According to the report, which surveyed 158 marketers, only 36% said they feel their influencer marketing efforts are effective. While 44% said they were neutral about the effectiveness of their influencer marketing, 19% deemed it ineffective.
Even so, it’s a space that marketers aren’t shying away from: 75% of respondents said they currently employ the discipline, while 43% plan to increase spending on it in the next year. Of those who are not currently using influencer marketing, 27% indicated they plan to do so in the next 12 months.
When it comes to platforms, the majority of respondents agreed that Facebook and Instagram are the top social media channels for influencer marketing. Nearly 40% ranked Instagram as the single most important channel.
“It’s clear that the popularity of influencer marketing has increased among marketers in recent years, largely due to the growth and evolution of social media,” said ANA chief executive Bob Liodice in a statement. “We’ve found that a growing number of marketers are turning to influencers to help them combat ad blocking, leverage creative content in an authentic way, drive engagement, and reach millennial and gen Z audiences who avidly follow and genuinely trust social media celebrities.”
Nearly 90% of marketers surveyed for the report stated that brand awareness is one of their objectives for influencer marketing. More than two-thirds said they utilize it for content creation and distribution, while over half said they use it to improve brand perception and drive purchase.
As far as compensation goes, 62% said they compensate influencers monetarily, while 35% provide free products in exchange for services. More than 60% of respondents said they spend under $100,000 annually on influencers.
On the legal side of things, 73% of marketers said that they use either #sponsored or #ad to convey that an influencer post has been paid for by a brand, both of which are recommended by the FTC. According to FTC guidelines, hashtag disclosures like #thanks, #collab, #sp, #spon, or #ambassador are not sufficient enough to disclose the connection between an influencer and brand.