Retailers Use Of Social Media Influencers in the Caribbean and Latin America

Social media presence has become a crucial part of fashion and beauty brands marketing strategies. This is due to the power that consumers have built through huge followings of potential customers. Companies have reacted by joining these platforms to control their brand image and to form organic relationships with consumers. Many fashion brands such as Alexander McQueen, Giorgio Armani, Burberry and Marc Jacobs have mastered these social media platforms by creating content that resonates with consumers.  Brands also use social media to get a seal of approval from Beauty and Fashion Gurus who have viewers following every product review, fashion haul and tutorial. A great review can have items sold out in minutes; which benefits both the brand and the blogger. The blogger can generate income by charging a flat fee or a percentage of sales from income earned by their reviews. These social media strategies cost very little compared to huge marketing campaigns and trusted more by consumers.

What about the Social Media Influencers in Latin America and the Caribbean? Have retailers yet to truly tap into their power? The answer is, they have barely scratched the surface! This region has a tendency to slowly adapt to new social media platforms and technological advancement. Retailers still use traditional media such as radio, television ads and newspapers to advertise their products.  Shockingly, Latin American newspapers and magazines have averted the print media crisis; enjoying rising circulation and advertising revenue[1]. So why should retailers even expand to social media?  Our age demographics is why; “40% of the population in Latin America and the Caribbean is under the age of 30, making us the second-youngest region on the planet.[2]” This young population is increasing its presence and is the most active user of social media sites. Therefore social media is crucial to reach your consumers and market your product. However 29% of vloggers are located in the US, Brazil comes in fourth place with a mere 4.19% [3]and no other Latin American and Caribbean country even makes the list.

This is actually a great thing! This means the v-loggers in this region has a monopoly on influencing the viewers in their respective countries. The fashion and beauty industry in this region is booming; from existing brands expanding into the area; as well as native brands experiencing increase growth. One country leading the pack is Brazil, “cosmetics sales in Brazil hit $43 billion in 2011, a growth of 142% in five years”[4]. As these brands begin to enter the market; they have to understand the power and cost effectiveness of social media marketing.

The social media influencers in these regions don’t receive the same perks, recognition or compensation that their personal brands deserve. They have yet to monetize the value that these social media gurus warrant with their impressive following and influence. Whether it be TAP from the Bahamas (who has vocalized her frustration on this issue before), Puerto Rican Lance Rios, Brazilian Beauty and Fashion Guru Camila Coelho or Jamaican vlogger Carla Moore; whose videos 'countryfromlongtime'  get more views than some local television programs. Not saying that ALL retailers are blind to these influencers power. Brands have certainly recognized Brazilian beauty Camila Coelho; who has an impressive 1,404,364 subscribers on Youtube and 954,468 likes on FB. She shoots makeup tutorials and fashion hauls on two Youtube channels one in Portuguese and the other in English. Her blog Super Vaidosa has advertisements from The RealReal, Zulily, Sigma and numerous others that surely generate her revenue. However, I haven’t seen anything from the big brands that she features on her fashion hauls such as Zara,HM and Urban Outfitters. Another vlogger who has creatively incorporated brand advertisement is a group whose YouTube channel is called Collage Dem. They create hilarious videos that address the humor in Bahamian social issues. Their most popular video has 69,968 views and has partnered with Islandz Market in an innovative way. Rather than a blatant advertisement, you can’t tell when the advertisement starts and the skit ends, by making the advertisement just as hilarious as their normal content.

Example of innovative marketing with cellphone case retailer on social media platform

Lance Rios best known for site called “Being Latino”, which has an impressive 700,000 likes on FB. Rios has intrigued major brands about truly integrating with social media in a creative and innovative way. He believes that brands are starting to get the power of engagement on social media platforms. Rios has achieve impressive engagement percentages as high as 25%, which is double the average. He is also involved in 3 other companies that interacts with Latinos in a digital space.
  

Fortunately for Retailers and social media influencers, the window of opportunity has not closed. The Latin America and Caribbean region is still seeing significant growth in social media registration while the US market is already stagnant. Retailers just have to adjust their marketing strategies to meet the new era of social media influencers.

Authour: Tara Robinson

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[1] https://knightcenter.utexas.edu/blog/00-13822-diversity-latin-american-markets-drives-paid-content-strategies

[2] http://infosurhoy.com/en_GB/articles/saii/features/main/2011/03/28/feature-01

[3] http://www.sysomos.com/reports/bloggers/

[4] http://www.forbes.com/sites/andersonantunes/2014/01/16/brazils-booming-beauty-industry-births-a-new-billionaire/
http://www.forbes.com/sites/giovannirodriguez/2014/01/01/can-a-latin-american-entrepreneur-help-disrupt-social-media-marketing-in-2014/