How to Dramatically Increase Your Revenue with Nano and Micro-influencers

Micro-influencers, which are content creators and key opinion leaders with smaller audiences, are often overlooked.

Their conversion rates are better than those of celebrities and larger audiences. Micro-influencers have higher engagement rates than macro-influencers.

It is possible to increase revenue with the right strategy. You need to know what to look for.

What is influencer marketing?

A brand collaborating with an influential person is called aninfluencer marketing. Social media superstars, trendsetters, tastemakers, and knowledge leaders with large and highly engaged networks of followers on social media are called "influencers".

In addition to boosting brand awareness, sending qualified traffic to your website, and impacting purchasing decisions through product placements and endorsements on social media, accessing influencer marketing is a powerful marketing tool.

A dance instructor on TikTok is an example of an influence.

What are micro- and nano-influencers? 

People with small but loyal audiences are called micro- and nano-influencers. The audience size for micro-influencers is between 10k and 75k.

Close, trusted relationships with their audience are the most significant benefit of working with an influencer. Consumers are more likely to follow advice because they are more likely to get one-on-one with the person they are following.

The interaction leads to higher conversion rates. Your marketing dollars go further if you have a budget-friendly price tag for smaller ones.

They want to impress brands so they may go the extra mile. Micro- and nano-influencers may be able to respond to feedback. Small-scalers respond quicker to communication because they have less messages in their inbox.

Some brands don't want to work with people with fewer followers because they want a bigger audience. Micro-influencers will work for smaller budgets and are more likely to collaborate in the creation of content.

How to Find and Recruit Micro-influencers and Nano-influencers

It's important to find hidden gems that fit within your budget but have a high engagement audience. How can you do that?

1. Search in an influencer database or marketplace.

Most of the research for you is done by the impact.com database. You can get a quick overview of an account's followers, engagement rate, and more. A marketplace gives potential partners categories, values and demographic information so you can quickly find influential people.

2. Get specific about with whom you want to work.

The bigger the audience, the more targeted you need to be. It's important to make sure your product fits the lifestyle of the people you're trying to reach. Look for partners who are already fans of your brand and speak your language when searching for micro- andnano-influencers.

3. Offer a personal touch when engaging with influencers.

Creating emotional connections is part of the process of building long- lasting relationships. As your relationship grows, focus on nurturing it.

4. Consistently add new influencers to your marketing strategy.

If you want to get your partnership program off the ground, you need to work with larger groups of influential people. You can promote brand awareness with consistency.

How to Manage Micro- and Nano-influencers to Build Profitable Relationships

Securing long-term partnerships that boost revenue requires a mutually beneficial environment where you and your followers succeed.

For instance, online for-profit clothing store is partnering with micro- andnano-influencers to grow revenue. By the end of their first full year, they had 9% of their revenue coming from partnerships. In the fourth quarter of the year, they doubled down on partnerships and generated more revenue than they did in the previous year.

It is not an outlier that is named "IvyElla." Great results can be achieved by following these steps.

1. Automate manual processes to improve workflow.

There is a lot of work when you manage multiple people. You don't fall behind because of automation tools. Automating is something that should be considered.

• Tracking and reporting: automatically generate reports that show each influencer’s engagement and conversions.
• Communication: use an automated system to send updates, surveys, check-ins, feedback requests, and other forms of communication.
• Recruiting: set up alerts to be notified of new potential partners in your space. Using automation fosters growth with less human intervention.

2. Choose your compensation method based on performance.

Smaller followings are more expensive than celebrities. You need to give them a fair reward for their hard work.

There are a number of popular payment models for influencer marketers.

• Performance bonuses:brands pay influencers when a user converts or triggers a “success event.” These events include purchases, subscriptions, sign-ups to newsletters and free trials, app downloads, etc.
• Participation bonuses: this model compensates for upper-funnel contributions such as brand awareness.
• Hybrid model: influencers get paid a flat fee plus performance and/or participation bonuses for specific user actions.
• Flat fee: brands pay influencers a fixed rate per post or campaign.
• Gifting: brands gift products or services to influencers in exchange for content creation.
• Tiered fee: the fee is based on the number of engagements and/or contributions to the buyer journey.
• Monthly payouts: influencers get paid a fixed monthly fee for the length of the contract.

Potential customers are introduced to your brand via engaging content. The conversion credit is given to the final touch point where a customer has converted.

The creators are often the last point of contact. Brand awareness and persuading audiences to convert are two of the important parts of the sales cycle. They may not be able to meet their requirements if they are paid with gifts and performance bonuses.

A WARC and impact.com white paper shows that a majority of influencer prefer a flat fee payment.

3. Prioritize your partner's experience.

It's exciting to work with a brand that you know and love. Micro- and nano-influencers who work with the right brand will get the traction they need to grow their audience. It benefits your brand if you provide a memorable experience.

When partners feel appreciated, they will take an extra step when discussing your brand and products. The more recognition they get for their work, the better their content will become.

There are ways to increase your partner's experience.

• Reward partners. Incentivize influencers for achieving specific goals or milestones. For example, offer them a performance boost when they bring in a defined amount of new leads or raise their commission at a special conversion rate.
• Pay influencers on time. An influencer and creator platform tracks and streamlines payments, so you’re never late.
• Gifting goes a long way. Give away some of your top products to loyal partners or share a discount code for them to try something new.
• Have fun and get creative. Challenges, games, or other fun activities are a great way to stand out and bring something new to your partnerships.

Get Significant Revenue Boosts from Smaller Audiences

Many different types of partnerships are required for a strong marketing strategy. It is easy to get caught up in numbers and assume bigger is better, but after a few collaborations you will see how you can get great returns from working with the right people.