THE STATE OF INFLUENCER MARKETING - 2020 SPECIAL FOCUS ON FASHION, LUXURY AND BEAUTY INDUSTRIES
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THE STATE OF
INFLUENCER
MARKETING
2020
SPECIAL FOCUS ON
FASHION, LUXURY
AND BEAUTY
INDUSTRIES
$25K
$20K
$15K
$10K
$5K
$0K
More
than $100K
10.8%
Between
$50K and $100K
11.7%
THE STATE OF
INFLUENCER I N D EX
MARKETING
2020
03. Intro Letter from our CEO
05. Influencer Marketing Effectiveness
SPECIAL FOCUS ON 06. Investments and Budgets
FASHION, LUXURY AND
BEAUTY INDUSTRIES 09. Relatability Matters
11. Popular and Emerging Channels
12. Consumer Generation Profiles
13. Influencer Marketing Challenges and Measurement
2020
14. Influencer Challenges and Motivations
20. Covid-19: A new Industry Climate
26. Predictions for the Future
28. Report Methodology
The State of Infl ue nce r Marketing 2 02 0 3
BUILDING
CUSTOMER-CENTRIC
STRATEGIES IS MORE 2020. A year in which the direction
of influencer marketing seemed
IMPORTANT THAN clear after years of evolution and
stabilization. And suddenly, the
Covid-19 crisis changed
EVER BEFORE everything - causing not only the
largest health crisis of recent years
but also a heavy blow to the competing very closely with the
fashion, luxury and beauty United States. This corresponds
industries whose futures are still with a recent study published by
uncertain. Boston Consulting Group stating
that revenue from Asia will
The fact that almost 95% of these represent 41% of the sector in 2025.
industries work with influencers, or
that the main objectives covered Generation Z has also grown as a
through these types of campaigns target for brands in their aspiration
are awareness or sales is not to reach the consumer of tomorrow,
surprising. who will soon have a much greater
Investments in influencer Share of Wallet. Consequently,
marketing programs in 2020 TikTok has established itself as a key
continue to grow - increasing by platform in the influencer marketing
between approximately 10% and spectrum. This social network, (with
30% this year. But, when asked 46% of users between 16 and 24
which markets are the primary years old), is already a new channel
targets for such investment, we to exploit in their actions with
discovered with some surprise that influencers for 42% of brands within
despite the fact that Europe the industry.
continues to lead the investment
objectives of most brands, the Micro influencers with niche
Asian market is in second position, followings continue to be the most
www. l aun ch met ri cs. co m
The State of Infl ue nce r Marketing 2 02 0 4
BUILDING CUSTOMER-CENTRIC STRATEGIES IS
MORE IMPORTANT THAN EVER BEFORE
effective for brands whose main At Launchmetrics, we are launching
objective is a greater connection and the sixth edition of our annual
closeness with their audiences. Influencer Marketing Report in the
Perhaps more than ever, the key to a midst of an uncertain time, with the
successful influencer marketing future outlook of the industry raising
strategy is relatability. Building a many questions. At the same time, as
relationship with the consumer that Einstein said: "in the midst of difficulty,
goes far beyond fashion or the lies opportunity." It is time for brands to
product itself, and which is 100% rebuild direct relationships and
customer-centric is essential. We see relevancy to their consumers. To
this trend, for example, through the analyze and measure what their
finding that 56% of brands in 2020 needs are in order to maximize the
say that they use their consumers result of each and every brand
as influencers and 'User Generated action. And in this evolution, we must
Content' (UGC) is positioned at the observe how influencers elevate their
forefront of many strategies now. role to be part of this redefinition of the
industry.
Since the beginning of this crisis,
brands are evolving from a I hope you find our State of Influencer
product-focused communication Marketing Report 2020 insightful for
line to reinforcing the intangible your business, and that it helps you to
values of their brand. Influencers' start envisioning the new future for
sponsored content has slowed in the your brand. CEO, LAUNCHMETRICS
past two months and authenticity is
now translated into valuable,
transparent content that is much
closer and responds better to
consumer needs right now.
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The State of Infl ue nce r Marketing 2 02 0 0
5
// INFLUENCER MARKETING EFFECTIVENESS
Asos Insiders:
94%
F IN D INF LUENCER M ARKET I NG
Driving Products via Influencers
Although Asos’ marketing initiative -
E F F EC T IV E FOR D RIVING SALES 'Asos Insiders' - has been running for a
few years already, its results are still
remarkable. It's not just about
The effectiveness of influencer
building brand value and gaining
marketing for driving sales increased
visibility through Key Opinion
by 18% compared to 2019
Leaders (in the past year this
campaign offered Asos $8 Million in
Raising Awareness 95.8%
MIV®), but also about creating an
authentic community of brand
Driving Sales 94.0% ambassadors driving users directly
towards points of purchase.
Supporting Digital Strategy 91.4%
The "Insiders" are a group of about 20
trendsetters from different corners of $8M in MIV®
0
50%
100%
the globe that can be found on the Is the overall value obtained by the Asos
Insiders campaign in the past year. 85% was
ASOS Insiders website page. Each accumulated via Instagram.
influencer uses his or her social media
accounts (mainly Instagram, but also
Pinterest and YouTube) to promote
Almost $3M in MIV®
Is what the Influencer Voice generated for this
The three main goals brands are achieving via influencer clothes, accessories and/or beauty campaign, representing 31% of the global
MIV®.
marketing programs include; raising awareness (an increase of products that are available to buy on
almost 5% compared to last year) and supporting the digital ASOS.com and whose code they
strategy of those companies. always list in the caption of every
publication they post. Ari Fitz, @asos_ari
Was the best performing influencer of this
campaign in the last year contributing almost
18% of the MIV®.
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BRANDS
The State of Infl ue nce r Marketing 2 02 0 6
// INVESTMENTS AND BUDGETS
B R A N DS ARE S TARTING T O F AVOR ASI A AS A T OP M A R K E T FO R I N V E S TM E N T
IN IN F LUENCER M ARKET I NG C AM PAI GNS.
E uro p e i s t h e
c o nti n e n t
w her e b r a n ds USA EUROPE
a r e i n ve s t i n g 18% 51%
t he m o s t i n ASIA
i nfl ue n c e r 18.5%
marketing,
fo llow e d b y
A s i a a n d U SA .
The relevance of the luxury and fashion industries’ presence in
regions such as France or Italy as well as the emerging
consumption of luxury products in countries such as Russia, is
probably the reason why budgets for influencer campaigns are
concentrated in Europe. However, it is interesting to see that
brands are favouring Asia second, and very slightly above the
United States, this is likely because Chinese consumers are set
to make up 46% of luxury goods purchases by 2025.
www. l aun ch met ri cs. co m
BUDGET
The State of Infl ue nce r Marketing 2 02 0 7
// INVESTMENTS AND BUDGETS
MO ST PROFESS IONALS H AVE I NC REASED BU DGET S B E TW E E N
1 0 % A ND 30% COM P ARED T O 2 019
2020
$25K
$20K
INFLUENCER MARKETING INVESTMENT
$15K
$10K
3 9 % of $5K More
than $100K
pro f e s s i o n a l s $0K
10.8%
Between
c la i m t h a t $5K and $20K
the i r b r a n d s Between 31.5%
$50K and $100K
i nv e s t m o r e 11.7%
>>
tha n $ 2 0 K a $2.3K
y ea r i n $5.1K
i nfl ue n c e r $8.5K
44%
Less than
Between
programs. $5K per year $4.9K
$20K and $50K
29.5%
16.5%
Say they will increase
budgets in the next year
due to the growth in
Brands in the fashion, luxury and beauty sector have increased overall influencer
their budgets dedicated to campaigns with influencers this marketing activations.
year. Most of them have increased budgets by between 10% 18.2% say it is due to
and 30%. The percentage of professionals investing more than increasing collaborations
$10K increased by 10% compared to 2019. with influencers in new
markets.
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The State of Infl ue nce r Marketing 2 02 0 8
//INVESTMENTS AND BUDGETS
INDUSTRY
INSIGHT
WITH ARNE EGGERS,
SENIOR VICE PRESIDENT, KARLA OTTO ASIA
In other markets KOLs tend to be used on them – a successful campaign will
as an additional element for a marketing usually be following an integrated
campaign, whereas in Asia they are approach that includes ATL, BTL, PR and
usually at the heart of it. Influencers are offline activations. Marketing activations
used to amplify almost every event or involving KOLs tend to follow different
campaign and help brands to spread strategies compared to Western
their message to wider audiences. With markets. In China, KOLs are now
large and engaged audiences many increasingly engaged to do direct-sell
KOLs in Asia are extremely effective at live-streaming for brands within
this, so it would be rare to see a brand ecommerce platforms such as Alibaba’s Most brands would treat
plan a campaign without keeping them Tmall. Hence, brands in China may also
top of mind. Most brands would treat have to develop strategies on
KOL partnerships as an
KOL partnerships as an “always on” identifying the right KOLs to serve “always on” strategy to
strategy to maintain awareness and specific purposes, from pushing sales to maintain awareness and
engagement with target consumers. image building to storytelling etc., and
But while influencer activations will play on which platform.
engagement with target
a key part in the marketing strategies for consumers.
all of our clients, no brand will solely rely
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The State of Infl ue nce r Marketing 2 02 0 9
//RELATABILITY MATTERS
RELATABILITY 42.9%
MATTERS 20k-100k
Find Micro
Influencers most
effective.
56.3%
The success of relatable relationship with their
channels when it comes to engaged followers. And,
influencer marketing is clear, creating relatable content isn’t THE TOP THREE
but the way both brands and just important for brands and REASONS?
creators communicate this is consumers - it’s something
Of brands have leveraged 1. They are cost-effective
continuously evolving. We that influencers are also their consumers as 2. They are more authentic
have seen an influx of brands, paying attention to. 48% of influencers.
particularly in the beauty influencers would work with
3. They have a better
relationship with target
industry, leveraging their a brand for free if they really consumers
customers as influencers - loved them, and are conscious
56.3% of brands this year. Not in the content they present to
only does this method of audiences. If there is an
influencer marketing bring inauthentic match between
companies closer to their brand and influencer, creators
customer, it also provides may run the risk of alienating
visual, real testimonials from their audience, and brands
the very consumers they are may not see return.
trying to attract.
This is also reflected in the
ever-growing popularity of 48% +10%
Micro Influencers who tend to From 2019
have a more niche following, Of influencers would
and therefore a strong work with a brand for free
if they really loved them.
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The State of Infl ue nce r Marketing 2 02 0 10
BRAND STORY: A trend that has become particularly
prominent in influencer marketing –
specifically within the beauty industry –
is utilizing customers as influencers. "Leveraging customers as
GLOSSIER’S USE OF 56.3% of brands have leveraged their influencers is great, because
consumers as influencers in 2019, and as a consumer I like to see
CUSTOMERS AS INFLUENCERS this number is only increasing, with the products in action on other
likes of digitally native brands like customers – I feel like they are
Glossier paving the way for successful being honest."
user generated content strategies.
Glossier was born out of Into The Gloss – who started out by just posting their
a beauty website and blog developed products on her Instagram, she noted
by Emily Weiss “devoted to people that “personally I feel that leveraging
sharing products they love”. The brand customers as influencers is great,
makes products designed with “real because as a consumer I like to see
beauty routines in mind”, and has an products in action on other customers – I
army of Glossier reps, who started out as feel like they are being honest.”
superfans of the brand. Glossier has built
their cult social media following off of Throughout 2020 it is likely that the
content storytelling, directly from their prevalence of customers as influencers
consumers which has built both trust for beauty brands will increase, as
and legitimacy: “I’d say it does impact companies try even more so to
on trust when you can see that lots of incorporate storytelling in to their
people who have bought the product content, rather than just product
are loving it and want to talk about how promotion. By putting customers at the
good it is” says Amber, a customer who forefront of a social media strategy, the
has been featured on Glossier’s people who have purchasing power can
Instagram in the past. Grace, A.K.A. legitimize the brand via personal
@damselflavored is a rep for the brand, testimonials.
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 11
//POPULAR AND EMERGING CHANNELS
THE THE
PRESENT FUTURE
What channels do you use
42%
to create content? Instagram is still the most Although Instagram is still the of brands plan to include TikTok
in their influencer marketing
popular channel for creators number one platform for
Instagram 97.8% strategy.
when it comes to the content influencer marketing, TikTok is
Blog 63.2% they produce. Brands also making a big play when it
Facebook favour Instagram as the comes to capturing Millennial
60.3%
55%
number one platform for and Gen Z consumers. Of the
Twitter 44.3%
collaborations (42%), brands investing in new
Pinterest 40.9% specifically seeing the most channels, specifically TikTok,
results via Stories. The popularity 55% say it is because they say the number one reason for
YouTube 37.4%
of Instagram Stories as a want to engage with a new this is to reach new consumers
LinkedIn 23.6% medium of collaboration has consumer. The channel is
TikTok 23.2% increased since 2019, as creators designed for users to create
are willing to be more flexible fun, viral moments and take
11%
Other 6.9%
with content that doesn’t live part in challenges that
forever in their feeds. This means everyone can get involved in,
0
50%
100%
partnerships can also potentially making it increasingly popular,
said the main driver was to
generate higher volumes of especially in today’s current
leverage nano influencers
content, if there is an option for climate. Brands have started to
both feed posts and Stories. notice this growth, with the likes
of Tommy Hilfiger, Burberry
23%
and Calvin Klein paving the
way with TikTok campaigns.
of influencers name TikTok as
one of their main channels
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 12
//TARGET AUDIENCE
CONSUMER This year, Millennials remained the number one target
GENERATION
group for brands in the fashion, luxury and beauty
industries. However, Gen Z has continued to grow as a
consumer group, increasing by 9% as compared to last
PROFILES
year. Congruently, Gen X has slightly decreased in terms of
consumer profiles that brands are targeting today.
GEN Z MILLENNIAL GEN X BABY BOOMERS
15%
of brands surveyed name
67%
of brands surveyed name this
17%
of brands surveyed name this
1%
of brands surveyed name this
this group as their target group as their target group as their target group as their target
consumer consumer consumer consumer
Whilst Gen Z consumers don’t Millennials currently represent Gen X still hold a large Share of Baby boomers represented the
currently have the largest the largest demographic for Wallet, especially when it smallest percentage of the
Share of Wallet, they are fashion, luxury and beauty comes to higher ticket items current target audience.
increasingly on the radars for brands. Millennials bridge the from luxury brands. However, Because this group connect
brands as future consumers gap between Gen X and Gen Z this figure is slowly decreasing with influencers less in their day
and creators. in terms of what they expect as Gen Z continues to rise.. to day life, they are usually
from brands today reached using a limited number
of traditional channels.
Key values: transparency, Key values: relatability, Key values: commitment,
authenticity, accountability trust, commitment to quality, reliability Key values: accessibility,
change Key channels: Media consistency, tradition
Key channels: Social Key channels: Social outlets (physical and
media: TikTok, Instagram, media, blogs, digital digital), blogs, some social Key channels: Magazines,
YouTube articles media online media
w ww. l aun ch met ri cs. co m25%
The State of Infl ue nce r Marketing 2 02 0 13
//CHALLENGES & MEASUREMENT
25% OF P ROFESS IO NALS C ONSI DER M EASU REM E N T A S TH E I R M A I N
CHAL LENGE W H EN M ANAGI NG I NF LU ENC ER P R O G R A M S
BRANDS' MAIN CHALLENGES WHEN
What metrics do WORKING WITH INFLUENCERS
professionals use?
Measurement: Creating and tracking the right KPIs to assess
the performance of influencer programs
3.2%
The number one way that brands measure the 8.4%
ROI Justification: Demonstrating the value influencer
effectiveness of their influencer marketing
9.7% 25.0% campaigns offer our brand to the C-Levels in my company
campaigns is via social media engagement (30.85%).
25.21% look at the impact on sales and 22.55% look at Strategy Development: Understanding the most effective
influencer marketing strategies
the increase in website traffic.
Content: Creating unique content to help differentiate my
16.6% brand from competitors
19.8%
Once again, measurement is the primary challenge for brands -
Identification: Accessing reliable data to know which
maintaining a similar percentage compared to 2019. It is interesting 17.2% influencers are relevant to target
to also observe how other challenges have increased in the last
Scalability: Managing relationships with a large number of
year, such as “ROI Justification: Demonstrating the value influencer influencers at the same time
campaigns offer our brand to the C-Levels in my company” or
Legal: Managing monetary and contract issues with influencers
“Strategy Development: Understanding the most effective
influencer marketing strategies”. And, although creating unique
content occupies a fourth position with 16.6% of professionals
Budgets have increased in 2020, which
considering it their biggest challenge, we can say that
implies that the need to understand the
understanding and demonstrating the effectiveness of
return on investment of this type of
influencer initiatives has become the main concern in 2020 for
campaign is increasingly crucial.
fashion, luxury and beauty brands.
Michael Jaïs,
Launchmetrics CEO
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 14
//INFLUENCER CHALLENGES & MOTIVATIONS
THE INFLUENCER
PERSPECTIVE
We also surveyed creators and monetary compensation and
influencers about their current valuable content for their
view on the state of influencer
marketing today. Interestingly,
community. The
motivation is the number of
lowest
CHALLENGES
but perhaps unsurprisingly, the followers they may receive as a
biggest pain point
influencers is still ‘unclear
for result of a collaboration, making
it important to reiterate that
56% 35% 35%
of influencers say too many also say lack of
creative briefs’ (56%) followed campaign partnerships have to say the guidelines transparency in
number one communication
by ‘too many guidelines’ (35%) make sense. Creating valuable challenge is
and ‘lack of transparency’ (35%) content for an influencer’s unclear
creative briefs
when it comes to collaborations community requires that said
and partnerships. It is clear that content really resonates with
there is a real need for an their audience. Careful and
increase in more open considered matches between
communication between brands
and influencers, in order to form
brand and influencer are
therefore fundamental in
MOTIVATIONS
more fruitful partnerships. Trust making a win-win situation,
and transparency is key in a fairly
new industry that is still evolving.
where brands reach engaged
audiences, and creators are
56% 37% Growth in
followers
is the lowest
of influencers say valuable
say the content for motivation
able to remain in line with their for
number one their
On the other side of the coin, the brand tone of voice. motivation is community influencers
monetary
top two motivations for working compensation
with brands in the first place are
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 15
//INFLUENCER CHALLENGES & MOTIVATIONS
TIERS OF INFLUENCERS
MICRO INFLUENCER MID-TIER INFLUENCER MEGA INFLUENCER ALL-STAR INFLUENCER
20k-100k 100k-500k 500k-2M > 2M
Laura Sarah Barlondo Xenia Tchoumi Mariale Marrero
theblondehills sarahbarlondo xenia mariale
"The main challenge is “I think authenticity, “I try to use my platform “My followers know me
simply to satisfy the consistency, and quality to educate both men so well, so they would
brand, whether in terms over quantity is what and women on the know if I partnered with
of content creation or can make an influencer prejudices females still a brand and it wasn’t
post-campaign impact, successful.” face.” genuine. I make sure
while remaining every brand I work with
authentic." Sarah Barlondo, Actor, Xenia Tchoumi, Digital is a brand I really use
Influencer and Director of Fashion Creator and and love.”
Laura, Travel and Style The White Flamingo Entrepreneur
Creator Agency Mariale Marrero, YouTuber
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 16
//INFLUENCER CHALLENGES & MOTIVATIONS
EMERGING INFLUENCERS
VIRTUAL INFLUENCER MAKEUP ARTIST MODEL CUSTOMER
Shudu Camille Thompson Starr Clare Tania Syan
shudu.gram killahcamz starr_clare taniasyan
“I think virtual "Today we have “I get most of my modelling “Seeing everyday people
influencers are opening Instagram which is an jobs through social media choose to purchase and
brands' eyes to the amazing platform to now, and I see a lot of other enjoy using Glossier’s
possibility of different broadcast the art of models doing this and going products gives a sense
ways of social media makeup. People love freelance. Instagram is kind of trust that seems
marketing.” watching me transform of like a little agency in itself genuine- you know they
my clients.” - brands can check people’s are sharing it because
Cameron James Wilson, profiles and decide whether they want to.”
CEO of The Diigitals Camille Thompson, they fit the brief.”
Makeup Artist Tania Syan, Glossier
Starr Clare, Content Creator & customer and Founder of
Model Olive and Piper
w ww. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 17
//INFLUENCER CHALLENGES & MOTIVATIONS
THE INFLUENCER
PERSPECTIVE: It’s also been so successful for you
AN INTERVIEW WITH because you have been honest in how
you communicate with your followers
LEONIE HANNE and share your life at home.
I feel like this might be the next step.
L
Leonie Hanne is a German All-Star How have you balanced being able to Currently, a lot of high-end brands work
produce content with the change of with the people they think are cool -
Influencer and entrepreneur with
the influencer marketing climate as a they always just show how amazing
over 2.1 million followers on her
result of Covid-19? influencer relationships are with brands
Instagram alone. Leonie mainly
but they don’t actually communicate
creates content around the luxury fashion
In the beginning during the first week with people. I think this is now the
industry, also running a successful blog, Ohh
when everything got serious, I had to
I can still post massive difference – I can still post
Couture which covers all things fashion,
think. Normally, I post fashion content fashion, but I need fashion, but I need to incorporate
lifestyle and travel. Starting as a strategy storytelling, it’s all about
consultant, Leonie has three degrees under
and work with high end brands and I was to incorporate communicating. We realise it also
thinking “what can I post without being
her belt, beginning her career as an influencer insensitive?” So, over the first few days, I
storytelling, it’s all matters how you communicate. We
by selling clothes on Kleiderkreisel - was monitoring what was going on and about have an assistant and someone that
Germany’s biggest platform for re-commerce helps us with the website and
and fashion. Ambitious and highly
then I saw that people at home actually
communicating. sometimes, they write things and I say to
missed things that got their heads out of
numbers-driven, Leonie quickly learnt how to being bored. Whatever it is that them: “I really like it, but at the moment
strategically post content according to the entertains people, even if it's fashion, it’s we need to communicate differently.” It's
still something that people enjoy - these more about the message, and at the
algorithm of the platform, from there, building
days magazines can’t produce and moment we all need to be really smart
up a dedicated follower-base who migrated
brands can’t produce, but I can still try to about how we communicate.
with her to Instagram.
provide creative fashion content – and
people seem to really appreciate it.
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 18
//INFLUENCER CHALLENGES & MOTIVATIONS
>> THE INFLUENCER PERSPECTIVE:AN INTERVIEW WITH LEONIE HANNE
You’ve also started investing more DNA of the brand but it’s also our DNA.
time into TikTok. Could you talk a bit I’m not a billboard - they can’t send me
more about the transition from something and say “please post on your
Instagram to TikTok? Instagram” - but it’s also because I’m
very clear on who I am as a brand, and
I feel like a lot of influencers now are what brands I want to work with. I’ve
It’s so important
asking why their followers from never in the history of blogging worked for brands to
Instagram aren’t migrating to TikTok - with a brand where I feel like it didn’t trust people they
but it’s a different audience. Whatever really fit, or I was in for easy money.
channel you are using, it’s all numbers work with.
work and it’s about having a different
strategy. This is how I started, and this is So, you prefer to have longer term
how it works. Online is so fast, so you relationships with brands. so important for brands to trust people
can’t rest, you always need to they work with. What people forget is
understand each channel at that Yes, for example, I have a great behind every brand I post especially at
moment and be smart about it. relationship with Dior. It's more of a fashion week, there is a long term
partnership as we work collaboratively, relationship that needs to be taken care
sometimes I’m educating them on the of. A lot of people think about a logo, but
56% of influencers surveyed said one processes from my perspective. For when I post I think about the people I
of the biggest challenges when they people that still struggle with this topic, I know from the brand.
work with brands is unclear creative think the smartest advice is to always Vuitton girl.” But they took a chance with
briefs. When you work with brands ask: “what kind of content are you me. I tried hard to create content I never
what do you expect? looking for, and can you go to my Talking about brands, you’ve had before. And this worked - they said
Instagram, and send me 3 links of what mentioned Dior, is there any particular all the content I made was more like
I think it depends so much on the brands you had in mind?” Because, if they look brand that you would say is doing it what the team would produce there,
you work with, and how much closely at your feed, they will see that right in influencer marketing? in-house. So, we won their trust and they
experience you have. For me and my they have to translate to your audience also realised that even if I’m not their
partner, Alex, it’s very different. and how you would actually For me, relationship-wise, I’m happy and ‘typical look,’ I’m still selling.
Everything is two-sided and brands communicate. proud of our relationship with Louis
don’t force you to work with them - It’s a Vuitton. In the beginning Louis Vuitton I think that this is an amazing example of
relationship. When we talk about There’s not one brand that would invite contacted me and said “we love you but a two-sided relationship. For me when I
projects, we always make sure it’s the me to a show without knowing me. It’s I’m not sure whether you are a Louis know I produce for TikTok or Instagram,
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 19
//INFLUENCER CHALLENGES & MOTIVATIONS
>> THE INFLUENCER PERSPECTIVE:AN INTERVIEW WITH LEONIE HANNE
even in lockdown, I’m always making Saddles and they wanted to take a
sure to include Louis Vuitton. But I never picture with me, afterwards using the
think about whether it's paid or not, I hashtag #DiorSaddle in their posts. In
know it’s a relationship and I see how the Dior boutique in London, the store
they reciprocate that when it’s the other manager came to me when I was there
way around. for the first time and she showed me a
picture, where I was wearing a Dior
Another good example was Amazon bathing suit and she told me they sold
Fashion. When we launched The Drop out of this bathing suit because
collection for them it was really exciting everyone came to the shop with this
as we had 15 international magazines picture. And this is something you can’t
who wrote about it, including Vogue. We usually see online or show in numbers.
produced a collection made on demand
so there were no samples produced, I also know that I’m influencing other
people bought the items, and they influencers. I can see what people
would look at the numbers and produce respond to because a lot of people will
accordingly. They said to me that they copy it. Even if they are not working with
wouldn’t sell out, and from my 11 items 7 the brand or getting paid, it shows that I
sold out immediately, even those that to am not only influencing my audience,
me they said weren’t possible. but other industry leaders.
How do you communicate your value,
or the ROI you offer to brands?
It’s a relationship. When
There’s so many sides to what we do
which makes it more difficult to we talk about projects, we
measure. An example was when I was always make sure it’s the
here for the Dior exhibition and some
girls came up to me in a coffee shop
DNA of the brand but it’s
where I was with the PR team. The girls also our DNA
that came up to me were wearing Dior
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 20
//COVID-19: A NEW INDUSTRY CLIMATE
THE NEW INDUSTRY
CLIMATE
While the state of influencer marketing has undergone
a drastic shift from the time we launched this annual
survey until this moment, we felt the key takeaways
and themes coming through from the survey data
connected quite relevantly to those we believe will be
critical in this next period. With that in mind, we
wanted to take a moment to share a deeper analysis
of what is slowly becoming “The New Industry
Climate.” Our aim is that this, alongside the other data
in this report will help each of you as you evaluate how
you adapt your plans around influencer marketing as
well as answer some of the questions many of you
have about how your brands should be responding
during this fragile moment.
w ww. l aun ch met ri cs. co mCOVID-19
The State of Infl ue nce r Marketing 2 02 0 21
//COVID-19: A NEW INDUSTRY CLIMATE
S P O NSO RED CONTENT F ROM I NF LU ENC ERS H AS GO N E FR O M A N
A V ER A GE OF 35 % TO 6% DU E T O T H E C OVI D- 19 C RI S I S
The recent Covid-19 crisis has become not only customer whose last priority is consumption, an average of 35% of all influencers' publications,
the world's greatest health threat, but also a brands and content creators face a much bigger to 4%. The question right now is: Will the industry
dangerous enemy for a fully globalized industry. challenge: playing a social and responsible role to evolve to a much more customer-focused
Most of the brands in the fashion, luxury and satisfy their consumers’ needs now. And this is strategy? Probably, yes. What we are seeing
beauty sector have seen their stores close all over done by sharing the best of themselves through during this new climate is that building a
the world, keeping exclusively - and in some their transparent and sincere content and stories. relationship - far beyond the product - became a
cases not even - their e-commerce stores open. priority for brands. And as part of that evolution,
The digitization processes have had to be The key fact demonstrating this change: influencers became a key tool for reaching out to
accelerated, to respond to the needs of a influencers' sponsored content has experienced consumers through authentic and relevant
consumer whose only window of access to the a significant decrease week after week since stories. It’s not about fashion itself anymore, it’s
world is the internet and online channels. mid-February when the crisis emerged. about elevating the role influencers are playing as
However, in the midst of this crisis, and with a Sponsored content has gone from representing part of the industry to continue being a key part of
this new scenario.
All posts
Sponsored Posts
WEEKLY WEEKLY % OF
INFLUENCER SPONSORED
POSTS POSTS
2/23 3/8 3/22 4/5 2/23 3/8 3/22 4/5
www. l aun ch met ri cs. co mCOVID-19
The State of Infl ue nce r Marketing 2 02 0 22
//COVID-19: A NEW INDUSTRY CLIMATE
B R A N DS AND INFLUEN C ERS:
HO W A R E THEY AD AP T I NG T H EI R ST RAT EGI ES DU R I N G CO V I D - 1 9 ?
Here, we look at the brand and influencer response to the
Covid-19 crisis, impacting almost every corner of the globe.
With thousands of stores closed and a considerable decrease Customer communication should focus
in sales, brands and Influencers have had to squeeze their on community-building efforts and
creativity and content production capacity to help society in addressing consumers’ changing needs
different ways. Here are some forward-thinking examples. and concerns.
A conglomerate of Inditex, European Fashion retailer, Pretty Little Thing is Italian luxury fashion house Gucci has As one of the first beauty brands to adopt a
clothing brand, Oysho, has used their already known for their presence on taken to their Instagram to craft engaging TikTok strategy, e.l.f. were quick to create a
platform to partner with influencers for Instagram via their plethora of influencer content for their audience in the wake of campaign that encouraged viewers to
workshops, workouts and more. With partnerships. In response to Covid-19, the Covid-19. The brand has partnered with wash their hands and stay safe during
much of the global population working brand hosted an ‘at home’ awards featuring influencers of all walks of life, to give them Covid-19. With some of the top influencers
from home, and unable to resume their some of the top influencers and celebrities a platform to share snippets from their from TikTok on board such as Loren Gray,
typical routines, Oysho has brought yoga today. They have also introduced an IGTV at-home life - featuring anything from the trend quickly went viral and was shared
classes, bread baking tutorials and DJ series: ‘#StayHomeWithPLT’ where the musical performances to advice from across multiple social platforms, encoura-
sets with some of the top names in the brand partners with influencers who Korean star and celebrity - Kai. ging users to make a video of their own.
industry straight to our screens. showcase what they get up to whilst
isolating.
www. l aun ch met ri cs. co mCOVID-19
The State of Infl ue nce r Marketing 2 02 0 23
//COVID-19: A NEW INDUSTRY CLIMATE
I N G O O D AND BAD TIM ES,
W HY DO WE FOLL OW INF LU ENC ERS?
For many fashion, luxury and beauty brands, the idea of ambassadors about their favorite products, services, brands and more. As already
or celebrities toting products is not novel. However, with the recent mentioned in this survey, the connectivity and relatability these
shift in consumer behavior away from a product-centric world to a digital tastemakers offered their communities is what made (and
renewal of value-based marketing, we ask ourselves - how did the makes them) successful.
phenomenon of influencer marketing gain its traction to begin with,
and why do consumers continue to follow these digital creators The excitement of this new phenomenon quickly spurred something
today? that was originally a simple two-way dialogue into a multi-million
dollar industry where brands were ready to pay-for-play and a price
Influencer marketing has existed since the beginning of time, it’s just could be made for nearly any type of activation. That said, since the
the “influencers” who have changed. Before, it was royalty and onset of Covid-19, a renewal in the spirit of influencer marketing has
religious figures, then celebrities became the the faces pushing reverted to resemble more of its origin - the authentic conversation
products and representing brands around the world. More recently, between creator and community - with influencers returning to a
with the rise of digital media, new content creators arose amongst a focus on content that truly adds value to the lives of their followers as
shift from push marketing, to pull. This shift was fueled by the desire well as the wider world in general. Today, in this new climate we
for consumers to be part of the dialogue and not just on the receiving explore the question, why do we follow the influencers we love? And
end, marking the inauguration of inclusive communities where key what value do influencers provide to their followers?
opinion leaders would create two-way conversations with their fans
www. l aun ch met ri cs. co mCOVID-19
The State of Infl ue nce r Marketing 2 02 0 24
//COVID-19: A NEW INDUSTRY CLIMATE
I N FL U E NC E RS : OFFERING GREAT ER VALU E DU RI NG QUA R A N TI N E
ENTERTAINMENT EDUCATION ADVICE
@queenofjetlags @iamamyjackson @thestylebungalow
Noor, A.K.A. @queenofjetlags is one of the many There has been a huge uptick in the accessibility to Many creators have been utilizing their platform in a
influencers embracing fun and viral challenges online courses, such as live workout sessions or positive way to give advice on how they are getting
online. To marry fashion with humor, she took part in cooking classes, and influencers that fit within a through isolation, from a more personal
the #pillowchallenge, where creators convert their specific niche are getting involved. Amy Jackson, perspective. Stephanie Hill is a great example of
pillows into dresses to create a pseudo-high fashion for example, has posted at-home workouts to this, as she has created a new branded hashtag:
look. This, alongside the #fliptheswitch challenge educate her audiences on the best tips and tricks for #AtHomeWithTSB where she shares the best ways
and more have been shrounding audiences' feeds staying fit at home, as well as allowing them to to relax and stay busy. Hill gives daily updates, book
especially via TikTok and Instagram, as influencers participate alongside her when she does her daily recommendations, interior inspiration and more to
try to provide comic relief during an otherwise workout routine. her 212k followers on Instagram.
potentially stressful time.
w ww. l aun ch met ri cs. co mCOVID-19
The State of Infl ue nce r Marketing 2 02 0 25
//COVID-19: A NEW INDUSTRY CLIMATE
I N FL U E NC E RS : OFFERING GREAT ER VALU E DU RI NG QUA R A N TI N E
SOCIAL RESPONSIBILITY INSPIRATION SELF-EXPRESSION
@chiaraferragni @Nikki_Makeup @jessicawang
Italian All-Star Influencer, Chiara Ferragni, has Celebrity makeup artist, Nikki Wolff has been Jessica Wang has created an #athomeseries
getting creative with her platform and how she where she shares engaging and artistic images
been incredibly vocal on her platform in light of
utilizes it during this time. As she typically of her life at home. Jessica pairs beautiful
the impact Covid-19 has had on Italy, raising €4
creates slick makeup looks on celebrities, Nikki photography with her styled looks, to create
million for relief efforts. The digital entrepreneur
has started live tutorials on her Instagram, visually stunning content to keep her followers
has also adapted her content to share an honest,
starting with a walkthrough featuring Elsa engaged. The creator has also incorporated a
behind the scenes look at her life at home,
Hosk. Nikki has also been sharing her tips and story highlight in her feed which shares a more
partaking in more candid TikTok challenges, and
tricks for video conference makeup and has personal look behind the scenes of her
speaking directly to her fans and followers. done well to evolve her content to remain isolation lifestyle.
relatable to her makeup=loving audience.
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 26
//PREDICTIONS FOR THE FUTURE
PREDICTIONS FOR FUTURE INFLUENCER
MARKETING STRATEGIES
1. Brands will start to use smarter metrics
Looking only at Engagement as a metric for determining success is no longer a reliable indicator for
brands. When you analyze engagement numbers in comparison to overall reach, it is clear that the
potential value of an influencer for a brand is not reflected in the engagement rate shown. Brands
need smarter metrics to really evaluate success and ROI, which can only be done via a holistic
campaign analysis, using fine-tuned data-driven metrics.
2. Consumer connections will strengthen
Now, more than ever, consumers are looking to brands and influencers who they can connect with
and relate to. The content that is being produced as a result of this will become less
product-focused, and will start to tell more of a story, that sheds light on how brands fit in to
creators’ lives. Those that recognize and empathise with the situation that many of their followers
are in, whilst remaining honest with their audiences will win out.
3. Influencer marketing will no longer be top-down
The influencer marketing industry will make a shift from being a solely top-down approach, to
being more bottom-up. Content development for brand-creator collaborations will be influenced
more directly from creators themselves, as they try and develop more entertaining content for their
existing audiences. The shift away from product-led activations will allow the direction to land more
significantly in to the influencer’s hands.
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 27
//PREDICTIONS FOR THE FUTURE
PREDICTIONS FOR FUTURE INFLUENCER
MARKETING STRATEGIES
4. Brands will diversify their strategies
Whilst Millennials are still the largest target when it comes to brands in the fashion, luxury and beauty
sectors, brands are slowly moving away from Gen X, and towards Gen Z who will hold the largest
Share of Wallet in the future. Brands need strategies to meet the needs of all consumer generations,
and because of this, the channels that they activate really matter. Retailers will look to the channels,
Voices and platforms that are needed to engage each generation - be it Influencers or beyond.
5. Branded content will become more creative
With less opportunity for in-person events, brands will need to become their own content creators.
Previously, a brand could host an event or show, and have hundreds of opportunities for content
creation just in the front row. But, with no option for live events, brands have to fuel their own
content engine with the right Voices to amplify their message and continue to build brand
momentum whilst increasing brand performance.
6. The physical will become digital
Covid-19 has forced everyone to become more global, by transforming digital channels to reach
people around the world. The landscape will become less regional, and digital will connect brands
with consumers better than ever before. This is why creating a digital engagement strategy is key.
Whilst it is hard to tell what globalization will look like, it is clear that digital has become a ‘must’ in
just one month for the fashion, luxury and beauty industries.
www. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 28
//METHODOLOGY
SURVEY ANSWERS BY REGION
REPORT
METHODOLOGY
US/UK
52.9%
Europe
47.1%
This report is based on a survey that was sent out
between the 13th of January and the 21st of
February 2020. A total of 600 professionals in
marketing, communications and PR from the
fashion, luxury and beauty industries completed
the survey, as well as 300 Key Opinion Leaders in
AREA OF EXPERTISE LEVEL OF SENIORITY
both, Europe and United States.
PR & Communication 31.0% Senior Management 31.0%
On the following pages you will find a breakdown of
General Marketing 30.0% Middle Management 27.7%
the profiles of the participants.
Digital Marketing 11.6% Other 15.1%
Social Media 11.4% C-Level 14.7%
Influencer Marketing 9.3% Entry Level 7.9%
Content Marketing 6.7% Trainee/Intern 3.4%
w ww. l aun ch met ri cs. co mThe State of Infl ue nce r Marketing 2 02 0 29
//METHODOLOGY
REPORT
WHICH COMPANY TYPE DO YOU WORK FOR?
METHODOLOGY
Agency
Brand
31%
58.6%
Media
Part of this report’ data to analyze the current impact of specific 10.5%
campaigns or marketing activities was gathered with the use of
Launchmetrics' proprietary Media Impact Value™ algorithm (MIV®).
About Media Impact Value™ (MIV®): Launchmetrics’ proprietary WHAT INDUSTRY DOES YOUR COMPANY OPERATE IN?
Machine Learning algorithm provides brands with a unified currency to
measure the value of all marketing activities across Voices, Channels,
and Markets by assigning a monetary amount to every post,
Beauty
interaction, and article. Finely tuned to specificities of Fashion, Luxury, Fashion
19.3%
56.6%
and Beauty, the algorithm was trained on actual media rates and 5+
years of FLB specific campaign data. It analyzes more than 100
quantitative and qualitative attributes including audience
engagement, industry relevance, source authority, and content
quality, to create a highly accurate method of measurement. MIV® Luxury
24.2%
offers a unified way to calculate how brand equity is being created and
which strategies create the most ROI.
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