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Emphasized Text

One of the most important metrics for any online store is the conversion rate.
 It measures how many visitors to your site make a purchase. The higher this
 number, the better. There are plenty of tools that can measure this for you,
 such as
 <a
 href="https://marketingplatform.google.com/about/analytics/"
 rel="noopener noreferrer"
 target="_blank"
 >Google Analytics</a
 >.

Text Wrap

By focusing on every website visitor to your site, you can create experiences
 that can drive your rate higher. If you want more people converting on your
 site, you need to think about the entire customer journey, optimising every
 touch point and page so you can drive more sales.

Here’s how you can increase your conversion rate

<h2>1. Use clear CTAs</h2>

 Think of your call-to-action (CTA) buttons as ushers, helping customers
 quickly and easily find their way through your product pages to the checkout.
 They need to be clear and accessible and tell customers what to do next. Don’t
 hide them in copy or have them sitting at the bottom of your page where they
 can be missed. The sooner they appear on page, the better.


 Use words that are action oriented, like: Add to Cart, Shop Now, Earn More, or Get the Look. And make sure you position them where you want customers to take the action. 


 If your CTA is linked to an offer, don’t forget to add a sense of urgency by adding reminders like ‘only 3 items left’, ‘limited time’ or include a count-down clock showing when the offer expires.

<h2>2. Promote fortnightly payments</h2>

 Buy Now, Pay Later (BNPL) providers like Clearpay are hugely popular because they allow customers to get what they need now and then pay for it in four interest-free instalments. Not only do customers see them as a convenient and cost-effective way to make purchases, but they also help them budget better.


 Letting customers know you offer BNPL can be a real drawcard. A <a href="https://afterpay-corporate.yourcreative.com.au/wp-content/uploads/2022/01/Clearpay-Economic-Impact-Report-2021-FINAL-VERSION.pdf" target="_blank">recent study</a> revealed that Clearpay merchants reported that basket sizes are up to 50% higher in value than before Clearpay.1


 If you offer a BNPL option, you should display the fortnightly pricing/finance options on your product description. For customers who may not be able to pay in full right now, it lets them know they can get the item now but spread their payments over time. This can help reduce cart abandonment and increase conversions.

<h2>3. Show customer reviews</h2>

 Reading customer reviews has become commonplace for anyone making online
 purchases. Shoppers want to read about experiences from other people like
 them. This social proof helps them feel reassured before committing to their
 purchase and carries a much higher value than a company’s own description or
 advertising.


 Most consumers read reviews and the
 <a
 href="https://websitebuilder.org/blog/online-review-statistics/"
 target="_blank"
 >majority</a
 >2 consider them
 an essential step on their path to purchase. A study by Trustpilot revealed
 that
 <a
 href="https://marketing.trustpilot.com/the-psychology-behind-trust-signals-demandgen-us-2"
 target="_blank"
 >86% of consumers</a
 >3 are more
 likely to buy from brands that have a positive star rating or review on their
 home page.


 Apart from sharing information about experiences, they also act as an
 important tool for building trust between your brand and your customers.
 <a
 href="https://www.brightlocal.com/research/local-consumer-review-survey/"
 target="_blank"
 >79%</a
 >4 of consumers
 say they trusted online reviews as much as the recommendations they get from
 family and friends.


 While showing reviews is vitally important for your conversion rates, just as
 important is asking your customers to review their experience. So, make sure
 you create a review process that’s simple to do and try and capture their
 thoughts as close to their moment of purchase while it’s fresh in their mind.

<h2>4. Create time-sensitive offers</h2>


 Time-sensitive offers can be effective at getting customers to complete their purchase, because they let them take advantage of a special offer, which could help them save money.


 The great thing about these types of offers is that they can work for new and existing customers. First-time buyers are drawn in by the offer, which could appear as a pop-up when they land on their site. For example, you might display a discount coupon code that they can apply at the checkout. 


 For existing customers, you can use your email to send them special offers that they can redeem online or in-store. And if you’re looking to clear old stock or build interest in a new product, these offers can work a treat.

<h2>5. Offer a first purchase discount/offer</h2>

 One way to encourage new visitors to checkout with you is by offering them a
 special offer when they land on your site. This delivers two main benefits.


 Firstly, it helps you improve your conversion rate because new visitors are
 more likely to purchase from you rather than just look around then move on.
 Secondly, it helps convert prospects into customers, which can lead to repeat
 purchases. Research shows that increasing customer retention rates by 5%
 increases profits by
 <a
 href="https://hbswk.hbs.edu/archive/the-economics-of-e-loyalty"
 target="_blank"
 >25% to 95%</a
 >.5


 Customers often return to stores they know and have purchased from before. By
 offering an initial discount, you give them a reason to checkout with you
 rather than a competitor they may have shopped at before.


 Increasing your conversion rate can be one of the most powerful ways to grow
 your business. Keeping the customer front and centre of everything you do will
 help ensure you’re optimising their experience, which ultimately leads to more
 sales.

Source: 
 <ol>
 <li>Economic Impact of Clearpay in the UK, Accenture, December 2021.</li>
 <li>26 Mind-Boggling Online Review Statistics & Facts for 2022, Website Builder, 18 December 2021.</li>
 <li>The Psychology Behind Trust Signals: Why and How Social Proof Influences Consumers in 2020, Trust Pilot.</li>
 <li>Local Consumer Review Survey 2022, BrightLocal, 26 January 2022.</li>
 <li>The Economics of E-Loyalty, Harvard Business School, 7 October 2000.</li>
 </ol>

Button

All references to any registered trademarks are the property of their respective owners. Clearpay does not endorse or recommend any one particular supplier and the information provided is for educational purposes only.

If you want more people converting on your site, you need to think about the entire customer journey, optimising every touch point and page so you can drive more sales.

5 ways you can increase conversion rates

5 ways you can increase conversion rates UK

Want to reach more customers? 
Find out smart ways to get discovered online with these expert tips.

Every business wants to get more traffic to their website. After all, more traffic equals more potential customers – and more sales.&nbsp;The secret to getting discovered online lies in smart search engine optimisation, known as SEO. (You can read our beginner’s guide to SEO here.) [Need to add link here] SEO plays a critical role in reaching new audiences and driving traffic to your website or physical store.Here are 24 ways to improve SEO rankings for retailers:

<h2>SEO keyword research tips</h2>

<h3>1. Research competitor keywords</h3>Creating a list of keywords to target is a fundamental part of any SEO strategy. A more advanced tactic? Find out which keywords your brand’s competitors are ranking for, by using a tool like<a href="https://www.spyfu.com/" rel="noopener noreferrer" target="_blank">&nbsp;SpyFu.com</a>. Although you should avoid blindly using the same keywords as them (as they won’t guarantee you will rank higher), researching competitor keywords will likely offer valuable insights into how to improve your own ranking.&nbsp;

<h3>2. Strategically place your keywords</h3>Using keywords in content is a balancing act. Each keyword should appear frequently enough for your content to rank. However, it’s important to avoid ‘keyword stuffing’, as users dislike it and Google may penalise you for it. Instead, aim to use your main keyword within the first couple of sentences of your content. Then use that keyword, and variations of it, sporadically throughout the rest of your pages.

<h3>3. Consider topic clusters&nbsp;</h3>Google’s search algorithm is sophisticated, so targeting keywords may not be enough to achieve a coveted spot in the first page of search results. That’s where topic clusters come in.Topic clusters are essentially secondary keywords and phrases that relate to your original keywords. To identify topic clusters, type your target keywords into Google with a ‘keyword modifier’ (or additional word/s). For example, if you sell watches, you might type in ‘buy watch’.&nbsp;When you search ‘buy watch’ on Google, there will be a section titled ‘People Also Ask’ that will list variations of that keyword, such as ‘Which is the best website to buy watches?’, ‘Where can you buy designer watches?’, and ‘Where can I sell my watches in Australia?’, etc.The next step is to write short articles based on each of these questions and internally link those articles to your existing ‘pillar’ pages that focus on your original keywords (like ‘watch’).&nbsp;

<h3>4. Take advantage of online business directories</h3>Want to increase the number of all-important backlinks to your site? Not only are online business directories a great way to list your business so people can find it, they are also a clever way to find relevant businesses that you can approach for potential backlinks.Online directories include everything from the online Yellow Pages to Yelp, Yahoo Local&nbsp;to Afterpay’s Store Directory and your industry’s chamber of commerce website or peak body association.&nbsp;

<h3>5. Offer editorial content&nbsp;</h3>There’s little point in securing links from disreputable websites that don’t attract traffic. As a retailer, try to aim for links from credible sources that are also relevant to your content. After all, the ultimate goal is for people to click on the links and visit your website. Research and brainstorm a list of websites and publications that your target audience visits, and pitch the editors of those publications editorial content in exchange for a link back to your website.&nbsp;(And don’t be afraid to think laterally - if you’re a jeweller, you might target blogs about jewellery or fashion, as well as those about art or mining.) To pitch to an editor, email them directly.While it may be unlikely to expect coverage in major national news outlets, many smaller, industry-specific websites accept opinion pieces and submissions. Alternatively, you can sign up to a service like<a href="https://www.sourcebottle.com/" rel="noopener noreferrer" target="_blank">&nbsp;Source Bottle</a>&nbsp;in Australia or<a href="https://www.helpareporter.com/" rel="noopener noreferrer" target="_blank">&nbsp;Help A Reporter</a>&nbsp;in the US or<a href="https://www.responsesource.com/pr/journalistenquiry/" rel="noopener noreferrer" target="_blank">&nbsp;Response Source</a>&nbsp;in the UK, which are online notice boards where journalists look for experts, case studies or sources. When a journalist posts a relevant callout, you can put yourself forward as an expert or case study - and they will link to your business in the article.

<h3>6. Ask suppliers for a backlink&nbsp;</h3>Collaborations with other websites are a great way to obtain backlinks and overall improve SEO ranking. But reaching out to numerous websites can be time-consuming and backlinks aren’t necessarily guaranteed. Instead, consider asking suppliers, with whom you have an existing relationship, to link to your website.

<h3>7. Research your competitors’ backlinks</h3>Just as you can use competitors’ keywords to get a sense of which keywords you should be targeting, you can also search for the backlinks obtained by your competitors. This will help you identify relevant (or the same) sources to approach for your own backlinks. You can check your competitors’ URLs using<a href="https://ahrefs.com/backlink-checker" rel="noopener noreferrer" target="_blank">&nbsp;Ahrefs Free Backlink Checker</a>.

<h3>8. Fix broken links on your website</h3>Over time, links can become broken as websites you are linking to change or delete their old content. An abundance of broken links could result in your site being penalised by Google, so ​​it’s important to remove them whenever you can. This can be achieved by creating a 301 redirect to another related page, or you can contact the site owner of your backlink for assistance. Want to check whether your website has any broken links?<a href="https://brokenlinkcheck.com/" rel="noopener noreferrer" target="_blank">&nbsp;Brokenlinkcheck.com</a>&nbsp;is a great free tool for this.

<h3>9. Use internal links</h3>Don’t just look to link your content to other websites. Link pages together within your own site to create a more structured online experience. Not only does a highly saturated internal linking structure make it easier for Google to crawl through your website, it also makes it easier for your customers to navigate your site and find more information. A good example of internal linking to look at is Wikipedia. Visit a Wikipedia page and notice how they link keywords within the content, to link to other relevant pieces of content on their website. So, if you have a blog post talking about a product that you stock, add an internal link to the product page.

<h2>In-depth content marketing tips to improve SEO ranking</h2>

<h3>10. Create click-worthy, shareable content</h3>Don’t forget that your goal is to convert clicks into sales. One way to do this is to create engaging content that inspires, informs or entertains – and ultimately creates a long-lasting relationship with customers.

Creating engaging content can:<ul><li>Build trust and credibility</li><li>Create a sense of relevance by offering fresh content&nbsp;</li><li>Build buzz or desirability around your product&nbsp;</li><li>Create a relationship with your customer (or potential customer)&nbsp;</li></ul>Great content will also reduce your bounce rate (the speed at which users land on your site and then ‘bounce’ back out) and help you acquire new customers if the content is so good that it’s shared.When coming up with ideas for content, think about your brand or product’s USP (unique selling proposition), your own expertise, questions your customers frequently ask, and any upcoming key events or anniversaries you can create content around.For more tips, watch our&nbsp;<a href="https://www.afterpay.com/en-AU/business/articles/content-marketing/content-marketing-writing-tips " rel="noopener noreferrer" target="_blank">introduction video to content marketing.</a>

<h3>11. Avoid duplicate content</h3>Don’t copy from elsewhere on the internet. Google can detect duplicate content and it will negatively impact your search rankings. It can also be a deterrent for your customers, as it demonstrates a lack of professionalism or legitimacy. It might seem time-consuming, but creating unique content is a practice that will pay off in the long-term.

<h3>12. Aim for longer content</h3>Longer content tends to result in higher user engagement, and other websites linking to it as ‘resource level quality content’. This often results in a higher chance to improve SEO ranking and therefore receive better traffic. But this doesn’t mean that every product description should be the length of an entire ebook. The goal is to write long content when relevant and possible, but to structure it into digestible portions.To get a sense of how long your content should be, review the top 10 search results for your target keyword, and then run their URLs in<a href="https://www.seoreviewtools.com/bulk-web-page-word-count-checker/" rel="noopener noreferrer" target="_blank">&nbsp;SEO Review Tools’ bulk web page word count checker</a>.&nbsp;&nbsp;

<h3>13. Mix up your media&nbsp;</h3>Don’t just stop at text. High-quality images, sounds and videos create an engaging experience that customers are more likely to return to – and recommend to other people. This is also a great way to sell your products, as you can show them off in greater detail to your audience. Interesting media also means people spend more time on your pages, helping signal to Google that they are worth ranking.&nbsp;

<h3>14. Avoid content decay by updating old information</h3>Over a long period of time, content can decrease in organic traffic due to increased SEO competition from other websites or even changes in Google’s algorithm. Not only will updating this content reduce the issue, but it’s often easier to update existing content compared to starting from scratch.

<h3>15. Optimise your meta title and description&nbsp;</h3>Your meta title and description relate to how your website will be shown on Google. To that end, you want them to be short and to the point – containing your keywords, while telling your audience in as few words as possible why they should click on this content.To make sure that your meta title and description are the right length, visit a SERP generator, such as<a href="https://serpsim.com/" rel="noopener noreferrer" target="_blank">&nbsp;Serpism</a>, to preview how yours will look in search results.

<h2>User experience</h2>

<h3>16. Improve your page-loading speed</h3>There are few things more annoying, or more likely to deter customers, than a website that takes too long to load. Page-loading speeds are an important part of your customer experience – affecting bounce rates and conversions rates – and should be prioritised (whether you’re trying to improve your ranking in Google or not). You can use a tool like<a href="https://tools.pingdom.com/" rel="noopener noreferrer" target="_blank">&nbsp;Pingdom Website Speed Test</a>&nbsp;to see what element on your site is slowing it down. Often large images (+200KB) are the source of a slow-loading page. Try a tool like<a href="https://tinypng.com/" rel="noopener noreferrer" target="_blank">&nbsp;tinypng.com</a>&nbsp;to compress images prior to loading them onto your website.&nbsp;

<h3>17. Select a CMS that works for customers – and you</h3>There’s no doubt that user experience is vital when it comes to a successful online store –and ideally all products should be no more than three clicks from the home page. However, it’s also important that your website is easy for&nbsp;you&nbsp;to use.

If you’re using a templated CMS, ensure that it:&nbsp;<ul><li>Offers the functionalities you need (e-commerce, contact forms, newsletter sign-ups, etc)&nbsp;</li><li>Is easy to update with content&nbsp;</li><li>Is simple to customise with SEO information like meta titles, meta descriptions, headings (H1, H2, H3, etc), URLs, and image alt-titles</li></ul>&nbsp;Examples of content management systems that work well for retailers include WordPress, Shopify, BigCommerce and Squarespace.

<h3>18. Optimise for mobile&nbsp;</h3>It’s one thing for a website to look beautiful on desktop, but with shoppers increasingly buying straight from their phones, it’s also important that your website works on mobile. Google announced in 2015 a mobile-friendly update to their algorithm that preferences pages on mobile-optimised websites above those that are not.&nbsp;

<h3>19.&nbsp;Use Google Analytics to measure your traffic and performance</h3>Google Analytics is an SEO tool that provides you access to information about how customers are engaging with your website. It can offer information relating to bounce rates, conversions, and engagement time. You can then use this to inform your approach to SEO going forward, making this tool even more valuable.

<h3>20. Use Ahrefs for keyword research</h3>Ahrefs is a tool that can be used to conduct keyword research by analysing a website’s link profile, keyword rankings and SEO health. This is a great way to research keywords and backlinks from competitors that are performing well, and<a href="https://ahrefs.com/keyword-generator" rel="noopener noreferrer" target="_blank">&nbsp;there is a free tool available.</a>

<h3>21. Use SEO plugins in your CMS of choice</h3>A lot of content management systems, such as WooCommerce and Shopify, come with comprehensive SEO plugins that offer a wide range of tools to make the process as easy and effective as possible. It is essential that you use these plugins, as they’ll help you optimise for SEO and improve your ranking.

<h2>General tips to improve SEO ranking&nbsp;</h2>

<h3>22. Use HTTPS to secure your website&nbsp;</h3>HTTPS is an encrypted version of the standard HTTP protocol. A HTTPS in a URL signifies that the website is secure, and any data entered when making a purchase is protected. Not only is this reassuring for customers, but secure websites rank higher on Google.To switch to HTTPS, check with your website hosting service to find out whether they offer the service. (Managed platforms like Shopify and Squarespace do.) Otherwise speak to your developer.

<h3>23. Check Google My Business</h3><a href="https://www.google.com/intl/en_au/business/" rel="noopener noreferrer" target="_blank">Google My Business (GMB</a>) is a must-have for any online enterprise. It’s a free and easy-to-use tool that will help you manage the online presence of your business in Google’s search results. To register with Google My Business, simply visit the website and follow the instructions, which will ask you to enter your business details, including your phone number, website and a summary of your business.

<h3>24. Engage in social media</h3>Social media is no longer an optional method of engaging your audience. If you don’t want to be left behind your competitors, you need to use social media to display your products and link back to your website. This will also signal to Google that you’re receiving traffic from sources other than Google.

Text Caption

All references to any registered trademarks are the property of their respective owners. Afterpay does not endorse or recommend any one particular supplier and the information provided is for educational purposes only.

Smart tips to improve SEO rankings for retailers and small businesses.

Smart tips to improve SEO rankings for retailers and small businesses

How to improve SEO ranking: 24 ways 

How to improve SEO ranking for retailers – and get more customers

24 ways to improve SEO ranking for retailers – and get more customers UK

Influencer marketing has become an important small business strategy. Here’s how to identify the best talent to represent your brand and drive sales.

Instagram influencer marketing might seem like a brave new world, but in 2022, it’s a key small business marketing strategy across all industries – not just beauty and fashion. influencerUnlike traditional paid media - print, television, radio, online and social advertising - Instagram influencer marketing offers a different perspective on your brand, and content that you can’t completely control. Risky? Potentially, but the reward is great. In fact, Instagram influencer marketing is more than six times more cost-effective than paid media according to a<a href="https://klear.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://klear.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">2020 study of global influencer marketing</a>

Article Quote

“Influencers are social media’s trusted tastemakers."

Why? “Instagram Influencers are social media’s trusted tastemakers,” Aaron Brooks, UK-based co-founder of global influencer platform<a href="https://vamp-brands.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);"> Vamp</a>. “Their powerful recommendations drive social users to action both on and offline. By producing authentic, creative, and relevant content, influencers help drive awareness, website traffic, and online sales for brands.”&nbsp;The first step to a successful Instagram influencer collaboration? Finding the right Instagram influencer for your brand and budget.1. Prioritise brand alignmentOverall follower count is an important metric when it comes to selecting an Instagram influencer. However, personality and brand alignment are just as crucial.“Ask yourself, ‘is this the kind of person I want representing my brand?’” says Jules von Hep, UK-based founder of body-positive self-tanning brand<a href="https://theisleofparadise.com/uk/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://theisleofparadise.com/uk/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">Isle of Paradise</a>, sustainable knitwear brand<a href="https://yan-tan.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://yan-tan.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">Yan Tan</a>, and an influencer in his own right (80K+ followers).&nbsp;“Do the Instagram influencers' values reflect those of your brand? Are you aligned on tone? Do they offer something you can’t? Do they speak to an audience you want to capture? That’s what you should be asking yourself when looking at Instagram influencers. Work with people who make you feel good and can communicate your brand message effectively.”2. Location, location, location“If you’re a small local business, an influencer who lives and works in the area you’re based, or the area you’re wanting to target, is more influential for your brand than someone who influences on a more national or global scale,” says Von Hep. “In these cases, someone with 5,000 followers can do more than someone with 1m followers.”

"In these cases, someone with 5,000 followers can do more than someone with 1m followers.”

Breana Phillips, marketing and partnerships manager at parenting product e-tailer<a href="https://thememo.com.au/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 0); background-color: transparent;"> </a><a href="https://thememo.com.au/" rel="noopener noreferrer" target="_blank" style="color: rgb(17, 85, 204); background-color: transparent;">The Memo</a>, agrees, adding that even for medium-sized or online businesses, the location of an Instagram influencer's fan base is the key metric to get the desired result. “The Memo is based in Melbourne, we have good brand awareness here, and in Sydney. But we’d like to be known more nationally, so we’d look to work with influencers who have audiences in Queensland or Adelaide to introduce our brand to new parents in those areas.”&nbsp;3. Read the commentsJustin Gaggino is the general manager of teeth-whitening company, <a href="https://hismileteeth.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 0); background-color: transparent;">Hismile</a>, which runs an extensive global influencer programme across Instagram and TikTok. He recommends not only checking an influencer’s engagement rate, but reading their posts to gauge the type of relationship they have with their followers.&nbsp;“You can look at their rate of engagement, but I think it’s better to look at the quality of the comments, and what’s being talked about as that’s a true indicator of how receptive a community is to an influencer’s messaging.”In other words, when you look at an Instagram influencer’s posts, what do the comments say?&nbsp;Are they discussing the topic of the post? This shows they are interested and absorbing the Instagram influencers message.4. Look for content fit“Followers can see straight through a paid partnership if it feels out of the norm for an influencer or their organic content,” says Phillips.

“Followers can see straight through paid partnerships."

There are Instagram influencers for all industries - finance, parenting, business, education, DIY, homemaking – and it’s all about finding the right influencers for your brand’s niche.For example, cleaning agency<a href="https://www.urbancompany.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://www.urbancompany.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">Urban Company</a> regularly collaborates with micro and macro lifestyle influencers. The collaborations work because the Instagram influencers show before-and-after images of their living spaces, which offer behind-the-scenes glimpse into influencers aspirational homes and personal lives.&nbsp;5. Consider adjacent verticalsJust because you're a fashion brand doesn’t mean you’re restricted to partnering with fashion influencers. There may be lifestyle influencers, entrepreneurs, DIY enthusiasts or even food influencers who align with your values and could potentially be great ambassadors for your brand.&nbsp;

I want them to be the influencers within their own network.

For example, Phoebe Simmonds, the founder of Australian blow-dry brand <a href="https://theblow.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 0);">The Blow</a>, targets female business owners, “I don’t need them to have a big following, just the kind of following that would also see the value and benefit in a blow-dry subscription, which is usually busy, working women. I want them to be the influencers within their own network.”6. Scour social mediaWhile large brands often employ partnership managers to connect with, manage and track social media influencers, smaller businesses usually rely on organic searching to discover potential Instagram influencer partners.“It’s not hard to find people right for your brand, just by spending time on the platforms. If you know your business’ target market, you can find an influencer,” says Simmonds, who employs a partnership manager now, but started out doing the legwork herself.Not sure where to start?<ul><li>Look at hashtags that are relevant to your industry</li><li>Check whether there are influencers already following you</li><li>Check whether your brand has already been tagged in posts</li><li>Research which influencers your competitors are following&nbsp;</li></ul>Once you do find an Instagram influencer who is a great fit, check whether they are connected with other influencers who might also align with your brand.7. Consider agenciesDon’t have the time to manage Instagram influencer partnerships yourself? Consider enlisting a talent agency or influencer marketplaces and self-serve platforms like <a href="https://vamp-brands.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">Vamp </a>to help you find talent.“Vamp’s assistance, businesses can produce higher-performing and higher quality content. Our platform offers faster connections, effortless collaboration, and powerful tracking. This means your investment produces more, reaches further, and performs better than before,” says Brooks.<h2>Finding the right influencer for your budget</h2>As a small business owner, it can be difficult to know how much Instagram influencers will charge. However, it’s generally accepted that there are several tiers of influencer.&nbsp;<ul><li>Nanoinfluencer = 500 to 5K followers</li><li>Microinfluencer = 5K to 30K followers&nbsp;</li><li>Macroinfluencer = 30K to 500K followers</li><li>Mega influencer = 500K+ followers</li></ul>Smaller businesses should focus on nano and microinfluencers, while larger brands may have the budget for big-name influencers.<h2>Gifting vs paid</h2>There are generally two types of Instagram influencer marketing: gifting or paid collaborations.Gaggino describes gifting as a “fluid” approach, and recommends that businesses be realistic about results they’ll get from sending influencers unsolicited gifts.“If you have a launch, or a send out gifting, you can’t expect that every Instagram influencer will post, or post on that particular day. It’s fast and unvetted, and won’t always be exactly what you expect. It’s better to loosen your expectations on how and when they’ll post.”<h2>Forget transactions. Build relationships instead.</h2>Simmonds views gifting as “an awareness play” – and the first step in building a relationship with an influencer.“That’s what a small business should really focus on in the beginning: community building and brand awareness. Gifting, done well, is great for that. Particularly as you’ll most likely not have the budget for paid collaborations.”Simmonds says that approaching an Instagram influencer out of the blue with an offer of a paid collaboration can be detrimental, and adds that it’s much better to slowly foster a genuine relationship.That might mean introducing an Instagram influencer to your brand or products through gifting. Then, if they respond well, the next step may be inviting them to events or broaching the subject of a paid collaboration.“When the influencer has never spoken about your brand before, it can feel less authentic to their audience. Paid collaborations are signified as such, so it’s important to think about how it will be received.”<h2>How to approach influencers</h2>Once you’ve identified an Instagram influencer who seems like a good fit for your brand, the next step is approaching them.Ditch the DMs&nbsp;It might seem the best approach to contact the Instagram influencer you want to work with through the direct messages on the platform they influence on, but not so, says Leigh Campbell, an Australian-based beauty and lifestyle journalist and influencer with 68K+ followers.

"Influencer DMs are out of control, and used for community management, not business."

“Generally, influencers have a decent following, so their DMs are probably out of control, and regardless, [used] for community management, not business.”Instead, she suggests checking their bio for an agent or email address, and connecting that way, particularly for paid collaborations. “It’s a much more professional way to start the conversation, and they’ll appreciate you taking in the information on their profile.”Talk to them business owner to business owner“When influencer culture was emerging, it was very much about giving people ‘free stuff’ in exchange for exposure,” says Campbell.“As the industry has evolved, most influencers are small businesses in their own right - it’s their primary source of income and how they support their families, so when working with an influencer, keep that in your mind, and treat them how you would want to be treated.”Be personal&nbsp;“If you’re starting with gifting or offering contra to influencers, make it as personal as possible,” says Phillips.

"The more thoughtful, the better."

“This doesn’t mean you have to monogram your product with their name, but put it on their card, make it a reaction to their content. For example, a mega-parenting-influencer posts about spraining their ankle and how the mess in the house is already starting to get her down, a local cleaning company gets in touch to offer their service complimentary while she’s laid up, ‘We heard your foot’s put you out of action, let us take care of the big clean this week.’ Much like gifting to a friend or family member. The more thoughtful, the better.”Be upfront about budgets“It’s understandable if a small business doesn’t have a huge budget, and that’s completely fine,” says Campbell. “It’s best to be upfront and honest about budget, and it’s absolutely acceptable to offer contra and ask if the influencer would be open to that as payment, but it’s also totally acceptable for an influencer to decline contra as payment.” If your budget is small, or you're relying on gifting or contra, stick to nano or micro influencers. “Nano and Micro influencers are really good to work with because they have engaged communities and are willing to put in the effort with the content,” says Gaggino.It’s all about the relationship“Relationships are key, remember to treat any digital talent with respect and build a working relationship with them,” says Von Hep. “Be grateful and courteous to each person you work with and remember an influencer’s following can explode overnight.”Gaggino agrees, well-fostered relationships and the passing on of education helps the influencer be informed and confident in speaking about your brand. “We work to really educate them on the product and brand so that they can speak to the science behind it intelligently. It’s super important that they understand and believe in what they are selling.”Involve influencers at launch“Influencers should never be an after-thought,” says Simmonds. “Influencers are a key way to drive brand awareness from the inception of your business.”

"Influencers should never be an after-thought."

Both Simmonds and Gaggino engaged influencers right from the beginning of their brands, and recommend that any small businesses do the same.“Pre-launch, reach out, talk to your USPs [Unique Selling Points],” says Simmonds. “Give them a brand preview, the education and key messaging and then gift a sampling of your product.”

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Influencers. If the term makes you think of the Kardashians, it may be time to think again.In the past six years, there has been a 50 per cent rise, year over year, in the global influencer industry, according to the<a href="https://influencermarketinghub.com/influencer-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://influencermarketinghub.com/influencer-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 56, 145);">Influencer Marketing Benchmark Report</a>, and today, more than 50 million people consider themselves content creators.&nbsp;In other words, it’s a gigantic industry, wide open to almost everyone – including those without their own reality TV program or Kardashian-level fame.&nbsp;&nbsp;Taryn Williams, founder and CEO of<a href="https://theright.fit/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://theright.fit/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">The Right Fit</a>, a model, talent and influencer agency, believes influencers have democratised marketing because brands can now reach audiences in a fast and affordable way.“If you find the right influencer in the right niche or geographic area, with targeted audience of interest, [and] who has already built trust with their followers, it’s a highly effective way for brands to market; [it’s also] suitable for all points of the marketing funnel – from brand awareness to conversion,” she says.

"It's not something that is limited to those with big budgets.”

“It's also fantastic because it's not something that is limited to those with big budgets or those with large agencies on retainer.”&nbsp;But just how does it work? Below, we detail four successful partnerships between brands and influencers.&nbsp;<h2>“We gifted our product to an influencer – and saw a 141 per cent rise in sales.”</h2>GlowDry beauty has found success with paid partnerships and a gifting strategyFiona Dunne, the founder of finishing fake tan powder<a href="https://glowdryaustralia.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://glowdryaustralia.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">GlowDry</a>, started partnering with influencers soon after launching in 2018 and has since made influencer marketing an integral part of her strategy.As part of this strategy, Dunne frequently gifts products to influencers in the hopes that they will post about GlowDry, which is designed to be brushed on to prevent stickiness and staining from a spray tan. Influencer gifting, she explains, is a low-risk way to see if her product and an influencer click.Last year she sent GlowDry’s fake-tan drying powder to I<a href="https://www.instagram.com/isabelalysa/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">sabel Alysa</a><a href="https://www.instagram.com/isabelalysa/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 0);"> (@</a><a href="https://www.instagram.com/isabelalysa/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">isabelalysa</a>), a U.S. celebrity spray-tan artist with 124,000 followers who works with the Kardashians, Channing Tatum, Olivia Culpo and Katy Perry, among many stars.&nbsp;“We were shocked and delighted when she shared a story featuring our product,” says Dunne, and that day GlowDry saw a 141 percent spike in sales.“She’s since shared a few times and we always see a spike,” Dunne continues. "So, we’re now talking to her about a paid collaboration as her endorsement has been so powerful for us.”When it comes to paid partnerships with Influencers, Dunne’s number-one criteria when selecting influencers is that they love her product. She also values reliability – and of course results."A great influencer is one who commits to to your product, [adheres to] a posting schedule, and is honest with their followers,” she says, adding that she measures Instagram success by checking website traffic, sales using a discount code, email signups, direct sales and social-follower growth."

“A great influencer is one that commits to your product."

<h2>“Long-term influencer relationships and expert partnerships work for us”</h2>Teeth-whitening brand Advanced Whitening has worked with mid-tier influencers and mega influencersWhen it comes to influencer partnerships, teeth-whitening brand<a href="https://advancedwhitening.com.au/" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: transparent;"> </a><a href="https://advancedwhitening.com.au/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">Advanced Whitening</a> has tried a range of tactics and types of influencers.However, their most successful campaigns share several key characteristics, says social media manager Emma Vosti.First and foremost, the influencer must have an authentic connection to the brand. “When we find influencers that genuinely love and use our products you can see it through their content – it just comes more naturally.”One particularly successful partnership has been with influencer and dental hygienist Ashley Gunner,<a href="https://urldefense.com/v3/__https:/www.instagram.com/miss_gunner/?hl=en__;!!LBk0ZmAmG_H4m2o!6mhHSH58MW7RirrLywkgRakZTn1OnR0k8zqbWqOj7gbMuiLT158n7aQC0LzMzb0JbpjvphlwYt0$" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: transparent;"> </a>(<a href="https://urldefense.com/v3/__https:/www.instagram.com/miss_gunner/?hl=en__;!!LBk0ZmAmG_H4m2o!6mhHSH58MW7RirrLywkgRakZTn1OnR0k8zqbWqOj7gbMuiLT158n7aQC0LzMzb0JbpjvphlwYt0$" rel="noopener noreferrer" target="_blank" style="color: rgb(17, 85, 204); background-color: transparent;">@miss_gunner</a>), with whom the brand worked over a three-month period. In that time, Gunner shared a post per month, plus stories.“That’s been a particularly successful Influencer relationship given her career as a dental hygienist,” says Vosti. “She is so knowledgeable and passionate about our products and speaks with such authority.”“With Ashley we regularly see consistent sales through her content. However, the objective here is slightly different – we love how educational her content is and we include ad usage [the ability to use the content in paid social media advertisements in her contract] as we find it works very well for social media promotions.”The brand has also worked with mega influencers such as<a href="https://urldefense.com/v3/__https:/www.instagram.com/sarahrav/?hl=en__;!!LBk0ZmAmG_H4m2o!6mhHSH58MW7RirrLywkgRakZTn1OnR0k8zqbWqOj7gbMuiLT158n7aQC0LzMzb0Jbpjve_ufd2I$" rel="noopener noreferrer" target="_blank" style="color: rgb(34, 34, 34); background-color: transparent;"> </a><a href="https://urldefense.com/v3/__https:/www.instagram.com/sarahrav/?hl=en__;!!LBk0ZmAmG_H4m2o!6mhHSH58MW7RirrLywkgRakZTn1OnR0k8zqbWqOj7gbMuiLT158n7aQC0LzMzb0Jbpjve_ufd2I$" rel="noopener noreferrer" target="_blank" style="color: rgb(17, 85, 204); background-color: transparent;">Sarah Rav</a>, who has 1.1 million followers. Much like the partnership with Gunner, Advanced Whitening worked with Rav several times.“With Sarah Rav we partnered with her to promote our Advanced Whitening Kit and saw great results, so we worked with her again six months later for the launch of our Sonic Electric Toothbrush and Charcoal Toothpaste. We felt her audience already understood our brand and they'd been receptive, so it was a natural progression.”&nbsp;When Advanced Whitening works with influencers, the brand supplies discount codes for their followers so all conversions are easily tracked.

“We consistently see great results when we offer discount codes."

“We consistently see results when we offer this; we recently saw a seven-times return on investment with a midsize influencer, which is really strong."&nbsp;<h2>“Influencers were a key part of our launch strategy”</h2>No1. Bra London worked with two very different influencers to build brand awarenessWhen Jeanette Misseldine launched No1. Bra London in 2021, she’d already clocked up 30 years’ experience in the lingerie industry.Although Misseldine had spent decades designing and manufacturing lingerie, she knew very little about marketing – and was unsure where to start when it came to promoting her new brand, which offered bras that were uniquely designed to be more comfortable.“The biggest challenge is getting the word out there,” she says. “We knew that once it got out into the market it would sell well.”

“The biggest challenge is getting the word out there."

That’s where influencers came in. In March 2021, Misseldine partnered with Loose Women star Nadia Sawalha, who posted an Instagram video of herself wearing No1. Bra Lingerie and talking about the brand’s uniquely designed underwire.That post resulted in a wave of media coverage after it was picked up by several major news outlets, including Daily Mail, Hello magazine and The Sun. No1. Bra London also used the video in paid Facebook ads. Within three months, the brand had virtually sold out.Next, No1. Bra partnered with Casey Stoney MBE, former manager of Manchester United women’s football team, to promote a patented "no-bounce" sports bra via a series of Instagram posts. A single <a href="https://www.instagram.com/p/CSYwCSDDUuh/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(5, 99, 193);">post</a> resulted in nearly 1,000 likes.Misseldine says that Stoney lends authority to the brand. “Casey wants to help girls and over the years she’s seen many girls leave football due to a growing bust and ill-fitting bras. Partnering with influencers is all about selecting the best person to represent your brand.”<h2>“We used influencer marketing to reach a new, younger market”</h2>Olay’s partnership with The Influencer Agency aimed to engage a broader audienceSkincare brand<a href="https://www.olay.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://www.olay.com/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">Olay</a> is traditionally known for targeting women with mature skin but wanted to expand their product awareness and reach Millennial and Gen Z customers.The marketing team approached<a href="https://www.tiaperth.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://www.tiaperth.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">The Influencer Agency</a>, which brought together 18 Millennial and Gen Z beauty, health, fashion and travel influencers to promote Olay’s new range of Super Serums.Influencers, who each allowed Olay to reach a new, young audience, were encouraged to explain what they loved about the Olay Super Serum and asked to include a swipe-up link to the products in their Instagram stories.One of those influencers, author and television presenter Sarah Davidson (@spoonful_of_sarah), who has a reach of 86.2K followers, elected to post a<a href="https://www.instagram.com/p/CZBCf0vJ8XH/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(38, 38, 38);"> </a><a href="https://www.instagram.com/p/CZBCf0vJ8XH/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">tutorial</a> to her grid and copied it to her stories. Olay then used their official Australian Instagram account (8,000 followers) to organically reshare and repost some of the content.&nbsp;The results? The Influencer campaign drove high engagement, receiving 722 comments, 5350 likes and 97,141 impressions, while overall, engagement rose by 25 per cent.

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When Rachel Burton launched baby-carrier business <a href="https://marsupiaustralia.com.au/" rel="noopener noreferrer" target="_blank" style="color: rgb(14, 16, 26); background-color: transparent;">Marsupi in Australia</a> in 2018, she had little experience in social media marketing and had never worked with social media influencers.&nbsp;In fact, the business groups she belonged to on social media were often filled with horror stories about influencer partnerships that had gone sour – or failed to deliver results, despite hefty payments.But after experimenting with social media advertisements, which resulted in limited sales, Burton began investigating influencer marketing – and today it is a key part of her sales strategy. “We’ve worked with dozens of influencers now and it’s become really important to the business,” says Burton, who adds that some influencers can drive thousands of dollars in sales with a single post.

"We tried paid advertising, but it never got the same cut-through."

“Partnering with influencers is just the way marketing is done now. We tried paid advertising, but it never got the same cut-through.”Burton attributes this to the strong relationships that influencers have built with their communities, which they can then parlay into sales. “There’s a sense of personal endorsement that isn’t there for other types of advertising.”Burton is one of countless small-business owners around the world who have found success with influencer marketing. However, before launching any kind of influencer programme, it’s important to understand how influencer partnerships are structured and how to negotiate influencer marketing rates.<h2>How much do influencers cost?</h2>In short? It varies.Some influencers are happy to post in return for free products; other, more famous influencers can command millions of dollars per post.Although some websites claim to offer Instagram influencer earnings calculators, and one oft-quoted formula suggests that sponsored Instagram posts should cost roughly $USD100 ($AUD140) per 10,000 followers, the reality is more nuanced.Because influencer marketing can range from highly produced video shoots to iPhone snapshots accompanied by a hashtag, influencer marketing rates vary dramatically.

"Influencer marketing is definitely where art meets science."

“Considering the number of factors that can affect influencer marketing rates it’s hard to advocate for a one-size-fits-all policy,” explains Alice Kennedy, a publicist at<a href="https://www.kateco.com.au/about" rel="noopener noreferrer" target="_blank" style="color: rgb(14, 16, 26); background-color: transparent;"> </a><a href="https://www.kateco.com.au/about" rel="noopener noreferrer" target="_blank" style="color: rgb(74, 110, 224); background-color: transparent;">Kate&amp;Co PR</a> who has worked on influencer partnerships for beauty brands such as <a href="https://tartecosmetics.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 102, 204); background-color: transparent;">Tarte</a> and<a href="https://au.balibodyco.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(14, 16, 26); background-color: transparent;"> </a><a href="https://au.balibodyco.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">Bali Body</a>.“Influencer marketing is definitely where art meets science,” agrees Maxwell Mitcheson of Los Angeles agency<a href="https://www.talentxent.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(14, 16, 26); background-color: transparent;"> </a><a href="https://www.talentxent.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">TalentX Management</a>, which represents some of the world’s biggest social media stars. “There are a lot of intangibles, but you can guarantee that every single additional term comes with an additional fee.”&nbsp;Those intangibles might include everything from:·&nbsp;An influencer’s audience size·&nbsp;Their engagement rates·&nbsp;What authority or niche they occupy·&nbsp;The deliverables·&nbsp;Usage of the assets created·&nbsp;ExclusivityThe social media platform itself can also affect rates. Influencers on YouTube and TikTok can often command higher fees because video production can be more expensive and time-consuming.<h2>What to consider when negotiating influencer marketing rates</h2>Follower count&nbsp;This is perhaps the most obvious factor when it comes to calculating social media influencer rates – the more followers, the more expensive a social media influencer is likely to be.Follower count is definitely important. After all, it can indicate how effective an influencer or creator is at building audience and community – and how much influence they command.

"Followers are not everything."

However, this is not the only factor to consider when negotiating influencer marketing rates. “Followers are not everything,” explains Kennedy, who has seen firsthand how brands can fall into the trap of being blinded by "vanity metrics" such as follower counts without considering other factors.&nbsp;Audience engagementAn influencer’s engagement rate – or the percentage of followers who interact with their posts – is arguably more important than follower count.&nbsp;&nbsp;&nbsp;“In my opinion engagement rate is the most important thing for brands to consider when deciding to work with an influencer and how much to pay them,” says Kennedy.She points out that plenty of influencers have fake followers – also known as zombie followers – that they have bought to bolster their follower count and attract advertisers.Engagement rates are more difficult (though not impossible) to fake – and if an influencer’s engagement rate is high, they’re more likely to have an authentic audience who trust them and may ultimately buy your product.

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If you prefer to leave the calculations to the experts there are also free online services like<a href="https://socialblade.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(14, 16, 26); background-color: transparent;"> </a><a href="https://socialblade.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">Social Blade</a> that can determine influencers’ engagement rates on a variety of platforms.Scarcity and authorityUsing influencers with niche specialisations offers the advantage that they can deliver an audience that is already interested in the product, and they have a sense of authority in the sector. For example, if you are a business that specialises in vegan burger patties and you promote your product using a vegan chef, you know that the majority of their followers already have an interest in vegan food, meaning you can directly advertise to your target market.&nbsp;The downside to this is that there may be only a small pool of influencers who can speak knowledgeably to that audience, so they may command higher influencer marketing rates.

<h2>How to structure an influencer deal</h2>Agree on deliverables&nbsp;In social media, "deliverables" are the finished product that an influencer posts, whether that’s a YouTube video, TikTok or Instagram story, or a Facebook post or photograph.It’s important to agree on the exact deliverables, from the number of posts, down to specific details such as the exact information, words, hashtags or social media handles that need to be included in the image or caption. Don’t forget to specify which channels should be used, as well as "live" dates – down to the hour, if that is important.

“The number one mistake I see is brands not giving influencers creative freedom."

While having clear parameters is important, Kennedy cautions brands against being too prescriptive. “The number-one mistake I see in my job is brands not giving influencers creative freedom,” she says, adding that “brands often really want to edit down the content to be a picture-perfect idea of how they want their brand to be seen.&nbsp;“You work with an influencer because you like their content and you trust them to represent your brand, so you need to trust them to represent you in a way that their audience is going to respond to [as opposed to demanding a specific look and feel to the content]."ExclusivityImagine working with an influencer only for them to post about a direct competitor’s product in the days or weeks following your collaboration? Not only would it dilute the impact of the campaign, but it could potentially reflect badly on your brand.One way to avoid this is to consider working a category-specific exclusivity clause into your influencer contract. This means that an influencer can’t post about a competitor's product during a specific period.Jill Birmingham, influencer and partnerships director at Sydney agency<a href="https://www.maxconnectors.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(14, 16, 26);"> </a><a href="https://www.maxconnectors.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">MAXCONNECTORS</a>, says exclusivity periods can range from one day on either side of a campaign period to two weeks, three months or even 12 months for bigger partnerships.“Exclusivity could be for a specific subcategory, such as dry shampoo, to a category like haircare, or a major category, such as beauty,” she says.Birmingham warns, though, that exclusivity clauses always attract additional fees, “as they restrict an influencer from creating their usual content and can also have an impact on revenue as they have to turn [down] other paid partnerships.”Mitcheson agrees that exclusivity clauses can be important, but for smaller brands they aren’t always necessary. “Take the beauty and skincare space,” he says. “It’s almost impossible to do a full face of makeup using just one brand and consumers know that.”&nbsp;Deadline for content approval processes and live datesIt’s common for brands to ask for content approval, which provides the opportunity to review content before an influencer posts anything.&nbsp;&nbsp;&nbsp;In this situation both the influencer and the brand should agree, up front about how many rounds of revisions are allowed within the scope of the agreement. Brands should also factor the approval process into their timelines and be realistic about how quickly content can be posted.Fee, including production costs and agency feesIf the influencer has a large social media following, it’s possible that you’ll find yourself negotiating with their manager or talent agency. This will always incur an additional agent’s fee – or additional services fee (ASF) – which can be anywhere from 10-40 per cent. It’s a good idea to check whether the influencer fee is inclusive or exclusive of this fee, as it can make a big difference to the total budget.Any collaboration may also involve what’s known as "production costs", which are the costs of creating content, such as makeup, hair, lighting or studio rental.Rights and usageIt’s important to agree who owns the rights to any content that’s created – and where it can be used.&nbsp;When an influencer photographs a product and promotes it on their social media page, they are often happy for the brand they have worked with to repost the image on their own social media channels (after all, this helps promote the influencer, too).&nbsp;However, the brand isn’t automatically entitled to use that photograph on its website or in paid advertisements.“Brands can usually only use influencer content for ‘organic’ usage,” says Kennedy, explaining that organic usage is just reposting the content to the brand’s account with no paid investment. “Once you put money behind it via advertising or boosting, that’s when it’s not organic,” she specifies.&nbsp;If a brand would like to use the influencer content for advertising this will require a usage fee and must be negotiated separately.&nbsp;“Sometimes influencers will only allow organic sharing of their content for a certain period such as six months, and then it must be removed from the brand’s social pages” adds Kennedy.To avoid confusion, it’s important to agree on usage up front.

<h2>How to reduce the costs of an influencer package</h2>The good news is that there are lots of ways to reduce the costs of influencer marketing.Don’t settle on the first number&nbsp;“There's a lot of back and forth when negotiating influencer rates,” explains Kennedy, noting that brands should not be scared off by the initial figure an influencer or their manager provides. “In my experience, there’s almost always room for negotiation. It’s just about having a very open and honest conversation about what mutually beneficial objectives can be achieved.”

"There’s almost always room for negotiation."

She recommends that if you have a set (or limited) budget, it’s best to be up front with the influencer or talent manager, so you can work backwards to establish what you can afford.Build a bundle&nbsp;It is becoming increasingly common for influencers to deliver social posts as part of a package or bundle, which can be more cost-effective.For example, you might choose to purchase several posts, across multiple platforms, or a package of posts and Instagram stories.&nbsp;Plus, longer-term partnerships or repeat partnerships often deliver better value.&nbsp;

"Long-term partnerships feel more organic to audiences."

Mitcheson suggests that cheaper deliverables are not the only advantage of bundles. “Long-term partnerships feel more organic to the audience because you're getting hit repeatedly over time. We know that a consumer is more likely to convert after seeing an ad multiple times, not just one time.”Consider giftingDon’t have the budget for an influencer? Consider a gifting programme, where influencers are ‘paid’ through products. This is how Lomas prefers to work with influencers, explaining that it often leads to more authentic partnerships.“Our most successful partnerships have resulted from working with influencers that are aligned with our core values and have a genuine love for the product and brand,” she says. “When followers can see the product being used frequently in everyday life, and not just as a one-off post or story, they have more faith in the product meeting their needs.”

"Our best partnerships are with influencers that genuinely love our products."

Create impactful, visual experiencesAnother option is to invite influencers to a fun event or trip (known as a "famil", short for familiarization). For example, a beauty brand might host an afternoon of pampering, or a children’s clothing brand might invite influencers and their children to a fun event targeted at kids.If this is an option, don’t forget to create a photo wall or visually appealing backdrop or "moment" that influencers will want to post about.Holding a fun – photogenic – event is a great way to develop a relationship with influencers, and hopefully some will post about the event and your brand.Create discount codesOffering influencers a discount code, which can then be used by their audience, is a great way to drive sales.&nbsp;It also allows brands to track which influencers are driving sales, if they are each given different codes.This approach is also often popular with influencers, as it can help build their own following if the discount is attractive to their audience.&nbsp;Launch an affiliate programmeAnother tried-and-tested approach is to launch an affiliate programme, where influencers receive a percentage of the sales they drive. To launch an affiliate-style programme, brands need to work with an affiliate network, like Rakuten, or software for a sale to be tracked correctly.Lomas offers every influencer a discount code, and in turn passes on a commission to the influencer who has delivered the sale.“It's a great way for us to give back to those influencers we partner with and have supported our business.”

Ensuring the best return on investment when employing influencers to grow your audience.

Learn how to negotiate influencer marketing rates for Instagram and other social media.Your guide on how much influencer rates should cost you.

Influencer marketing rates: how much are influencers rates?

Influencer marketing rates: how much are influencers rates UK

How retailers and merchants can stay ahead, socially, this year.

There’s little doubt that COVID-19 has transformed the way we live, work and connect. As humans, we crave social connection, and when lockdowns prevented us from meeting in person, many people gravitated to social media. And it seems our thirst for social media extends beyond lockdown.In the past year, total social media users increased by<a href="https://influencermarketinghub.com/social-media-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 0); background-color: transparent;"> </a><a href="https://influencermarketinghub.com/social-media-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">13.1 per cent</a>.That’s 4.48 billion people, spending two hours and 25 minutes on average on social media, every day.As consumers spend more time on platforms like Facebook, Instagram and TikTok, understanding new social media trends has never been more important for brands and businesses. So, as we enter a new year, we asked experts to identify the biggest trends to be aware of in 2022.<h2>TikTok continues to grow&nbsp;</h2>TikTok users doubled in the past year, and in September 2021 the social media platform clocked up 1 billion users for the first time.

It's important brands get on TikTok now before it becomes much harder to grow in 2023.

This makes TikTok the seventh largest social media platform in the world (after Facebook, YouTube, Whatsapp, Facebook Messenger, Instagram and WeChat) – and one that brands increasingly need to factor into their marketing plans (especially if reaching Gen Z is a priority).The good news is that, as a relatively new social media platform, TikTok offers opportunities that more established platforms do not.“I predict we'll see a continued rise in live shopping on TikTok, where brands host videos showing their products on a live stream, and have easy integrations with Shopify to allow consumers to easily shop within the app.”

<h2>Influencer partnerships go long-term</h2>In 2022, there’s no slowing down when it comes to influencer domination, although in 2022, get used to the term ‘creator’, which is increasingly overtaking the title ‘influencer’.However, experts say there is a noticeable shift in the way that creators and brand partnerships are formed, with businesses moving away from one-off, transactional collaborations to instead focus on longer-term, more strategic partnerships and co-creation/ co-branded experiences.&nbsp;“This creates a more authentic and ongoing relationship with both the brand and influencer's audience,” says Taryn Williams, founder and CEO of<a href="https://theright.fit/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(250, 250, 250); color: rgb(38, 38, 38);"> </a><a href="https://theright.fit/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">TheRightFit.co</a> and<a href="https://www.theinfluencers.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);"> </a><a href="https://www.theinfluencers.com.au/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 255);">Theinfluencers.com.au</a>.

Most influencers provide discounts for ongoing work.

“We are seeing more brands shifting to this style of engagement as it also locks influencers out of working with competitors, and can be financially more beneficial for a brand than paying for individual one-off posts [as] most influencers provide discounts for ongoing work.”&nbsp;Williams adds that 2022 will see an increased focus on diversity and inclusivity, with brands moving towards influencers and creators who are truly representative of their customer base in terms of age, ability, body shape, size, lifestyle, ethnicity, race, religion, sexuality, gender and more.&nbsp;“It’s becoming much less of a ‘token’ gesture or afterthought with leading brands, and something that is now prioritised in all aspects of a brand’s marketing strategy,” she adds.

<h2>Video continues to lead the way</h2><a href="https://www.wyzowl.com/video-marketing-statistics/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: rgb(255, 255, 255);">Video content will continue to dominate in 2022</a>, with the focus on short-form content that is easy-to-digest and highly engaging. Think: Instagram Reels and TikTok videos (which are increasingly repurposed and posted&nbsp;to other platforms like Instagram).If you didn’t have a social media video strategy in 2021, now’s the time to correct that. And it’s important that video is created with social media in mind, believes Shepherd.“Too many brands create video content and throw it up on social media as an afterthought,” says Shepherd. “With the head of Instagram, Adam Mosseri, recently announcing that Instagram is focusing on pushing video content, it's important brands take this seriously. We've seen the rise of TikTok and short-form video content, and now Instagram doesn't want to get left behind.”“As creators hone their craft in this area, I think we will see more innovative, easy-to-consume, highly engaging short-form content next year,” says Williams. “We’ll continue to see a shift towards ‘lo-fi’ video – which feels more authentic and less overly produced – created for the platform, [rather] than repurposed content that can feel more ‘advertising’ than native. I think the growth of TikTok has expedited this change.”

<h2>Social commerce gains momentum</h2>Bricks-and-mortar shopping might be back after months of lockdowns, but social commerce isn’t going anywhere.<a href="https://www.afterpay.com/en-AU/business/access/social-media-tips/social-commerce-guide" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(15, 15, 15);"> </a><a href="https://www.afterpay.com/en-AU/business/access/social-media-tips/social-commerce-guide" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 255);">Social commerce</a> – aka shopping directly via social media – is a seamless way for brands to connect directly with their customer and convert content directly into sales.Over the past 18 months, most social networks have begun offering in-app shopping solutions, from Instagram to Facebook and Pinterest. And shoppers are spending billions of dollars via social media; in 2020, for example, worldwide social commerce was worth<a href="https://www.researchandmarkets.com/reports/5140143/social-commerce-global-market-trajectory-and?utm_source=CI&amp;utm_medium=PressRelease&amp;utm_code=jgbxsq&amp;utm_campaign=1434944+-+Assessment+of+the+Social+Commerce+Industry+2020-2027+and+Impact+of+COVID-19+-+Mobiles+Segment+Readjusted+to+a+Revised+39.2%25+CAGR+for+the+Next+7-Year+Period&amp;utm_exec=joca220prd" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(15, 15, 15);"> </a><a href="https://www.researchandmarkets.com/reports/5140143/social-commerce-global-market-trajectory-and?utm_source=CI&amp;utm_medium=PressRelease&amp;utm_code=jgbxsq&amp;utm_campaign=1434944+-+Assessment+of+the+Social+Commerce+Industry+2020-2027+and+Impact+of+COVID-19+-+Mobiles+Segment+Readjusted+to+a+Revised+39.2%25+CAGR+for+the+Next+7-Year+Period&amp;utm_exec=joca220prd" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 255);">$115.5billion.</a>&nbsp;&nbsp;

<h2>Augmented reality gets real</h2>Instagram and Snapchat filters have been around for a while, but augmented reality (AR) and virtual reality (VR) are becoming more sophisticated as users demand more engaging experiences.Experts say that AR also offers the potential to remove some of the pain points from online shopping.“We'll be able to try on items or see them in our home on our phone in an instant,” says Karyn Parkinson, director at<a href="https://unstoppableecomm.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(49, 49, 49); background-color: transparent;"> </a><a href="https://unstoppableecomm.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">Unstoppable eCommerce</a>.“This will give the buyer a more hands-on experience and will overcome a huge barrier that currently exists with online shopping (that is, not being able to touch, feel and try on the product).”Plus, she adds, “as software becomes cheaper and more accessible, we'll see more businesses start to use augmented reality for e-commerce”.

<h2>Increased focus on UGC</h2>Customers are demanding authentic, real-time and real-life reviews of products before they will buy, with<a href="https://embedsocial.com/blog/ugc-statistics/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(15, 15, 15);"> </a><a href="https://embedsocial.com/blog/ugc-statistics/" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 255);">research</a> out of EmbedSocial showing that UGC content has a 35 per cent higher engagement rate on social media than branded content. Brands will utilise this to drive brand awareness, trust and sales, with UGC as a major part of their marketing strategy.&nbsp;“UGC is a fantastic way to build trust and social proof and is very cost-effective, so I think we will be seeing more brands embedded UGC throughout their e-commerce experience and in more marketing touchpoints (retargeting ads, drip-feed emails etc),” says Williams.

Here are the social media trends to know in 2022 to help retailers and merchants stay ahead and drive sales.

Here are the social media trends to know in 2022 to help retailers and merchants stay ahead and drive sales

6 social media trends brands and retailers need to know in 2022

6 social media trends you need to know in 2022

Six social media trends you need to know in 2022 Aus 3

For busy business owners, social media can feel like just one more task on a never-ending to-do list. 

For those without social media training or the resources to hire an expert, it might seem overwhelming.The good news? Creating social media posts that grow your audience is easy once you know how. Digital marketing strategist Jordan Lomax has chosen seven social media posts – all successful in different ways – to offer inspiration for your business’s social media strategy.

Article Image

<h2>1. <a href="https://www.pigletinbed.com/" rel="noopener noreferrer" target="_blank">Piglet in Bed</a>’s collaborative giveaway&nbsp;</h2>True to its brand story and values, Piglet in Bed, a luxury linen bedding and sleepwear company, partnered with British jewellery brand Maya Magal London for&nbsp;<a href="https://www.instagram.com/p/CNFKQEZghxI/?utm_medium=copy_link" rel="noopener noreferrer" target="_blank">a competition in March 2021</a>. Social media users were asked to follow both brands – which share a similar focus on selling high-quality basics – to be in to win some of each brand’s best selling products.&nbsp;Competitions are a great way to build audiences, and collaborative competitions can deliver even more benefits. Not only can you collectively offer a bigger, better prize – thus attracting more entrants – but your brand will be exposed to the audiences of other, similar brands. The key? Select like-minded brands with audiences who will be receptive to what you have on offer.&nbsp;

<h2>2.&nbsp;<a href="https://www.instagram.com/gotoskincare/?hl=en" rel="noopener noreferrer" target="_blank">Go-To</a>&nbsp;Skincare’s distinct tone of voice</h2>In a sea of beauty brands, Go-To has achieved social media success with a tone of voice that differentiates it from the rest. Every caption is witty, on-brand and aligned to its mission to simplify skincare.Go-To has also nailed its mix of content. Instead of endless promotional posts, it offers a blend of inspirational and educational content. The brand, founded by former beauty editor Zoë Foster Blake, makes the most of all formats, too, from easy-to-understand tiles about ingredients and their benefits, highlights offering How-Tos and Q&amp;As, and additional content on Guides, Reels and IGTV, as well as a shoppable feed using likeshop.me. Talk about Insta-goals.To find out more about getting started with content marketing, visit&nbsp;<a href="https://www.afterpay.com/en-AU/business/articles/content-marketing/content-marketing-writing-tips " rel="noopener noreferrer" target="_blank">our tutorial</a><a href="https://access.afterpay.com/articles/content-marketing-writing-tips" rel="noopener noreferrer" target="_blank">&nbsp;</a>with content strategist Andres Lopez-Varela.&nbsp;

<h2>3.&nbsp;A credible and artful grid from<a href="https://www.instagram.com/breeze.balm/" rel="noopener noreferrer" target="_blank">&nbsp;Breeze Balm</a>&nbsp;</h2>As Instagram has become more popular and more saturated with content, it has introduced new features, such as Instagram Stories and IGTV, to create more ‘real estate’ or places for brands and individuals to post content.The result? Users’ attention is no longer focused solely on the grid.But that doesn’t mean the grid isn’t important. Increasingly, users head straight to a brand’s social media profile after checking out their website, so it’s important that your Instagram page acts as a microsite for your brand or products.In other words, it needs to operate like a shopfront – capturing shoppers’ attention, luring them in for a closer look and offering an instant understanding of what your brand is all about.Breeze Balm’s feed is colourful, on-brand and polished. Not only does it instantly convey the brand image in a fun, positive tone of voice – but it offers credibility and assurance that it’s a trustworthy business to purchase from.&nbsp;

<h2>4.&nbsp;User-generated content from<a href="https://rixo.co.uk/" rel="noopener noreferrer" target="_blank"> Rixo</a></h2>The benefits of user-generated content (UGC) are well established. Not only does it offer a stream of ready-made content, but UGC delivers money-can’t-buy social proof for your brand.London based fashion brand Rixo makes the most of UGC's by&nbsp;<a href="https://www.instagram.com/p/CWjVw1TIqaf/?utm_medium=copy_link" rel="noopener noreferrer" target="_blank">reposting images</a>&nbsp;that customers have posted wearing their pieces using the hashtag #humansofrixo. Reposting those images to the brand's 397K followers allows potential customers to see their garments styled in different ways, helps build a sense of community among and enhances user engagement. An added bonus? Customers can see how the same product can look on a variety of body types. This means brands can reap the rewards of good-faith generated by promoting diversity and inclusivity without having to foot the bill for a cast of models that represent every size category.

<h2>5. <a href="https://www.lick.com/uk" rel="noopener noreferrer" target="_blank">Lick</a>’s TikTok tutorials</h2>Want to reach a young audience? Then it’s time to consider TikTok. More than 17 million people use the platform in the UK every month, with the vast majority under the age of 25.&nbsp;Paint and home décor brand Lick uses TikTok to answer common questions about their products and share short, sharp tutorial videos like&nbsp;<a href="https://vm.tiktok.com/ZSeSmBLGE/" rel="noopener noreferrer" target="_blank">this one</a>. With Instagram recently releasing Reels, there are even more reasons to create this type of content, which can be shared across both channels to maximise the return on investment.

<h2>6<a href="https://www.sephora.com" rel="noopener noreferrer" target="_blank">.&nbsp;Sephora</a>'s ‘real’ use of Reels</h2>Instagram Reels is one of the newest formats on the content block and, as a result, Instagram’s algorithm seems to be favouring them by pushing Reels to the front of users’ feeds to encourage adoption.While formats like Stories and IGTV are great, they don’t allow much discoverability. (In other words, only your followers will see them.) However, Instagram has included Reels in its Discover and Explore feeds, making them an effective (and fun!) way to reach new audiences.Global beauty giant Sephora has capitalised on this format, by using Reels to share educational content about their products, share news and get personal with their staff and customers. If you’re not a confident Reels creator, don’t worry: on Reels, followers are more open to quirky or unusual content than on other channels and formats, so it doesn’t have to be perfect.

<h2>7.&nbsp;<a href="https://www.facebook.com/Vuly/" rel="noopener noreferrer" target="_blank">Vuly</a>’s Facebook Live interview series</h2>Bicycle brand Vuly Play uses Facebook Live as a content marketing channel to build and engage its community.Its<a href="https://www.facebook.com/Vuly/posts/3683444348399656" rel="noopener noreferrer" target="_blank">&nbsp;weekly live show</a>&nbsp;interviews athletes and outdoor personalities – and the brand uses prizes and giveaways to encourage users to tune in. The interviews are engaging, popular with customers – and a great way to build a warm audience, which will eventually convert into a customer base.

Discover stunning examples of social media content & strategy that drives small business sales. Learn why it works and how to make your own strategy on Afterpay Access.

Discover stunning examples of social media content strategy that drives small business sales Learn why it works and how to make your own strategy on Afterpay Access

7 Social Media Examples for Small Businesses | Afterpay

7 standout small business social media examples to inspire you

Real retailers share how to make the most of Clearpay’s key sales event

Au Vodka may have begun as a small business launched by two friends, but, just six years later, it’s become an eight-figure brand that sells millions of its signature golden bottles every year.A key part of the brand’s success, says <a href="https://auvodka.co.uk/" rel="noopener noreferrer" target="_blank">Au Vodka</a> e-commerce manager Jordan Major, comes down to the speed with which the team adapts to new trends.That’s why the brand was quick to sign up to Clearpay – and Clearpay Day. The results of the sale, say Major, have been excellent.“We were blown away. We saw an increase in Clearpay transactions resulting in £100,000 in sales.”Major says he would encourage other retailers to take part. “Other retailers should definitely get on board and try it out. We were very impressed with how our first Clearpay Day went.”

“We were blown away. We saw an increase in Clearpay transactions resulting in 100,000 in sales.”

<h2>How to make the most of Clearpay Day</h2>Register your offer: To be featured in <a href="https://www.clearpay.co.uk/en-GB/categories/all-stores" rel="noopener noreferrer" target="_blank">Clearpay's Shop Directory</a> of sales offers, retailers must pre-register their offer or discount.Create an enticing offer: Develop a sale offer that will engage your customers. Au Vodka chose a 20 per cent site-wide offer, but other options include offering a gift with purchase.Pre-promote the sale: Ensure your customers know that Clearpay Day is coming by promoting across your social channels, emails and website.“To make the most out of Clearpay Day for any size business I would make sure that all of your potential customers are aware that you are taking part,” says Major. “Also work with Clearpay to use the marketing techniques they recommend and the hashtags relating to the day.”Train your staff: Before Clearpay Day begins, ensure your staff – both in-store and online customer support – are familiar with the discount or offer and understand how to use Clearpay.

Tips to drive more sales during Clearpay. Day

Want to maximise sales during Clearpay Day? Real retailers share their tips

How retailers can make the most of Clearpay Day  | Clearpay Access

How to make the most of Clearpay Day 

The ultimate guide to creating a rewards scheme that keeps your customers coming back.

The importance of customer loyalty can’t be underestimated. It is customer loyalty that drives repeat business and keeps acquisition costs low, and it can even increase average order value, with existing customers likely to spend<a href="https://www.semrush.com/blog/customer-retention-stats/" rel="noopener noreferrer" target="_blank"> 31 per cent</a> more than new ones.

And there are myriad ways to encourage repeat business; customer loyalty programmes can range from the simple – such as classic coffee stamp cards – to the sophisticated, like exclusive VIP lists.

But not all loyalty programmes are equal – and, if mismanaged, rewards programmes can end up costing your business rather than growing it.

<h2>What is a customer loyalty programme (and why you need one)</h2>

Customer loyalty is what motivates your customers to choose your brand over the competition – a customer loyalty programme should incentivise that sense of loyalty by rewarding customers for shopping with you.&nbsp;

Why implement a customer loyalty programme? Because they work. Studies show that loyalty programmes increase spending, plus:<ul><li>Loyalty programmes decrease your cost of sale: Acquiring a new customer can<a href="https://www.huify.com/blog/acquisition-vs-retention-customer-lifetime-value" rel="noopener noreferrer" target="_blank"> cost five times more</a> than retaining an existing customer.&nbsp;</li><li>Customer loyalty is infectious: Research shows that<a href="https://www.customerexperienceinsight.com/happy-customers-spread-the-word-heres-how-to-help-them-do-it/#:~:text=Almost%2070%25%20of%20customers%20who,to%20research%20compiled%20by%20Groove." rel="noopener noreferrer" target="_blank"> 70 per cent of happy, satisfied customers</a> who’ve had a positive experience will spread the word about your business by recommending you to others. Those people, in turn, are<a href="https://rocketmarketinggroup.com/5-reasons-why-customer-loyalty-programmes-are-so-important/" rel="noopener noreferrer" target="_blank"> 83 per cent more likely</a> to listen to a referral than any other form of marketing.<a href="https://rocketmarketinggroup.com/5-reasons-why-customer-loyalty-programmes-are-so-important/" rel="noopener noreferrer" target="_blank"> Reportedly</a>, referrals generate two times the sales of paid advertising.</li><li>Loyalty programmes double as marketing research: If designed and implemented correctly, customer loyalty programmes can provide valuable insights into your customers. Thanks to increasingly sophisticated digital marketing software, businesses can<a href="https://rocketmarketinggroup.com/5-reasons-why-customer-loyalty-programmes-are-so-important/" rel="noopener noreferrer" target="_blank"> now track and discover customer buying habits</a> along with what incentivises them most (and least). This data can be used to improve your customer loyalty programme and inform your wider marketing strategy.</li></ul>

<h2>How to create a customer loyalty programme</h2>

<h2>1. Set your objective</h2>As with any successful strategy, it’s important to get clear on what you’re trying to achieve – and why – before investing time and resources implementing it.&nbsp;Are you a new business trying to attract new customers? Your primary objective might be referrals.Are you trying to increase overall spend? If so, your objective may be<a href="https://help.klaviyo.com/hc/en-us/articles/360000676712-How-to-Calculate-Average-Order-Value-AOV-" rel="noopener noreferrer" target="_blank"> increased average order value (AOV).</a>Other objectives include increasing purchase frequency (to help reduce turnover) or<a href="https://www.omnisend.com/blog/6-reasons-implement-customer-loyalty-programs/" rel="noopener noreferrer" target="_blank"> increasing brand advocacy</a> (to generate word-of-mouth marketing).

<h2>2. Understand your customers</h2>To create a truly successful customer loyalty programme it’s important to understand who your customers are and what motivates them.<a href="https://www.bdc.ca/en/articles-tools/blog/6-steps-create-customer-loyalty-program" rel="noopener noreferrer" target="_blank">Examining data around what your customers buy,</a> how much they spend, how satisfied they are with your company, how much profit you make from their purchases, and what other products or services they buy is an important place to start. If your business doesn’t have such data readily available, there are various ways to get to know your customers. These include:

<ul><li>Social media: &nbsp;Social media is an incredible resource for candid customer opinions and market research. Consider using surveys or polls on platforms such as LinkedIn, Facebook and Instagram to find out more about your customers and what motivates them.</li></ul>

<ul><li><a href="https://www.omniconvert.com/blog/conversion-rate-optimization-customer-journey-optimization-expert-roundup/" rel="noopener noreferrer" target="_blank">Track</a>ing customer behaviour: Customer relationship management (CRM) software or even raw purchase data can help you understand your customer and which types of rewards might motivate them.</li></ul>

<ul><li>Email lists: Monitoring click-through rates and bounce rates will deliver insights into what interests your customers (and what switches them off).</li></ul>

<h2>3. Determine your loyalty collection approach</h2>

Loyalty programmes come in all shapes and sizes, but<a href="https://access.afterpay.com/articles/customer-loyalty-programmes" rel="noopener noreferrer" target="_blank"> studies show that 90 per cent of brands fall into three categories</a>.&nbsp;These are:<ul><li>Points-based – where customers receive points for every dollar they spend.</li><li>Tiered – where shoppers are segmented into different tiers according to how much they spend</li><li>Value – where shoppers can ‘earn’ points and distribute them to a charity of their choice.&nbsp;</li></ul>

Find out more about types of <a href="https://access.afterpay.com/articles/customer-loyalty-programmes" rel="noopener noreferrer" target="_blank">loyalty programmes here</a>.&nbsp;

Other loyalty programme models include:<ul><li>Mission-driven programmes: Customer loyalty programmes for organisations with a strong social mission, such as<a href="https://www.benandjerry.com.au/" rel="noopener noreferrer" target="_blank"> Ben &amp; Jerry’s</a>, which donates a percentage of profits to social causes.</li><li>Game-based programmes: A strategy that involves gamifying the purchase of a product or service to encourage repeat spending, such as<a href="https://monopoly.mcdonalds.co.uk/" rel="noopener noreferrer" target="_blank"> McDonald’s Monopoly game.</a>[HMH1] &nbsp;</li><li>Subscription programmes: Loyalty incentives that reward subscribed customers, like<a href="https://www.amazon.com.au/firstreads" rel="noopener noreferrer" target="_blank"> Amazon Prime’s First Reads programme.</a></li><li>Referral programmes: Growth-driven strategies that reward customers for attracting new buyers with referrals, such as<a href="https://www.hellofresh.com/" rel="noopener noreferrer" target="_blank"> </a><a href="https://www.hellofresh.co.uk/" rel="noopener noreferrer" target="_blank">HelloFresh.</a></li></ul>

The ultimate guide to creating a rewards scheme that keeps your customers coming back.

The ultimate guide to customer loyalty programmes that keeps your customers coming back