Influencer Marketing is Serious Business
One could say it is actually the definition of modern marketing.
Done well, it offers a multitude of benefits to a business including building credibility, amplification of a message, growth of a network to market to, and of course can impact actual sales.
And $$$$ for the influencers. Restaurant Influencers can be raking in as much as $70K a year in free food, soon to start asking for cash. What’s the story and how will consumer brand trends spill over to the restaurant world?
But why does it still feel like the Wild West?
And sometimes….. a little slimy.
Influencer impact a ton of industries.. all in different levels of maturity and thus unique challenges.
Where it started — Consumer Marketing
Mass Market Consumer Brands latched onto social influencers first. They rode the wave that restaurants are starting to see. Today they are struggling with multitudes of things from MCNs ( multi-channel networks ) and the value they offer in the deal making process ….to attribution modeling…. to getting away from the transactional nature of dealing with content creators. Or as we call it, “the pay-to-play approach.” This industry spends TONS with influencers … anywhere from $5M — $40M a year on influencers alone as part of their overall marketing mix.
This is the world I know… so watching that progression over the past 5 years has opened my eyes to what it looks like at its infancy. You know… ‘knowing how the sausage gets made and what’s about to happen’ kind of Point of View that can shine a light on where things could go in the restaurant industry.
Your world — Restaurant Social Influencers
An industry being deeply impacted with social influencers. And as a New Yorker I follow a $&#*$# ton of influencers. I’ve been watching them more closely over the past 6 months. Following the analytics and data patterns of all levels of social influencers.
The influencers I am talking about focus on impacting restaurant visits and social content who have created a following (one how or another). It’s different from the home cooks and lifestyle bloggers or YouTube content creators — who are 100% getting paid for everything they do.
It’s the social accounts, often localized, growing quickly that gain you attention when they post or repost your content.
This industry is smack in the phase of moving from early adopter to early majority. Restaurants & PR companies are aware of the role of social influencers… and these niche influencers are starting to get their arms around the true financial opportunity being an influencer offers.
Instagram Feeding Frenzy: How ‘Influencers’ Are Changing the Food Scene — Read the Bon Appétit Article
Bon Appétit just published an article around the role of social influencers as publishers in the restaurant world. These influencers offer credibility and “reviews” to bring attention of followers with hopes of inspiring a visit by a follower to the establishment. The article covers the trend on the surface and does a great job. I would push it deeper toward a restaurant POV to consider the value of that post or relationship as an overall part of a restaurants marketing efforts…. with a watchful eye on the increased fraud running rampant.
As a restaurant & a small business owner, this new trend can almost feel like a handcuff. A must if you want to survive in the competitive landscape trying to fill seats and remain relevant. What choice do they have?
“You really need that influencer crowd to come in. It’s kind of sad if they take advantage of the system.” — Emily Dickens, 50 eggs, via Bon Appetit
As an influencer, well, why wouldn’t you start an account, buy followers and be on your way to earning free meals?
That’s an extreme. I know. Don’t get me wrong I love ❤ social content. It inspires me and often reminds me of things I want to try, buy, visit, and share. When it is from a credible source.
I value and believe that there are many qualified influencers in the restaurant world who play an important part in modern marketing.
For every great influencer, it feels like there is a heap of bad apples.
As influencer marketing heats up more for restaurants, the mainstream models of my consumer marketing world may start to creep in causing confusion amongst small business owners / restauranteurs.
Tips: What should be on the minds of restaurant owners?
1. Influencers are currently their own agents. But not for long.
Restaurant influencers are often contacted directly by you. Unlike their counterparts in beauty,fashion & lifestyle, they have yet to hop on the “go-between model” using agents or influencer agencies. This will most likely change as money will start to change hands with further adoption and shifts like Instagram’s new feed that will demand quality content. Look for a rise in agents who manage influencers of value. You will need budget for someone to manage this — social, marketing or PR teams.
2. Governance is important.
False advertising is heavily regulated. There is little regulation I have seen for restaurant influencers — particularly around the FTC guidelines that are cracking down in all industries. The government is making examples in all industries. It’s rare that I see a social influencer posting about a restaurant, even with over 300K instagram followers, properly disclosing that they are endorsing a business. Some of these are not pay to play deals, but I highly suggest reviewing the fresh guidelines to understand how meal exchanges (trade) fit in that murky landscape. Uncle Sam likes to find ways to collect.
3. Do social influencers actually drive sales?
Is all of this flurry of posting, reposting and free meals to influencers impacting bottom line? Or does it just “feel like” it is? Traditionally, social rarely impacts sales. It’s further up in the awareness and consideration funnel. When a restaurant tracks their site traffic or bookings, how much is coming from social? When they see an increase in engagement on social, is that tying to increased sales or bookings? It’s something to think about as a small business as we know that every minute or dollar spent matters.
4. Are those 200 likes in 2 minutes legit?
Ever had that happen ? And everyones account is private or theyve never posted before? Ah. Fraud. Have you thought about it? It runs rampant in the social influencer world. As an instagrammer I can buy 100 comments for $10. Most commonly I will buy followers to get up to the 100k mark… then be legit.
Know who you cast.
Where Fraud Lives: Followers
Where Fraud Lives: Likes & Comments
It’s there.
Things can get messy when payment isn’t changing hands and you barter meals for free social posts. “I know people who, literally, haven’t paid for food in months,” Jackie Gebel, the 26-year-old freelance social media editor-turned-influencer behind the Instagram feed @noleftovers, which boasts 138,000 followers, told me by phone — Via Bon Appetit Article
How do you combat fraud in an environment where influencers who eat out in NYC everyday could be banking up to $70,000 in free F&B?
(A little math…$200 a day / 7 days a week / 52 weeks a year ).
That’s certainly a business even if cash is not being exchanged. As with the other industries, pay to play will creep in offering you at least some form of contract and performance checking. Think about this and perhaps run your influencers through some quick analytics tools before signing them + 3 of their friends up for an all expense paid evening. Check out Instacheck.
5. And most importantly, instagram is NOT your entire marketing strategy. It’s a small part of it. Search is still king for you — particularly on mobile.
A quick note on search …
Search is the #1 way people come to find you. When they are looking up a place to go or visit, they start at google and search. This means that showing up needs to be a #1 priority. Everything you do with apps, social, press, photos, influencers will all add up to increase your search rankings.
And if that wasn’t enough. Restaurants are the #1 thing ( besides anything — health, services, travel )searched for on mobile devices for local search.
- 30% of smartphone users convert immediately to a reservation
- 65% of users look for restaurants they can walk to or quickly drive to ( all about proximity and location) They also want to see environmental shots of the area to know what is close for a drink before or after.
What to do with this ?
The right influencers are important for you to discover and nurture a relationship with. No doubt. It is equally important to think about how you use them.
Go beyond a post. Think of unique ways you can work together to create content that resonates with your shared audiences.
Stay Smart. If it looks like a scam, it very well could be.
Casting is important. Don’t invite everyone over for dinner. Select influencers as partners who have a brand that vibes with yours.
Don’t invest all your time & energy in this one basket. This is just one part of your marketing toolkit.
Get ready for change. The only thing constant in marketing today is change.
About
Lindsey lives & works in Dumbo, Brooklyn. She runs Sunday Dinner. A company that exists to help brand marketers & independent agencies uncover new ways to work together for today’s modern business.
