How are start-ups re-shaping the influencer marketing landscape?
Authored by Kulbir Sachdev, Founder, Voxxy Media, a full-service worldwide AI-powered influencer and digital marketing agency.
The start-up ecosystem in India is witnessing a constant growth trajectory. Especially with digitalisation gaining ground, more and more start-ups can be seen leveraging the power of technology to establish their existence in this era of competition. According to the Economic Survey 2021-2022, India has approximately 61,400 start-ups that have been certified by the Department of Promotion of Industry and Internal Trade, with at least 14,000 registered during fiscal year 2022.
Moreover, entrepreneurship is becoming the new career prospect for most aspirants today. In the first half of 2022, India added 20 unicorns worth a combined $26 billion, according to the Union Ministry of Commerce & Industry. New-age marketing strategies are also becoming more prevalent, coupled with an increase in start-up ideas. Given that we are living in the era of social media today, it has become imperative for brands to reach people in a manner they desire. Influencer marketing has came out to be the most effective marketing technique that start-ups are targeting today with a motive to cast an influential impact on their target audience. Especially with limited resources, start-ups are finding influencer marketing to be an incredible tool for establishing a loyal consumer base.
Fast pace adoption of influencer marketing by start-ups
According to McKinsey, with more than 500 million internet users, India is one of the biggest and fastest-growing markets for digital consumers. Rise in internet users imply rise in social media usage, which is resulting in present-day marketers increasingly seeking influencers to serve as effective marketing tools.
Due to their speed and agility, startups are truly understanding and implementing influencer marketing far more quickly than legacy brands. Additionally, because they themselves were born in the age of social media, modern entrepreneurs are more likely to comprehend its power and drive its best use.
In addition, because legacy businesses’ roots in marketing are so firmly embedded in celebrity endorsements, the transition to influencer marketing is proving a challenging one for them. But on the other hand, for start-ups, influencer marketing is proving to be an excellent means to gain greater visibility and connect with the audience on the platform of their preference. In fact, a substantial number of companies today have attained unicorn status by gaining notoriety through influencer marketing.
Start-ups pioneering new influencer marketing techniques
There is no denying the fact that consumer attention span is like a goldfish; hence, for businesses to catch their eye, unique marketing techniques are the key. Moreover, the content consumption habits of people have undergone a drastic transformation; as a result, they have become very selective with their choice of content. Here influencer marketing plays a great role because it acts as a means of providing people with the kind of content they desire, thereby influencing their buying decisions. This, in turn, has led to a growing number of businesses embracing influencer marketing to raise brand recognition and build customer loyalty.
In fact, start-ups today are experimenting with the potential of influencer marketing and coming up with unique and innovative strategies to strike an effective response from the public. Live commerce has come out to be a robust marketing approach that entrepreneurs are frequently employing. In addition to being engaging and interesting, it also keeps viewers watching longer. Moreover, hearing it from their preferred influencer is sure to prompt a reaction on their part. According to McKinsey, live commerce is helping some businesses grow their share of younger audiences by up to 20 per cent.
Apart from that, content marketing has emerged as another significant advancement in the field of influencer marketing that start-ups are benefitting from. Consumers today are more interested in knowing your brand story and influencer marketing is the ideal approach to do so. Since audiences today depend more and more on influencers to find accurate information, companies are making use of this fact to attract a wider audience.
In addition, while influencer marketing is playing an integral part in the growth and success of start-ups, on the other hand, start-ups are also providing a platform for influencers to grow. It is safe to say that these influencers are also gaining recognition and popularity, being associated with new-age start-ups.
Influencer marketing: Future of start-ups
For a start-up, getting the brand name out there is paramount for future success. And influencer marketing has turned out to be an ideal tool for budding businesses to carve out a niche for themselves in the marketplace. In order to get a better response from the public, new-age firms are also experimenting with influencer marketing and developing novel techniques.
In addition, as we advance, it is anticipated that people will grow more technologically savvy, which will increase the need for start-ups to develop marketing tactics in line with that. Influencer marketing is one such strategy that will benefit businesses in the future as a means of improving communication with the general public and achieving the desired growth.