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Social Media Influencer Marketing: How to Grow Your Business

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Social Media Influencer Marketing: How to Grow Your Business

Read time 8 min read
Social Media Influencer Marketing

Test your website’s SEO and social media score in 60 seconds! Diib is one of the best SEO and social media monitoring tools in the world. Diib syncs to Facebook and Google Analytics and uses the power of big data to help you quickly and easily increase your social media traffic and SEO rankings.


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In today’s world, businesses use influencer marketing strategies to promote their products or services on social media. Before diving into the process and techniques, it is better to learn about what an influencer is, how to choose an influencer to attain maximum ROI with influencer marketing, and where to find an influencer.

What is Social Media Influencer Marketing?

To understand what is social media influencer marketing, we have to understand Influencers who have a large following on social media platforms. They are famous bloggers who have a loyal audience, and there are more than a million people who are inspired by them. People follow what they do, what they eat, what they wear, and how they live.

Businesses select these influencers to endorse their brands, products, and services to plan for social media influencers for marketing. For example:

Social Media Influencer Marketing

(Image Credit: Social Media Examiner)

It is like when celebrities endorse brands and promote products on tv commercials. In influencer marketing, social media platforms like Youtube, Instagram, Snapchat, and Facebook are used instead of tv commercials.

Why Use Marketing for Influencers Strategy?

In the last decade, social media has become an essential part of everyone’s lives- and a crucial way for businesses to increase their brand’s awareness.

Marketing for entrepreneurs or brands can be a real challenge. It includes branding, selecting the right platforms for marketing, conversing in the customer’s language, coming up with an effective marketing strategy, and reaching your target audience.

Collaborating with influencers for marketing is the best marketing strategy for many brands. The reasons to choose influencer marketing for your businesses are the following:

  • To approach a larger audience
  • Building trust for products
  • To grow social media following
  • To increase website traffic
  • To get more leads
  • Increase sales

When people see other people; who inspire them to wear and use a specific product or a brand, they are more likely to buy that product or use that service. Building a loyal following on social media is not an easy task. Platforms like Instagram and YouTube pay social media influencers for having a vast organic following for influencer marketing social media marketing.

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Important Marketing for Influencers: Statistics 2020

The influencer hub surveyed 4000 brands and companies to gather information about influencer marketing statistics in 2020. According to the influencer marketing study 2020, these were the statistics:

  • Influencer marketing social media marketing will reach approximately $9.7B in the year 2020
  • There are more than 380 marketing platforms and agencies that have been established
  • Large companies have hired 300% more micro-influencers as compared to previous years
  • 55% of companies set a budget specifically for content marketing
  • 91% of the people surveyed were confident that influencer social media marketing is a useful marketing type
  • 65% of the marketing companies calculate their ROI from their influencer plans

Other than these statistics, another study from Mediakix explains how businesses have adopted digital influencer marketing. Below are the top statistics that every marketer should be aware of:

Social Media Influencer Marketing

(Image Credit: Tribe)

Increase in Social Influencers Marketing Budgets

The budgets for social media influencer marketing will be increased by two-third of the marketing companies that make it 65% of the marketing companies.

Common Influencer Budget

It has been surveyed that 19% of marketers spend $1000-$10,000 every year on influencer campaigns. And 18% of the marketers spend $100,000- $500,000 per year on these campaigns.

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This proves that small and big companies invest in influencer marketing.

Half of the Marketing Budget is Used in Influencer Marketing

Many companies, primarily e-commerce, lifestyle brands, gaming, and travel agencies, plan to spend half of their marketing finances by investing in influencer marketing.

ROI is Better than other Marketing Channels

Almost 90% of marketers find that ROI(return on investment) is better or equal to other marketing strategies.

How Social Media Influencers Help Businesses

The audience’s trust social media bloggers, and they can introduce your product in a better way to their followers. More than 57% of beauty and fashion enterprises are hiring influencers, but why should businesses use this kind of strategy for their products? Below are the reasons why social media influencers effectively help companies:

  • Reaching the Targeted Audience

Most marketers struggle to reach an audience that can benefit from their products or brand. However, with influencers, one can target the correct audience by creating a simple video or content using relevant hashtags.

The sharing on social media and through search algorithms will directly reach the influencer’s followers.

  • Smart Techniques for Promotional Marketing

The effect of heavy promotional marketing fades away early. Bloggers and digital marketers provide genuine and original content to the people. They offer the information and also balance the promotional features in their content.

The social media influencers do not ask their audience to buy a particular product. Instead, they show them how they use a product through pictures and videos. This inspires followers to purchase that specific product. As the followers wish to be closer to their influencers, they end up following their activities. The followers buy the product eventually. For example:

Social Media Influencer Marketing

  • Videos and Graphical Posts Capture Attention

Unlike the traditional ways of marketing, influencers have access to the best forms of marketing means. They use unique video and graphic content to promote products or services. A more extensive set of an audience can witness how to bring a product into use and how it benefits them.

This form of marketing is vital for brands that want to reach a targeted audience on social media. This is a smart way to showcase a product or a service keeping in mind the audience that regularly checks social media news feed.

  • Affordable Means of Marketing

Advertising products on TV commercials and billboards will help a brand reach a limited number of people who are less likely to use it. In contrast, digital influencers become an effective spokesperson for a business to many targeted customers.

  • Promotion on Social Media Platforms

Influencers have more than one active social media accounts on popular platforms. Any influencer on Instagram will have a YouTube channel and a Facebook page. The followers of these influencers will create fan pages for these influencers on many platforms.

A post shared by an influencer is also shared by the followers on their fan pages, making the post-viral worldwide. Moreover, many of these followers are bloggers or influencers themselves; therefore, the post gets shared several times by many people making it last long on the platforms. For instance:

Social Media Influencer Marketing

(Image Credit: Shane Barker)

  • High ROI (Return on Investment)

A business can achieve a good ROI after using influencer marketing strategies because of the low capital investment. Other aspects that increase the ROI are the ripple effect and high click to conversion ratio.

  • Working Remotely

While opting for social media influencer marketing, time is not wasted in meeting the influencers personally. One can settle for a deal over emails and messages.

It assists in saving money that can be invested in other marketing plans. Influencers create original content using their content without any help from the company or the business, which keeps them money and time.

  • Creating Content For a Targeted Audience

It is said that a good salesperson can sell a comb to a bald man; influencers are the best type of salesman for their audiences. The marketers understand their product or service very well; similarly, the influencers know their followers well enough to showcase a product effectively and use the right approach. For example:

Social Media Influencer Marketing

(Image Credit: Socialbakers)

How to Approach Social Media Influencers?

Most people consider influencer marketing a marketing technique reserved for only big brands or industries. However, small businesses and brands can avail of this opportunity within their budgets.

Below are ways through which small or big businesses can hire influencers to boost their online presence:

Supply and Demand

Before hiring an influencer, it is crucial to search for the best social media platform. The demand for content on social media platforms is present everywhere. However, the availability of content on different platforms varies.

One platform will help you get noticed more than others. To get seen on Facebook is more challenging because it has much competition. But for small businesses, Facebook works well.

If you are a small business owner and want to engage local clients, then influencers having a large following will help you promote products effectively.

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Collaborating with Influencers

To get a more significant ROI, a business should collaborate or partner with influencers. Once the influencers understand a product and the company, they can grow a business.

Collaborating with the appropriate influencer can result in the conversion of the influencer into a brand advocate. The ROI after this collaboration will increase after the influencer portrays a product with more interest.

Marketing Locally

Local business owners need to start promoting their services with local influencers, which will target local audiences. Once a business achieves the targeted ROI, then it can be considered to reach out to a bigger, for example: opening another branch or expanding your business. Here is an example of a local influencer:

Social Media Influencer Marketing

(Image Credit: Izea)

Selecting Influencers with Higher Engagement Rates

Hiring a local influencer with a smaller following will help reach out to the right audience because of the engagement rate. An influencer who has a smaller but engaging audience will be able to increase ROI by reaching potential customers compared to an influencer who has a more extensive following but not an engaging one.

Analyzing Influencers Industry

To get an effective ROI, try to choose influencers who are related to significant business or products. This will ensure to create content that is interesting to their followers. Otherwise, much money is wasted on working with the wrong influencers.

Considering the Cost

Spending money the wrong way will result in having no funds for other marketing options. Every chosen influencer does not qualify to increase your ROI. Using cost per action allows you to choose the right influencer for your brand. An effective way is to create an affiliate marketing program for influencers to get a higher ROI.

Offer the Right Pricing Method

A business should figure out the best way to engage influencers in promoting its products. Many brands send their products to influencers to use for posts or pay them. Businesses should decide how to invest in influencer marketing, whether in paying funds or sending products.

Types of Influencers for Promotional Marketing

In this section, the influencers are grouped into categories according to their following; keep in mind that a business does not need an influencer having a large following, but it needs an influencer having the right followers.

  • Mega influencers- these influencers have at least a million followers on one of the social media platforms. A brand should coordinate with mega influencers if it needs to promote its business internationally. These influencers are heavy on the budget and lack an engaging audience. For example:

Social Media Influencer Marketing

(Image Credit: WordStream)

  • Macro influencers- These digital influencers have a large and loyal following, suitable for brands wanting to create brand awareness to a targeted audience. They are quite busy and challenging to get in contact with. They choose their clients and work through agents.
  • Micro-influencers- Having a following of around 10,000 to 100,000 followers, these influencers are topic experts who know their topics well and have built an incredible trust with their followers. Their cost is less than that of mega and macro-influencers. The successful marketing strategies use influencers like them for social media marketing.
  • Nano influencers- these influencers have a following of around 1000-10000 and have a loyal local audience as their followers. They have higher engagement rates and interact with their followers more often to build trust with them. For startups or new businesses, nano-influencers can be considered as the best option.

How to Run an Influencer Marketing Campaign?

To carry out a successful influencer campaign, one should decide on the right target audience. Follow the correct method to carry out a campaign.

  • The Organic Process: To adopt an influencer marketing campaign, businesses should use organic ways to find influencers. This way, you won’t have to pay to discover influencers

One can perform influencer selection, management, and analysis using this organic method. The only drawback of this method is that it does not guarantee that an influencer will partner with a brand. One has to spend time on social media every day to research who has impacted your target market.

  • Using the Right Platforms: Many platforms can help you to run influencer campaigns. The platforms offer influencer discovery tools that can simplify your influencer search; if a forum is chosen to discover an influencer, one can describe the type of influencers a business requires.

The platform provides a list of influencers matching the needs of a brand or business. On some platforms, companies can create gigs, and influencers can make offers.

Social Media Influencer Marketing

(Image Credit: mediakix)

  • Approaching Influencer Marketing Agencies: An influencer marketing agency can find suitable influencers for firms and then can run marketing campaigns for them. The agencies can perform the work involving legwork, but they will still require the goals and needs a business aims for in an influencer. Although these marketing agencies perform an excellent job, it will always be your campaign. A company should have set goals to achieve success in any campaign

How to Collaborate with Influencers?

The honest influencers are the ones who will work with a brand if they believe in the product or a business, if they think that any specific product will help in giving value to their followers, then they will approve of collaborating.

In the case of showcasing products that are irrelevant and not up to the mark, influencers can lose followers, which will result in the loss of an influencer’s credibility. Avoid working with anyone that has a different following from your target market.

Ways to Work with Influencers

Genuine influencers will only be willing to work with you if they believe your product provides value to their supporters. If influencers were to try and pitch irrelevant or shoddy products to their followers, they would quickly lose credibility. Avoid working with influencers who have an audience that is different from your target market.

There are many possible ways you could choose to work with your influencers:

  • Creating Engaging Content: Ask them to create engaging content that resonates well with their followers. Famous influencers share beautiful pictures as posts to build engagement and trust with their followers. Their posts appeal to their audiences to buy or purchase any product from social influencer marketing.
  • Running Competitions With Influencers: One of the best ways to use influencers for a marketing strategy is to create contests or send giveaways to develop your business’s online presence. It increases traffic on websites and raises the following of a brand.
  • Referral Programs: Twitter conducted a study and stated an 88% increase in the purchase of products when social media influencers promoted them. Referral programs share codes with an influencer. The influencers share these codes with their followers through their posts. These codes help purchase products or services at discounted rates, which attracts the most audience to click on the promotional link or use the codes.
  • Inviting Influencers to Blog on Websites: When a famous influencer writes a blog post on a brand’s website and promotes it, it drives traffic to a website through many platforms.

The influencer can share the blog post link and appeals to the followers to become website visitors by clicking on the link and reading the blog post.

When people read their influencer’s blog post on a website, they consider that blog a trustworthy website.

Diib®: Get Your Influencer Marketing Statistics!

Using the right social media marketing strategy, businesses can create brand awareness and create an online presence in the digital world. That strategy includes the following components- the accurate platform, the right influencer, and an effective plan. Partnering with Diib Digital can give you the added confidence that you’re getting the job done right. Here are some of the features of our User Dashboard we’re sure you’ll appreciate:

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This involves a person or social media personality endorsing your product or service. Influencers usually have lots influence over their followers and have established themselves as an expert in their given marketing or niche.

80% of marketers agree that influencer marketing is effective. What’s more, 89% say it works just as well, even better, than other marketing channels.

Influencers have varying amounts of followers, and as a general rule, the more followers an influencer has the more you’ll pay for their services. That being said, influencer followers can range anywhere between a few hundred to 20,000.

Influencers have the power to affect another person’s purchasing decisions based on their knowledge of a product, position and authority.

Use a more generic greeting, unless you know their name (not their username). They really want to know that you put effort into getting to know who they are and what they are passionate about before you talk to them.


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Daniel Urmann

Author Bio:

Daniel Urmann is the co-founder of Diib.com. Over the past 17 years Daniel has helped thousands of business grow online through SEO, social media, and paid advertising. Today, Diib helps over 150,000 business globally grow online with their SaaS offerings. Daniel’s interest include SMB analytics, big data, predictive analytics, enterprise and SMB search engine optimization (SEO), CRO optimization, social media advertising, A/B testing, programatic and geo-targeting, PPC, and e-commerce. He holds a Master of Business Administration (MBA) focused in Finance and E-commerce from Cornell University – S.C. Johnson Graduate School of Management.


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