MAM
The shift from celebrity endorsements to influencer marketing
In the cut-throat digital marketing terrain, brands are always searching for novel ways to get people excited about their products and ultimately drive sales. However, there has been a seismic shift in this realm, as now Bollywood luminaries are sharing the spotlight with influencers. These individuals have emerged from the depths of social media and content creation platforms and become the coveted faces for brand endorsements, signifying a dynamic shift in celebrity partnerships with brands.
Influencers, spanning a wide spectrum of social media platforms such as Instagram and YouTube, have accumulated massive following across social channels through their content. One of the reasons influencers enjoy fame is due to their relatable content which is of top-notch quality, and authenticity. As a result, they have now become a go-to choice for brands and have established themselves as prominent figures in the consumer industry and the customer’s decision-making process.
Influencer marketing: An overview
According to Statista, the influencer global market is exponentially growing and is valued at 21.1 billion dollars as of 2023. Another interesting fact is that 75 per cent of brands are now considering influencer marketing as part of their marketing strategy.
Influencer marketing refers to collaborating with individuals who have a substantial audience base. These individuals create authentic content to promote a specific product or brand and leverage their credibility and profound connection with the audience. Influencer collaboration has become one of the most popular and effective forms of marketing nowadays. With millions of social media users, it is no wonder that marketers are harnessing their full potential to entertain, inspire, and recommend products to buy.
The rise of social media influencers
In the old days, influencer marketing only revolved around celebrity endorsements. The big names in the entertainment industry were to promote products and services. However, the increasing demand for authenticity, and more people becoming aware of the products that they purchase: these two reasons have given birth to social media influencers. These individuals look relatable and more trustworthy, as they promote products and brands in a more personalised way, unlike celebrities.
Key effectiveness metrics
● Engagement: Influencer marketing generates high social awareness and engagement with the audience, as they tend to interact with audiences more regularly. This gives birth to a more dynamic and engaging promotional environment. On the other hand, celebrity endorsements primarily rely on their existing fan base.
● Increased conversion rates: Influencers with a niche audience have the ability to drive higher conversion rates owing to their authentic connection with followers. Alternatively, celebrity endorsements may not convert as effectively, depending on the level of relevance between the product and the celebrity.
● Return on investment (ROI): Influencer marketing offers a more measurable return on investment, allowing the marketer to track engagement, click-through rates, and conversions. Conversely, celebrity endorsements demand a more comprehensive analysis of the brand’s overall performance, impact, and visibility.
Transcending boundaries
The influence of creators is moving beyond boundaries, permitting brands to cultivate diversity across a spectrum of industries. Whether it is beauty, technology, or lifestyle, creators seamlessly include products in their content, making the endorsement appear as an extension of their personal brand. This unique approach allows companies to target specific audiences from specific regions with precision and capitalize on the distinct appeal of each influencer.
A peek into the future
The cultural shift from celebrity endorsements to influencer marketing presents a deeper view of how people in the digital age perceive influence. Brands that aim to embrace this change stand to gain from the authenticity and credibility of social media content creators. The symbiotic relationship between the two, based on their shared virtues of commitment to authenticity, paints a vivid picture of the future, where conventional notions of celebrity endorsements are displaced by a more engaging and entrusting form of brand promotion. The new era offers countless opportunities for influencers and brands to mutually benefit from innovative and impactful collaborations.
The article has been authored by Logicloop co-founder Nirav Gosalia.
Brands
Primus Partners appoints Akasa Air co-founder Neelu Khatri as independent director
Veteran aviation and defence professional joins as independent director
NEW DELHI: Primus Partners has appointed Neelu Khatri, a founding member of Akasa Air, as an independent director, strengthening the consulting firm’s board as it prepares for its next phase of growth.
Khatri brings more than three decades of experience across defence, aviation, aerospace technology and consulting. She was part of the core team that helped build Akasa Air from concept to launch, contributing to what has been widely described as one of the fastest airline scale ups in recent aviation history.
At Primus Partners, she will provide strategic guidance on corporate governance and help steer the firm’s long term growth plans. Her experience of building a start up into a full scale organisation is expected to support the consulting firm as it expands its footprint.
Primus Partners co-founder and chairperson Davinder Sandhu, said the appointment brings valuable expertise to the board. “Neelu’s journey across defence, aviation and consulting brings a rare blend of operational insight and strategic thinking. Her experience in rapidly scaling Akasa Air will be invaluable as we continue to grow while maintaining a strong focus on corporate governance,” he said.
Primus Partners, an India headquartered management consulting and solutions firm, has emphasised governance and board oversight since its early days. The company has also taken an unconventional approach by inviting its Gen Z employees to attend board meetings so that younger perspectives can contribute to discussions.
Speaking on her appointment, Khatri said the consulting sector is entering a transformative period shaped by emerging technologies. “The industry is evolving rapidly with the rise of AI. This is an exciting moment for an Indian origin consulting firm like Primus Partners to expand its product offerings and strengthen its presence globally,” she said.
She added that as the firm pursues ambitious expansion plans, her focus will be on ensuring strong governance frameworks and effective risk management as the organisation scales.
