Why brands are paying creators instead of running traditional ad campaigns.
Companies have started a new marketing strategy that is proving to be very successful in broadening the reach of their brand. Influencing is now a very popular career path for social media personalities. Due to their large following and targeted audiences, companies have recognized that creators are no different from any other form of entertainment. With those entertainment outlets like radio, television, and magazines, all have advertisements. To take advantage of the huge reach these creators have, companies have started paying them to use or display their brand or product in their content. It seems that the influencers are happy to work with these companies on advertisement because of the compensation. It is also a good thing for the companies as well because the influencers salary is flexible based on the amount of followers or reach they have. This means that companies could be getting much better returns on paying influencers than running actual marketing campaigns through regular media advertisements.
When companies work with influencers, it seems to be little differences between movie directors work with different calibers of actors and actresses. The bigger the influencer, the more creative control the companies reaching out to them are going to have to give up. There are companies that pay the influencer for one time posts and some even sponsor the influencer to promote their brand in all of their content or in their profile. Some smaller companies send random products to bigger influencers in hopes that they promote the product naturally. That strategy does save a lot of money and can give a massive boost to their popularity but is an extremely rare instance because most influencers recognize how much their promotion is worth.