“Nano-marketing” is more than just a buzzword—it’s a way for companies to capitalize on the current trend of personalized and authentic marketing.
As the millennial generation has grown—both in size and purchasing power—to be the largest demographic segment in the country, companies are trying hard to gain their attention. “As a whole, this group of 80 million prefers photos and mini-videos that are visually appealing and can be processed quickly,” says Jay I. Sinha, associate professor of Marketing and Supply Chain Management at the Fox School. “That is part of the reason why we’ve seen a tremendous surge in the popularity of visual platforms such as Instagram, Snapchat, Pinterest and YouTube, among others.”
Together with Thomas Fung, assistant professor of instruction, Sinha advises the “Right Way to Market to Millennials.”
Who are Micro-Influencers?
It may seem like everyone is “Insta-famous” these days. Micro-influencers are social media personalities who have cultivated their defined brand and fan base, typically between 1,000 and 100,000 people, with very specific areas of focus.
For example, Melissa Alam, BBA ’10, a brand strategist, shares her recommendations for food and drink locations around Philadelphia. She has cultivated relationships with companies like Starr Restaurants and Drink Nation to arrange giveaways of gift cards and event tickets for her 11,000 followers on Instagram. “I’ve been hired as an influencer and worked with many large brands,” says Alam. “I share all sides of my life so that people can relate to me both online and offline if they meet me in person.”
“Micro-influencers bring credibility and authenticity,” says Fung, “typically due to their extroverted nature, relatability, and genuine passion in some niche field.” In Alam’s case, her followers may see her as a real person with insider knowledge and honest advice. “The internet is full of people showing off lavish lifestyles or reaching unattainable goals for the average person,” says Alam. “It’s so important to stay genuine, authentic and true to yourself and your personal brand if you’re trying to attract an honest following.” The grassroots feeling of this kind of marketing allows companies to address the unique needs of individuals through their relationships with micro-influencers.
Advice to Companies
So what do companies need to know to take advantage of this new kind of marketing?
1. Micro-influencers have their own brands and followers with very specific interests.
“They provide opportunities for companies, big and small, to reach out to narrow and often difficult-to-access sub-populations,” says Sinha. For example, he shares that GE used micro-influencers to help find and recruit female technology specialists for the company.
2. Micro-influencers are accomplished and personable storytellers.
Millennials relate well to storytelling. “The best micro-influencers bring in their own personal narratives that mesh well with the brands they endorse,” says Fung. Micro-influencers have been able to build up their own personal brand by leveraging this skill, so companies should encourage sponsored influencers to incorporate their products or services into their own authentic narrative.
3. Micro-influencers are not direct marketers.
Traditional marketers may feel that the sponsored content is not coming across in an obvious way. But with micro-influencers, their endorsements should never feel forced. “Micro-influencers have finessed the subtle ‘nudge’ into an art form,” says Sinha. He notes that many influencers will refuse to accept relationships with brands or companies that are contrary to their own beliefs or interests, which would damage their credibility with their followers.
Beware of Inauthenticity
The biggest pitfall companies should avoid is appearing inauthentic. Millennials are discerning and skeptical consumers who will turn away quickly from a brand or company that they feel are trying too hard or selling out. “Young, creative micro-influencers know their audience well,” says Sinha. “Let them guide the positioning of the product.”
By diligently finding the right micro-influencer to sponsor, companies of all sizes can cultivate marketing relationships that are interactive, personalized and authentic with the millennial generation.
This article is a sneak peek of the next issue of On The Verge, the Fox School’s flagship research magazine. For more stories, visit www.fox.temple.edu/ontheverge.