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Influencer marketing occurs when a brand elicits an individual to publicly promote or review its product in exchange for some benefit, which can often be either monetary or material. This practice has exploded in today’s marketing and advertising industry due to its high return on investment for businesses and income

Influencer marketing occurs when a brand elicits an individual to publicly promote or review its product in exchange for some benefit, which can often be either monetary or material. This practice has exploded in today’s marketing and advertising industry due to its high return on investment for businesses and income potential for influencers. With this new and evolving process comes a struggle to establish and maintain regulations between brands, consumers, and influencers. Because influencer marketing is purely based on authenticity and trust between the influencer and the consumer, disclosure or lack thereof can seriously impact the validity of the endorsement. I conducted a study in which consumers were shown a staged influencer post and asked to answer a series of questions regarding compensation, appeal, authenticity, and influence, under three different conditions. Condition A showed an influencer’s post with only general information, Condition B revealed that the post was in collaboration with Tory Burch, and Condition C stated that Tory Burch told the influencer when and where to make the post. I found that as the influencer disclosed more about how she was compensated and controlled by the brand, respondents found the content less appealing, less authentic, and reported that they thought a brand had more influence and compensated her more to create the post. These findings support the idea that influencer marketing requires a level of honesty and trust between the consumer and influencer, and a lack of this causes negative sentiments and less effective results. Moving forward, brands and influencers alike must work to foster more transparent and authentic connections in order be in compliance with FTC regulations as well as maintain meaningful connections with consumers.
ContributorsLoy, Brooke Ellise (Author) / Giles, Charles (Thesis director) / Montoya, Detra (Committee member) / Department of Marketing (Contributor) / Barrett, The Honors College (Contributor)
Created2019-05