18 Apr How to Measure Influencer Marketing ROI (Infographic)
Instead of traditional marketing, many marketers and brands now prefer to use influencer marketing. Why? Influencer marketing is a highly effective form of marketing which helps brands generate a higher ROI from their marketing efforts.
One of the major challenges faced by marketers and brands is to measure the success of influencer marketing. In fact, 76% of marketers state measuring influencer marketing results as one of their biggest challenges.
The following are three crucial metrics which will help brands measure the results of their influencer marketing campaigns effectively.
1. Measure Total Engagement
The total engagement rate will help you understand the success of your influencer marketing campaign. It is a vital metric to measure the results of your campaign because it is directly related to customer trust and brand loyalty.
If your influencers are credible and have huge followings, they can help you generate high engagement rates for your brand.
Track the following engagement KPIs or key performance indicators to quantify the performance of your influencer marketing campaign.
- Comments – Calculate the number of comments your influencers’ posts get. A high number of comments on the content indicates that people are interested in it.
- Likes – When your sponsored content generates a high number of likes, it implies that your content is popular. A high number of likes also helps you improve your visibility on Facebook or other social media platforms as the post could show up on people’s feeds.
- Shares – If the quality of your sponsored content is high, it will generate a high number of shares. And it will reach an even bigger audience.
- Reactions – In addition to likes, Facebook has introduced a new set of reactions to help users express their feelings towards the content. You can track the total number of each different type of reaction to the sponsored posts.
- Clicks – A high number of clicks indicates that your target audience is interested in your brand. So, calculate the number of clicks your sponsored content is generating.
2. Measure Conversions
Responses to calls-to-action and an increase in sales can both be included in the calculation of conversions. Brands need to calculate conversions because it’s a more direct and effective method to track and monitor revenue generation.
The conversion metrics of your marketing campaign will be based on your influencer marketing campaign goals identified at the beginning of your campaign.
For instance, one of your campaign goals may be to gain 1500 new subscribers or generate an additional $5000 sales. For cases like this, remember that both metrics are included in the calculation of conversions to monitor your campaign performance.
3. Measure Changes in Website Traffic
One of the main goals of many brands is to generate lots of high-quality traffic to their websites. They are especially keen on driving traffic to landing pages where the brand promotes their products or services.
You can ask influencers to talk about your brand on social media and share links to relevant landing pages. This can not only help you generate high-quality traffic but also increase brand awareness.
To monitor traffic generation and measure the impact of your campaign, you can use tools like Google Analytics. The tool will help you track your traffic from three different sources.
- 1st Source – Search – where people visit your website via Google search.
- 2nd Source – Direct – where people visit your website directly via your website’s URL
- 3rd Source – Referral Visitors – where people are referred at some other place and then they visit your website.
To measure the success of your influencer marketing campaign, you need to measure these three important metrics along with other metrics specific to your goals.
Do you want to learn more about the ROI of influencer marketing? Check out this infographic by Grin.
Author: Brian Mechem is COO and Co-Founder of Grin, a software solution for companies who run influencer marketing programs. Grin’s software powers some of the best influencer programs in the world, providing insights on ROI and adding efficiency to the influencer marketing process. You can follow him on Facebook, Youtube, and Twitter.