Standing the test of time

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See what is happening in our world – who is influencing whom and why.

Standing the test of time

October 20, 2020

A taste that stood the test of time. Every South African knows these words. It elicits an almost Pavlovian response to raise a glass and shout out: To Charles!

You may be wondering what sparked these thoughts. Well, the big news for R-Squared Digital was our move into stunning new offices at the Old Castle Brewery in Woodstock, Cape Town. This bright, airy and amazing new space is sure to get our creativity and our joie de vivre amped up to record levels.

But it also had another effect, on me anyway. Walking around this building, seeing walls that have been here since 1901, imagining what has happened, what people did, how they lived and what they dreamed about in an iconic location that is over 100 years old got me thinking about our modern life and, in particular, our modern industry of Influencer Marketing.

And what history will say about our young industry in 100 years. Will we still be relevant? Will we still have a place in the bigger scheme of things?

I must say that I believe that the answer is a resounding ABSOLUTELY YES!
History has shown the power of having a recognised face to drive interest in your brand. Aunt Jemima (controversial now, but a major turning point for how advertising became personal), Santa Claus (Coca-Cola), the Marlboro Man, George Clooney and Nespresso.

Influencer Marketing took this lead and amplified it exponentially by giving brands the power of a personalised voice, authentic engagement with an audience that was receptive and opted-in to the messaging. And it has proven to be massively effective, especially in the modern pandemic times where people are looking for connections in a time of quarantine.

The future can only build on history. We will learn from our successes and our mistakes. We are already aware of how our audience reacts to false impressions and fake endorsements and it’s driving the industry to actively create unique and authentic content that resonates. It’s showing agencies and clients that Influencer Marketing is about more than a face, it’s about a connection, a personal touchpoint that is a part of the influencer’s life story that is then woven into the fabric of the campaign.

And we are just scratching the surface.

Already we are seeing virtual influencers becoming a part of the story. Whether or not they will become entrenched is something we will only see in the future. At the moment they are a fad, a trend that is different and new and therefore interesting. How audiences respond in the long run is unknown but we are watching – and participating with great interest.

Advertising and marketing have been around for thousands of years.

Wherever someone has something to sell, whether it’s a product, an idea or an innovation, you will need people who best know how to reach and engage with an audience. That will never change. What will change is how. Technology, human needs and interests, the situation, the world are all mutable, are all ever-changing. And how we interact changes with them.

But one thing never changes – our yearning for a human connection, our need for validation and recognition and the understanding that comes with finding someone who shares our voice.

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Influencer Marketing Reimagined

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See what is happening in our world – who is influencing whom and why.

Influencer Marketing Reimagined

April 21, 2020

The effect of Covid-19 on influencer marketing 

R-Squared has created a State of Influencer Marketing Slideshare to assist marketers.

Slide content:

  1. Influencer Marketing Reimagined: The effect of Covid-19 on influencer marketing
  2. Overview: The uncertainty around Covid-19 is extreme, to the point of threatening business continuity. We need to find certainty despite the uncertainty. Statistically, brands that are optimistic towards media placements during a recession or crisis are far stronger after it’s over. Right now, the human touch is needed in marketing. This is what will be needed by an audience now, in order to strengthen the existing relationship and convince them to purchase products or services later.
  3. Landscape: Many industries cannot operate. There is a significant limitation. Those industries that cannot trade as usual, have either cancelled or reduced their budgets, while others are still communicating or increasing communications with their audiences. This is where audiences need human connection rather than brand messaging.
  4. Landscape: Global statistics are not applicable to South African buying behaviour due to the severity of the lockdown (South Africa’s lockdown is the most severe internationally). What we have seen is that there is a significant cut in ad spend. We know there is a partial shift to digital, as OOH and sports sponsorship is unable to run.
  5. Landscape: There is a risk of breaking a strong bond that was built over years with audiences if there is no communication now. Keep the communication open, even if a company can’t trade, so that the brand will be the first ones to be remembered by the consumers at the end of the lockdown. We believe that for most brands, it is no time to sell, it is time to be there for an audience, and to strengthen the brand affinity.
  6. Landscape: Fohr is an influencer membership network, and their research shows that the average screen time is up to 5h40 per day, an 18% increase during the Covid crisis. They noted that because screen time is increasing, so is the standard of content. Their statement is “As more and more people turn to e-commerce, there is an opportunity to put out impactful messaging that will nurture your current customers and provide value to them during these completely unforeseen circumstances.” Source: https://www.socialmediainformer.com/edition/weekly-communities-social-media-2020-04-04?open-article-id=13434383&article-title=the-impact-of- covid-19-on-influencer-marketing&blog-domain=later.com&blog-title=later
  7. Landscape: Followers are paying attention to this new era of content creation, with nearly 80% of influencers reporting higher engagement from their followers. The opportunity here is to engage audiences with content that is hyper-aware of and sensitive to its surroundings. People are much more likely to engage with content that is authentic and tasteful, than that which is ignorant of extenuating circumstances. Source: https://www.socialmediainformer.com/edition/weekly-communities-social-media-2020-04-04?open-article-id=13434383&article-title=the-impact-of- covid-19-on-influencer-marketing&blog-domain=later.com&blog-title=later
  8. Landscape: The Fohr survey also found that over 40% of influencers currently are reducing their normal rates, and the reductions average at 30%. Fohr concludes that optimal influencer marketing over the Covid crisis is to build brand communities. Source: https://www.socialmediainformer.com/edition/weekly-communities-social-media-2020-04-04?open-article-id=13434383&article-title=the-impact-of- covid-19-on-influencer-marketing&blog-domain=later.com&blog-title=later
  9. Context: Regardless of whether people have a good job or bad job, whether they have children or not, whether they have financial means or not, whether they’re in a relationship or single – we’re all in the same boat.
  10. Context: Even if an influencer is endorsing a brand, never has messaging through influencer marketing been more relatable. Whatever an influencer endorses right now relates to all of us, whether the content is branded or not, the audience relates much more to authentic influencers at the present time.​
  11. Context: Working with each influencer individually as to how they will execute their mission in their own way, is key for authenticity and resonates with their audience.
  12. Context: When influencers share what they miss about a product or experience, one visualises what they share. They create the dream for an audience.
  13. Context: Investing in increased communications during a recession or crisis results in long term gain. The natural approach is to cut spending (as a result of general fear or uncertainty), harming consumer relationships built over years. Agility and innovation in communication must be applied to strengthen the customer relationship, rather than putting it at risk.
  14. All generations have shifted primarily to online streaming and online video consumption, as a result of Covid-19. This is the first time ALL GENERATIONS are consuming their media in the same way. When sharing personal content, videos also capture the emotion and the authenticity in a much stronger way, which is even more powerful when coming from influencers with a person to person message, sharing real emotions.
  15. Media Consumption: Gen Z • Online videos • Online / TV streaming. Source: https://www.visualcapitalist.com/media-consumption-covid-19/
  16. Media Consumption: Millennials • Online videos • Online / TV streaming. Source: https://www.visualcapitalist.com/media-consumption-covid-19/
  17. Media Consumption: Gen X • Broadcast TV • Online Streaming. Source: https://www.visualcapitalist.com/media-consumption-covid-19/
  18. Media Consumption: Boomer • Broadcast TV • Online Streaming. Source: https://www.visualcapitalist.com/media-consumption-covid-19/
  19. Media Consumption: Millennials are the most active. Searches for Coronavirus, listening to music, and watching movies/shows have the highest activity. Source: https://www.visualcapitalist.com/media-consumption-covid-19/
  20. Buying Behaviour: In the USA and other international markets, consumers can still shop online. A survey of 1’000 US adults in Mid March discovered 42% of consumers were shopping more online, with only 8% saying they were engaged in less e- commerce. Source: https://www.valassis.com/infographics/latest-changes-in-consumer- behavior-amid-covid-19/
  21. Buying Behaviour: The virus also appears to be motivating many consumers to try on new shopping behaviours. Valassis (an advertising and marketing intelligence company that predicts consumer behaviour) found that at least under the circumstances, brand loyalty was being impacted: • 48% are remaining loyal to their usual/familiar brands. • 21% are purchasing a mix of usual and new brands. • 13% are “taking the opportunity to discover new brands.” • 19% are feeling less brand loyal, buying what’s available. Source: https://www.valassis.com/infographics/latest-changes-in-consumer- behavior-amid-covid-19/
  22. Social Media Usage: Social media usage in the United States is up. The same study found that 39% of respondents have increased social media usage, while 7% have decreased it. The remainder are consistent in their social media behaviour. South Africa hasn’t released statistics to support this, but due to the parameters of the lockdown, we believe these stats will reflect a far higher usage of social media. This also factors in that many who do not have access to data on their phones have access to wifi at home. Source: https://www.valassis.com/infographics/latest-changes-in-consumer- behavior-amid-covid-19/
  23. During the Covid-19 crisis, influencers have the capacity to create a much more powerful emotional connection and resonance to the brand by showing agility, innovation and creativity in producing content that will really show influencers and the audience are in the same situation, missing the same things.
  24. Market Examples – Automotive: Moms can relate to privileged moments with their kids. Roadtrips, driving the kids to their grandparents, or visiting a farm. When parenting influencers post content expressing how much they miss this experience, we relate and connect emotionally, even if the post is branded by an automotive manufacturer.​
  25. Market Examples – Alcohol: In South Africa, buying, selling and transporting alcohol is illegal under the lockdown. Many of us are in fear of running out of wine or beer before the end of the lockdown. When an influencer shares a throwback picture with an alcohol brand, he knows he will be unable to purchase again until the lockdown is over. Every sip he takes and shares online makes us feel like we can’t wait to try this wine, and this will probably be the first bottle we want to buy afterwards. This wine becomes the dream.
  26. Market Examples – Travel: The longer we’re in a lockdown scenario, the more we need to escape, and we dream of travelling. We all want to travel / get out of home. When travel influencers cannot travel and relive their last travel experience by sharing beautiful pictures and videos of their last trip, the audience shares the dream, even if the content is sponsored by a hospitality brand.
  27. Market Examples – Health and Medical Insurance: By being locked down, we all face the option of staying in bed more, exercising less, eating more comfort food, and not respecting or staying in a healthy routine. Influencers face the same challenges in their commitment and cannot go to gym. They would become increasingly aspirational by showing how to respect or start a healthy daily routine from home, from exercise to eating habits.
  28. Market Examples – Entertainment: Is working with the level of commitment, while home schooling your kids a challenge? It’s also a major challenge for influencers, who often also have a 9 to 5 job. Homeschooling while working from home can be exceptionally difficult. It’s hard to focus while children need attention. Influencers can bring awareness to this, showcasing how children stay entertained, while they’re learning, in partnership with gaming platforms and educational entertainment through streaming media channels.
  29. Market Examples – Education: Bored at home? Tired of not going out or going to work? eLearning channels can sponsor influencers’ education for the duration of the lockdown. Further, the education can be both professional and personal, focusing on upskilling knowledge and expertise, but also focused on learning how to paint, do yoga etc. Influencers can demonstrate their own personal journey to enlightenment.
  30. Market Examples – Virtual Experiences: Are you missing meeting up with friends and family? Influencers have the same experience. They can however connect virtually. They can invite their pods to Zoom meetings, challenging each other to select lookbooks from retailers’ websites. An example of an engagement mechanism could be: “I’ve found a picture of what I’d like to purchase after the lockdown lifts, what colour should I buy?” This could be a teaser, before the brand sends the products at the end of the lockdown.
  31. Conclusion – It’s critical to stay in contact with an audience, in a meaningful way. Everybody in a non-essential industry is stuck at home. Connect on a person to person level, and any brand will preserve the relationship with that audience in the future. One needs to be agile at this difficult time. Influencer marketing is not only for immediate sales but is powerful and maintains and/or creates excitement and brand love.
  32. Thank you: Are you a brand or an agency? Contact us to leverage your brand love through influencer marketing: partners@r2digital.co.za

Michelle Marais, Digital Marketing Manager

Michelle Marais

Michelle is the Digital Marketing Manager at R-Squared, a leading influencer marketing agency partnering with some of the largest brands in South Africa and internationally. Through this crisis, our team has seen a change in the marketing landscape, and we’re sharing this with you now.

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