How to Measure Influencer Marketing ROI?
Discover how to measure influencer marketing ROI, what is a good influencer marketing ROI and get the list of top 8 best strategies to measure influencer marketing you should consider implementing in your business.
Calculating your influencer marketing ROI can be tough unless you set your goals straight and use one of these simple strategies to measure it.
So, you’ve paired up with some influencers or you’ve been doing so for a while now. You have invested a lot of money and you are not sure whether these campaigns really pay off. In other words, you are struggling to calculate the ROI of influencer marketing.
Before you call it quits or end up undecided on whether it’s worth your time and resources, we’ve got the answer for you.
We asked 20 marketing experts about how they measure their influencer marketing ROI. We also inquired about their average ROI from influencer marketing – whether it’s more or less than what they see from other channels. So, we have lots of valuable information packed for you in this post.
What is Influencer Marketing ROI?
The return you get from the amount of resources you invest in influencer marketing is your influencer marketing ROI.
Of course, all the time and resources that you invest have to yield something for you to understand how valuable it is to your marketing.
If you consistently see poor results, it’s safe to say that the ROI is low. On the flip side, a good ROI means your investment and the effort you’re putting in is paying off. This helps you map out the next steps by answering questions like:
What is a Good Influencer Marketing ROI?
According to Influencer Marketing Hub, if you’re doing it right, expect an ROI of $5.78 for every $1 that you spend on influencer marketing as other brands do. Sponsored blog posts, for instance, tend to yield an 11x ROI as compared to banner ads.
The expert respondents that we surveyed agree with this with the majority saying that the ROI of influencer marketing is more than the ROI that they drive from other marketing channels. Only about 15% of the respondents say that the ROI is lower than what they see from other marketing channels.
8 Ways to Measure Influencer Marketing ROI
Now, for the juicy part: how to calculate ROI of influencer marketing campaigns. But keep in mind: “The best way to review the performance of your campaign is to wait for a couple of months after its end,” advises Monica Garrett from Margaux Agency.
“This way, you will have a clear picture of exactly how it affected your sales and brand awareness. Once you’ve compared your results to the initial goals you set, you can start tweaking your strategy for your next campaign.”
Here is the list of top 8 best strategies to measure influencer marketing you should consider implementing in your business:
1) Set campaign goals
2) Understand the deliverables
3) Use this simple influence marketing ROI formula
4) Ask the influencer to share their metrics
5) Track your engagement rate
6) Use a custom URL or promo code
7) Leverage a coupon code
8) Check the sales made
Read more here.