We recently sat down with Lotanna Ezeike, founder of XPO App (an Instagram influencer app) to hear his thoughts on everything related to influencer marketing in 2019.
1) Magnet Monster (MM): How are the announcements from the Facebook F8 Conference going to impact Influencer Marketing going forward?
The Facebook F8 Conference touched on enabling users to buy items directly from "creators". This is a great stride into making influencer marketing effective as the end user takes fewer steps to purchase an item which in-turn increases conversion.
Subsequently, I believe this would increase the cost of influencer marketing because tracking ROI would be simple and could justify higher costs. On a side note, once this feature has been rolled out to the masses, the market size of 'instagram influencer marketing' would be more accurate.
Right now, the market size is only calculated with data from influencer agencies and influencers who use the #ad. 81% of influencers are micro and don't work under an agency nor do they necessarily use the #ad hashtag. This means the £2.38B market has approximately 80%+ of its data missing.
2) MM: What are the best metrics to track when working with Influencers for maximum ROI from your campaign?
It depends on the goal of said campaign. If its to increase brand awareness then 'reach' etc.
It's very simple. The 'best metrics' aren't the important thing in influencer marketing. The funnel and the journey you take a potential lead on is more important.
I would personally suggest NOT trying to get a sale from an influencer's post. Instead, lead potential customers to a landing page and track using FB/Snapchat Pixels. Then, retarget that audience with the influencer content they interacted with and then go in for the sale. Shout out to Timothy Armoo ;)
3) MM: What differentiates 'micro-influencers' from 'macro-influencers', and why does XPO App focus on the Micro market specifically?
Micro-Influencers tend to have between 10K to 100K followers. This means their reach is smaller than macro-influencers, however, their 'influence' is more potent.
XPO APP focuses on the micro market because we've realised that its underserved. This causes creates a black market where people get scammed etc. I personally find it crazy that 99.3% of businesses in the UK are Small Businesses yet influencer agencies focus on huge corporates.
Influencer agencies often have huge minimum spend (up to £40,000/month) and this makes it impossible for smaller brands to tap into the power of influencer marketing. Likewise, micro-influencers are often ignored as some influencer agencies only funnel work to the larger macro-influencers.
XPO APP aims to bridge this gap and provide a transparent payment solution for the influencer micro-market.