Are Consumers Still Buying What Celebrities, Influencers Are Selling?

Aug 14, 2024 at 2:26 PM

The Rise of the Micro-Influencer: Authenticity Trumps Influence

As the influence of social media on shopping habits continues to grow, a shift is underway. Consumers are becoming increasingly skeptical of the impact of celebrities and online personalities, with a significant portion of social media users intentionally avoiding purchases influenced by these figures. This trend is particularly pronounced among Gen Z, who are driven by a desire for authenticity, environmental consciousness, and financial responsibility.

Consumers Crave Genuine Connections in the Digital Age

The Decline of Influencer-Driven Purchases

According to a recent Harris Poll study conducted for Credit Karma, nearly 69 percent of American social media users have been "de-influenced," meaning they have intentionally chosen not to purchase items advertised on social media. The primary reason for this decision is a lack of trust in social media influencers, cited by 32 percent of consumers.

Gen Z Leads the Charge Toward Authenticity

At the forefront of this shift away from influencer-driven purchases is Gen Z, the youngest generation in the workforce. This generation's growing skepticism toward influencers is closely tied to their values and economic circumstances. Gen Z consumers are more environmentally and socially conscious than their predecessors, and they are increasingly aware of the negative consequences of overconsumption. Additionally, as they navigate significant economic challenges such as inflation, high housing costs, and substantial debt, Gen Z is promoting "de-influencing" and "underconsumption-core" as a way to save money and romanticize what they already own.

The Rise of Micro-Influencers

In response to this evolving consumer mindset, micro-influencers are becoming increasingly prominent in the marketing landscape. These individuals, often possessing smaller but highly engaged audiences, offer a level of authenticity and personal connection that consumers are currently seeking. Micro-influencers build loyal, engaged audiences by creating content about their genuine interests and focusing on building strong connections with their viewers. As a result, their audiences are more likely to feel a sense of inclusion and trust in the recommendations they provide.

Authenticity and Engagement: The Keys to Micro-Influencer Success

One example of this phenomenon is Ciara Haith, a fashion and beauty micro-influencer who has seen steady growth in audience engagement in recent months. Haith attributes her success to her authenticity and willingness to consistently engage with her audience. She emphasizes the importance of responding to comments and engaging in conversations, as this helps viewers feel included and connected. Haith also notes that when viewers can tell content is sponsored or see a hashtag indicating it's an ad, it tends to get less engagement. As a result, she strives to be more creative and authentic with sponsored posts, finding new ways to promote them in a genuine manner.

The Enduring Influence of Macro-Influencers

While micro-influencers are currently taking center stage, William Gasner, chief marketing officer of Stack Influence, believes that macro-influencer marketing hasn't left its infancy. Gasner suggests that the reason brands are incrementally spending more budget on influencers versus social ads is that consumers' social feeds have become bombarded with ads, leading to a sense of jadedness. However, when a consumer sees an authentic testimonial from a micro-influencer they can relate to, it can be more enticing and trustworthy than a polished advertisement.

The Lasting Power of Celebrity Partnerships

Despite the growing consumer skepticism about the influence of online personalities, the use of celebrities in brand social and traditional media campaigns remains superior. According to 5WPR's 2024 Consumer Report, celebrity-driven campaigns continue to be highly impactful, particularly among consumers aged 25 to 44. Nearly half of consumers in this age group view being informed about a product or service by a recognizable celebrity on social media as a form of word-of-mouth marketing, which is especially powerful given their "significant spending power."

Calvin Klein's Successful Celebrity Partnerships

One brand that has successfully leveraged the power of celebrity-driven marketing is PVH-owned Calvin Klein. Though designer Calvin Klein initially hesitated at the thought of producing television advertisements, the designer changed his tune in 1980 when it aired a series of denim commercials starring 15-year-old Brooke Shields. Fast-forward to 2024, the New York-headquartered brand has "masterfully combined" its strong brand identity with strategic celebrity partnerships like Kendall Jenner, Jeremy Allen White, Troye Sivan, and more, creating captivating campaigns. According to Leslie Bishop, managing partner and executive vice president of global strategy at 5WPR, Calvin Klein has a long-standing history of maintaining a consistent identity, carefully selecting celebrities who resonate with their evolving core demographic. This consistency, coupled with the brand's ability to adapt to cultural shifts, ensures that Calvin Klein remains relevant and impactful across different generations.