Where is it used?

Conversion rate is a key metric for measuring the success of influencer marketing campaigns that are focused on driving specific, measurable outcomes. It is typically tracked using analytics tools in conjunction with unique affiliate links, promo codes, or dedicated landing pages that allow brands to attribute conversions directly to the influencer's efforts.

When to use it?

This metric is particularly important when the primary goal of an influencer marketing campaign is to generate tangible results, such as sales, leads, or app downloads. It helps brands understand the direct impact of an influencer's promotion on achieving these specific objectives.

How to use it?

To calculate conversion rate, brands need to track the number of conversions that can be directly attributed to an influencer's campaign and divide that number by the total number of people who were exposed to the influencer's promotional content (e.g., reach or impressions). The result is then multiplied by 100 to express it as a percentage. Implementing unique tracking mechanisms for each influencer is crucial for accurate measurement.

Why do we need it?

Conversion rate provides a clear and quantifiable measure of how effectively an influencer is driving their audience to take the actions that are most valuable to the brand. It is a critical factor in assessing the return on investment (ROI) of influencer marketing campaigns and helps brands to identify which influencers and strategies are most successful in achieving their marketing goals.