Cross-border e-commerce is booming in Asia, with Southeast Asia accounting for more than 40% of the total e-commerce market. The rise of user-generated content and live-streaming platforms has created new opportunities for individuals to showcase their talents, share personal experiences, or provide entertainment to a wide audience.
This has led to the emergence of a new breed of Chinese KOLs, who are able to connect with their followers on a more personal level and build trust with them. These powerful trends are shaping the future of KOL marketing in Asia.
Key Opinion Leaders can be celebrities, industry experts, bloggers, or even ordinary individuals who have gained popularity by sharing their knowledge, experiences, and opinions online. These individuals sway public opinion and considerably impact consumer behaviour in the local market.
Thanks to the power of social media influencers over viewers, KOL marketing is a powerful tool for businesses to amplify their brand reach, generate leads, and boost sales in Asia. However, it comes with its own challenges.
Credit: Campaign Asia
Challenges of KOL marketing in China and other markets
KOL marketing is an effective way to reach and engage consumers in China and other markets. However, there are several challenges associated with KOL marketing in China.
The fragmented nature of the Chinese social media landscape: There are hundreds of different social media platforms in China, each with its own unique features and user base. This can make it difficult to identify and reach the right KOLs, and to create content that is relevant to all of your target audiences.
The prevalence of fake KOLs: Unfortunately, there are many fake KOLs in China who have purchased followers and engagement. This can make it difficult to identify genuine KOLs and to measure the true reach of your KOL marketing campaigns.
The cultural nuances of the Chinese market: It is important to understand the cultural nuances of the Chinese market when creating KOL marketing campaigns. For example, Chinese consumers are generally more likely to trust KOLs who are authentic and down-to-earth.
To make the most out of your KOL campaigns, avoid the following practices:
Not having a clear campaign goal. Before starting your campaign, it is important to define your goals and set realistic KPIs. This will help you measure the success of your campaign and make necessary adjustments along the way.
Micromanaging the KOL. Give the KOL the creative freedom to create content that is authentic and engaging for their audience. Avoid being too prescriptive, as this can stifle their creativity and result in less effective content.
Not having a plan for after the campaign. Once your campaign is over, don't forget to follow up with customers and address any questions or concerns they may have. This will help you maintain a positive brand image and ensure customer satisfaction.
Credit: eTOC
Which Platforms Are KOLs Most Active On?
Given the unique cultural environment and media landscape in China and Asia markets, it is important to understand the nature of different platforms and plan your strategies accordingly.
Douyin (China’s TikTok)
Douyin is the most popular social media platform in China, with over 600 million active users. It is known for its short-form videos, which are often entertaining and engaging. KOLs on Douyin are active in a variety of industries, including fashion, beauty, food, and travel. They often use the platform to share their personal lives, promote products, and interact with their fans.
XiaoHongShu (Little Red Book)
XiaoHongShu is a lifestyle platform that is popular among young women in China. It is known for its high-quality product reviews and recommendations. KOLs on XiaoHongShu are often experts in their fields, and they use the platform to share their knowledge and insights with their followers.
Weibo (China’s Twitter)
Weibo is a Chinese microblogging platform similar to Twitter. It is popular among a wide range of users, including celebrities, politicians, and journalists. KOLs on Weibo use the platform to share their thoughts and opinions on current events, promote products, and connect with their fans.
Kuaishou
Kuaishou is a short-form video platform that is similar to Douyin. It is popular in rural China and among working-class people. KOLs on Kuaishou are often relatable and down-to-earth, and they use the platform to share their daily lives and promote products.
WeChat is a major player in the Chinese social media space, deeply woven into users' daily lives. It is used by people of all ages and backgrounds to communicate with friends and family, make payments, and access a variety of services. WeChat Official Accounts are the commonly used platform for KOLs to share content with their followers and promote products. Compared to other platforms, the long-form blog format on WeChat allows for more comprehensive and informative content.
Credit: China Marketing Corp
How to Measure & Track Results of KOL Marketing
The global influencer marketing market is expected to reach $21.1 billion in 2023, up from $13.8 billion in 2021. Did you know 50% of millennials, and 33% of Gen Z-ers have bought a product based on an influencer's recommendation in the past three months?
Even with businesses earning an average of $5.78 for every $1 spent, 65% of brands reported having difficulty measuring ROI in 2021. So, what is the best way to track results of KOL marketing?
Here are 5 solid strategies to measure and track your results.
1. Set clear goals and objectives for your campaign
What do you want to achieve with your KOL marketing campaign? Do you want to increase brand awareness? Drive traffic to your website? Generate leads? Boost sales? Once you know your goals, you can choose the right metrics to track.
2. Use a variety of metrics to measure success
There are many different metrics you can use to measure the success of your KOL marketing campaign, depending on your goals. Some common metrics include:
Reach: The number of people who see your content.
Engagement: The level of interaction with your content, such as likes, shares, comments, and clicks.
Website traffic: The number of people who visit your website after seeing your content.
Lead generation: The number of leads generated from your campaign.
Sales: The number of sales generated from your campaign.
It is important to track a variety of metrics to get a complete picture of how your campaign is performing.
3. Use tracking links to track conversions
Tracking links and UTM parameters allow you to track where traffic is coming from and what actions people are taking on your website. This is essential for tracking the success of your KOL marketing campaign.
To create tracking links, you can use a tool like Google Analytics or Bitly. Once you have created tracking links, provide them to the KOLs you are working with and ask them to use them in their content.
4. Use social media analytics tools to track engagement
Most social media platforms have built-in analytics tools that allow you to track engagement with your content. These tools can provide you with insights into how many people are seeing your content, what they are doing with it, and how they are responding to it.
5. Use CRM software to track leads and sales
If you are using your KOL marketing campaign to generate leads or sales, you can use CRM software to track your progress. CRM software can help you track where leads are coming from, what stage they are in the sales funnel, and whether or not they are converting into customers.
By following these strategies, you can measure and track the results of your KOL marketing campaign and ensure that it is achieving your desired goals.
Credit: Campaign Asia
Top 3 Future Trends in KOL Marketing
NFTs
Non-fungible tokens (NFTs) are digital assets that are unique and cannot be replaced. They are stored on a blockchain, which is a decentralised ledger that records all transactions.
NFTs are being used in a variety of ways in the marketing world. For example, brands can use NFTs to create exclusive experiences for their customers, such as backstage passes to events or early access to new products. NFTs can also be used to create digital collectibles, such as trading cards or artwork.
Artificial Intelligence
Artificial intelligence (AI) is already being used in a variety of ways in the marketing world, such as to personalise content, automate tasks, and target ads. In the future, AI will give brands the power to create a massive database of influencers, segmented by relevance, frequency of publication, follower count, and social media popularity.
Virtual influencers or fictional CGI-generated ‘people’ with realistic characteristics have the potential to revolutionise the way brands connect with their audiences. In fact, some AI-generated influencers are already active on Instagram and TikTok such as Lil Miquela (1.6 million followers), Shudu (185K followers), Bermuda (150K followers), Blawko (139K followers) and Imma (79.7K followers).
Metaverse
The Metaverse is a virtual world that is still under development, but it has the potential to revolutionise the way we market and consume products and services.
In the Metaverse, brands can create virtual stores and experiences where customers can shop, learn about products, and interact with other customers. The Metaverse can also be used to create new forms of advertising and marketing that are more engaging and immersive.
Credit: EnlyBee
The intersection of KOL marketing, NFTs, AI, and the Metaverse is creating exciting new opportunities for brands to connect with their customers and grow their businesses.
Here are some specific examples of how these trends are being used today and how they could be used in the future:
Partner with a KOL to create a limited edition NFT collection. The NFTs could give holders access to exclusive content or experiences, such as a private Discord channel or early access to new products.
Craft personalised videos for each customer with the help of AI. The videos could highlight the products or services that the customer is most likely to be interested in.
Create a virtual store in the Metaverse where customers can shop and learn about products in a more immersive way.
Use AI to target ads to customers based on their behaviour and preferences in the Metaverse.
These are just a few examples of how KOL marketing, NFTs, AI, and the Metaverse are transforming the future of marketing. As these technologies continue to develop, we can expect to see even more innovative and effective ways to reach and engage customers.
At Comms8, we specialise in helping businesses leverage the power of both KOL and KOC marketing in Asia. With our expertise, we can assist you in harnessing the influence of KOLs to boost your brand's credibility and awareness. Contact us today to learn more about empowering your brand in the dynamic Asian market.