How Influencers Drive Brand Loyalty and Lifetime Value?

The Emotional Connect Equation

Influencer Marketing nowadays has become a buzzword every brand wants to go after.

But it is not a new concept and has been around in different forms for ages – brand ambassadors, celebrity endorsements, and testimonials.

However, in the past few years, we have seen it becoming mainstream due to many changes in the marketing landscape –

• Digital Marketing has become a part of every brand’s strategy.
• Social Media is no longer just a space to stay connected with friends. People have started using it to find new things, research products, shop, and share feedback.
• We saw a growth in consumers’ emphasizing authenticity and word of mouth (63% of global consumers trust influencers more than traditional advertising.)

All these changes have led to 87% of marketers saying that influencer marketing is an effective way to –

• Reach your target audience
• Engage, associate, and build emotional connect with them, and
• Convert them, all while being very Cost-effective.

Research by McKinsey & Company suggests that emotional connection is a key driver of brand loyalty, with emotionally connected customers demonstrating 3 times the lifetime value and being more likely to advocate for the brand.

So,

How can Influencers bring metrics like Loyalty and Lifetime Value to your Brand?

• Their personal stories, affinity, and experiences add an authentic voice and face to the brand and humanize it.

• Their great storytelling and persuasive skills can make your audience feel emotions such as trust towards your brand.

• They have built a loyal community by focusing on a niche, giving value through content, and engaging with people.

You can leverage the deep personal connection an influencer shares with its audience to build your brand image and community.

“Consumers are 4 times more likely to trust and purchase from a brand recommended by an influencer they do follow.”

Now that we know how influencers can give the launchpad our brand needs to connect with its customers on an emotional and personal level, what comes to mind next is –

What are the ways to use Influencer Marketing, regardless of your Business?

1. Collaborate with Influencers for a Long Term: Influencers have the power of being more than a person you need to promote your product.

To attain enhanced lifetime value through influencers, you first have to gain their trust and interest in your brand.

You can do that by going beyond content creation and working with them to strengthen or change your positioning, launch new product lines, and build a growth strategy for your brand.

Nike joined hands with Michael Jordan to create its highly renowned shoe line of all time – Air Jordan.

When it wanted to shift its positioning from its original athlete brand to an activewear fashion brand, it collaborated with rapper Drake to create NOCTA.

1. Expand your Mix of Influencers: When we say “Influencers”, they are not just the people who are famous online or have a good presence.

It is someone who can influence your target audience’s decision, and two such people who are close to you are your employees and your existing customers.

They are deeply associated with your brand, know it well inside out, have a strong affinity, and are willing to contribute to its growth.

Starbucks invites its customers to have fun with its coffee cups with its campaigns (like the #RedCupArt Holiday campaign).

It brings them new product design and packaging ideas with lots of user-generated content and buzz on social media.

Starbucks encourages its employees to become the face of the brand by letting them share their sneak peeks, behind the scenes, and life at Starbucks.

1. Craft your Brand Storytelling with them: Influencers are highly aware of two of the most crucial ones – shifts in consumer behaviour and market trends.

When you work with them, you can receive real-time insights that you can use to change your brand’s content, offerings, and conversations to stay relevant in your niche.

This is all about why and how you can adapt to influencer marketing.

We at Pandora’s Box got an opportunity to peek into the future of influencer marketing and be part of it through Simply Social 2.0, an event hosted by Starbuzz.ai in partnership with the Government of Goa and FiiRE Goa.

The bigger vision was to ignite influencer-ship and foster a thriving ecosystem, a Creatorverse, where Brands and Influencers can connect and find a mutual passion, collaborate, and celebrate.

Over 200+ Content Creators, Mega Influencers, and Brands gathered at the picturesque venue of Goa, highlighting the spot influencer marketing will occupy in the coming times.