Are Your Influencer Marketing Spends Driving Results?
Collective Bias, Inc., the leader in shopper-focused influencer marketing, and an Inmar Company, today announced a milestone for social content measurement and its impact on driving in-store sales. The Power of Influence: A Window into ROI is the first industry report to comprehensively analyze social campaigns at scale across multiple methodologies and product categories. The study shows the effect of online influencers on brick-and-mortar sales metrics and sets a new standard for the industry, focusing on bona fide sales lift not simply Earned Media Value (EMV). Using Collective Bias’ proprietary measurement platform, Inmar Analytics, and partner analysis through Nielsen Catalina Solutions and Placed.com, the report directly ties increases in metrics such as foot traffic, basket size and coupon redemption to influencer marketing initiatives.
Methodologies and Results During 2016 Collective Bias measured sales results for 11 influencer campaigns conducted over an 8- to 12-week period for national brands spanning five CPG categories. The report includes analysis across more than 450 influencers. The research also concludes that there is a wide variance in performance, driven largely by the advertiser category, seasonality, price point, purchase frequency, and budget size. Across categories, influencer content significantly outperformed control groups.
Loyalty Card Study
By pairing Nielsen Catalina Solutions (NCS) frequent shopper and loyalty card data with Collective Bias’ first-party audience data, this study examined a campaign for a major confection brand at multiple retailers. The analysis measured a 7.6x return on ad spend (ROAS), by weighing households exposed to the campaign’s influencer content versus an unexposed control group.
This analysis measured the impact of Collective Bias influencer content on promotional/coupon redemptions rates and sales for two campaigns – a national rice brand and a frozen foods brand, both at major retailers. The rice brand saw a 45% redemption rate. The brand’s benchmark was 15%, representing a 3x lift as contrasted by industry digital coupon redemption rates of 8% in food categories as reported by Inmar Analytics.
Retail Sales Lift Analysis
By using client-supplied POS data and forming test and control groups across multiple retailer regions, Collective Bias measured sales lift for campaigns across several CPG products. In one example for a major laundry detergent, based on a $75kcampaign spent, the brand saw a sales lift of $233k – representing a 3.1x ROAS.
In-Store Traffic Analysis
Through mobile geo-fencing and measurement partner Placed.com, the impact of influencer marketing campaigns on driving in-store foot traffic to large retailer locations was analyzed. By examining the behavior of those exposed to influencer content versus an identical unexposed control, results showed that of the group exposed to influencer content, 48% visited the retailer within four days vs. only 29% in the identical but unexposed control.
Measuring digital campaigns and their impact on e-commerce sales is typically a straightforward process with all engagements and transactions occurring within a semi-closed online ecosystem, like an e-cart or online checkout system. Tying these digital campaigns – particularly influencer campaigns – to in-store activity requires rigorous analysis, scientific data correlation and a view beyond EMV as a measure of ROI. The research also concludes that there is a wide variance in performance, driven largely by the advertiser category, seasonality, price point, purchase frequency and budget size.
“What makes this study significant is its breadth,” said Irv Turner, Vice President, Analytics and Applied Data Sciences for Collective Bias. “We didn’t settle on a singular way of looking at influencer marketing’s impact nor on one particular use case.
This study irrefutably proves influencer marketing drives results.”
Download the full report below