2023 was an exciting year. We witnessed a seismic shift with the influencer marketing industry in India surpassing Rs 1,200 crore. Projections hint at a 25 percent compound annual growth rate, soaring close to Rs 2,800 crore by 2026. The pandemic fuelled the rise of digital platforms, bringing forth novel opportunities and challenges. From CGI influencers (those who use virtual avatars) to purpose-driven content, the trends in 2023 have set the stage for a transformative 2024.
As we enter 2024, we can expect to see some new trends and challenges that will shape the way brands and influencers communicate with their audiences. Here are some of the key aspects of digital and influencer marketing that are going to evolve in 2024:
Video content: The rise of infotainment
Video content has become the primary medium for social selling, as it offers a more engaging and immersive way of delivering information and entertainment. Social media algorithms are pushing videos rather than static posts and, hence, organic reach is also higher for video content. However, this also means that the competition for attention is fierce, and the quality and relevance of the content is crucial. It’s the age of infotainment. The content must be equal parts informative and entertaining, delivered in a snackable way. Brands and influencers need to create video content that is captivating, authentic and adds value, while also aligning with their niche and personality.
Personalisation: The key to conversion
From phone covers to branded content, Indians have a penchant for all things personalised. Personalisation has now become a must-have feature for brands to attract a mass audience. The consumer wants to feel seen and spoken for. Ads with a personal touch leverage the viewer’s attention span and reach the intended demographics. Brands must be aware of their target audience’s content consumption patterns and create relatable content that complements the data to ensure conversion.
Influencers: The major players in marketing strategies
Influencers can play a vital role in personalising the brand message, as they have a deeper connection and trust with their followers. They have proved their significance in the content market over the last few years and are now an “always on” plan for brands. They have become a significant component in marketing strategies, and have the power to influence purchase decisions and behaviors of their fans. Brands are recognising the value of influencers and are investing more in long-term partnerships and collaborations with them. Influencers can help brands to co-create products, launch campaigns, generate buzz and drive traffic and sales.
Customisation: The role of nano and micro influencers
Customisation through regional content is another way of enhancing the relevance of the brand message. Nano and micro influencers have a loyal and engaged fan base. This category of creators also serves as a treasure trove of insight and information, which can become vital data to tap into for coming up with a hyper-customised strategy. Earlier, gaining these insights would mean combing through a lot of literature and the probability of region-specific strategies succeeding was anyone’s guess. Now, brands can tap into the local knowledge and expertise of the nano and micro influencers, who can help them understand the cultural nuances, preferences and pain points of their target market.
Shoppable content: The trend of impulse buying
The average internet user’s screen time has been on a steady rise. With an average Indian seeing over six hours of content every day, shoppable videos have a lot of scope to expand, especially with the rise in digital payments, ease of experience and the last-mile experience that brands provide. Shoppable content leverages this behavior and capitalises on the impulsive buying patterns of consumers with disposable income.
Shoppable content reduces the friction and time involved in the buying process, and increases the conversion rate and revenue without having to bounce between multiple platforms. As a result, brands and influencers use shoppable content to showcase their products and services in an attractive and convenient way, and to encourage the viewers to take action on the spot.
ROI: The hard evidence of influencer marketing
Were proof required to show that influence marketing is here to stay, look no further than return on investment or ROI. Brands and influencers are becoming more aware and accountable of the results and impact of their campaigns and collaborations. They are using various tools and metrics to measure and optimise their performance, such as reach, engagement, conversions, sales, brand awareness, sentiment analysis, etc. They are also using data and analytics to refine their strategies and improve their outcomes. Increased ROI also builds trust and credibility with the stakeholders.
Social commerce: The success stories of the creator as salesperson
Social commerce is the integration of e-commerce and social media, where social platforms act as both a marketplace and a community. It also enables consumers to interact with sellers and other buyers, and to share their opinions and experiences. Social commerce success stories like Jasleen Kaur of “Looking like a wow” fame are proof that creators can also serve as great salespersons, and can shine in hyperlocal livestreaming activations. They can use their influence, charisma and expertise to showcase and sell their products and services, and to create a loyal and satisfied customer base.
Global content: The cross-cultural exchange of creators
Global content creators coming to India to create content shows that social media and influencer networks do not operate as independent bubbles anymore. They are becoming more interconnected and diverse, as they cross geographical and cultural boundaries. Case in point: IShowSpeed visiting India as part of his IRL (in-real-life) streaming adventure was met with enthusiasm and positivity from not just his own fan base but social media users across India as well. India’s diverse cultural identity serves as a playground for international creators to come and explore, create content and expand their audience across geographies. This can be considered a win for the tourism industry as well, as it showcases the beauty and richness of India’s culture and heritage to the world.
As the digital and influencer marketing landscape continues to evolve in 2024, it’s also exciting to wonder what opportunities the year has in store. Will AI-generated content become more prevalent and convincing? Will affiliate marketing become more lucrative and transparent? Will short-form content continue to dominate the social media landscape? Will YouTube see a more significant investment from brands and influencers?
We might find the answers soon enough.
Ramya Ramachandran is the founder and CEO of Whoppl – a content to commerce company.
Views expressed are personal.