Who Are Nano Influencers And How Do They Help Generate Sales?

You’ve probably heard of influencers. But do you truly know how they can help you gain an edge over your competitors?

Influencers have been dominating the social space globally and will continue to do so. In fact, the industry is expected to be worth $13.8 billion in 2021 – a huge increase from just $1.7 billion in 2016. But what exactly is influencer marketing? Influencer marketing is a type of online marketing, whereby brands collaborate with influencers to reach their marketing objectives.

Influencers can be categorised into different tiers depending on their follower count. There are 4 main types – nano, micro, macro, and mega. But the mega tier can be further broken down into traditional influencers (e.g. Xiaxue), digital stars (e.g. NOC), and celebrities (e.g. Zoe Tay).

Focusing on the lesser-known of the lot, nano influencers are everyday people with at least 200 followers on social media. They enjoy sharing about different topics from their interests to the latest deals in town. Read on to find out more about nano influencers – the dark horse in the influencer marketing scene.

Benefits of nano influencers

High engagement rates

Nano influencers are second to none in terms of engagement rates. As proven by a nano-micro campaign we ran for Kellogg’s, the average ER of nanos (15%) outshined that of the micros (10%) despite promoting the same product. Engagement refers to interactions (i.e. likes, comments, shares, and saves). Good engagement signifies that your audience resonates with your content or message.

According to our insights, influencers with 5K and below followers receive engagement rates averaging 7% to 10%, unlike traditional influencers who generally rake in about 3.5%. It is easier for nanos to build rapport with each follower since they have the least followers. Think about it: between a well-known influencer and your friend, who is more likely to react to your posts? 

Content shared by everyday people is typically organic as well. All these contribute to a higher ER and translate to greater post visibility, as it signals to Instagram’s algorithm that the posts are interesting, and should be shown more frequently.

Specialised content and audience

Most large-scale influencers have broad niches (e.g. lifestyle) so that there is more variety for content creation (e.g. beauty and fitness). They, therefore, attract audiences with vastly different interests and demographics. 

Nanos on the other hand, usually create more targeted content (e.g. local snacks and delicacies) which they are genuinely passionate about. Likewise, their followers mostly share the same interests as them. This maximises the likeability of your brand/product. 

Having specialised in a topic they enjoy, nanos have a certain level of knowledge to help you educate their followers on your product, and generate sales. Take @nomz_beauty (nano) and @nsybrenda (micro) for example. Both promoted the same product but the former’s review is more detailed, and the comments received are more product-relevant.

Trustworthy

Online reviews have more weight than ads put out by brands, as revealed by a survey that consumers find user-generated content 3 times more authentic than that of brands. 

But not all influencers are created equal. When it comes to authenticity, you’re more likely to take the word of everyday people (aka your friends) over a full-fledged influencer. The latter work with brands for a living, making them more inclined to only share the positive aspects. Nanos are not as driven by monetary benefits and therefore have no reason to refrain from sharing their honest thoughts – be it positive or negative. The same survey found that most consumers (60%) base their purchase decisions on friends and family, rather than celebrities and influencers.

Cost-effective

As professionals, bigger influencers can command a higher pay in exchange for more curated content. However, we found that the budget for one macro influencer easily accommodates 50 nano influencers

In other words, you can essentially get more eyeballs, engagement, and sales cumulatively with nano influencers. Because nanos and their followers have mutual likes, your brand message will reach the intended audience. This provides a good ROI for brands.

How to work with nano influencers effectively

Achieving your brand’s objectives with Partipost

Campaign mechanics are largely determined by the objective you wish to achieve. These include brand awareness, engagement, authentic reviews, traffic to online/physical stores, and sales.

On a day-to-day basis, we help brands run online campaigns involving a mix of nanos and micros (macros too, if needed). Offline campaigns were something we did as well, but these are currently on hold due to the pandemic.

Regular campaigns aforementioned work best for brands with a shorter timeline (min 1 month). However, if you’d like to see the full extent of nano influencers’ capabilities, we recommend giving our new initiative – the Nano Ambassador Program – a shot.

Nano Ambassador Program

Instead of working with many influencers for a one-off campaign, this program requires brands to work with the same few nanos over a longer duration. You might think that using the same faces to reach the same audience will not grow your pool of customers. But as research shows, brand awareness is not equivalent to brand familiarity, or top-of-mind recall.

This concept is similar to the running of retargeting ads to familiarise consumers with your brand/products. After seeing your brand repeatedly over a certain duration, they would be more likely to take action (i.e. find out more information and make a purchase eventually).

How the campaign works: Imagine you’re a makeup brand looking to promote a newly launched lipstick. Upon selection of say, 10 nano influencers, each will create up to 6 posts (combination of IG posts and IG story posts) revolving around the same lipstick over 3 months for instance. 

Content will be created from a lifestyle angle and can be as simple as the following example:

Benefits of the Nano Ambassador Program

Consistency

Frequency is key. Like children who need frequent reminders before finally cleaning their room, consumers require constant exposure to your ads for maximum impact. As studies show, consumers are more receptive to ads they are familiar with. The popular Marketing Rule of 7 also states that at least seven interactions with your brand are needed before a purchase occurs.

How does reusing the same influencers work in your favour? If your friend constantly posts and raves about the same restaurant, there’s a high chance that with subsequent posts, you’d eventually cave and drop by too.

Statistics show that more than 50% of brands use the same group of influencers for different campaigns. For example, Laneige has been working closely with local influencer Peishi (@speishi) for various campaigns. This builds brand association and top-of-mind awareness among her fans.

Genuine consumers and reviews

Consumers value insightful reviews, but one-off campaigns are insufficient to do just that. With this program, everyday people who are known to share genuine reviews will use the products multiple times, and consistently share their experience over time. 

People often follow accounts they have an affinity with. Hence, brands can tap on nanos to connect with like-minded consumers, and potentially convert them to new customers. What’s more, these ambassadors are highly relatable compared to large-scale influencers, making them the perfect spokespeople for your brand.

Authentic engagement

Followers of these nano ambassadors consist mainly of friends and family – people they know. As they are mostly locals, you can be sure that your brand message is reaching the right audience. The engagement and conversation surrounding your brand will be legitimate as well since these are neither bot nor foreign accounts. 

Nanos have also built a tight-knit community with their followers over time, and they treasure every follower more than the other influencers. For the same reason, they are more likely to respond to each comment, building a strong support system.

Instil trust in your brand

Nanos will consistently centre the conversation around your brand. And the fact that they are constantly talking about your brand speaks volumes. This is especially crucial for products with a higher price tag; it shows that your items are worth the investment. 

Say you have been hesitant to buy a costly skincare product. But if your friend whom you trust talks about it all the time, you would have better peace of mind and gradually proceed with the purchase. Besides, an online source states that 72% of consumers trust businesses with positive reviews and testimonials more than those without.

Sales

As established throughout the article, nano ambassadors and their followers often have common interests. Hence, the constant stream of positive reviews act as a pull factor to pique their followers’ interests and eventually, persuade them to try it out too.

To track the ROI, brands should constantly monitor things like website visits, clicks, and sales of the product promoted by these nanos from the start to the end of the program. The data gathered can then be compared with past data.

With the ongoing pandemic, people are spending more time at home. According to Forbes, social media consumption increased from 50% to 70% globally when COVID-19 first hit. If you’re looking for business continuity on a budget, why not give nano influencers a chance?

Do contact us if you require more information on our Nano Ambassador Program. Our team of dedicated professionals is more than happy to assist you!

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