditional marketing and 90% of the brands think that influencer marketing has the greater potential to reach and engage the targeted customer. 60% of the consumer while shopping at a store gets influenced by social media posts or blogs. These statistical trends show that influencer marketing is an effective way for vendors to reach potential customers and therefore companies are looking for such software to effectively manage their marketing campaigns, which is boosting their adoption in the market.
The Global Influencer Marketing Market is expected to expand at a CAGR of 8.2% during the forecast period, to reach 2.85 billion by 2025.
The global influencer marketing market has been segmented based on component, organization size, end-user, and region.
Based on the component, the influencer marketing market has been segmented into solution/platform and services. The solution/platform segment is expected to register the higher CAGR during the forecast period, in the overall influencer marketing market. Brands are deploying such platforms in order to manage and organize influencer marketing internally. The services segment includes professional services that cover integration and consulting services and managed services that include third-party providers offering a range of influencer marketing services for its clients.
Based on organization size, the influencer marketing market has been divided into small- and medium-sized enterprises and large enterprises. A large number of mid-size enterprises, particularly start-ups, are active end users of influencer marketing solutions due to the growing need for brands to effectively compete in their respective industries.
Based on vertical, the influencer marketing market has been segmented into fashion, luxury & cosmetics, retail & e-commerce, consumer goods, advertising & public relations, food & beverages, travel & tourism, automobile, and others. The retail & e-commerce segment is expected to grow at the highest CAGR during the forecast period, 2019–2025
Geographically, the global Influencer Marketing market has been segmented into Asia-Pacific, North America, Europe, the Middle East & Africa, and South America.
North America has dominated the market in terms of market share in the influencer marketing strategy. Some of the factors that are responsible for the growth of the market include increasing number of connected devices, growing population, and large number of active social media users. Moreover, due to the presence of number of influencer marketing companies in North America offering comprehensive testing solutions to the enterprises, the North America market occupies the highest share.
Asia-Pacific is expected to register the highest CAGR during the forecast period due to the growing population in various developing countries, increasing ownership of smartphones, growing internet connectivity and increasing number of active social media users.
The key players of global influencer marketing market are Buzzoole, ScrunchSocial Beat Digital Marketing LLP, ONALYTICA, HYPR, Launchmetrics, Traackr, IZEA, JuliusWorks, Inc., Upfluence, Mavrck, Klear, AspireIQ, and Lumanu Inc.
Key questions addressed by the report
Frequently Asked Questions (FAQ) :
A CAGR of 8.2% is foreseen to progress the market’s reach to USD 2.85 billion in revenues by the close of the forecast period.
The stimulus of social media influencers is likely to drive the evolution of the market in the forecast period.
The distinguished firms in the global market are ScrunchSocial Beat Digital Marketing LLP, ONALYTICA, Buzzoole, HYPR, Traackr, IZEA, JuliusWorks, Inc., Mavrck, Launchmetrics, Klear, AspireIQ, Upfluence, and Lumanu Inc.
The APAC and North American regions are projected to unlock the development latent of the market in the imminent years.