The influencer marketing industry is on a meteoric rise, with projections suggesting it’ll hit a staggering $22.2 billion by 2025. This isn’t just a flash in the pan – influencer marketing is cementing its place in the digital landscape.
According to the latest State of Influencer Marketing Benchmark Report 2024, this surge isn’t limited to global markets. South African brands are diving headfirst into the trend, ready to leverage digital strategies and forge meaningful connections with consumers. The report reveals a telling statistic: 60% of brands already investing in influencer marketing plan to up their spend in 2024. It’s clear that influencer partnerships are becoming a cornerstone of modern marketing strategies.
No ad to show here.
But why the massive shift? Simply put, influencer marketing is outperforming traditional channels. A whopping 85% of survey respondents believe it’s an effective form of marketing – a notable increase from previous years. This growing confidence is pushing more brands to funnel larger chunks of their marketing budgets into influencer collaborations.
When it comes to platforms, TikTok is king. It’s the go-to for 69% of brands engaged in influencer marketing, leaving Instagram (47%), YouTube (33%), and Facebook (28%) in the dust. The appeal? Visually striking, short-form video content that strikes a chord with audiences.
Interestingly, there’s a marked shift towards smaller influencers. Nano-influencers (1k-10k followers) are the choice for 44% of brands, while micro-influencers (10k-100k followers) account for 26%. These smaller-scale creators, known for their higher engagement rates and authentic follower connections, are becoming the secret weapons in brand strategies.
Pieter Groenewald, CEO of the Nfinity Influencer Group, notes: “South African brands are increasingly recognising the value of these partnerships, diving into niche markets and forging deeper connections with their audiences.”
But South African brands aren’t just following the pack – they’re leading it. Albert Makoeng, MD of the Nfinity Influencer Group, says: “South African brands have always been at the forefront of innovation. The nature of influencer marketing presents an incredible opportunity for brands of all sizes to connect with consumers in more meaningful and impactful ways. By leveraging the unique qualities of our diverse influencer community, brands can achieve remarkable results that represent their innovative ways.”
The report also highlights a significant trend: nearly a quarter of respondents plan to allocate over 40% of their entire marketing budget to influencer campaigns. This massive investment underscores the growing trust in influencer marketing as a primary strategy for brand engagement and sales.
However, it’s not all smooth sailing. Brands still grapple with challenges like identifying the right influencers, measuring ROI, and managing campaigns effectively. But there’s a technological cavalry on the horizon. AI and machine learning are stepping in to save the day, with 63% of brands planning to use AI in their influencer campaigns and 55% using it for influencer identification. These tools are crucial for providing detailed metrics on engagement rates, conversions, and influencer media value.
Groenewald adds: “We’ve developed sophisticated tools to help brands navigate these challenges. By providing detailed analytics and insights, we empower brands to make data-driven decisions and maximise their influencer marketing ROI. Our platform connects brands with the right creators, ensuring that every collaboration is strategic and impactful.”
Looking ahead, the report predicts continued growth in AI and machine learning to enhance influencer marketing strategies. These technologies will enable better influencer matching, campaign optimisation, and deeper insights into consumer behaviour.
For South African brands willing to embrace these opportunities, the future looks bright. As Makoeng puts it: “The real challenge isn’t just to keep up with trends, but to stay ahead of the curve. With influencer marketing, brands can build genuine relationships with their audiences and make a significant impact in their industry.”
Read next: Talent agility: The missing piece in the business agility puzzle
