How big is the influencer market?
It turns out that the answer is enormous – and for a good reason.
Here’s the deal:
Influencers are in a unique position. They are people who attract online audiences and have vast influence over them but do not affiliate with any brand directly – or at least that is the image they like to portray.
For this reason, they’re a powerful tool that companies can use to get their message out.
Check out our list of the latest influencer marketing statistics. You’ll be amazed at just how important this once-niche form of advertising has become.
Incredible Influencer Marketing Stats
- 49% of consumers rely on the recommendations of influencers.
- 70% of teens relate to influencers more than to traditional celebrities.
- There are an estimated 157 million micro-influencers.
- 84% of micro-influencers charge less than $250 per sponsored post.
- The industry will be worth $10 billion by 2020.
- 71% of marketers believe that engaging with influencers is good for business.
- Teens are seven times more emotionally attached to YouTube content creators than they are to celebrities.
- 37% of marketers have standalone budgets for influencer marketing
Influencer Marketing Statistics in 2020
Okay, let’s take a deep dive into the most important influencer marketing statistics of the year.
1.70% of teens relate to influencers more than to traditional celebrities.
Social media influencer marketing took off in a big way over the last few years. But what drove that revolution?
The data suggests that it’s relatability.
Teens are the most prolific consumers of influencer content. What’s more, influencers are precisely the people teens relate to the most.
Google’s research, for instance, found that 70% of teen YouTube subscribers relate to influencers more than they do mainstream celebs.
Is influencer marketing effective? Heck yeah!
Here’s another killer stat for you:
2. There are an estimated 157 million micro-influencers.
How many micro-influencers are there? Estimates from Buffer using data from a Mention influencer marketing report suggest that there are nearly 160 million micro-influencers currently offering content to users online.
Wait a second:
That’s more people than the entire population of Japan!
For marketers, this means two things:
Reach and niche audiences. Brands using influencer marketing will often seek out people who focus exclusively on products in their industry.
Want more compelling influencer marketing stats? Here’s another:
3. 49% of consumers rely on the recommendations of influencers.
The reach of influencer advertising is genuinely profound. Not only are there more than 150 million of them appealing to practically every niche demographic out there, but they also have vast market power.
Yes, you read that statistic correctly:
Almost half of consumers rely on the recommendations of influencers to make purchase decisions.
Notice the choice of words here. Consumers don’t just “use” or “consider” the opinions of influencers, but actively depend on them to help them make purchase distinctions.
Could there be a better reason to increase the size of your influencer marketing budget?
The answer is an emphatic yes. And here’s why:
4. 84% of micro-influencers charge less than $250 per sponsored post.
Influencer marketing ROI is high. Not only do you get access to a captivated audience, but most micro-influencers don’t charge all that much per sponsored post. Instagram influencer marketing is sometimes quite cheap.
The reason it matters is simple:
The less you have to spend on advertising, the higher the ROI.
It’s why email advertising return on investment is so much higher than other channels:
Email is essentially free.
5. Influencer marketing campaigns earn $6.50 on average for every dollar spent.
Of all the influencer marketing effectiveness statistics in this article, this one from Tomoson is the one most likely to make you spill your Cheerios.
The agency found evidence that marketers who use influencers for content promotion can achieve a staggering 550% return on their initial investment. No wonder influencer marketing spending is shooting through the roof!
The cost of influencer marketing is even lower for companies that know how to use it correctly. The top 13% of firms achieve a stunning $20 in revenue for every $1 they spend, according to the same influencer marketing report.
Here’s another, related fact:
6. 67% of marketers plan to increase their influencer marketing budgets over the next 12 months.
(Influencer Marketing Hub)
How much should you spend on influencer marketing?
It’s a question that many businesses are asking themselves right now.
The thing is:
The influencer engagement rate is increasing all the time. More and more people are turning to things like celebrity endorsement on Instagram to help them make decisions on which products to buy.
So, it’s no wonder companies want to dedicate so many resources to the endeavor. Influencer marketing isn’t just a small part of the overall budget – it’s fast becoming the lion’s share.
In total, two-thirds of marketers at major firms plan to increase their influencer budgets over the following year.
This is crazy. When you break it down, it means that:
7. The influencer marketing industry will be worth $10 billion by 2020.
The overall influencer marketing market size will be $10 billion by the end of 2020, up from just $2 billion in 2017.
Marketers are finally beginning to understand influencer marketing trends and use them to their advantage.
What this means in practice will be interesting. We’ll likely see more influencers get in on the act, offering their opinions on everything from clothing to the latest dishwashers.
Some influencers will likely see their pay go up considerably as a result of all this activity. The influencer marketing market will soon be awash with dollars.
This next fact cements how important influencer marketing has become:
8. Brands now spend more on influencer marketing than on print marketing.
(Digital Marketing Institute)
Twenty years ago, it was a brave soul who claimed that digital marketing spending would outpace print marketing.
The latest influencer marketing stats, however, reveal the crossing of yet another critical threshold:
Here’s another fact for you:
9. 60% of customers would buy a product if recommended by an influencer.
(Digital Marketing Institute)
Celebrities aren’t as influential as you might imagine. Research from Collective Bias (reported by the Digital Marketing Institute) reveals that only around 3% of customers would buy a product in-store if recommended by a celebrity.
What about influencers? Do they fare any better? It turns out that they do:
More than twenty times better, in fact! A full 60% percent of people said that they would buy a product in-store recommended by an influencer when asked.
We can only speculate why this might be the case, but one reason could be that regular consumers consider influencers their peers. Because influencers are just ordinary people, their opinions on products and services might be more applicable.
Knowing this, it should come as no surprise that:
10. 71% of marketers believe that engaging with influencers is good for business.
Given the influencer marketing facts we’ve discussed so far, it shouldn’t be a shock to anyone that almost three-quarters of marketers think an association with influencers is good for business.
Unlike other forms of advertising, relationships with influencers tend to grow in value over time.
Companies that offer great products can win over influencers who then become brand ambassadors, promoting the company’s products whenever the opportunity arises.
But how effective are influencers, really? Check out this statistic:
11. Influencer promotion increases purchase intent on Twitter more than 5.2X.
Twitter regularly investigates micro-influencer statistics on its platform. Recently, it discovered that companies that use influencers to promote their products and services increase purchase intent by 5.2X compared to just 2.7X for regular advertising.
That’s crazy! It means that using influencers doubles the effectiveness of a company’s advertising on the platform.
Twitter also revealed that 40% of users on its platform purchased a product in direct response to a tweet.
12. Teens are seven times more emotionally attached to YouTube content creators than they are to celebrities.
People might love to read about celebrities, watch their movies, and listen to their audiobooks, but the evidence suggests that emotional engagement just isn’t there.
The celebrity endorsement statistics don’t look great. Teens are up to seven times more emotionally attached to YouTube stars than to the likes of Beyonce or Leonardo DiCaprio. It seems YouTube creators are just far more relatable than celebrities living the high life.
Moving on from this:
13. 59% of micro-influencers believe Instagram is the most effective platform with which to engage their audiences.
Almost six out of ten micro-influencers think Instagram is the most effective tool for them to communicate with their audience.
This belief, however, varies depending on the influencer’s target industry. More than 77% of fashion influencers thought that Instagram was the best tool available, compared to just 31% of entertainment and pop culture influencers.
Targeting key Instagram demographics through influencers, therefore, depends heavily on the industry you’re in.
Here’s another mind-blowing statistic:
14. YouTube stars get 3X as many views as celebrities.
Google’s influencer marketing research provides more insight into the widening gulf between the impact of celebrities and the impact of YouTube stars.
Data shows that the top 25 YouTube non-celebrity stars earned three times as many views, encouraged 12 times as many comments, and provoked twice as many actions.
Traditional influencers, therefore, offer marketers far more potent options to communicate with their audiences. What’s more, they’re usually a heck of a lot more affordable, too!
Moving swiftly on:
15. 86% of women use social media to make decisions on what to buy.
Social media today plays an enormous role in what women decide to buy. Almost nine in ten women said that they regularly turned to social media to provide them with purchasing advice.
What’s more, 72% of women said they played an active role in helping other women decide what products to buy online.
The latest data suggests that women are more active on social media than ever before, with 45% claiming they spend more time on social networks than at any other time in the past.
Take a look at this next statistic:
16. 28% of companies say influencers are their fastest-growing online customer acquisition method.
The digital marketing world never stands still. Companies are always looking for new ways to attract prospects and gain business.
That’s why influencer marketing statistics like this are so incredible. If nearly 30% of companies say that influencers are their fastest-growing customer acquisition method, this means that influencer marketing is more effective than dozens of other tools advertisers could use.
To put this in perspective, the second-highest-rated form of customer acquisition was organic search, with under half of marketers saying it was their most important channel. Just 5% of companies said that display advertising was their best marketing tool.
17. 37% of marketers have standalone budgets for influencer marketing.
When a form of marketing gets a standalone budget, it means business. Several years ago, content marketing got this special treatment, then social media marketing.
Today, influencer marketing is going through a similar revolution. Companies are increasingly setting aside funds to pay influencers for their services, hoping they will help them communicate with their audiences more intimately than they ever could. It’s fundamentally changing the makeup of their budgets.
18. 78% of influencers find Instagram the most effective format.
Have you ever wondered how many Instagram influencers are there?
The most recent figures suggest that there are around 500,000.
But why are there so many?
Mediakix recently investigated the issue and found that Instagram has the highest percentage of influencers rating it as the best platform. Nearly 80% said they found Instagram useful for influencer marketing, compared to 56% for YouTube and 14% for Facebook Live.
So, there you have it:
Some of the most interesting and compelling influencer marketing statistics out there right now.
Are you considering using influencer marketing for your enterprise? Tell us in the comments below.