How To Use Influencer Marketing To Grow Your Small Business in 2024

Starting a small business is an exciting journey filled with dreams and hard work. You’ve created a product you believe in, but getting it noticed in a crowded market can be tough. Many small business owners feel the same way, putting in effort into marketing strategies that don’t always work.

People are bombarded with ads and branded content every day. When a customer searches for a product, that moment when someone we admire introduces us to a product or service makes us intrigued. It’s like getting a recommendation from a trusted friend, except this friend has thousands or even millions of followers.

This scenario plays out millions of times every day across the globe. In our hyper-connected world, influencers have become the new word-of-mouth, shaping opinions and driving purchasing decisions. For small businesses, this presents an opportunity to reach new audiences and build authentic connections with potential customers.

Influencer marketing isn’t just for big brands with deep pockets anymore. In our digital marketing course page, you will learn how to acquire and grow your customer base with the right marketing strategies.

What is Influencer Marketing?

Influencer marketing involves partnering with individuals who have a strong following and influence within your target audience. These influencers can be bloggers, social media personalities, industry experts, or even celebrities, depending on your brand and goals.

Influencer marketing works because people trust recommendations from individuals they admire and follow. When an influencer endorses your brand, it creates a sense of authenticity and social proof that can be more effective than traditional advertising.

Matter findings reveal that a significant majority of consumers (69%) place more trust in recommendations from influencers, friends, and family than in information provided directly by a brand.

So when you collaborate with influencers to promote your products or services, you can tap into their established audience and leverage their credibility to drive awareness, engagement, and sales for your small business.

Types of Influencer Marketers

Influencers vary according to the number of followers they have and their niches. However, collaborating with a social influencer who has a huge following is not synonymous with explosive brand awareness.

There are several types of influencer marketers that brands can partner with and they include:

Mega Influencer

These are celebrities, athletes, or public figures with massive followings, often in the millions. These individuals have a broad reach and can generate significant awareness for your brand, but their high price tag and lack of niche focus may not always translate to direct sales or engagement.

When working with mega influencers, consider your goals and budget carefully. While they can provide a significant boost in visibility, their audience may not always be as engaged or targeted as you’d like. Look for mega influencers who have an authentic connection to your brand and whose followers align with your ideal customer profile.

Example of a mega influencer in the marketing field 

Neil Patel

A renowned digital marketing expert known for his expertise in SEO, content marketing, and social media strategies. He has a massive following across various platforms, including his blog and YouTube channel, where he shares valuable insights and tips for marketers.

Gary Vaynerchuk

Often referred to as Gary Vee, he is a serial entrepreneur and social media influencer. Gary is known for his engaging content on platforms like Instagram and LinkedIn, where he shares advice on entrepreneurship, marketing, and personal branding.

Based on popularity and influence 

Cristiano Ronaldo

He is a prominent figure in the world of influencer marketing, particularly in the sports and lifestyle sectors. In 2024, Cristiano Ronaldo was the highest-paid star on Instagram. As one of the most famous athletes globally, he has a massive social media following, with millions of fans on platforms like Instagram, Facebook, and Twitter. This extensive reach makes him a powerful influencer for brands looking to connect with a diverse audience.

Kim Kardashian

While primarily known as a celebrity, Kim Kardashian has leveraged her influence to promote various brands and products. Her massive following on social media makes her a powerful figure in influencer marketing, especially in the beauty and fashion industries.

With over 361 million followers on Instagram, her popularity on social media makes her one of the top mega influencers. She commands a good fee per post if she wants to help you promote your brand to her followers.

Macro Influencer

These influencers have a following that ranges between 100,000 to 1 million followers. They often specialize in specific niches, such as fashion, travel, or fitness, which allows them to engage a more targeted audience compared to mega influencers. Most marketers prefer partnering with macro-influencers, closely followed by micro-influencers based on this report. 

When you collaborate with macro influencers, they can help your small business reach a wider yet relevant audience, driving both awareness and engagement more authentically. Their followers tend to trust their recommendations, making them effective for brand partnerships.

Micro-Influencer

Micro-influencers have between 1,000 and 100,000 followers, and they are often seen as experts in their niches. This group of influencers has built a close-knit community through vlogging on platforms like YouTube, Instagram, and TikTok. Though their following is smaller as compared to macro influencers, brands trust them more to deliver to their audience because they are niche-specific. They are also more affordable as compared to the mega- and macro-influencers.

Nano-Influencer

Nano-influencers have a following of between 1,000 and 10,000. They have been able to build a strong and engaged community through sharing personalized content. Research from HypeAuditor found that Nano-influencers have the highest engagement rate.

With this group, you can target specific demographics at a more affordable rate, though their reach is small. Nano-influencer marketing serves to reach regular people with a brand’s product or service. It’s more effective when your brand aims to reach the grassroots because of its high level of engagement.

Benefits of influencer marketing for small businesses

As the world of online marketing expands, trust has become a major factor in engaging with brands. Taking advantage of the reach and credibility of influencers can bring about a turning point for small businesses.

Let’s take a look at the various ways influencer marketing can help small businesses.

Increase trust and credibility

Influencer marketing helps small businesses build trust and credibility by associating with respected figures in their niche. When an influencer endorses your product, their followers are more likely to view your brand positively, leading to increased confidence and interest in what you offer.

This trust can lead to increased conversion and also help build an organic social media presence, especially in a competitive market.

Reach More Targeted Audience

Collaborating with influencers can help small businesses reach a wider audience beyond their existing customer base. This gives brands opportunities to tap into their followers, gaining exposure to new potential customers who may be genuinely interested in your products or services.

Budget-friendly advertising

Compared with traditional advertising, influencer marketing is within the reach of small businesses, as they are more financially constrained. Some influencers are willing to promote small businesses in exchange for goods and services. They also get to benefit more from this partnership in terms of an increase in brand recognition and sales.

Increased brand awareness

Influencer marketing offers a small business a ready-made audience to promote their products and services. It is a quick way to create brand awareness, increase reach and become recognizable. Furthermore, as their followers engage with your brand, you’ll build a stronger presence in the market and attract new customers.

Community Building

Influencer marketing is not just about promoting products; it’s also about building a community around your brand.  Small businesses can use this opportunity to build a connection with their new audience by sharing their brand story and creating genuine content. This engagement encourages conversations, feedback, and support, helping your small business grow organically as customers become advocates, sharing their positive experiences with others.

Break into a new market

A small business can break into a new market with people who are already interested in their product or service. This new market could also be an audience with a different demography than previously targeted, which results in increased visibility and sales.

How to use influencer marketing for small businesses

Influencer marketing can be a powerful tool for small businesses to expand their brand reach and engage with their target audience. Most small businesses have limited resources so the best approach would be to create a marketing strategy that will help you get the most out of collaborating with an influencer.

Define your goals and target audience

Before you hire the services of an influencer, clearly define your goals and the category of people your products or services are for. Not having a defined audience might affect your influencer strategy effort and performance.

You can categorise your ideal customers based on age, gender, location, interests, social media platforms used, education, income level, device, marital status, occupation, etc. This process is also known as creating a buyer’s persona.

Also, check if your influencer’s audience aligns with your target audience. When you focus on the right audience, you can ensure that your influencer partnerships are more effective, leading to higher engagement and better results for your small business.

Figure out the budget

To partner with an influencer, you need to determine your budget. A significant majority of marketers (over 80%) have a specific budget allocated solely for influencer marketing initiatives

Start by assessing how much you can allocate to this strategy without compromising other areas of your business. Influencer fees can vary widely based on their follower count, engagement rate, and the type of content they create.

So consider whether you want to work with mega, macro, or micro influencers, as each category comes with different costs and benefits. Additionally, think about the value you expect to gain from the partnership, such as increased brand awareness or sales.

All this will help you set a clear budget and make informed decisions to find influencers who align with your financial goals while maximizing your marketing efforts.

Research influencers in your niche

Researching influencers in your niche is like finding the perfect partner for your small business. You want someone who truly gets your brand and resonates with your audience.

Start by researching influencers within your specific niche or industry. Look for individuals who have a strong following, high engagement rates, and a genuine interest in your products or services. Check their content for quality, values, and audience demographics to ensure they align with your brand.

Also, consider factors such as their authenticity, creativity, and ability to create compelling content. When you have a list of influencers you would like to work with, you can now reach out to those you believe would be a good fit and discuss potential collaborations.

Analyze the influencer’s engagement

When evaluating potential influencer partners, it’s crucial to analyze their engagement metrics beyond just their follower count. A high follower count doesn’t necessarily translate to high engagement or influence.

Look for influencers who have a strong connection with their audience, as evidenced by comments, shares, and likes on their posts. Consider the quality of their engagement, too e.g. are their followers actively participating in discussions or simply passively scrolling?

Engagement rate is a better indicator of an influencer’s ability to drive action and influence purchasing decisions. So make sure you select influencers with authentic, engaged followers, as this will increase the likelihood of reaching your target audience and achieving your marketing goals.

Collaborate on Content

Working with an influencer is a fantastic way to create authentic and engaging marketing materials. Start by discussing your brand’s vision and goals with the influencer, this helps them understand how they can bring their unique style and voice to the project.

Next is to determine the type of content to create whether it is a sponsored post, social media campaign, product review, or video you want to create, co-creating the content ensures that it feels genuine and resonates with its audience.

Also, encourage influencers to showcase your products in a way that aligns with their personal brand, making it more relatable. This partnership not only enhances creativity but also allows you to tap into the influencer’s expertise in connecting with their followers.

Ultimately, this collaboration can lead to higher engagement and a more impactful message for your small business.

Track Performance

Tracking the performance of your influencer marketing campaigns is essential for understanding its effectiveness and making informed decisions for future efforts. Start by setting clear goals, such as increasing brand awareness, driving website traffic, or boosting sales.

Use analytics tools to monitor key metrics like engagement rates, click-through rates, and conversions. Also, pay attention to how your audience responds to the content shared by influencers, as this feedback can provide valuable insights.

Additionally, consider using unique discount codes or tracking links to measure direct sales generated from the campaign. By analyzing this data, you can refine your strategy, optimize future collaborations, and ensure that your influencer marketing efforts deliver the best possible results for your small business.

Types of influencer marketing campaigns

Sponsored posts

Sponsored posts are a classic influencer marketing campaign type. In this arrangement, influencers create content featuring your product or service in exchange for compensation and have them share it with their audience. This can be a photo, video, or story, and should include a clear call to action.

The key is to ensure that the content feels authentic and aligns with the influencer’s usual style. When done right, sponsored posts can effectively reach a wider audience, generate buzz around your brand, and encourage followers to engage with your offerings.

Remember to provide clear guidelines while allowing the influencer creative freedom to connect with their audience genuinely.

Product reviews

Product reviews help you to showcase your offerings through the eyes of trusted influencers. In this type of campaign, influencers receive your product and share their honest opinions with their audience. Their authentic feedback can help potential customers make informed decisions, as followers often value the insights of someone they trust.

To maximize impact, choose influencers whose audience aligns with your target market and encourage them to highlight key features and benefits. This approach not only builds credibility for your brand but also fosters a genuine connection between the influencer and their followers, driving engagement and interest in your products.

Giveaways

Giveaways are an exciting way to engage audiences and promote your brand. In this type of campaign, influencers host a contest where their followers can win your product or service. This not only creates buzz but also encourages participation and sharing among their audience.

To make the giveaway effective, clearly outline the entry requirements, such as following your brand, liking the post, or tagging friends. This strategy helps increase your brand’s visibility and reach while building a sense of community. Plus, it’s a fun way to introduce new customers to your offerings.

Brand Ambassadorships

This involves forming long-term partnerships with influencers who consistently promote your products or services. Unlike one-off campaigns, these relationships allow influencers to deeply understand your brand and values, creating authentic and relatable content over time.

Ambassadors often share their personal experiences with your products, which helps build trust and loyalty among their followers. This ongoing collaboration not only enhances brand visibility but also fosters a sense of community.

Affiliate Marketing

This is a performance-based strategy where influencers promote your products using unique discount codes or tracking links. When their followers purchase through these links, the influencer earns a commission.

This approach benefits both parties: influencers can monetize their content while brands gain exposure to new audiences. It’s essential to choose influencers whose values align with your brand to ensure authentic promotion.

Influencer Marketing Tips for Small Businesses

Influencer marketing can be a powerful tool for small businesses looking to expand their reach and connect with potential customers.

Below are some practical tips to effectively utilize influencer marketing:

Choose Authentic Influencer Partnerships

Authenticity is key when selecting influencers to partner with. Look for individuals whose values and content align with your brand. Analyze their previous collaborations to ensure they’ve worked with similar brands or have demonstrated an interest in your industry.

Focus on Micro and Nano Influencers

While mega influencers have huge followings, micro and nano influencers (1K-100K followers) can be highly effective for small businesses. These influencers often have dedicated, engaged audiences that trust their recommendations.

Provide Clear Campaign Briefs

Give influencers a thorough understanding of your expectations by providing a clear campaign brief. Outline your goals, target audience, key messages, and any specific requirements like hashtags or branded content. This ensures the content they create aligns with your brand objectives.

User-Generated Content

Encourage influencers to share user-generated content featuring your products. This authentic content from real customers helps build trust and social proof. Repost and engage with this content to foster a sense of community and show your appreciation for your brand advocates.

Conclusion

Using influencer marketing in 2024 gives small businesses a great way to grow and connect with their target audiences. When you work with the right influencers, you can benefit from their trust and credibility, making your brand more relatable and attractive.

This approach not only helps more people learn about your brand but also increases engagement and sales, all at a much lower cost than traditional advertising.

I am going to stop here, if you want more innovative ways to get more customers online, do check out our digital marketing course page, to know how you can acquire the right marketing strategies to grow your customer base.

FAQs

How to Reach Out to Influencers as a Small Business?

To reach out to influencers as a small business, start by identifying creators who align with your brand values and target audience. Look for influencers on social media platforms or blogs that match your business’s aesthetics.

Once you find potential influencers, check their bios for contact information. Craft a personalized message explaining why you admire their work and how a partnership could be mutually beneficial. Be clear about what you’re offering, whether it’s payment, free products, or other incentives. 

Can a Local Business Use Influencer Marketing?

Yes, local businesses can use influencer marketing. In fact, it can be particularly effective for them. Partnering with local influencers helps businesses build brand awareness within their communities and reach potential customers who are nearby. This approach not only boosts visibility but can also enhance local SEO, helping your business rank higher in local search results.

How Many Followers Do You Need for Influencer Marketing?

There is no strict follower count required for influencer marketing. Influencers can be categorized into different tiers based on their follower counts: nano-influencers (1,000-10,000), micro-influencers (10,000-50,000), mid-tier influencers (50,000-500,000), macro-influencers (500,000-1 million), and mega-influencers (1 million+).

Smaller influencers, like nano and micro-influencers, often have highly engaged audiences and can be very effective for small businesses. Therefore, even influencers with a few thousand followers can have a significant impact.

How Much Does It Cost to Use Influencers?

The cost of using influencers varies widely based on their follower count, engagement rates, and the type of collaboration. Smaller influencers, such as nano and micro-influencers, may charge less or even accept free products in exchange for promotion. In contrast, larger influencers typically charge more for their services. On average, brands can expect to earn around $5 to $6 for every dollar spent on influencer marketing, making it a cost-effective strategy for small businesses when done right

Additional Resources

What is Influencer Marketing: The Ultimate Guide in 2024

Social Media Influencer Marketing: What it is and How to Make Money From it

11 Effective Ways to Use Social Media to Promote Your Content

10 Types of Media Marketing and How to Utilize Them Effectively