How to predict ROI on an influencer

Nobody has the recipe on how to find the influencer that will generate the highest ROI. It depends on so many factors that you cannot guarantee results. So don’t get fooled out there :) But there are parameters that we know can higher our chances to get positive ROI. And it’s something you as a brand can affect.

In the end it’s all about finding your target group. It’s less relevant to find “women” within a specific age span because all women like and buy different products. It’s more relevant to look at what other brands your audience LOVES. If they love and buy brand A,B and C then you should find influencers that love those brands.

Get an understanding of what other brands your customer loves. Think like this, all people on Instagram that mention your brand, what other brands do they mutually love? And do it per market.

Let see if we can help Verge Girl to find similar audiences through the method above. I know their home market is Australia so let’s focus on that. Here’s the results:

What if you knew how many of your followers on Instagram follow a profile you evaluate? If we assume that your followers are also your target group then you want to know who they follow to find similar people. In my example below I look at how many shared followers a brand has with a specific profile. A strong overlap could indicate that you have similar followers. That’s good! A lower number could be that it’s not a match.

But if you enter a new market, the number will be lower and that doesn’t mean it’s not a match. It could simply be that you don’t have brand awareness in that market. So brand awareness is also a key to get good ROI. When was the last time you bought from a brand you’ve never heard of?

To summarize this is about finding your audience through the right type of influencers. And there are pretty simple ways to do that as you can see now :) No one can predict with AI and all the buzzwords…get a great understanding of your audience and based on that data find new potential customers.

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