"That $50,000 goes toward turning a brand's "educated guess" into "metrics they're confident about," Titus says. Here's how that test and learn process typically works on Faved: A beauty brand, for example, will typically spend their first $15,000 to $20,000 on 10 differently priced collaborations with beauty or lifestyle influencers whose audiences fit their ideal customer profile. During this step, he adds, the brand's only goal is to figure out which influencer's content drove the most sales at the lowest cost."
"Once the brand can say, "I paid X amount per impression, and I paid X amount per click and X amount per customer" for its highest-performing creator, it can then use the next $20,000 to partner with 10 more influencers like them at a similar price, according to Titus. "And then you repeat that a few more times until you start getting to a point where you're repeating it predictably," he says."
"But the question of how many dollars it takes to actually make an impact through an influencer marketing campaign has a much less complicated answer. Stephen Titus, CEO and co-founder of Faved, a London-based influencer marking agency, says the best way for businesses to reach their benchmarks is by realizing "that they will need to spend around-for the sake of simplicity-$50,000.""
Influencer fees range from a few hundred dollars to six figures, but reliable impact requires a structured test-and-scale budget of about $50,000. Initial testing typically uses $15,000–$20,000 to run ten differently priced collaborations with creators whose audiences match the ideal customer profile. The objective in this phase is to determine cost per impression, click, and customer and identify the highest-performing creator. After that, another $20,000 funds more partnerships with similar creators to scale performance. Repeating test-and-scale cycles until results become predictable enables confident forecasting of acquisition costs and ROI expectations.
Read at Inc
Unable to calculate read time
Collection
[
|
...
]