The Rise of Influencer Marketing in Malaysia 2020
The Rise of Influencer Marketing in Malaysia
The rise of the internet and social media are making us easier to access information and consume contents online. The rise of influencer marketing is somehow co-related with the launch of Instagram since 2010. With its 1 billion monthly active users, Instagram has become one of the leading social media platforms for influencer marketing follow by Youtube, LinkedIn and Tiktok.
According to Hype-Journal, there was 11,448,000 Instagram user in Malaysia in Jan 2020 which covers 34.7% of the entire population in Malaysia. No matter if you are a primary school student or a 70-year-old grandma, almost everyone has a social media account or an email address.
The Top 12 Most Active Social Media Platform in Malaysia
- Youtube 68%
- Facebook 67%
- Whatsapp 60%
- Instagram 47%
- Facebook Messager 45%
- WeChat 42%
- Google 41%
- Twitter 41%
- LinkedIn 30%
- Pinterest 26%
- LINE 25%
- Tumblr 23%
What is Influencer Marketing?
You may have heard of this term “influencer marketing” or “social media influencer” or “key opinion leader (KOL)” around these days. Influencers marketing is a hybrid of old and new marketing tool which is a form of online marketing.
Influencers marketing involves a brand collaborating with an online influencer to market one of its products or services.
What is an Influencer?
Influencers are unlike a celebrity, they can be anyone. It can be a popular wedding photographer on Instagram, a politician who tweets, a public speaker on LinkedIn, or a teen who always posting byte video on Tiktok.
An influencer is someone who has the power to affect the purchasing decision of others because of his or her authority, knowledge, and position with her or her audiences. These personalities are not merely marketing tools but rather social relationship assets which brands can collaborate to achieve their marketing objectives. Brands love social media influencers because they can create trends and encourage their followers to make a purchase on the product or service they promote.
How Influencers Marketing Will Change In 2020?
Micro-influencers will have a greater impact – Do not underestimate the power of micro-influencers, they may seem small as an impression but they packed the biggest punch. They will likely have more influence than celebrities in 2020.
Influencers activity will extend beyond Instagram – Keep an eye out for influencers marketing on Youtube, Tiktok and prioritize video capabilities.
Influencers regulation will become tighten – By rules, influencers will be segmented as an advertiser hence they carry the responsibilities from the contents they share on their channels.
Employees and customers will become influencers – Businesses should start investing in these group of people who can bring you a significant impact with least cost.
Businesses will invest in long-term relationships but not a one-off campaign – Moving into 2020, brands will tap into a long-term collaboration not only does this save time, energy, and money but it also allows influencers to build trust with their audience.
Categories of Influencers
- Mega Influencers & Celebrities (>1m followers) – They are public figures or celebrities with a vase number of fans base but slightly lower engagement connection, they can be movie stars, sports stars or musician. Only major brands will engage mega influencers because they are costly to engage or collaborate, it can be up to $1 million per post for an international one and this personality is also very picky with whom they partner with. Most of them will have an agent or manager working on their behalf for communication and making a project deal.
- Macro-influencers (100,000 – 1m followers) – Personality that is famous in the local community also known as a “new celebrity” form. They create high-quality content and good engagement and they are more accessible compare to mega influencers.
- Micro-influencers (5,000 – 100,000 followers) – These group of people are mostly an ordinary person and present in almost any sector, including health and fitness, food, fashion, beauty, sport, entrepreneur and more to count. They have a more niche audience with a higher engagement rate and deeper connection with the audience.
- Nano-influencers (1,000 – 5,000 followers) – The newest influencers type to gain recognition. They are mostly regular customers who are passionate and willing to share but have little influence.
Distribution of Influencers by Tiers in Malaysia
Sources from Hype – Journal
Influencers can be categorised into different category based on their interest in generating their social media contents.
- Media / Page
- and etc
Wrong Understanding of Influencers Marketing
- Never think influencers marketing is about finding someone with an audience, giving them money and so they can say a good thing about your product or service.
- Influencers marketing wouldn’t be a quick result but it’s the same kind of slow-and-steady approach as content marketing.
- Simply looking at the followers’ number of the influencers
- Generalizing your approach making use of different influencers, tailor your approach to the specific influencer instead.
How to Make It Right for Influencers Marketing?
One rule of thumb to start with, everyone is equal
What is Engagement Rate?
Engagement is an important metric and a popular KPI of brand awareness. Engagement Rate or ER is a commonly used benchmark of success on Instagram, it determines how many attraction, interest the influencers have gained with the interaction made. High engagement post is more likely appearing on an Instagram feed organically.
Engagement Rate Formula
Average Instagram Engagement Rate by Tiers in Malaysia
Average Interaction per Post by Tiers in Malaysia
Sources: Hype – Journal
Other than engagement rate what else can we measure?
It’s important to continuously monitor and keep track of campaign performance and here are the 5 essentials KPIs for measure:
Top 10 Influencers Worldwide
- Instagram (@instagram) – 342 millions (https://www.instagram.com/instagram/?hl=en)
- Cristiano Ronaldo (@cristiano) – 210 millions (https://www.instagram.com/cristiano/?hl=en)
- Ariana Grande (@arianagrande) – 179 millions (https://www.instagram.com/arianagrande/?hl=en)
- The Rock (@therock) – 177millions (https://www.instagram.com/therock/?hl=en)
- Selena Gomez (@selenagomez) – 172 millions (https://www.instagram.com/selenagomez/?hl=en)
- Kylie Jenner (@kyliejenner) – 168 millions (https://www.instagram.com/kyliejenner/?hl=en)
- Kim Kardashian West (@kimkardashian) – 164 millions (https://www.instagram.com/kimkardashian/?hl=en)
- Leo Messi (@leomessi) – 146 millions (https://www.instagram.com/leomessi/?hl=en)
- Beyonce (@beyonce) – 144 millions (https://www.instagram.com/beyonce/?hl=en)
- ene10ta Erre (@neymarjr) – 136 millions (https://www.instagram.com/neymarjr/)
How to Get Started With Influencers Marketing
Yes, anyone or any business can definitely try to reach out to favour influencers directly. However, with the vast amount of influencers around Malaysia or all over other countries and it can be very challenging to handle with people. Otherwise, most businesses or brands will engage with an influencers marketing agency to help in terms of identifying the right influencers for every marketing campaign, negotiating collaboration rate, strategising ideas and mechanics, reporting and measuring results.
Working with the right influencers and a well-planned campaign can have a multitude of great effects on your brands business. If you are interested to discuss more influencers marketing campaign, please feel free to drop us an email at email@example.com or visit us at HERE.