“Micro” Influencers, who are they?
Instead of engaging influencers with millions of followers, clients are increasingly satisfied with 20-30 influencers with smaller followings. Who are these “micro” influencers and how are they changing Influencer Marketing?
One of the biggest obstacles for IM is paying influencers: companies have to navigate how, through what means, and on what budget. It can be even more complex in certain countries.
The unanticipated solution? “Micro” or power middle influencers. To give some context, Upfluence defines them as influencers with 1,000 – 100,000 and up to 250,000 followers, respectively.
The reason these people are targeted more by companies is due to how expensive top influencers have become. The price tags on big influencers is getting uncontrollable because almost everyone is in a bidding war to sign them.
Who said numbers aren’t interesting?
Not only are they too expensive, but people are also beginning to question the efficiency of these top influencers. Markerly recently conducted a survey with two million social media influencers and found that the more followers an influencer had, the lower the engagement. Influencers with fewer than 1,000 followers had a ‘like’ rate of 8%, those with 1,000 – 10,000 followers had a like rate of 4%, and it keeps decreasing as the number of followers increased (only 1.7% for influencers with 1 million-plus followers).
Another reason people are turning to the power middle? Smaller influencers are more likely to have an engaged, niche audience that follows them because of what they blog/post/vlog about. Whereas the big names, Kim Kardashian for example, have an array of followers that simply follow them because they are famous – making them impossible to target accurately.
The findings apply to sponsored Instagram posts which suggests the sweet spot for maximum impact is an influencer with a following in the 10,000 to 100,000 range, or our “micro-influencers.”
Easier to target and more engaging, these influencers charge less than the ‘Big Dogs’. While top Influencers charge around $800 per post on average, Micro-Influencers only charge between $137 and $258 per post, according to Forbes. Sometimes the price of working with a micro-influencer is just offering your product or service for trial!
At the end of the day, the real problem most companies face is how to organize the payout of all these influencers (coordinating payments for 30+ influencers can be complicated!)
Upfluence Payment Software
Fortunately, Upfluence software comes with an integrated payment platform that allows its users to directly pay influencers after they have completed the campaign.
Adapted specially for Influencer marketing, the payment tool allows companies to easily compensate the influencer based on their preference. Currently, the available options are Paypal and bank transfer with invoices that can be specified to ‘Company, Individual, or Other’.
And for the United States? The “Request for Taxpayer Identification Number and Certification” or W-9 form required by the IRS is supported on our platform. So American companies can accurately report the payments they make, without having to stress.
Simple and secure, the integrated payment platform is designed to be accessible and user-friendly for both brands and influencers. Though, with the rise of blockchain, Influencer payments may soon be heading in a whole new direction. For the time being, we will continue to offer our specialized payment system and improve it as we go along.