Why Influencer Marketing is so Cost Effective - Social Industries | Managed Social Media Advertising Why Influencer Marketing is so Cost Effective - Social Industries | Managed Social Media Advertising

Why Influencer Marketing is so Cost Effective

Influencers are the gem of the digital marketing world. No one is arguing that. But they also tend to save a business a ton of money. It’s simply one of the most cost-effective strategies in modern marketing.


There are a thousand reasons why, but consider these few to start:

Low Production Cost

Why hire a model or photographer when an influencer is willing to do all of those things? Influencer marketing is inherently lower in production costs. Influencers are advanced in their production skills. They tend to include all production costs in their fees. This leaves a business with room to save in this department. Of course, don’t be shy if you want a say in something. After all, it’s your brand.

Stronger Leads

Social media users tend to be more affluent and communicative. They are much more likely to recommend products or services to friends and family. This can lead to higher quality customers and stronger leads.

This will help you save on sales and marketing costs. What lead funnel?


One in five smartphone users—nearly 420 million people worldwide— block advertising when browsing the web on cell phones. Additionally, ad blocking has grown 41% globally in the past year. So, while it is evident people hate forced advertising, they’re never going to block an influencer.


That’s their friend, silly!

Better Metrics

The average cost for almost every metric on social media is cheaper with influencers. Whether it is a click, page view, like, whatever your cost per mile (CPM), an influencer brings it in for less. In fact, on average, social media advertising is 3x more expensive than influencer marketing.

Higher Engagement

Influencer marketing draws higher engagement for less money. Influencers don’t have to “woo”
people as much because they already have an audience. That’s their whole appeal! In fact, The average engagement on a brand post is 0.5% whereas the average for an influencer post is 2%. The lower percentage is the result of higher competition.

Stronger ROI

Saving the best for last, influencers actually bring you more money in general. Bottom line.

When you add it all up, they have a higher return on investment than brand messaging. Here are the stats:

  • Businesses generate $6.50 in revenue for each $1 invested in influencer market.
  • The majority of businesses get solid results from influencer marketing.
  • Just 18% of businesses fail to generate any revenue from influencer marketing.
  • 56% of consumers are influenced by their friends and peers on their purchases.

The hardest part about influencer marketing is finding them. You should make sure they fit your brand and style. After all, they’ll be posting on your behalf. Consider employing a few different influencers so that you have a mix of style and a larger network.


Overall, influencer marketing is currently the most effective type of marketing we have. And that’s because it’s genuine. People trust influencers and it will build bridges to your brand. Using influencers will increase engagement, drive brand loyalty—and most importantly— really add to your bottom line.