The perceived clash between influencer marketing and paid ads is the digital marketing world’s iteration of the age-old story of the old ways vs. the new ways. Paid ads have been one of the most popular and foundational marketing strategies for businesses seeking to build their online brand since Google introduced Google Ads in October 2000.
However, with the advent of social media and the increased prominence of social media influencers in society, influencer marketing has emerged as a new way for brands to increase awareness of and engagement with their products and services. While some companies cling to the old ways, many others are open-minded about the ways influencer marketing can change their marketing impact for the better.
This begs the question: which is better, influencer marketing or paid ads? What are the pros and cons that separate these marketing strategies from each other? At the end of the day, which has the most benefits?
One of paid ads’ benefits is that they are familiar. Paid ads have been a tried-and-true advertising method for several decades now, and many companies can cite the positive results they have experienced after sending out paid ads. The process of sending out paid ads is relatively simple and easy to understand. Google Ads uses a system similar to an auction, in which users set a budget for ads, and the higher their budget is, the more likely it will be chosen to run on a specific keyword or a specified audience demographic. Paid ads also allow you to see the results of your ads right away, so you can see the clicks, conversions, and impressions that your ads have made.
Despite this, there are several things that separate influencer marketing campaigns from paid ads. Firstly, it is important to note that influencer marketing is a more creative, high-effort endeavor that can result in entertaining, engaging content that promotes your brand. With the help of a YouTube, TikTok, or a Instagram influencer marketing agency such as HireInfluence, influencers can create high-impact, memorable content that deeply resonates with their target audiences and stays with them longer than the brief impression that a paid ad makes.
Secondly, influencer marketing is perceived as a more trustworthy style of advertising than paid ads. Research has shown that in this day and age, people are less likely to trust direct advertising from companies, but they are much more likely to trust recommendations from their favorite social media influencers, whom they feel they have a kinship with. Therefore, for the greatest return on investment, it is important to foster that connection between influencers and a specific brand.
Lastly, influencers are often seen as experts or thought leaders in fields such as beauty, technology, or lifestyle, which appeal to certain demographics. For this reason, choosing the right influencer for a brand partnership can lead to greater clout and influence with a brand’s desired target audience. Influencer marketing can be an effective strategy for audience targeting and segmentation so that a brand’s products and services can reach the people who need or desire them the most. This can be an easier way to reach targeted audiences instead of setting parameters or categories using paid ads and hoping for the best.
As of right now, both of these types of marketing play a crucial role in the online marketing ecosystem. While influencer marketing may offer greater ROI, pursuing a hybrid strategy that utilizes both of these marketing strategies might be worth looking into if a company has the money for it. In any case, the field of digital marketing will continue to change, so companies must learn to adapt and use the benefits of technology to their advantage.
