Influencer Advertising - Americas

Ad spending in the Influencer Advertising market in Americas is forecasted to reach US$7.32bn in 2024.
The ad spending is anticipated to demonstrate an annual growth rate (CAGR 2024-2030) of 9.16%, leading to a projected market volume of US$12.39bn by 2030.
The average ad spending per internet user in the Influencer Advertising market in Americas is estimated to be US$8.50 in 2024.
When compared globally, the highest ad spending is expected to come from China ( US$19.16bn in 2024).
In the US, Influencer Advertising is rapidly growing, with brands increasingly leveraging social media influencers to reach target audiences authentically and effectively.

Definition:
Influencer Advertising refers to advertising that allows marketers to promote products or services by collaborating with influencers on social media. Influencer Advertising allows marketers to reach targeted audiences based on the influencer’s performance and their follower profiles; they also have the ability to measure the performance of campaigns. Influencer Advertising refers to all advertising fees paid directly to influencers (or to their person of trust or representative) for posting or streaming sponsored content (e.g., posts, videos, and/or stories) on social media to promote products or services to their followers. This sponsored content typically includes images, videos, live streams, and/or text.

Additional information:
Influencer Advertising comprises advertising spending, users, and average revenue per user. The market only displays B2B spending. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. For more information on the data displayed, use the info button right next to the boxes.

Advertising spending paid directly to influencers to post sponsored content

The values of giveaway products as well as services that influencers receive in exchange for reviews, mentions, or giveaways for their followers
Advertising spending allocated to paid social media campaigns to boost content
Affiliate commissions, i.e., the commissions that are paid to influencers when someone makes a purchase based on their content or links
Gross merchandise volume (GMV) of transactions from sponsored posts or live streams

The Influencer Advertising market in Americas is witnessing significant growth and development due to changing customer preferences and the rise of social media platforms.

Customer preferences: Customers in the Americas are increasingly turning to social media platforms for entertainment, information, and product recommendations. Influencers, who have a large following on these platforms, have become trusted sources of information and opinion for consumers. Customers are more likely to trust recommendations from influencers they follow, rather than traditional forms of advertising. This shift in customer preferences has led to a surge in influencer marketing campaigns in the Americas.

Trends in the market: One of the key trends in the Influencer Advertising market in the Americas is the increasing use of micro-influencers. These are individuals with a smaller following but who have a highly engaged audience. Brands are recognizing the value of micro-influencers in reaching niche markets and generating authentic engagement. This trend is particularly prevalent in countries such as Brazil and Mexico, where there is a strong culture of influencer marketing. Another trend in the market is the growing use of video content. Platforms like YouTube and TikTok have become popular for influencer marketing campaigns, as they allow influencers to create engaging and shareable video content. Brands are leveraging the power of video to tell their brand stories and connect with customers on a deeper level. This trend is evident across the Americas, as video consumption continues to rise.

Local special circumstances: In Brazil, influencer advertising is heavily regulated by the Advertising Self-Regulation Council (CONAR). Influencers are required to disclose any paid partnerships or sponsored content to ensure transparency for consumers. This regulatory environment has helped to build trust between influencers and their followers, leading to a thriving influencer advertising market. In the United States, the Federal Trade Commission (FTC) has also implemented guidelines for influencer advertising. Influencers are required to clearly disclose any material connections they have with brands, such as receiving free products or being paid for endorsements. This transparency has become an important factor for customers when choosing to follow and engage with influencers.

Underlying macroeconomic factors: The growing popularity of influencer advertising in the Americas can also be attributed to the region's strong economic growth and increasing disposable income. As the economies in countries like the United States, Canada, and Brazil continue to grow, consumers have more purchasing power and are willing to spend on products and services recommended by influencers. Furthermore, the widespread adoption of smartphones and access to high-speed internet has made it easier for consumers in the Americas to engage with influencers on social media platforms. This increased connectivity has created a fertile ground for influencer advertising to thrive. In conclusion, the Influencer Advertising market in Americas is experiencing significant growth due to changing customer preferences, the rise of social media platforms, and the region's strong economic growth. The use of micro-influencers and video content are key trends in the market, while local regulations in countries like Brazil and the United States ensure transparency and trust. The underlying macroeconomic factors of strong economic growth and widespread connectivity have also contributed to the development of the market.

Data coverage:

Data encompasses enterprises (B2B). Figures are based on influencer advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising fees paid directly to influencers to post sponsored content.

Modeling approach:

Market size is determined by a combined top-down and bottom-up approach. We use market data from independent databases, influencer marketing platforms, and third-party reports to analyze and estimate global influencer advertising spending. We start by researching on the average cost per content post on each social media platform, the number of influencers available on advertising platforms (breakdown by tier: nano, micro, macro, and mega), and the average number of posts per year. Then we estimate the market size for each country individually. We use relevant key market indicators and data from country-specific industry associations, such as GDP, social media users, and digital consumer spending. Lastly, we benchmark key countries or regions (global, United States, China, etc.) with external sources.

Forecasts:

We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

Additional notes:

Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Advertising & Media market, in a PDF format.

Influencer marketing has become one of the most popular and effective forms of online marketing. With millions of internet users browsing social media platforms for entertainment, inspiration, and product recommendations daily, it is no surprise that marketers are harnessing the power of social media’s most recognizable faces for promotion. The global influencer marketing market value stood at 21.1 billion U.S. dollars as of 2023, having more than tripled since 2019. As influencer endorsement continues to mature as an industry, the size and value of influencer marketing platforms also continue to expand every year, making collaborations between brands and creators more profitable than ever.