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Big and small brands in Bangladesh, more often than not, brainstorm on how to reach their target customers. According to analysts, it can be realised most effectively via social media influencers.
Over the past couple of years, the country has seen a notable rise of social media influencers. They have created platforms where they promote local products or services. Brands also sponsor them as they receive a good Return on Investment (ROI).
But how do these influencers affect businesses?
When a new company looks for ways to promote its products, it relies on the influencers with huge social media followings to have its products recommended to general people.
An influencer in partnership with a company raises awareness about its brands and help reach its target customers. The company either sends them the review units of their products for free or offer them money in exchange for promotion of their products.
This is not the only benefit that influencers provide. In times of crisis, they do not hesitate to use their platforms to raise voices and spread awareness. From raising money for an organisation to helping distribute clothes to the needy, influencers participate in almost every event and inspire others to follow suit.
So, the question is how sensible would it be to issue licences to influencers in Bangladesh?
According to recent development, social media influencers in the United Arab Emirates (UAE) is required to get a licence to continue sharing content and making money from their posts. So far around 1,700 licences have been issued in the UAE and the cost of a license is around US$4,000 per year.
To be eligible for a licence, an applicant has to be minimum 21 years old and hold a bachelor’s degree.
The UAE reserves the right to revoke an influencer’s licence in the event he or she misleads a buyer. In this way, the country is ensuring a safer platform for buyers.
If Bangladesh takes a similar step to issue licences to social media influencers, it will help brands grow further in the following ways:
Firstly, it will build trust among influencers, brands and customers as they will be in the loop of a company’s marketing process.
Secondly, scamming will be obliterated as the influencers will be more careful about their social media activities.
Thirdly, brands will get the expected return on their investment as every step of the marketing process will take place through paperwork.
However, if Bangladesh chalks up the similar conditions like those of UAE on issuing licences to social media influencers, most of them will neither meet the criteria nor be able to afford it. So, the license needs to be issued keeping the requirements of the brands, influencers and customers in mind.
According to napoleoncat.com statistics, there are 37,912,000 Facebook and 2,270,500 Instagram users in Bangladesh as of March 2020. The data shows that local businesses can reap the benefits of influencer marketing.
If managed well, influencer marketing can be a great strategy for a company. It can be used as a tool for increasing brand awareness, generating leads and getting the business gain traction.
Many local businesses in Bangladesh think that it’s one of the best digital marketing strategies.
Licensing influencers will build credibility with customers and help businesses get a justified return on their investment. It’s a win-win situation all.
Imara Azad is an A level's student.