The Monetisation of Influencer Marketing

February 1, 2025

Influencer Marketing in 2025: What Businesses Need to Know

Influencer marketing has become an indispensable tool for businesses to connect authentically with their consumer and drive a higher propensity to purchase. An influencer has the capability to drive hundreds of people through an e-comm store door within hours of a post, so quite rightly, the tide is turning on this power and influencers are requiring payment to provide such an important sales function.

As we step into 2025, understanding the changing landscape of influencer marketing is crucial. Here we dive into the latest insights, benefits and costs of influencer marketing today.


Benefits of Influencer Marketing Campaigns

Collaborating with influencers offers numerous advantages:

  • Enhanced Credibility and Trust: Shopify reports that 69% of consumers trust influencer recommendations over information direct from a brand.
  • Improved Return on Investment (ROI): Dash reports that brands earn on average $4.12 for every $1 spent on influencer campaigns.
  • Engagement delivers a higher propensity to purchase than reach and awareness. Nano influencers (1,000–10,000 followers) and Micro-Influencers (10,000–50,000 followers) often have highly engaged audiences. According to The Social Shepherd, Nano-influencers, boast an engagement rate of 2.19%, far higher than those with a larger following.  
  • Consumer Trust: Statista reports that 84% of UK based Generation Z follow influencers, and in Vista’s bespoke 2025 social media research, 32% of mums admitted to be more likely to buy a product after seeing it in an influencers post. 60% of Vista’s respondents admit to having purchased directly following an influencer recommendation and this percentage rose to 68% with the slightly younger mums of pre-schoolers.


Expected Costs of Influencer Partnerships

The cost of influencer collaborations varies based on several factors, including the influencer's follower count, platform, and engagement rate. According to fiverr.com, while there is nuance in terms of industry, niche, engagement and posting requirements, the average remuneration to factor when opening-up negotiations:


  • Instagram:
  • Nano-influencers (1,000–10,000 followers): £20–£100 per post
  • Micro-influencers (10,000–50,000 followers): £100–£500 per post
  • Mid-tier influencers (50,000–100,000 followers): £500–£5,000 per post
  • Macro-influencers (100,000–500,000 followers): £5,000–£10,000 per post
  • Mega-influencers (500,000+ followers): £10,000+ per post
  • YouTube:
  • Nano-influencers (1,000–10,000 followers: £60–£850 per video
  • Micro-influencers (10,000–50,000 followers): £180–£3,000 per video
  • Mid-tier influencers (50,000–100,000 followers: £400–£6,000 per video
  • Macro-influencers (100,000–500,000 followers): £1,100–£20,000 per video
  • Mega-influencers (500,000+ followers): £2,500+ per video


Gifted vs. Paid Collaborations

  • Gifted Collaborations: Providing free products in exchange for content can be cost-effective but can compromise the overall result, from the content produced, the time investment that an influencer is willing to make and the commitment to delivering brand key messages.
  • Paid Collaborations: Offers the brand more control over content, delivering higher-quality delivery and a commercially structured professional partnership. Paying the influencer demonstrates that the brand respects the process and the power that the influencer holds in driving awareness, credibility and sales.

 

Linking a Collaboration to Commercial Objectives

At Vista, we meticulously analyse the important metrics to assess the commercial success of influencer collaborations. Key performance indicators include:

  • Watch Time: With filmed content, the cumulative amount of time viewers spend watching the film, helps us to understand content appeal and retention. A higher average watch time indicates strong audience interest, intent and content effectiveness. We work with industry acknowledged timeframes, to set watch-time benchmarks to demonstrate successful engagement rates.
  • Views: The total number of times a piece of content has been watched, indicating its reach.
  • Engagement Rate: Encompassing likes, comments, shares, and saves, reflecting audience interaction and interest.
  • Click-through: The number of people who click onto the business e-comm from the influencer content. Different platforms vary in the journey from influencer to e-comm and we ensure this as seamless as possible For added reassurance on the metrics, all URLs embedded with either a UTM (assessed via Google Analytics), or a Bitly link (managed via Vista’s account).
  • Drop-off Rate: The percentage of viewers who stop watching before the Reel concludes, highlighting areas where audience interest waned, to learn and apply to future briefings.


These stringent review processes, set-up with each influencer at the outset of a collaboration provides a comprehensive understanding of its performance, enabling us to refine strategies and optimise future collaborations.


The Power of Reels

Sprout Social reports that Reels are the most engaging post type on Instagram, with an average engagement rate of 1.23%.


In conclusion

Influencer marketing in 2025 presents a dynamic and effective avenue for businesses to engage with their target audiences. By understanding the benefits, costs, and industry-specific advantages, companies can craft strategies that resonate and drive meaningful commercial results.


Why Work With Vista Public Relations Influencer Team?

At Vista Public Relations, we specialise in results-driven influencer marketing partnerships. We help clients improve the commercial impact of their influencer strategy.


We take a tailored approach to each campaign, ensuring that influencer collaborations align seamlessly with the brand values, target audience, and business objectives. Our extensive network and deep industry knowledge allow us to facilitate partnerships that drive engagement, build trust, and convert audiences into loyal customers.


If you’re looking to amplify your brand’s presence through influencer marketing, Vista Public Relations has the expertise and connections to make it happen. Let’s create impactful collaborations that truly resonate with your audience in 2025.


Note: The information provided is based on data available as of January 2025 and is subject to change as the influencer marketing landscape evolves.

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