ROI and hidden costs: how to make influencer marketing more successful

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Return on investment is a common metric to measure the success of a marketing campaign. Therefore, it is also an important strategy to consider when it comes to your influencer marketing campaign and budget. How can you increase ROI in a worthwhile way and what potential hidden costs can you avoid? Kolsquare has the answers for you.

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Often, brands rely solely on the results that influencers provide them directly. This may be feasible for setting a budget, but you should not completely forget about other marketing activities, even in collaboration with influencers. It is better to view all activities, messages and formats as a whole and pool your resources accordingly. This can be a strong point of your strategy.

Therefore, communicate in advance what content you want from your partners and that you plan to repurpose it on other channels . You should be as transparent as possible and find a good compromise for both parties, because a campaign can only be successful if your influencers are happy too.

Furthermore, these expectations on your part, for example content recycling , naturally represent the starting point of a collaboration. Consequently, both parties negotiate the costs of a collaboration based on different factors. Of course, the number of followers, the type of content and the duration of the collaboration all play a role.

Read Kolsquare's brochure to learn more about how much influencer marketing really costs .

But how can you increase your ROI now? You need to think critically about all costs, vp safety email database including those that seem hidden at first glance but can have a significant impact on your ROI.

How to calculate ROI
ROI, or return on investment, is usually expressed as a percentage and calculated as shown in the chart. While the equation itself is relatively simple and obvious, determining the ROI of your influencer marketing campaign is still complicated as there are many factors that can influence the success of your strategy.


Earthweb Chart

So, you first need to determine what your goals are. Do you want to generate direct reactions and sales or (in the long term) increase brand awareness? Based on your goals, measure your results and those of your influencers.

Kolsquare has released a report in July 2022 on the issue of influencer budgeting in 2021/2022, which goes into great detail on how you can measure the success, performance and effectiveness of your campaigns and further increase your ROI.