Effectiveness of Influencer Marketing in Marketing of Fashion Brands in China

RESEARCH PROPOSAL: EFFECTIVENESS OF INFLUENCER MARKETING IN MARKETING OF FASHION BRANDS IN CHINA
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Contents 1.0 Introduction. 3 2.0 Literature Review.. 5 2.1 Selection of Influencers. 5 2.2 Outcomes of Influencer Marketing. 8 2.3 Influencer and Brand Performance. 10 2.4 Research Gap. 11 3.0 Methodology. 12 3.1 Research Method. 12 3.2 Data Collection. 13 3.3 Data Analysis. 13 3.4 Overall Plan. 13 4.0 Timetable. 14 References. 16
1.0 Introduction
In recent years, influencer marketing has emerged as a popular contemporary advertising trend where a business pays social media influencers to promote products or services to their followers. According to a study by Data Bridge Market Research (2022), the global influencer marketing industry was estimated to be worth $7.36 billion in 2021 and is projected to grow at an annual growth rate of 32.50 percent in the next 8 years to reach $69.92 billion by 2029, demonstrating its growing importance in the advertising landscape. A report by Influencer Marketing Hub (2022) found that 75 percent of marketing departments were considering setting aside a part of their budget to spend on influencer marketing (Leung et al., 2022). The growing relevance of influencer marketing as an advertising trend can be attributed to its potential to reach younger audiences who may be difficult to engage with through traditional advertising channels. In addition, influencer marketing is often viewed as a more authentic and trustworthy approach to advertising, as influencers are perceived to have a closer relationship with their followers and can provide genuine product recommendations.
Despite the increasing relevance of the influencer market, there is still a lack of research on its effectiveness and how it compares to traditional advertising methods. Leung (2022) notes that there are marketers who have directed their resources toward influencer marketing but have no way of determining whether the resources were beneficial for them. To this end, influencer marketing is one of the most challenging advertising approaches to implement and assess, especially in cases where a company lacks decision criteria to guide the process (Leung et al., 2022). Some studies have suggested that influencer marketing can have a positive impact on brand awareness (Sundermann and Munnukka 2022) and purchase intent (Trivedi and Sama 2020), while others have found that it may not be as effective as initially thought (Bannigan and Shane 2019). Therefore, there is a need to investigate the effectiveness of influencer marketing to facilitate decision-making by marketers. The key emerging question is: What is the effectiveness of influencer marketing compared to traditional advertising methods in promoting brand awareness and purchase intent?
The proposed study will aim to conduct a systematic review of the existing literature to investigate the effectiveness of influencer marketing as a contemporary advertising approach in the marketing of luxury fashion brands, specifically in terms of its impact on brand awareness and purchase intent. Consequently, the two research questions that shall be investigated in the study are:
* What is the effectiveness of influencer marketing in the marketing of luxury fashion brands such as Gucci in China compared to traditional advertising methods in terms of brand awareness?
* What is the effectiveness of influencer marketing in the marketing of luxury fashion brands such as Gucci in China compared to traditional advertising methods in terms of purchase intent?
The objectives of the proposed study will be:
* To identify relevant studies on the effectiveness of influencer marketing in the marketing of luxury fashion brands such as Gucci in China with regards to promoting brand awareness and purchase intent.
* To discuss the implications of the findings for fashion brands and provide recommendations for the optimal use of influencer marketing methods to maximize their advertising effectiveness.
2.0 Literature Review
Notably, the effectiveness of influencer marketing has been a subject of interest among scholars and practitioners in marketing. The focus of some studies has been identifying the factors that influence the effectiveness of influencer marketing, with most studies observing that the effectiveness of an influencer marketing advertising approach depended on the efficient selection of the influencer for a given brand (Vodak et al., 2019; Dhun and Dangi, 2023). Equally, some of the studies have focused on identifying the outcomes associated with leveraging influencer marketing to promote products and services (Trivedi and Sama, 2020; Ali and Alqudah, 2022).
2.1 Selection of Influencers
There is a consensus among researchers that the success of influencer marketing heavily depends on the extent to which a company identifies the ideal influencer to promote their products. Vodak et al. (2019) suggest that organizations need to develop a set of decision criteria to facilitate the selection of influencers for their marketing campaigns. These decision criteria should detail the requirements for an influencer, including their reach, relevance, and resonance with the brand. In addition, the criteria should also specify the channel that should be used by an influencer, as different channels may be more effective for different types of products or services. The product fit should also be considered, as selecting an influencer who is a good fit with the product or service being promoted can increase the effectiveness of the campaign. Finally, an ROI analysis should be conducted to ensure that the influencer marketing campaign is cost-effective and provides a positive return on investment for the organization. This approach is in line with similar studies such as Janssen, Schouten, and Croes (2022) and Lou and Yuan (2019) that emphasize on the importance of carefully selecting influencers for marketing campaigns and ensuring that they are a good fit for the brand and its products or services. By developing a set of decision criteria for selecting influencers, organizations can increase the effectiveness of their influencer marketing campaigns and achieve their marketing objectives more efficiently (Vodak et al., 2019).
Notably, Janssen, Schouten, and Croes (2022) conducted a study to explore the impact of product influencer fit and the number of followers on the effectiveness of influencer marketing campaigns. They conducted a between-subject experiment with 432 Dutch Instagram users and found that influencer fit and the number of followers were complementary in their influence on the effectiveness of influencer marketing campaigns. Their results suggested that positive outcomes were highly likely to result where there was significant influencer-product fit.
In the same vein, Dhun and Dangi (2023) conducted a study to investigate the impact of influencer credibility and influencer product fit on advertising objectives. Their study utilized a survey of 383 Instagram users and used SEM modeling for data analysis. The findings of the study showed that influencer expertise and fit with the product had a positive impact on brand image and user purchase intentions. These results are consistent with prior research that has emphasized the importance of credibility and fit when selecting influencers for advertising campaigns. Similarly, Lou and Yuan (2019) conducted a study to investigate the effectiveness of influencer marketing in social media and the mechanisms that explain its success. The study focused on the variables of source credibility and advertising value and utilized PLS path modeling to analyze the data. The results of the study revealed that the informative value of a given product, the trustworthiness of the influencer, and their attractiveness played a critical role in determining the extent to which social media users trusted the influencer's branded posts. These findings provide valuable insight into the factors that influence the success of influencer marketing campaigns and highlight the importance of building trust and credibility with consumers.
Interestingly, some researchers have considered the likelihood that the most important element that an organization should consider when selecting an influencer is the parasocial relationship with followers. In their study, Masuda, Han, and Lee (2022) investigated the role of parasocial relationships (PSR) in the effectiveness of influencer marketing. The study collected data from participants who purchased a product after watching YouTube influencer advertisements. The results showed that PSR had a significant effect on purchase intention, and was a stronger predictor of effectiveness than the expertise or trustworthiness of the influencer. This suggests that social connections and relationships with influencers are crucial factors in influencing consumer behavior. The findings are particularly relevant for marketers and brand managers, as they highlight the importance of developing and maintaining relationships with influencers that resonate with their target audience. Furthermore, the study underscores the importance of understanding the nature of the relationship between the influencer and their followers, as it can significantly impact the success of influencer marketing campaigns. By prioritizing PSR in their influencer marketing strategies, organizations can create more effective campaigns that are better able to drive consumer behavior and improve their overall marketing outcomes.
2.2 Outcomes of Influencer Marketing
Notably, most of the research studies have identified the positive outcomes associated with influencer marketing. In their study, Ali and Alqudah (2022) explored the impact of influencer marketing on brand image, purchase intention, and brand loyalty. The study involved a survey of 300 respondents, and the data were analyzed using structural equation modeling (SEM). The results of the study showed that influencer marketing had a significant impact on brand equity and customer engagement. Specifically, the study found that influencer marketing positively influenced brand image, which in turn led to increased purchase intention and brand loyalty. These findings provide important insights for marketers and brand managers seeking to utilize influencer marketing as part of their overall marketing strategy. By understanding the impact of influencer marketing on brand image, purchase intention, and brand loyalty, organizations can develop more effective influencer marketing campaigns that are better aligned with their overall marketing objectives.
Li and Peng (2021) conducted a study to examine the impact of influencer marketing on purchase intention, and the moderating effects of perceived expertise and homophily of the influencer. The study collected data from 510 Weibo users, and the results showed that influencer marketing had a positive impact on purchase intention. Furthermore, the effect was stronger when the influencer was perceived to be more knowledgeable and when there was a higher level of homophily between the influencer and the user. Importantly, the study also found that brand connection mediated the relationship between influencer marketing and purchase intentions. This suggests that the success of an influencer marketing campaign depends not only on the expertise and homophily of the influencer but also on the degree to which the brand resonates with the user. These findings have important implications for marketers and brand managers, as they highlight the need to carefully select influencers that are perceived as experts and share similarities with the target audience, as well as develop strategies tha...