Social media led to the rising power of influencers over the past decade. It allowed ordinary people to achieve celebrity status with the help of a few thousand to millions of followers. And they became a critical part of marketing strategies for big brands and small businesses alike. Influencer marketing has become a cost-effective solution, especially for smaller brands to reach large-scale audiences.
But now, the social prowess of influencers is slowly waning due to several reasons.
1. Diminishing trust
It’s no longer a secret that social influencers have become increasingly commercialized. From nano influencers to mega social celebrities, they are all making money through brand endorsements, product reviews, and recommendations. And followers are losing faith.
For instance, 82% of Gen Zs are now displaying greater trust in advice from their friends and family when it comes to product purchases. That compares pretty high against the 52% that count on influencers.
2. Idealism is losing traction
The masses are no longer dazzled by celebrity status. The internet and social media have empowered them to preserve their individuality. And they’re creating their own trends and pursuing aspirations that are more aligned with their personal values.
3. Improved accessibility
When there’s limited access to information, you need to rely on the privileged few to guide your decision-making process. But today, technology has enabled instant access to trends, reviews, and product details. Consumers no longer need to depend on an influencer to deliver that information.
So, how can small businesses prepare for a future without influencer marketing?
The power of influencer marketing is slowly diminishing. So, small businesses that rely on social media influencers to drive brand awareness and engagement must start preparing now for their waning popularity.
But what could replace them? The answer lies in consumer sentiments and expectations. For instance, Gen Z, the youngest consumer segment in the market right now, values individual expression. They prefer to access and evaluate information about products and brands before making up their minds. And they are also highly pragmatic, and they expect brands to resonate with their high ethical and moral standards.
For small businesses, this offers two distinct opportunities.
1. Invest in consumer communities.
Consumers who are losing faith in influencers for their financial motives, fake followers, and click farm activities, are searching for authentic views of genuine users. So, your customers’ opinions, reviews, and recommendations could go a long way to power brand conversations that influence purchasing decisions.
But this is not about offering incentives in exchange for a glowing review. It’s more about building stronger relationships with consumers and delivering on your brand promise, so they can sing nothing but praise about you and your products.
2. Commit to your values and purpose.
Your company values should no longer be relegated to a poster on a wall. You must wholeheartedly commit to them. Studies show that consumers are 4 times more likely to purchase a purpose-driven brand. In fact, 90% of Millennials and 92% of Gen Zs would support brands with a strong purpose.
With eroding consumer trust in influencers, this could be an opportunity for small businesses to liaise directly with their audiences through shared values and mutual interests in ethical and moral issues.
Any marketer would tell you that trends work in cycles. And as influencers slowly lose their relevance, credibility, and influencing power, new opportunities will undoubtedly arise in their place. Therefore, start gearing up today, so your small business is positioned to harness what will likely unfold in the next couple of years.
