Influencer Impact Up 57% with Marketing Shifts in 2020
Retail Dive | December 22, 2020
While #ad posts on Instagram are declining in popularity, the value of influencers rose this year suggesting creator partnerships are an important part of the marketing mix. Influencer collaborations had 57% more reach and impact in 2020 compared to 2019, according to Klear's State of Influencer Marketing 2021 report.
In 2020, influencers shift away from full posts and toward shorter snippets on TikTok and Instagram Stories. Creators' use of sponsored Stories rose 32% in 2020. Similarly, sponsorship activity overall increased on TikTok by 130% this year.
Gen Z is a key source of growth for influencer marketing, as the cohort's share of the industry rose from 31% in 2019 to 34% in 2020. As the young demographic grows in spending power, Gen Z may continue to comprise an increasingly large chunk of the influencer market.
The importance of influencers is reflected in ad budgets, as 73% of marketers in the U.S., U.K. and Germany said they put more resources into influencer marketing in the past year.