In the quick world of digital marketing, things are changing, especially when it comes to influencers. As we move through 2024, it’s clear that influencer marketing isn’t just for the brave few. It’s becoming a key part of online ads for big brands all over the world.
This transformation is driven by approximately 4.95 billion social media users worldwide, more than double the number in 2015. These users are not just content consumers; they actively engage on an average of 6.7 different social media platforms daily. Given their average screen time of 2 hours and 24 minutes per day, the impact of social media on our lives is undeniable.
The influencer channel is growing three times faster than the market.
The real narrative unfolds with businesses’ response to these changes. Influencer marketing ad spend is experiencing an upswing, growing at a compound annual growth rate (CAGR) of 22.9%. This rate outpaces the global market ad spend’s CAGR of 7.7% by a considerable margin, indicating the strategy’s effectiveness.
User Generated Content Is The King.
This surge is supported by a wider trend: the popularity of user-generated content (UGC). The value of authenticity and relatability has soared, with the UGC market projected to rise from $4.7 billion in 2022 to a staggering $71.3 billion by 2032. This shift in consumer content engagement preferences is significant.
Source: https://www.alliedmarketresearch.com/
Influencer marketing has surged to the top, being chosen by a staggering 3x more companies as their premier channel.
The most revealing part of this story is how companies are allocating their marketing budgets. A significant 24.2% of businesses plan to dedicate over 40% of their marketing budgets to influencer campaigns, a sharp contrast to the 9% in 2020. This growth trajectory signifies increasing confidence in the effectiveness of influencer marketing.
Source: Influencer Marketing Hub
The most revealing part of this story is how companies are allocating their marketing budgets. A significant 24.2% of businesses plan to dedicate over 40% of their marketing budgets to influencer campaigns, a sharp contrast to the 9% in 2020. This growth trajectory signifies increasing confidence in the effectiveness of influencer marketing.
