Confidential and Proprietary 00. All about the industry

Table of contents

0 03 0 00 All about the industry 4 Cost per engagement rises 23% 34 A new era of influencer 7 Instagram vs. other social media platforms 34 Key highlights on the industry’s rapid changes 8 The pandemic lowers creator costs 35 Understanding the data

0 04 Production and communication 0 01 Evolution of influence 10 Campaign growth in 2020 is a roller coaster 37 The Real World: 2020 edition 14 But campaign health stays strong 38 Anybody can be an influencer — but with one condition

Confidential and Proprietary 16 Average campaign ROI reaches 403% 38 6 other ‘influencers’ brands must engage 19 Content creation costs significantly cut 41 96% of creators want deeper relationships with brands 21 The best ships are ambassadorships 05 Takeaways + the future of influencer marketing 0 0 Influencer marketing best practices 44 02 Social channels 23 The future of influencer marketing 45 The follower sizes of influential accounts 0 Average engagement rate across all platforms for influential accounts 25 Will TikTok & YouTube overthrow Instagram? 26 Rising forms of content 29

2 All about the Confidential and Proprietary industry

00 01 02 03 04 05 03 00. All about the industry

00. All about the industry A new era of

2020 has been the year of digital connections. COVID-19 has moved much of our lives online, from how we communicate with each other to the way we shop. In fact, IBM recently reported that the pandemic has accelerated the shift to e-commerce by roughly 5 years.

Today, digital communities rule the world of commerce and brands are starting to

Confidential and Proprietary realize the increasing of investing in influencers — the social media micro- celebrities who have earned the trust of their audience and the power to sway their perceptions and purchasing decisions.

This year specifically, brands have leveraged influencers to expand reach, generate high-quality content, boost conversions, and more.

4 5 Confidential and Proprietary influencers? work with Why doyou awareness 85% 00. Allabouttheindustry Creation Content 64% Product launch 52% 50% reputation Brand 46% Promotion Event 25% SEO 11% 00. All about the industry

Since influencer marketing isn’t going anywhere, we’re digging into the nuts and bolts of this practice. This following report covers:

Influencer marketing has proven to be so effective that,

• Growing social media platforms in 2021, 76% of • The average cost per engagement per channel • The average campaign ROI marketers plan to • How brands are evolving their definition of ‘influence’

Confidential and Proprietary increase their • Our predictions for what’s to come influencer • And more

marketing budget. At its simplest, influencer marketing is a partnership between influential people and brands. Brands seek access to highly engaged, niche audiences and gain a human touch for delivering their message. Influencers seek a value exchange that provides income and exposure while building their personal brand.

06 7 Confidential and Proprietary of COVID-19 lower ratesduetotheeffects of creatorsarewillingtoaccept 60% desire toco-createwithbrands social media,indicatinga brands beyondpostingon of creatorswanttoworkwith 96% Key highlightsontheindustry’srapidchanges product valueishigh as longtheylovethebrandor favorite brandsforfreeproducts, are willingtoworkwiththeir 87% important forcommerce platform becomesincreasingly Instagram presence, asthe of brandsplantoincreasetheir 85% 00. Allabouttheindustry relationships prioritize long-term plan tolaunchone, asthey brand ambassadorprogram,or of marketers alreadyhavea 73% impact onsales understanding themassive TikTok presence, creators plantoincreasetheir of marketers and48%of 47% 00. All about the industry

Understanding the data With AspireIQ Instagram Graph API access, we pull real-time impressions, This report uses statistics from AspireIQ internal engagements, and get deeper audience data, as well as a survey of insights from our creators. Hundreds of thousands of opt-in creators grant us access to performance data from their official social network accounts. Opting in allows us to track real-time data so we can share our learnings in reports such as this one. Confidential and Proprietary

Nearly Over 200 100 Marketers Creators

to reveal insights about the maturing influencer marketing industry.

8 Evolution of Confidential and Proprietary influence

00 01 02 03 04 05 9 01. Evolution of influence

01. Evolution of Influence That’s why 64% of brands 2020 brands edition talked about real-world events this year more than Whether it’s the pandemic, the Now more than ever, consumers — ongoing fight for racial justice, or the particularly Gen Zers and millennials they have in the past. political turmoil around the elections, — want to hear where brands stand this year has brought many on social issues. Brands that don’t challenges. These events have participate in these conversations with While some marketers chose subsequently changed the social genuine empathy and an eagerness to to pause their partnerships, Confidential and Proprietary media climate in general, with listen can come off as out-of-touch or consumers increasingly using their tone deaf. 68% of brands worked with voice to post about the issues they influencers and other brand care about and calling out brands that aren’t taking action to support their fans to help speak on these community. matters. Why?

10 01. Evolution of influence

With a bigger spotlight on brands, there’s a greater importance placed on authenticity than ever before. In fact, when a brand takes a stand on an issue,

65% of Americans research the company’s authenticity

Confidential and Proprietary This June, Saxx Underwear planned a campaign — and aren’t afraid to call out companies that haven’t done the work. By working around funny fatherhood moments in light of Father’s with an influencer or another well-aligned brand advocate, brands can relay their Day. However, as the Black Lives Matter movement messages of support through a more authentic source than their corporate took center stage, the brand shifted its strategy to account. work closely with content creator Charles Flanagan on a new campaign around Black fathers. Saxx Underwear passed the mic to Charles and other Black dads in its community to amplify their stories and lead a change in the narrative.

11 12 Confidential and Proprietary working withbrandsthatshowupforthesocialcauses theycareabout. crucial factorwhendecidingtocollaboratewithacompany. Today, thismeans with. At thesametime, influencers arebecomingpickieraboutthebrandstheywork 74% ofcreators saythatalignmentwiththeirpersonalbrandsisthemost 01. Evolutionofinfluence showcasing thatthemajority of company thatshowsup forthe important forbrandstospeak social issuestheycare about. and actonreal-worldevents, creators wanttowork witha of creatorssaythatitis 52% 13 Confidential and Proprietary work with? choosing abrand to you lookforwhen important element What’s themost 01. Evolutionofinfluence brand your personal Alignment with 74% in theiroutreach Personalization 20% compensation Monetary 4% or product The brandname 2% 01. Evolution of influence

Social media influencers are not the only people with influence. Anybody can be an influencer — but with one condition 92% 79% Authenticity is key to good brand building, yet it is extremely difficult to achieve by of people trust recommendations from of people say user-generated content an in-house team alone. People don’t trust corporate brand messages or spammy friends and family over other sources. highly impacts their purchasing online ads — they trust other people who have personal experiences with the Nielsen decisions. brand and honest opinions to share. That’s why marketers have leveraged Stackla influencers to promote their products the last several years.

Confidential and Proprietary 88% Nearly 40% of marketers say that authenticity is of people trust online reviews written the most important aspect they look for when by other consumers as much as recommendations from friends. choosing brand partners. And 74% of creators look for BrightLocal alignment with their personal brands when working with a company.

14 01. Evolution of influence

Simply put, anyone can be an influencer — as long as they’re authentic. As we look forward, authenticity will come from people who are passionate about the brand. These are people who:

• Purchase goods time and time again • Engage with the brand on social media • Give great feedback that can be incorporated into future products and services • Write online reviews • Spread word-of-mouth buzz and inspire others to trust the brand

Influencer marketing is becoming less about paying someone with a large following to talk about a brand, and more about turning passionate brand enthusiasts into long-term brand advocates. Confidential and Proprietary

It’s a relationship game. Brands that don’t reinvest in their most passionate brand enthusiasts are leaving money on the table.

Al these images are 15 from our creators 16 Confidential and Proprietary include: members oftheircommunity. These influencers, brandscanactivateother Beyond traditionalsocialmedia engage brands must 6 other‘influencers’ Loyal customers and spreadword-of-mouth buzz. enough toleaveravingreviewsonline goods andlovethebrand’s products, Individuals whopurchaseabrand’s 01. Evolutionofinfluence the businesseveryday. stores todrivegrowthandprofitfor corporate officesandbrick-and-mortar Company insiderswhoworkin Employees establish credibility. trust, providetransparency, and brands workwithtobuildconsumer and specializedknowledge, who Individuals withlegitimatecredentials Industry professionals 17 Confidential and Proprietary perspectives toproducts. unique contentandbring new and creativedirectors,whocreate photographers, graphicdesigners, People workinginthearts,suchas Creatives into sales. and bringinginleadsthatideallyturn commission forpromotingproducts Brand partnerswhoearna Affiliates 01. Evolutionofinfluence their lifestyles. implement productsseamlessly into about thebrandstheyendorse, and represent, educatetheiraudiences promote thecompaniesthey Long-term advocateswhoconsistently Brand ambassadors customers worked with Of brands 47% creatives worked with Of brands 57% See the whole stat in the next slide 18 Confidential and Proprietary this year? media influencers traditional social besides you workedwith Who elsehave Creatives 57% 01. Evolutionofinfluence Customers 47% Ambassadors Brand 37% professionals Industry 35% Employees 34% Affiliates 32% 01. Evolution of influence

96% of creators want deeper relationships with brands

In addition to expanding who brands work with, brands can also expand how they work with partners.

Creators today increasingly want to have a hand in improving their favorite brands’ products or services and make their voices heard. Confidential and Proprietary

Out of the creators we surveyed, 96% said they want to work with brands beyond posting on social media.

19 20 Confidential and Proprietary have abrandambassador program,orplantolaunchoneinthenearfuture. relationships withthebrands thattheylove. Luckily, brands —notonlytohaveasteadyincome, butalsotobuildmoreauthentic Notably, such aswebsites,emails,ads,andmore. media. Today, creatorsdon’t justwanttocreatecontent topromoteproductsonsocial brands? to engagewith ways creatorswant What aresome 92% ofcreators 91% ofcreators wanttoproducecontentforothermarketing channels, alsowanttobelong-termambassadorsfortheir favorite 73% ofmarketers already 01. Evolutionofinfluence marketing content for Produce 92% ambassador brand long-term Become a 91% events exclusive Attend 69% products Co-create 63% panels events and Co-create 51% 21 Confidential and Proprietary ambassadorships: There areseveralbenefitsthatcomewith build astrongbrandambassadorprogram. brands havesustainablebusinessgrowthisto promotions, thebestwaytoensurethat and buildingabuzzaroundspecial campaigns aregreatforshort-termPRpushes Although one-off, seasonalinfluencer ambassadorships The bestshipsare social distancing. year-round, whichisespecially helpfulduring This eliminatestheneed forstudioshoots Brand ambassadorscreate evergreencontent. Evergreen content relatable way. target consumersandtalkaboutthebrandina community. Theyrepresenteachofabrand’s Each ambassadorhasinfluenceintheirown Diverse audiences on theirfeed. allowing brandstomonopolizetheadspace exclusive toabrandamongthatindustry, Brand ambassadorsoftenagreetobe Exclusivity 01. Evolutionofinfluence and buildameaningful community. sales, createhigh-quality reusableassets, ambassador programs todrivedirect Take amulti-pronged approachto Our advice?Investinbrandambassadors. — providingsocialproof. sometimes withoutitbeinga#sponsoredpost they’ll postaboutthatbrandmultipletimes— When anambassadortrulylovesabrand, Authentic endorsements term partnerships. ambassadors upfrontinexchange for longer- more forless,asbrandscanlockinrateswith Brand ambassadorsenablebrandstoget Better rates Confidential and Proprietary Social channels

There are 8 social media channels that form the core of influencer marketing — Instagram, YouTube, Pinterest, TikTok, , Facebook, Snapchat, and blogs.

00 01 02 03 04 05 22 23 Confidential and Proprietary influence theirpeers’ purchasebehavior. Traditionally, though,we’ve definedinfluentialaccountsas: expands. Thegrowthofsocialmediachannelshasgivenanyoneandeveryonethechanceto From nanotomacro, influencerscomeinallsizes—especiallyasthedefinitionof‘influence’ accounts The followersizesofinfluential 02. Socialchannels Subscribers 3,000 Posts 20 Avg. views 2,500 Posts 20 Followers 5,000 Followers 4,000 Followers 5,000 Posts 50 Avg. engagements 400 Posts 20 Monthly visitors 3,000 Followers 2,500 Posts 10 Posts 20 Followers 300K Followers 1,000 Engagement rate 5% Posts 20 02. Socialchannels 24 Confidential and Proprietary 10,001+: 4,000 to10,000: Less than 4,000: Average engagementratebyfollower count: brand enthusiastswhogenuinelylovethoseproducts. those withlargefollowingsandmoreonbuilding partnershipswithpassionate As brandsbuildouttheirnextinfluencermarketing campaign,focuslessonfinding 42% higherengagementratesthanmacro-influencers.Followingsuit, per engagement(CPE).Infact,lastyear, wefoundthatmicro-influencersachieve 60,000 followers—becausetheyhavehighlyengagedaudiencesandlowcost brands havebeeninvestingmoreintomicro-influencers—orthosewithlessthan audiences, butfollowercountisn’t whatmattersanymore. Overthepastfewyears, Influencer marketing usedtomeanthatbrandswereworkingwithpeoplebig with nanoandmicro-influencers. 60% ofmarketerstodayareworking <1% 10K+ followers 1.8% 4K-10K followers 4.0% <4K followers 02. Socialchannels >200K followers Macro 60-200K followers Mid 10-60K followers Micro <10Kfollowers Nano 02. Social channels

Average engagement across all As for engagement rate, YouTube and TikTok achieve far higher figures than Instagram, showcasing the big opportunity that brands have on video platforms. platforms for influential accounts Additionally, both YouTube and TikTok recently added Shopify integrations — which allow brands to sell products directly through the platforms — indicating that these Based on thousands of posts analyzed through our platform, this is the average channels are an increasingly important driver for e-commerce sales. number of engagements influential accounts received across all channels.

Average number of engagements: Average engagement rate: Confidential and Proprietary 173 1,542 303 3% 18% 16% Likes Likes Pins

487 24,343 Retweets Views

25 02. Social channels

Will TikTok & YouTube overthrow Instagram?

Following trends from the last few years, Instagram remains the biggest priority for creators and brands in the influencer marketing space.

And as Instagram ramps up its shopping features, the platform is becoming an increasingly important cornerstone in digital commerce and consumer

Confidential and Proprietary purchasing decisions.

However, as many marketers shift their focus to creating both short-form and long- form video content, social media platforms like YouTube and TikTok are seeing a surge as well.

Our survey found that brands plan to increase their presence on these channels in 2021.

26 27 Confidential and Proprietary in 2021? presence on increase your you planto platforms do Which 85% 49% 02. Socialchannels 47% 30% 25% 24% 11% 9% 28 Confidential and Proprietary in 2021? presence on decrease your you planto platforms do Which 35% 32% 02. Socialchannels 31% 19% 18% 16% 7% 5% 02. Social channels

On the other hand, we’re seeing a rise in influencers posting Instagram Stories, particularly videos. This comes as no surprise, as Instagram Stories have become increasingly popular among creators, brands, and users alike. In fact, TechCrunch reported in July that Instagram started testing a way to expand the Stories experience to make it more of a central focus in the Instagram app.

Instagram Post / video Instagram doubles down on video Instagram Post / carousel 4% While historically still images have made up the majority of content posted by 11% influencers on Instagram, we saw a decline at the beginning of the year, hitting a new low in April. This is likely due to the pandemic and the following economic Instagram Story Confidential and Proprietary 38% recession, which diminished marketing budgets (and subsequently, the number of Instagram Story / video 15% influencer collaborations). In addition, the shelter-in-place orders limited / image 6M influencers’ ability to go outside and shoot content with their photographers.

32%

Instagram Post / image

29 02. Social channels

Brands that have run TikTok campaigns have seen a huge surge in engagement and sales. TikTok has a monster year E.l.f. Cosmetics launched its #EyesLipsFace hashtag Since the start of quarantine, TikTok has amassed 2 billion downloads on the app challenge paired with an original song, which store and has become the most downloaded app worldwide in 2020, as people resulted in 6 billion views, 5 million user-generated looked for new ways to entertain themselves and stay connected with others. As of videos, and even a top spot on Spotify’s Global Viral September 2020, the app has a whopping 800 million monthly active users. Charts.

But with the success came big challenges, such as its ban in India, the loss of its new US-based CEO, and the ongoing court battle against the Trump administration’s ban in the United States. Confidential and Proprietary 2 billion Downloads in 2020 800 million Monthly active users in September Peace Out Skincare grew its sales by 4x in 24 hours and sold 15,000 units of its pore strips after working with influencer Kaelyn White and TikTok’s biggest ‘skinfluencer’ Hyram Yarbro. The list goes on.

30 31 Confidential and Proprietary short-form videoapp. last year, whenjust12%ofmarketers said theywouldgrowtheirpresenceonthe plan toincreasetheirpresenceonTikTok in2021.This isahugedifferencefrom content onTikTok in2021.To backthisup, oursurvey showsthat Despite Brands 47% TikTok’s uncertainfuture Creators 48% , wepredicttherewillbegrowthininfluencer 02. Socialchannels 32 Confidential and Proprietary quadruple itsdailytotalaudience shifted itscontentstrategytoengagethesePinners. Asaresult,Hiltonwasable an increaseinPinterestsearchesforroadtripsand staycationsinthespring,it content toencouragepeopledreamuptheirnext vacation.Whenthebrandsaw traveling rightnow, thehospitalitybrandhasbeenpostinginspirationaltravel with consumersduringthistimeofshelteringinplace. Sincemanypeoplearenot Brands like HiltonhaveleveragedthisgrowthonPinteresttoinspireandconnect Q3, takingitsmonthlyactiveusercounttoanewhighof442million. fact, Pinterestadded (and peopleingeneral)utilizedPinterestwhilespendingmoretimeathome. In We’ve seenahugesurgeinPinterestcontentstartingMay, asmoreinfluencers Pinterest usercounthitsanewhigh 49 millionusers andincreasetraffictoitssite. justinQ2of2020andanother 26 million in 02. Socialchannels 20K 25K 30K 10K 15K 5K 0 January February March Pinterest postsin2020 April May June July August September October November Confidential and Proprietary Pricing

Over the past decade or so, the influencer marketing industry has seen immense growth. In due course, influencers have grown more expensive when measured on a cost-per-engagement (CPE) basis.

In this section, we will go over the average CPE for each social media platform and discuss how the pandemic has affected influencers’ pay rates.

00 01 02 03 04 05 33 03. Pricing

03. Pricing Cost per engagement rises 23%

There are a multitude of factors that go into how much brands pay an influencer for an Instagram post. The influencer’s experience, relevance, industry, and joint work Instagram vs. other social history all weigh into price. media platforms

That being said, based on market trends, the current average price per recent engagement (CPE) is $0.32. $0.32

Average pricing on Instagram is about $0.32 per recent average engagement. $0.43

Price per IG post (CPE) = Recent average engagements x $0.32 Confidential and Proprietary $0.05

This is a 23% year-over-year increase from last year, when average CPE was $0.26. $4.29

From the base rate, brands typically pay a higher rate based on these factors: • Engagement vs. reach $0.01 • Quality of content • Post requirements • Verified checks and agents • Value of free product provided

34 03. Pricing

The pandemic lowers creator costs

Because both brands and influencers try to optimize value, pay rates constantly fluctuate.

The economic recession following the pandemic has also thrown a curveball in pricing, as brand budgets have been cut and there are fewer opportunities for Creators want to have a collaborations. When we asked our creator community about shifting pay rates, 60% of them said they are willing to accept lower rates due to the effects of bigger part in helping their COVID-19. favorite brands succeed — What’s more, 87% of creators are willing to work with their favorite brands just for free products, as long as they love the brand or the product value is high. by recommending items or

Confidential and Proprietary These creator sentiments reiterate the growing desire for authentic relationships. providing product feedback — even if they’re not compensated monetarily. 60% 87% of creators are willing to of creators are willing to accept lower pay rates work for free products, as due to COVID-19 long as there’s brand love or the product value is high

35 Production and Confidential and Proprietary communication

00 01 02 03 04 05 36 37 Confidential and Proprietary campaign growthinQ3 32% pandemic —butliftedinQ3. campaigns droppedinQ2of2020—impactedby theuncertaintyaround which hasfueledcampaigngrowth.Asseeninthe graph,thenumberofactive Over thelastthreeyears,we’ve witnessedincreasedcollaborationefficiency, coaster Campaign growthin2020isaroller 04. Productionandcommunication 04. Productionandcommunication campaigns Number of 600 500 200 400 300 700 100 0 Q1 2018 Q2 2018 Campaigns perquarter Q3 2018 Q1 2019 Time (byquarter) Q2 2019 Q3 2019 Q1 2020 Q2 2020 04. Production and communication

But campaign health stays strong This is a stark difference from

Even with all the quick shifts that marketers have had to make this year, campaigns just three years ago, when weren’t heavily affected. The average number of creators and posts per campaign brands received an average are still in the healthy double-digits. of 27 posts from 18 creators. This year, the average campaign had: Now, with a bigger focus on authenticity, brands are 19 81,748 building long-term Confidential and Proprietary Creators Engagements partnerships with creators, 42 $1,553.15 rather than carrying out one- Posts Spent per creator time, transactional collaborations. 96 Pieces of content

038 04. Production and communication

We calculate media value based on the following metrics:

Average campaign ROI reaches 403% $0.003 $0.15 $0.007 $0.007 $0.05 Impressions Views Impressions Impressions Impressions One of the biggest challenges marketers face is tracking the $0.05 $0.15 $0.15 $0.15 $3.00 success of their influencer marketing campaigns. However, Views Likes Likes Likes Clicks we’ve got a simple formula to help calculate Total Media Value and measure the impact of campaigns. $0.15 $1.00 $1.00 $1.00 $3.00 Likes Comments Comments Comments Saves Confidential and Proprietary Total Media Value (TMV) compares influencer campaign ROI $1.00 $3.00 $3.00 $3.00 $0.05 to more traditional campaign ROI — like television . Comments Clicks Clicks Clicks Closeups In this case, TMV offers an idea of what an equivalent advertising campaign would cost for the same amount the $3.00 $1.00 $1.00 brand spends on their campaign. Clicks Shares Shares

This is roughly based on how much it would cost to generate the impressions, likes, and comments with paid advertising.

39 40 Confidential and Proprietary • • • Average perInstagramcampaign: 100 *$3.00=$300 For example,theTMVof100Instagramclickswouldbe$300 Total MediaValue(TMV)=Numberof(clicks, comments,etc)*Value To calculateonyourown,usethisformula: 403% $27,434.69 $6,809.90 ROI brand spend TMV 04. Productionandcommunication 41 Confidential and Proprietary • • • • • Brands canleveragecommunity-generatedcontent byrepurposingiton: videos, customerreviews,andmore. content (IGC)createdbythebrand’s community, includingsocialposts,unboxing words, it’s theauthenticuser-generatedcontent (UGC)andinfluencer-generated that cancreateanecosystemofcommunitystoriesamplifiedbyabrand.Inother community thatcompelssomeonetothink,feel,act,andshare. It’s apowerfultool Community-generated content to measureROIiswithcontent. There’s valueininfluencermarketing beyondsocialpostsandsales.Anotherway significantly cut Content creationcosts Out-of-home activations Emails Website Paid media Their ownsocialchannels iscontentcreatedbymembersofabrand’s 04. Productionandcommunication community-generated content spendby52% content, according to On average,brands have reducedtheir by leveraging our survey. 42 Confidential and Proprietary Studio-shot creative No built-inaudience Rarely optimized formobileorpaidsocialformats Similar subjectsandlocations Low volume Batched photos Time-consuming Planning-intensive Expensive Long turnaroundtime 04. Productionandcommunication Community-generated content Adds socialproof Relevant Built-in audience Optimized fordigitalandsocialchannels Diverse subjectsandlocations High volume Authentic On demand Cost-effective (orevenfree, insomecases) Quick tosource Confidential and Proprietary Takeaways + the future of influencer marketing

00 01 02 03 04 05 43 43 44 Confidential and Proprietary 6 bestpracticestoincorporate. As theinfluencermarketing industryevolves,soshouldbrandstrategies.Hereare Influencer marketingbestpractices 05. Takeaways 3 2 1 perceived asmuchmore authentic. partners andturntheminto ambassadors.Thatway, partnerships willbe favorite brands,brandsshould cultivatedeeperrelationshipswiththeir Since 91%ofcreatorswant tobelong-termambassadorsfortheir Build long-termrelationships employee whoshowsashoppertheirfavoritepicks. a glowingreviewcanalsoinfluencepurchases,as cananin-store addition totraditionalinfluencers.Remember thatacustomerwhowrites This year, 93%ofbrandsworked withother communitymembersin Find authenticbrandfans This iskey tofiguringoutmutualgoalsandnecessaryactivations. awareness ordirectsales),andwhatbrandpartnerswanttoachieve. Think aboutwhatthecompanywantstoachieve(whetherit’s brand Define businessobjectives 05. Takeaways 4 they’ll see interms ofcontentand ROI. in preparation andtools,themoreoutput The morebrands investinstrategy,both 5 6 time role. can treatinfluencermarketing asastandalonechannelratherthanfull- negotiation, contentcreation,payments,andanalytics. Withit,brands Solutions like AspireIQautomatethedifficultpartsofdiscovery, vetting, Utilize aplatform paid ads,andsoon. leverage community-generatedcontenttofueltheirwebsite, emails, Brands saveanaverageof52%oncontentcreationcostswhenthey Repurpose community-generatedcontent source adiversearrayofauthenticcontent. Instead, theyshouldcreatemultipletouchpointswiththeiraudienceand Brands shouldavoidplacingdependencyonanysinglechannel. Leverage multiplechannels 45 Confidential and Proprietary come inthenearfuture. Here aresomepredictionsforwhat’s to can drasticallychangeinjustoneyear. As we’ve witnessedin2020, the industry marketing influencer The futureof traditional socialmediainfluencers. of abrandcommunity—notjust democratized amongallthemembers predict that‘influence’ willbe creatives, andbrandenthusiasts,we collaborating withcustomers, with anincreasingnumberofbrands for growthintheindustry. However, 2021, indicatingthatthere’s stillroom their influencermarketing budgetsin 76% ofmarketers plantoincrease marketing… withatwist. invest ininfluencer Brands willcontinueto 01. Evolutionofinfluence real people. and soon—totellrealstoriesfrom race, sexuality, location,bodytype, creators —whetherthatbeintermsof will workwithamorediversegroupof authenticity fromcompanies,brands As consumersdemandmore mind. Diversity willremaintopof their favoritebrands. to becomelong-termambassadorsfor since alargemajorityofthemdesire reflects creators’ sentiments,aswell, launch oneinthenearfuture. This ambassador programorplanto marketers alreadyhaveabrand Our surveyrevealedthat73%of boom. ambassador program There willbean 46 Confidential and Proprietary building process. give themabiggerroleinthebrand- relationships withtheircreatorsand more brandswilldevelopmeaningful and co-hostingevents.We believe media, suchasco-creatingproducts brands beyondpostingonsocial 96% ofcreatorswanttoworkwith relationships withcreators. creating deeper Brands willinvestin them throughcompelling storytelling. audiences andtheabilitytocapture customers), theyalsohaverelevant their audiences(read:potential influencers provide1st-partydataon consumers. Why? Notonlycan audiences andconnectwith influencers toreachtheirtarget years, retailerswillneedtorelyon 3rd-party cookiesinthenexttwo tech companiesphaseoutsupportfor As Google, Apple, andmanyother will savetheday. ecosystem, butinfluencers shake upthemarketing The “cookiepocolypse”will 01. Evolutionofinfluence individual-focused communities. predict therewillbeariseinthese support theirfavoritecreators,we “micro-brand.” Becausepeopleloveto individuals tobecometheirown to monetizetheirfame, allowing Patreon haveempoweredindividuals Platforms like Substack,Cameo, and dominate. “Micro-brands” willriseand 47 Confidential and Proprietary AspireIQ.com produce authentic content,andboostawareness,visit To learnmoreabouthowAspireIQhelps brandsdriveROI, Our softwareincludes: the get-go. community intelligencemarketing softwarehelpingbrandsachievesuccessfrom AspireIQ. AspireIQisaleadinginfluencermarketing platformandtheworld’s first To elevateyourinfluencermarketing program,investinasmartsolutionlike Getting started • • • • Seamless integrationswithCuralate, Shopify,andmore Real-time analyticssuitewithcontent AI system Enterprise-grade creatorrelationshipmanagement influencers A searchabledatabaseofover2millioncreatorsand

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