How times change! The whole point of influencer market has traditionally been based on the perceived neutrality of influencers. However, new research suggests that the likelihood of viewing a brand positively following an influencer’s recommendation was roughly the same whether or not a relationship between the brand and the influencer had been disclosed.
Source: HBR Ascend, November 1, 2019. Link. Researchers have found that in any particular year, disclosure makes almost no difference to the impact of the influencer’s recommendation on the purchase decision. They also find that influencers’ recommendations have become steadily more important in the purchase decision from 2015 to 2018, and the 2017 growth in disclosures has made no difference to that rise.
NOTE: Concerned that commercial interests would drive peer-to-peer interactions, the FTC has since 2017 invited companies and influencers, with its endorsement guides, to disclose brand relationships, displaying the hashtag #ad or the mention “paid partnership” in a prominent position.
INSIGHTS: This is important information for marketing and sales teams to consider.