Over the last few years, influencer marketing has expanded from a supplementary promotional expense to a major line item for many digital marketing teams. Brands spend more money on influencer marketing every year, and global ad spend is projected to hit $5-10 billion by 2020.
As influencer marketing becomes an essential part of the marketing mix, brands must decide the best approach to manage this powerful channel within their organization — whether bringing influencer marketing in-house or partnering with an influencer marketing agency.
See our infographic below for in-house vs agency considerations when it comes to 1) Costs, 2) Scalability, 3) Relationships, 4) Client Wins, 5) Trends, 6), Measurement, 7) Legal, 8) Customers, 9) Budgeting, 10) Software/Platforms, and 11) Management.
As influencer marketing becomes an integral part of many marketing organizations, it will likely be approached in one of two ways:
While many companies currently delegate influencer marketing to branding, partnerships, or acquisitions teams, more influencer-specific roles are cropping up to handle influencer efforts exclusively.
With global companies like Nike and Mars leading the charge, more consumer brands are considering whether or not to bring influencer marketing in-house. This includes identifying and maintaining relationships with influencers, creating and executing all campaigns, and owning the optimization internally.
What are the benefits and drawbacks of moving influencer marketing internally?
Despite some brands hiring in-house for influencer marketing roles, many still rely on third parties for their influencer strategy. The reality is, although you know your customers best, agencies know the influencer industry better.
What are the pros and cons of partnering with an agency for influencer marketing?
Even as brands bring their influencer marketing in-house, chances are that most companies will take a hybrid approach.
As the influencer industry continues to skyrocket, many companies will likely increase their in-house support staff while continuing to lean on agencies to help scale up their efforts.