When it comes to influencer marketing, numbers are often seen as everything. This is kind of logically reasonable: Every brand expects measurable results from the partnerships, says the team at Famesters.
Mega-influencers and celebrities seem to dominate the conversation, but how many of those followers actually trust or engage with them?
That's where nano-influencers come in. They might have fewer followers (usually somewhere between 1 000 and 10 000), but what they bring to the table is a level of authenticity, engagement and trust that larger influencers can't always match.
Why Brands Partner With Nano-Influencers
If you look closely, brand preferences are shifting. A recent study by Famesters found that 44% of brands now prefer working with nano-influencers, up from 39% in 2023. That's a pretty big jump, and it signals a clear change in how companies are thinking about influencer marketing.
Why is that? The answer is simple: Nano-influencers provide something that bigger influencers often can't. The ability to foster deep engagement, create real connections and, most importantly, build trust with their audience. Even though nano-influencers don't have millions of followers, those who do follow them are highly engaged.
Take the example of Dunkin' Donuts. This massive brand effectively leveraged micro- and nano-influencers to promote its new handcrafted espresso drinks, aiming to engage a younger audience. It collaborated with small influencers, particularly in the Philadelphia area. Its relatable content brought the result of 5.2% engagement rate on Instagram, surpassing typical averages. This showed the effectiveness of using nano-influencers to foster genuine connections with consumers.
Trust Over Reach
Think about it: When a friend recommends a product, you're probably more likely to check it out than if a celebrity promotes it, right? The same principle applies to nano-influencers. Their followers know them, like them and trust them. The relationship isn't just transactional. It's built on authenticity and mutual respect. Nano-influencers are real people, not distant celebrities. Their followers feel like they're part of a close-knit community, and that makes their recommendations much more impactful.
Trust is huge, especially in a world where people are overwhelmed by flashy ads and in-your-face sales pitches. Research shows that 83% of Gen Z and 80% of Millennials trust recommendations from influencers when making purchasing decisions. So, while celebrity endorsements may get some attention, it's the trust built by nano-influencers that really moves the needle for followers.
That is why Unilever, one of the biggest names in consumer goods, has made a strategic move to collaborate with influencers instead of relying on traditional advertising. The company has enlisted thousands of influencers, including nano-influencers, to promote its brands. According to reports, Unilever has increased its influencer marketing spend from 30% to 50% this year, emphasising trust over mass reach.
Engagement That Beats the Big Players
While mega-influencers struggle to engage their massive audiences, nano-influencers consistently outperform them in terms of engagement rates. A 2024 study found that TikTok's nano-influencers have an average engagement rate of 10.3% compared to just 7.1% for macro-influencers. That means more comments, shares and meaningful conversations about the products they promote. Their smaller but more loyal communities consistently interact with their posts, and that's what brands are noticing.
For example, Fable & Mane, an Ayurvedic haircare brand, teamed up with influencers who truly believe in its products, and it's seen a huge boost in engagement and sales. This has helped Fable & Mane expand into new markets, like India, where local influencers introduce the brand in a way that feels natural. Its success proves that bigger isn't always better. Sometimes, a small, engaged audience is the best way to grow.
Cost-Effective, Yet Highly Effective
Marketing budgets aren't bottomless. Many brands are realising they can get more profit and fewer expenses by partnering with nano-influencers instead of investing in one big-name celebrity. In fact, nano-influencers often offer a better ROI than their larger counterparts. When a brand works with several smaller influencers, they can reach diverse and engaged audiences without breaking the bank.
Recent studies show that 24.2% of companies now invest over 40% of their marketing budget in influencer marketing, and a lot of that budget is shifting toward smaller influencers. For brands, it's a smart move: they get the benefits of high engagement and trust without spending a fortune on someone who may not have a true connection with their followers. Nano-influencers offer a cost-effective way to get real results, so what's not to love in this partnership?
One of the best examples is Daniel Wellington's nano-influencer strategy. This luxury watch brand achieved massive brand awareness by gifting watches to nano-influencers and encouraging them to post about their experiences and show the products in daily life. It cost just USD$200 per partnership while the brand's revenue had a 214% increase. This strategy also generated millions of organic impressions.
More Than Just a One-Time Shoutout
Another interesting shift we're seeing is that brands are moving away from one-off collaborations and looking for long-term partnerships with influencers. This isn't just about throwing some money at an influencer for a quick shoutout. It's about building a lasting relationship that feels meaningful. In fact, 63.2% of companies now prefer to work with influencers on a longer-term basis, recognising the value of ongoing collaboration over one-time promotions.
For nano-influencers, this is a golden opportunity. By forming long-term partnerships, they can build a steady income stream and continue to promote products in a way that doesn't feel forced. Their followers appreciate the consistency and authenticity of these ongoing relationships, and it helps brands connect with their audience over time. Instead of a one-off promotion that might get lost in the shuffle, these long-term partnerships create deeper connections, which can have a far greater impact on consumer behaviour.
That's why the brand CoverGirl is consistently turning to nano-influencers to refresh its image and reach new audiences. It teams up with everyday beauty lovers with loyal, engaged followings. By hooking them up with free products, CoverGirl gets real, unfiltered content that actually connects with people through tutorials and challenges. And that's how CoverGirl keeps its brand fresh and relatable.
The TikTok and Instagram Effect
Where do nano-influencers thrive the most? If you guessed TikTok and Instagram, you're absolutely right. These platforms are where nano-influencers really shine. TikTok, with its short-form videos, has become a go-to for influencer marketing, and it's easy to see why. Sixty-eight point eight percent of brands now prefer TikTok for their influencer partnerships. The platform's fast-paced, creative nature allows influencers to connect with their audience in an engaging and personal way. Instagram, too, is a major player, with its focus on visuals and stories, making it a perfect platform for nano-influencers to share their content.
These platforms allow for quick, engaging content that resonates with followers, whether it's a viral TikTok dance or an Instagram story that feels more like a conversation than a commercial. Nano-influencers are able to make the most of these platforms by creating relatable, authentic content that feels natural and in line with their followers' interests. It's all about creating a rapport. And platforms like TikTok and Instagram make that connection possible in ways that traditional advertising simply can't.
Consumer packaged goods brands have found immense success on TikTok. Reports show that 75% of Gen Z and 79% of Millennials discover new products through TikTok, with 68% making purchases based on recommendations. This trend has led major brands to shift significant portions of their ad spend toward influencer collaborations on the platform.
Final Thoughts: Small Following, Big Impact
The rise of nano-influencers isn't just a trend. It's a fundamental shift in how brands are connecting with their audiences. People want to trust the influencers they follow, and they want to feel like they're part of a community. They don't want to feel like they're being sold to. Nano-influencers offer exactly that: authentic connections and real engagement, often at a fraction of the cost of larger influencers.
As more and more brands realise the power of nano-influencers, we can expect them to take on even bigger roles in shaping purchasing decisions. So, if you're a brand looking for meaningful influence, don't just focus on follower count. The right nano-influencer with a dedicated, engaged audience might just be exactly what you need to reach your target market and make a lasting impact.
For more information, visit www.famesters.com. You can also follow Famesters on LinkedIn, Facebook, or on X.
*Image courtesy of contributor