Influencer marketing utilizes individuals with credibility and reach on social media to promote brands and products. Influencers create sponsored content on platforms like Instagram, YouTube, and TikTok, impacting their audience's buying habits and actions. This strategy involves brands partnering with influencers who have an established audience to generate discussion and positive mentions through social media posts, leveraging the influencer's perceived expertise and trustworthiness to drive brand awareness and sales.
In 1940, the two-step flow of communication model was introduced in The People's Choice by Paul Lazarsfeld, Bernard Berelson, and Hazel Gaudet.
In 1955, the two-step flow of communication model was further developed in Personal Influence by Lazarsfeld and Elihu Katz.
In 1960, the two-step flow of communication model was further developed in The Effects of Mass Communication by Joseph Klapper.
Studies in Thailand by Cantawee et al. in 2012 show a connection between an influencers' perceived authenticity and creativity and their effectiveness at marketing.
A 2015 article indicates that attributions drive endorsers and that globally 77% of shoppers would or may take action following endorsements from family, friends, and online reviews, showcasing the impact of word-of-mouth marketing.
In 2016, Lil Miquela was introduced as an early realistic virtual influencer, prompting curiosity and speculation until it was revealed she was created by advertisers.
In 2016, the FTC began large-scale enforcement of sponsored content disclosure, sending letters to companies and influencers who failed to disclose. Many Instagram influencers responded by using #ad.
In 2017, following the success of influencers landing sponsored content deals and increased engagement after disclosure, some creators began launching their own product lines.
In 2017, the FTC sent over 90 educational letters to celebrity and athlete influencers, reminding them of their obligation to disclose business relationships. The FTC also took actions against YouTubers Trevor Martin and Thomas Cassell for deceptively endorsing an online gambling site.
In 2018, an analysis of over 7,000 influencers in the UK revealed that about half of their followers had up to 20,000 "low-quality" followers themselves. Another study found that 12% of UK influencers had bought fake followers.
In mid-2018, backlash to sponsored content became more prominent, leading many influencers to shift their focus towards authenticity.
Per Abidin in 2018, Internet celebrities often become entrepreneurs by turning the window of fame that they built through being influencers into income streams, selling branded products, or sponsoring with companies.
In 2019, influencer fraud, including fake followers, was estimated to cost businesses up to $1.3 billion, which was about 15% of global influencer-marketing spending.
In October 2022, a report revealed that some influencers promoting Dubai engaged in prostitution, using their high-profile to find clients and charge higher rates, despite it being illegal in Dubai.
According to Hund in 2023, the influencer marketing industry's focus on authenticity can create negative pressures for young entrepreneurs trying to maintain idealized online personas, neglecting their own personal identity for commercial intent.
In 2023, a Junior Achievement survey found that 76% of US teens were interested in becoming entrepreneurs, with most citing social media influencers as their inspiration.
Globally, 86% of brands planned to use influencer marketing in 2024.
In 2024, Cheng, Guo, and Zhao described mastery of algorithms and digital reputation as a new form of social capital, encouraging youth to view posting simple videos as a profession.
Research from Okereke and Eze in 2025 shows that influencer marketing has allowed youth in Nigeria to use social media and different digital marketing tools for business creation.
By 2026, a large number of A.I. influencers existed and even A.I. versions of real-world celebrities were created by advertisers to generate income through advertisements, due to fast improvements in A.I.
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