2023 Brand Ambassador Marketing Stats

Amid the prevalence of the internet and social media, brand ambassador marketing has become one of the effective ways to reach out to a wider range of audiences. Ambassador marketing is a marketing strategy that aims to hire avid customers of a product or established personalities for product promotion and sales. Whether it’s for promoting food, entertainment, or hygiene products, brand ambassador marketing is included in the marketing strategies of most businesses today. 

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If you are thinking about using brand ambassador marketing in your business, but don’t know where to start, understanding the marketing stats is a good first step. In this article, we share with you statistics from the eCommerce Fastlane 2023 report and analyze them one by one. Make sure to keep reading till the end for the complete details. 

What Is Brand Ambassador Marketing?

Ambassador marketing is the term used to define a marketing strategy where businesses partner with brand ambassadors to promote their products or service on different platforms and events. Typically, businesses employ famous celebrities or social media influencers as their brand ambassadors. However, nowadays, they also tap loyal customers or users of their products to be their brand ambassadors and represent their products.

How Does Brand Ambassador Marketing Work?

When a company decides to use brand ambassador marketing for its business, they begin with identifying trustworthy individuals who can represent its products effectively. After they have chosen a suitable individual to advertise their products, they recruit them as their brand ambassadors. Depending on the agreement or contract, the chosen brand ambassadors may need to undergo training or orientation to learn more about the product details. They may also be provided with exclusive products or services to share with their followers. 

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After orientation or other formalities, brand ambassadors can start promoting the products by posting content, such as photos and videos on various platforms such as social media. They may also host a live streaming show advertising the products and interact with their target audience in real time. 

2023 Brand Ambassador Marketing Stats - Explained

Now that you have a clear understanding of what brand ambassador marketing is and how it works, let’s get into the important stats you need to note before implementing this strategy in your business.

1. 68% of brands plan to invest more in their influencer marketing initiatives

The word "influencer" is used to name people who have a large following on social media or other online platforms. Due to their popularity, influencers are typically employed as brand ambassadors to promote services and products that fall under their niche. Unlike brand ambassador marketing, influencer marketing focuses on employing influencers and not product users. 

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With 68% of brands planning to invest more in their influencer marketing initiatives, we can observe that both local and international brands put a lot of value on the impact that influencers can have on their target audience. As this trend continues, it is likely that more brands will continue employing influencers as brand ambassadors in the coming years.

2. 69% of brands or businesses are working with smaller creators

Believe it or not, the majority of brands or businesses are opting to work with small creators. Small creators or micro-influencers are social media influencers or content creators who have a smaller following compared to established personalities or celebrities. You’re probably wondering now why businesses work with them instead of the bigger creators. There are various benefits to working with smaller creators, such as cost-effectiveness, availability, authenticity, and engagement. Smaller creators often charge lower than established creators because they don’t have a lot of followers yet. Additionally, they have more availability and free time to work with businesses and brands. 

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Besides cost-effectiveness and availability, micro-influencers are sought after because of their authenticity. Smaller influencers who only endorse a few products can be perceived as more credible. More often than not, when influencers endorse a lot of products, customers wonder whether they are just doing it for money and may question their authenticity.

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Despite having relatively low followers, small creators boast of up to 60% increased engagement rate compared to established creators. Increased engagement leads to greater visibility and reach which can help increase brand awareness, attract new customers, and boost sales. 

3. Majority of influencers (83%) are open to collaborating with brands in exchange for free products

The terms and conditions of a marketing agreement can vary from one business to another. Typically, promoters are paid for their content, but nowadays, 83% of influencers are willing to accept free products in exchange for promotion. This is likely because receiving free products allows them to discover new products that they can share with their followers. 

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Furthermore, accepting free products in exchange for promotions can foster good relationships between influencers and brands. Oftentimes, establishing good relationships with businesses leads to future collaborations and partnerships. Businesses can benefit from this arrangement as well because they won’t need to pay any commission to generate buzz about their products.

4. 68% of businesses and 80% of creators want to increase their visibility on TikTok

Although TikTok is primarily known for being an app for fun and entertaining short video clips, it has become one of the most powerful platforms for marketing campaigns. TikTok has more than 2.6 billion downloads and 1 billion active users each month. Hence, it just makes sense that most businesses and creators want to increase their visibility on the app to reach more audiences and potential customers. Furthermore, TikTok is free to use for everyone, making it a cost-effective platform for promotion and business. 

5. A vast majority of brands (94%) plan to allocate more funds for video content

In recent years, video content has become increasingly effective in promoting products and services. By producing video content for a product, businesses can give potential customers an idea or experience of what it feels like to have or use a product. Video content is also more detailed and customers can assess the product more before buying. Compared to image content, video content also triggers emotions that are necessary to leave a lasting and memorable impression. 

Discover How You Can Manage Your Brand Ambassadors More Efficiently

Struggling with managing your brand ambassadors in different locations? If the answer is yes, then you may need to level up your management software through StaffConnect. StaffConnect is a business management software that streamlines tasks, automates processes, and reduces work hours. It is designed with tools and features such as GPS Check-In and Out for tracking employee attendance in real-time and a communications hub for enhanced collaboration. 

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If you are ready to test StaffConnect's practical tools and functionalities, feel free to schedule your free demo and see if our solutions are a fit for your business.