- Instagram and YouTube are the most preferred platforms for consuming content.
- 75% of brands expect to consider influencer marketing as part of their marketing strategy.
- 47% of brands preferred using micro and nano influencers to drive influencer campaigns due to lower cost per reach.
Mumbai, April 2, 2024: Latest report highlighting influencer marketing trends in India EY and Big Bang Social on Collective Artists Network It shows that the industry is poised for significant growth. The report titled “Current status of influencer marketing in India”', Influencer marketing in India is expected to surge by 25% to reach Rs 2,344 crore in 2024 and further expand to Rs 3,375 crore by 2026. These predictions highlight the continued growth and immense potential of the influencer marketing industry and show ample potential. It's an opportunity for brands, marketers, and influencers alike.
The report highlights the key insight that with 50% of mobile usage dedicated to social media platforms, it is essential for marketers to integrate influencer marketing into their communications strategies. Furthermore, by 2030, India is expected to have 740 million active smartphones. As a result, we expect three out of four brand strategies to include influencer marketing. Brands prioritize engagement rates and target audience quality when selecting influencers, recognizing the importance of authentic connections to reach their desired audiences.
Reflecting the key findings of the report, Amiya Swarup, Marketing Advisory Partner, EY India Said, “In today's rapidly changing Indian society, citizens are facing transformation in many aspects, including changes in social norms, career paths, financial strategies, and culture. Influencers are playing the role of modern-day heroes. Coupled with the expected growth of influencer marketing, influencers are defining an unprecedented era of knowledge and influence, while at the same time brands are stepping in to provide guidance, reassurance, and advice. It's clear that there are tremendous opportunities for marketers and marketers alike.”
The report further reveals that influencer marketing growth is expected to be driven by the lifestyle, fashion, and beauty categories. Further insights from the survey show that sectors such as automotive, e-commerce, and FMCG are expected to increase spending the most on influencer marketing.
Mr. Vijay Subramaniam, Group CEO and Founder, Collective Artist Network shared, “It is encouraging to see brands recognizing the potential of the creator economy and increasing investment in influencer marketing, with sectors such as FMCG, automotive and consumer durables leading the way. , should be an invaluable resource for brands looking to leverage the power of influencer marketing to connect with their audience, drive engagement, and achieve sustainable growth in the dynamic and competitive environment of the Indian market. is.”
Marketers need to strike a strategic balance between mega/macro influencers to drive awareness and brand loyalty, while leveraging the power of micro/nano influencers to drive engagement. It turns out that there is. Interestingly, nano-influencers had the highest engagement rate compared to other influencer categories. It is important to note that 47% of brands preferred to use micro and nano influencers to drive their campaigns due to the lower cost per reach.
Challenges were reported from both the brand and influencer sides. The biggest challenge for marketers was determining the ROI of an influencer's marketing his campaign, while for influencers, building a loyal audience and maintaining credibility were the top two challenges .
Key insights:
- It is estimated that 75% of brands are considering influencer marketing as part of their marketing strategy.
- 56% of brands invested 2% or more in influencer marketing.
- 70% of brands plan to maintain or increase their influencer marketing budgets in 2024, and half plan to increase them by up to 10%.
- 77% of brands believe their agencies are well-equipped to drive influencer marketing campaigns.
- 71% of brands engage with influencers on a fixed fee model, and 29% are considering performance-linked models to drive influencer accountability.
- 77% of influencers report an increase in their income in the past two years, and 86% of influencers expect their income to increase by 10% or more in the next two years.
Mr. Anurag Iyer, CEO of Big Bang Social I commented.India is often described as a young and ambitious nation, but as one of the world's fastest-growing major economies, it's a complicated time to be Indian. In the world of digital marketing, where getting a few minutes of a consumer's attention is a big challenge, creators can grab attention with their creativity. We hope this report is a valuable resource for brands looking to leverage the power of influencer marketing to connect with their audience, drive engagement, and achieve sustainable growth in the dynamic and competitive Indian market. like. ”
This report reflects findings from a survey of CMOs, creators, agencies, and individuals.
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