To pay or not to pay an influencer – this is one of the most difficult questions to answer as the start of an influencer outreach campaign. Most luxury brands have trouble understanding whether or not it is acceptable to pay an influencer. These are two sides to the coin; and as a luxury brand it is important that you understand the importance of the work done by influencers. Gaining digital popularity is not as easy as 1-2-3. Influencers often spend years building their own brand as a digital influencer in their marketplace. Obviously the decision depends on your marketing strategy and budget, but to help you make the choice whether to pay or not to pay an influencer, read on.
Say Yes
Studies show that nearly half of all influencers expect money, and less than a quarter of them expect product discounts and freebies. Surprise? You shouldn’t be. If you accept the fact that purchasing ad space in a luxury magazine, on a highway billboard or even on a bus is acceptable, then so should paying a digital influencer. The main difference will be the costs. A luxury magazine will likely request a payment of tens of thousands of dollars for an ad on the cover, while a luxury blogger will request a few hundred dollars.
Although many influencers anticipate to be rewarded for their efforts, most of the time, it is not just about the money. There are different ways to reward your influencers – compensate their efforts with money, spend time on their social media outlets, offer them free products and discounts.
Say No
Influencer’s opinions should be unbiased and original therefore buying influence might not always work for your luxury brand. Giving away your luxury products to your influencers as a token of appreciation for their work and effort seems like a blatant effort at buying their word. Giving product discounts and freebies might seem like influencing their comments and opinions about your brand.
Make the Decision
While some influencers have come to expect to be paid for their services, there are many others who might look down on you and might even get a little offended if you offered them rewards for something they do voluntarily. To pay or not to pay an influencer is a tough decision every luxury brand has to make sooner than later. Need help deciding if you should pay or not pay an influencer? Reach out to us for a complimentary consultation.
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