The biggest criticism of influencer marketing has been measurement and proving actual effectiveness. International e-commerce companies have been among the pioneers in measuring and implementing influencer marketing. As influencer investments grow to become a larger part of a company's marketing communications spending, the importance of measurement has increased significantly. It is easy to build a connection from influencer marketing to e-commerce analytics. Here are a few ways to measure influencer marketing ROI in e-commerce.As influencer investments grow to become a larger part of a company's marketing communications spending, the importance of measurement has increased significantly. It is easy to build a connection from influencer marketing to e-commerce analytics. Here are a few ways to measure influencer marketing ROI in e-commerce.
When an influencer creates a YouTube video or Instagram Stories post series, the advertiser can provide the influencer with a tracking link (tracking code) that is connected to the e-commerce analytics. With this, the advertiser can track clicks and conversions from the influencer's content to the e-commerce store. It makes sense to continue and deepen collaboration with influencers who collect clicks and convert well, as they have the ability to influence sales of the advertised product. The old saying about the power of repetition applies here.
One popular method is to use various e-commerce discount codes that the influencer offers together with the advertiser to their followers. For example, with the discount code INFLUENCER20, followers get a 20% discount on their shopping cart total. A discount code is a good option for podcasts or Instagram posts where you cannot embed a link. However, it is important to remember the significance of content integrity in the influencer's channel, as a single and isolated discount code will likely not produce the best results.
However, the audience doesn't always immediately move to shopping in the e-commerce store, as the purchase can happen later. Therefore, it is good for the advertiser to note that just a click or a discount code conversion doesn't tell the whole truth about the impact on consumer purchasing behavior. According to a study conducted in Sweden*, only 7% said they click because they want to buy the product, while 52% said they want more information about the product.
One effective tracking method is to connect the influencer's YouTube video to the customer's e-commerce analytics using Google Ads and Analytics. This way, you can build, for example, customer journeys from content to the customer's data points. E-commerce should also note that with a small additional investment in distribution, influencer marketing ROI can be improved significantly. For example, on YouTube you can double clicks to your e-commerce store with a fraction of the media investment by remarketing Google Shopping ads or a lightweight advertising video created by the influencer to those who have seen the influencer's video. To support influencer marketing planning
