LTK, the creator-guided shopping platform generating over £3.2 billion globally in annual sales for brands, launches new research showing two-thirds of brand marketers collaborating with influencers see increased sales as a result.
The research of senior decision makers at brands in the UK shows 38% leverage influencers to inform product decisions, and 31% have seen influencers improve their brand sentiment.
Leading brands such as Elemis, Karen Millen, and Abercrombie & Fitch have experienced growth of sales and brand salience as a result of continued investments in LTK Creators.
LTK, the creator-guided shopping platform and global influencer marketing leader, today launches new research, commissioned from YouGov, which has found that over half (54%) of UK businesses currently investing in influencer marketing have increased their budgets this year, despite economic uncertainty and cuts to their other marketing budgets, after seeing positive business impact from their influencer marketing programmes.
YouGov surveyed marketing decision-makers across a wide section of the retail industry, revealing the state of influencer marketing in the UK – through their attitudes, experiences and challenges.
Marketing budgets are under scrutiny, with marketers reporting that nearly a quarter (24%) of their budget is being cut. However, investment in influencer marketing is showing resilience, with brands experiencing value in how it improves brand awareness (69%), boosts online traffic and clicks (62%), and increases reach and engagement across social channels (46%).
“The positive results revealed in this study come as no surprise. LTK’s 12 years working with brands and supporting creators’ businesses has shown time and again how data-led creator campaigns can deliver across the funnel an array of metrics and contribute to business growth and development,” said Robin Ward, Head of Sales at LTK Europe. “Our focus is on connecting brands with creators to reach their customers in authentic ways through the power of creator guided shopping.”
Going beyond brand and channel performance, nearly two-thirds of marketers (62%) have seen influencer marketing directly drive sales growth.
Global retailer Abercrombie & Fitch has seen record campaign sales with LTK growing 56% year-on-year thanks to increased, always-on investment in influencer campaigns through LTK as a way for the brand to grow beyond brand awareness. Hanne Fiksdal, Senior Marketing Manager, Abercrombie & Fitch, says: “Partnering with LTK allows us to work closely with creators that drive additional engagement and awareness for our brand. This relationship helps us to reach our campaign objectives while also increasing the opportunities our customers have to shop with us through LTK Creators.”
Investment priorities for the next 12 months
For those brands investing in influencer marketing, their areas of focus for expanding activity over the next 12 months includes increasing video content by creators (54%), more diverse casting (46%) and further investment in micro-influencers (31%).
According to a recent LTK study, two-thirds of consumers prefer video content over still images on social media, and 73% of Gen Z watch creator videos. And with video seeing the strongest sales lift year over year – driving 3X the sales growth over still images on the LTK platform – brand investment in short-form video campaigns with LTK Creators are up by five times year-on-year.
Marketers are also committing to a shift towards always-on partnerships (38%) with influencers, moving away from one-off campaigns. LTK has seen its brand partners such as Elemis, move to an always-on, full-funnel strategy, which boosted revenue by nearly a third, in just a few months.
The importance of performance data and evidencing results
The research also reveals some of the barriers that marketers not currently investing in influencers say are holding them back.
Nearly half of those not currently investing say they need more awareness of its value, and a fifth of senior marketing decision-makers are unsure of how to measure influencer marketing activity, highlighting the importance of accessing performance data and sharing measurability to optimise creator campaigns and demonstrate influencer marketing success.
High street clothing brand Karen Millen has made use of LTK’s real-time tracking and sales reporting, as part of one of their recent campaigns, helping to increase sales by +114% MoM. April Roberts, Senior Performance Marketing Manager at Boohoo Group, says: “Partnering with LTK highlights the significance of creator commerce as we work together, alongside their high performing creators, to increase brand awareness and sales. Measurement is a cornerstone of all our campaign success, allowing us to see multiple sides of value when it comes to influencer marketing and reporting on its wider impact on our business aims.”
Influencer marketing success is having broader contributions on the performance of other marketing channels. LTK’s research found that the top uses for influencers beyond social media are through inviting them to amplify events (46%), video advertising (38%), and in-store marketing and activations (31%).
Beyond sales and marketing channel performance, investment in influencer marketing is also driving brand growth and business development, with marketers saying it is informing product decisions (38%) and improving brand sentiment (31%).
