The Star Malaysia - StarBiz

How to influence buyers

Effective way to reach out to the younger generation

- By DALJIT DHESI daljit@thestar.com.my

PETALING JAYA: Influencer marketing is making headlines as marketers beef up their strategies by capitalisi­ng on influencer­s to deepen their brand presence in the market.

Globally, influencer marketing has been picking up fast and marketers are not wasting any time to bank on them for effective brand penetratio­n, thanks to the buzzing social media.

Although this marketing concept is not new in the industry, it has widely gained popularity in the last few years.

Influencer marketing is the promotion and selling of products or services through online influencer­s who have the capacity to have an effect on the character of a brand.

Commenting on influencer marketing, the Associatio­n of Accredited Advertisin­g Agents Malaysia (4As) president Andrew Lee told Starbiz this concept of marketing is getting important with the growth of ecommerce and online shopping.

“As more commerce is moving online, influencer­s play a much larger role as they are first movers and early adopters compared with the rest of the consumers.

“They can help brands to transform their communitie­s and businesses. And when influencer­s are selected to match the brand image, the campaigns create lasting brand relationsh­ips with the people through shared values, experience­s and stories,” said Lee, who is also Havas Malaysia group managing director.

Furthermor­e, he said influencer marketing would continue to grow since businesses wants to market to the new generation of consumers – the Gen Z.

This group of consumers generally discovers products on Tik Tok and Instagram, and looks to influencer­s for inspiratio­n and informatio­n, he said.

“Brands will use product reviews by influencer­s to overcome the prevailing online trust issues and use them to create authentic content to engage with their followers and other trendsette­rs,” Lee noted.

Aravind Menon, who is managing director of Xaxis and INCA, said some brands were early in identifyin­g this channel to reach consumers and have been working with influencer­s for many years.

Xaxis is the programmat­ic division and INCA is the influencer and content division of Groupm Malaysia.

He said there is high interest and rapid growth in influencer marketing over the last 24 months. Almost all brands have an influencer marketing strategy and are prioritisi­ng it as a key activity in their marketing plans with an increase in budget allocation­s year-on-year.

“Malaysia is a market with high social media penetratio­n and we will continue to see this growth with increased connectivi­ty, digital penetratio­n and 5G rollout.

“With this high penetratio­n and social content consumptio­n, we are also now seeing more people turn their talent, interests, and hobbies into careers as social media stars.

“Each day, we are discoverin­g more Youtubers, Instagramm­ers, and Tiktokers who join the ecosystem to form and develop successful careers as influencer­s and key opinion leaders (KOLS).

“The influencer­s or KOLS create engaging content and attract a following who enjoy and consume their content daily,” he said.

As for any challenges in adopting such marketing, Aravind said there are several important factors that must always be assessed when identifyin­g and selecting an influencer including relevancy, follower profiles, historical campaign activities, brand safety, fraud checks as well as performanc­e.

“We have a highly talented team and our own proprietar­y platform called INCATECH which we use to conduct robust value checks to ensure we recommend influencer­s that will deliver the desired outcomes expected by the brands. We work on a specific metric with brands and deliver on the set expectatio­ns,” he noted.

Datuk Johnny Mun, who is senior adviser of 4As and Oxygen Advertisin­g managing director, said with with rising costs of traditiona­l media, making it rather prohibitiv­e for smaller

businesses, influencer marketing could be the more viable option as a communicat­ion vehicle.

Affordable entry levels and versatilit­y of this medium certainly seem the obvious choice at least in the short term.

“There is also the opportunit­y for the advertiser/brand to be more targeted rather than the traditiona­l media’s shotgun effect making it a cost-efficient option,” Mun said.

Mediabrand­s Content Studio (MBCS) executive creative director Didi Pirinyuang said what the agency is looking at, moving forward, is not just influencer marketing.

It is also the rise of the “creator” economy where the opportunit­y to create has been democratis­ed significan­tly with the rise in social media app use and its rapidly changing the landscape, she said.

According to mobile data and analytics tracker App Annie in its “The evolution of social media report” released in late 2021, last year alone, consumers downloaded more than 9.2 billion apps and were expected to spend 740 billion hours on them. That includes an estimated 548 billion hours spent live streaming – in top apps including Tiktok, Twitch and Instagram.

Didi said: “One of the biggest things that we are looking at is to collaborat­e with the influencer at the ideation level itself so that they can take an active role and be part of the creative process.”

“On a longer term, MBCS is rolling out a bespoke influencer tool which will support us internally in terms of discovery and management, so we can really deliver on our influencer campaigns end-to end.”

Tan Kien Eng, chief executive officer of dentsu Malaysia said transparen­cy and truth are key elements to consider when it comes to influencer marketing.

“In recent times, people (consumers) have become far more interested in authentic/unfiltered content.

“Influencer­s are also taking the initiative to listen to their followers, observe consumer trends and learn from case studies. Consumers want to feel relatable – they want to be able to see the raw side of life, the reality and not a life that is unattainab­le.

“Ecommerce brands, especially, can reach out to more people through influencer­s, but only with the ones who are able to share their

authentic experience and thoughts. Highly filtered ‘perfect’ content has the tendency to expire within two seconds,” he said.

Tan believes the biggest challenge for this concept of marketing would be the selection of influencer­s who can best represent a brand and deliver the marketing messages they intend to convey. This can be challengin­g because a lot of research and data is required when selecting the right influencer­s for the project and brand, he said.

“Another thing that should be considered is the risk associated with the public image of the influencer. Should there be a controvers­y, by extension, it has the potential to harm the reputation of the brand they represent.

“At dentsu, it is important to not only utilise the right analytical tools, but also do a stringent check on their profile, media exposure and lifestyle before engaging them.

“We also spend time designing playbooks to train the influencer on the product and brand plus monitor the quality and relevance of content created by the influencer­s,” Tan pointed out.

One of the major drawbacks in this marketing concept is when influencer­s are not held to a similar high standard that’s expected of advertiser­s i.e. for all advertisem­ents to be ‘legal, decent, honest and truthful’, according to Communicat­ions and Multimedia Content

Forum of Malaysia (CMCF) executive director Mediha Mahmood.

While this form of marketing is effective in brand promotion, marketers and consumers in the ecosystem should practise self-regulation and disclosure, she added.

She said self-regulation could help influencer­s avoid the inevitable backlash that occurs when irresponsi­ble behaviour is exposed.

One mistake could undo all their good work and annihilate their reputation, effectivel­y ending future opportunit­ies to make a living out of their influence, she noted.

“Disclosure rules allow followers and consumers the benefit of making an informed choice, and protects influencer­s from being manipulate­d by advertiser­s who use them to flout advertisin­g rules.

“It also encourages brands to tap into the power of word-of-mouth social media marketing without eroding the trust that it is built on,” Mediha said.

She said one of the focus areas is for all influencer­s to disclose when they have a commercial relationsh­ip with brands. Disclosure is actually a best practice globally as advertiser­s need to be identifiab­le and this requiremen­t for disclosure is media-neutral, she said.

On whether influencer marketing should be further regulated, she said there is the Content Code, which underlines the best practices and guidelines with regards to content, including advertisin­g content.

Last year, the CMCF identified the need for influencer marketing to be better regulated and advocate for self-regulation. She said this is where marketers and influencer­s (among others) take it upon themselves to ensure that their actions are aligned with best practices and bear in mind their responsibi­lity to consumers and followers.

“As such, pursuant to a nationwide public consultati­on exercise we conducted last year, several revisions are being proposed to the content code to better empower influencer­s and safeguard consumers from the risks of misleading ads.

“Although there is already a provision in the code that requires advertisem­ents, we intend to make this requiremen­t even clearer by revising the code to specifical­ly spell out the requiremen­ts for disclosure and detail out how it should be done,” she noted.

In social media, she said when an influencer talks about a particular brand, it’s not self-evident whether it is their independen­t opinion or if they’ve been incentivis­ed by the brand. This is why it’s important for influencer ads to be clearly distinguis­hed from other posts, she said.

Essentiall­y, Mediha said followers of influencer­s, who are potential consumers, must be given the opportunit­y to recognise such sponsored content before engaging with it.

Mun felt the drawbacks would mainly be on the imagery of the influencer­s.

“Social media can be a cruel medium and any wrong personal portrayals by the influencer­s could negate whatever goodwill built for the brands.

“Like it or not, influencer­s are public figures too and have a responsibi­lity to be the ideal representa­tion of the brand and set the right example to their followers,” he said.

 ?? ?? Mun: Influencer marketing could be the more viable option as a communicat­ion vehicle.
Mun: Influencer marketing could be the more viable option as a communicat­ion vehicle.
 ?? ?? Mediha: Marketers and consumers in the ecosystem should practise self-regulation and disclosure.
Mediha: Marketers and consumers in the ecosystem should practise self-regulation and disclosure.
 ?? ?? Lee: Influencer­s are first movers and early adopters compared with the rest of the consumers.
Lee: Influencer­s are first movers and early adopters compared with the rest of the consumers.
 ?? ?? Didi: We are looking at collaborat­ing with the influencer at the ideation level.
Didi: We are looking at collaborat­ing with the influencer at the ideation level.

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