Battle of Influence

Analysing the Impact of Brand-Directed and Influencer-Directed Social Media Marketing on Customer Engagement and Purchase Behaviour

Kumar, Rayne, Salo & Yiu — Australasian Marketing Journal (2024)

Motivation & Research Questions

The Problem

  • Ad-blocking, distraction, and resistance erode traditional marketing effectiveness
  • Brands run Brand-Directed and Influencer-Directed SMM simultaneously
  • Prior research examines each in isolation — no guidance on joint budget allocation
  • Key question: synergy or cannibalization?

Research Questions & Theory

Question
RQ1 Is brand-directed SMM more effective at driving engagement?
RQ2 Is influencer-directed SMM more effective at driving purchases?
  • Parasocial relationship theory — followers form bonds with influencers → purchase trust
  • Social identity theory — influencers seen as relatable → affective + behavioural influence

Research Design

Study 1 — Survey (n = 1,050)

Three randomly assigned groups (350 each):

Group Condition
Control No ad; brand launch info only
Brand Paid social media ad in feed
Influencer Same content via followed influencer

DVs: engagement intention + purchase intention (validated scales)

Study 2 — Field Experiment

Real FMCG brand; actual campaign data

  • DVs: total clicks (engagement) + CTA sales
  • IVs: brand and influencer ad impressions
  • Bayesian GLS; log-elasticities

Post hoc: spillover to offline/non-CTA channels; engagement (clicks) vs. exposure (impressions) on sales

Key Findings

RQ1 — Engagement: Brand-directed wins

Survey Field
Brand 3.52 0.100
Influencer 2.76 0.040

Brand-directed is 1.5× more effective at engagement (p < .01)

RQ2 — Sales: Influencer-directed wins

Survey Field
Influencer 3.12 0.098
Brand 2.91 0.033

Influencer-directed is 2× more effective at driving sales (p < .01)

Post Hoc

Spillover: both campaign types lift sales in offline/non-CTA channels where no ads ran.

Engagement > Exposure for sales:

Clicks Impressions
Brand 0.024 0.023
Influencer 0.054 0.047

Influencer engagement: +14.4% over mere exposure

Both strategies are synergistic, not cannibalistic — running together lifts overall performance.

Contributions & Implications

Theoretical Contributions

  1. First to compare brand- vs. influencer-directed SMM on both engagement and sales — prior work examined each alone

  2. Parasocial bonds drive sales; brand identity drives engagement — dual-channel extension of both theories

  3. Confirms synergy (not cannibalization) when running both; documents cross-channel spillover

For Managers

  • Engagement goal → Brand-directed — community building + content
  • Sales goal → Influencer-directed — 2× return on sales
  • Run both — synergy confirmed; no cannibalization
  • Clicks over impressions — engagement outperforms reach for sales
  • Spillover confirmed — social media lifts offline/other channel sales

Influencer marketing is disproportionately more effective with female customers on purchase intent — segment accordingly.