The Impact of Influencer Marketing in a Fragmented Marketing Landscape

As marketers, our primary objective is to offer customized experiences that effectively address the needs of consumers, thereby boosting brand trust and revenue. Performance marketing emerged as a valuable tool for gaining visibility and reach in the short term and boosting revenue. However, with the increasing focus on consumer privacy, with regulations such as GDPR (General Data Protection Regulation) and Canada’s Bill C18, the marketing landscape has grown fragmented. Additionally, the advent of generative artificial intelligence (AI) introduces a new dimension, set to change the rules of how companies choose to interact with their online audiences.

In 2024, Canada emerged as one of the most connected nations, boasting an impressive internet penetration rate of 94.3 percent among its total population. It translates to approximately 36.74 million internet users in the country. Moreover, 81.9 percent of the total population reported as social media users during the same period. It is important to note that the statistics may not accurately represent the number of unique users, as some people may have accounts on multiple platforms¹.

End of Impulse Buying – Rise of Mindful Consumer

Due to economic downturns and the cost-of-living crisis, consumer buying behaviors have undergone significant shifts. It has heightened the importance for marketers to engage with customers in their increasingly intricate purchase journeys. According to a blog article by Google, 70 percent of shoppers who initially discover a product via social media turn to Google for further research, assessing pricing, and seeking reviews before making a purchase decision.

Traditional SEO strategies aimed at discovery and search are now replaced by social platform searches, as consumers increasingly rely on third-party recommendations from friends, creators, influencers, and online reviews. Today, the shopping experience is far from straightforward, encompassing a mix of moments, such as individuals researching a product days after first encountering it on social media.

More brands are now focused on Influencer marketing than paid advertising, as 75% of Canadian companies have a dedicated budget for influencer marketing now². This shift occurred when paid ads became more expensive and less visible. Hence, in times like these, a medium that can help to engage consumers is Influencer Marketing.

3 Considerations for Influencer Marketing

1. Driving top and middle-funnel consumer behavior
2. Holding broader relevance across a wide range of audiences
3. Generating higher brand visibility and awareness

Do More with Less: 5 Reasons to Include Influencer Marketing in Your Marketing Mix

1. Lower CAC: Acquire customers at a lower acquisition cost (CAC) compared to traditional advertising.
2. Deeper connections: If done right, influencers’ ability to establish personal connections with compelling, trustworthy content makes them indispensable allies in contemporary marketing.
3. Measure both the reach and impact of your campaigns.
4. Optimize brand presence by partnering with Influencers who reflect your brand values.
5. Utilize user-generated content by Influencers to teach brand usage in multiple ways.

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1. https://datareportal.com/reports/digital-2024-canada
2. https://madeinca.ca/influencer-marketing-statistics-canada/
3. Image caption: TopRank marketing