Exploring the effectiveness of influencer marketing in expanding brands to new markets

Abstract

Influencer marketing is a modern marketing instrument widely used by companies aiming to promote their brands and products through influential social media creators. Influencer marketing is characterised by high adaptability according to business objectives, target audience specifics, and market geographies. Given the willingness of marketing professionals to invest a budget into influencer marketing, it is important to define the factors which make influencer marketing campaigns effective.

This thesis focused on researching influencer marketing effectiveness for the brand expanding into new markets. The objective was to create a practical framework enabling marketing professionals to execute effective influencer marketing campaigns. Considering the practical outcome of the thesis, the characteristics of influencers and their content impacting consumers' purchase decisions were researched. The theoretical part of the thesis included the existing literature review on the communication process, social media influenc-ers' effectiveness and their interactions with their followers. The theoretical framework of influencer marketing effectiveness was synthesised based on the literature review. The qualitative research aimed to update the theoretical framework with practical insights from the interviews with the industry experts and through the case study analysis.

Results from the interviews and the case study suggest that influencer marketing is an effective marketing communication instrument to support the brand's launch in a new market. The data revealed that influencer marketing could solve multiple marketing objectives: brand awareness, lead generation and conversion into action. The practical framework emerging from the study includes key pillars which impact the effectiveness of influencer marketing. Influencers' characteristics, content features and the relationship built with the audience impact the campaigns' effectiveness.

In conclusion, the companies are recommended to employ influencer marketing to expand their brand in new markets effectively. Since influencer marketing is not an instrument with predictable outcomes, marketing professionals are encouraged to conduct thorough research of the target audience and new market to ensure sufficient input for the campaign execution.