Key Takeaways:
- The digital talent management industry grew by 15% in 2024.
- Influencer marketing spend reached $24 billion, a new record.
- Brands are shifting more of their budgets to influencer campaigns.
- Instagram is still the top platform for creator revenue.
- Real-world activations and events are becoming a big part of influencer marketing.
The influencer marketing industry is growing faster than ever! In 2024, the digital talent management industry expanded by 15%, with brands spending a whopping $24 billion on influencer partnerships. This growth is happening because more brands are seeing the value in working with creators to reach their audiences.
Brands Are Betting Big on Influencers
More U.S. brands than ever are jumping into influencer marketing. Right now, 70% of brands either are already using influencers or plan to start soon. This isn’t just a small part of their marketing plans—it’s becoming a central focus. Why? Because it works! For every dollar brands spend on influencer marketing, they make $5.78 back. That’s a pretty good deal.
People are also buying stuff because of influencers. A huge 74% of consumers say they’ve purchased products based on influencer recommendations. And for teens, influencers are even more important. 70% of teens trust influencers more than traditional celebrities.
How Big Can Influencer Marketing Get?
The industry is expected to keep growing. By 2030, the total potential revenue for influencer marketing could hit $41 billion. That’s a lot of money! This growth is happening because social media has become the largest advertising channel in the world. In 2024, brands spent $247.3 billion on social media ads, and that number is expected to grow to $266.92 billion by 2025.
Right now, U.S. brands alone spent $7.14 billion on influencer marketing in 2024, which is 16% more than the year before. Much of this growth is coming from short-form videos, live shopping, and creator partnerships.
Agencies and Platforms: Where the Money Is
Influencer marketing isn’t just about creators—it’s also about the agencies that connect them with brands. These agencies are getting more selective about who they work with. Instead of making lots of small deals, they’re focusing on a few big partnerships. For example, 47% of agencies get all their money from just 25 or fewer brands. This shows that the industry is maturing and moving toward long-term, strategic relationships.
When it comes to platforms, Instagram is still the king. 73% of creators say they make most of their money from Instagram deals. But other platforms like TikTok and YouTube Shorts are also important, especially for short-form videos. Almost half of TikTok users say they’ve bought something because of a recommendation on the app.
Agencies are also helping creators make more money. Creators who work with agencies earn about twice as much as those who work alone. Agencies help with finding deals, negotiating contracts, and making sure creators get paid well.
Real-World Events Are the Next Big Thing
Influencer marketing isn’t just online anymore. More brands are using real-world events to connect with creators and their fans. For example, Art Basel Miami Beach became a hotspot for influencer activations in 2024. Brands like Ulta Beauty and Maybelline used the event to launch products and create memorable experiences.
One cool example is Poppi’s partnership with creator Alix Earle at Coachella. They created something called “Casa Poppi,” which generated over 4.5 million engagements and reached 275 million people. This shows how powerful it can be when brands and creators team up for live events.
What’s Next in 2025?
The report highlights a few big trends to watch in 2025.
- Technology Will Play a Bigger Role:Â Agencies are starting to use AI and special software to make their jobs easier. This includes managing payments, tracking deals, and negotiating contracts.
- Brand Priorities Are Changing: Brands used to care most about how many followers a creator had. Now, they’re looking for creators who align with their brand, make high-quality content, and offer fair prices. This is great news for creators with smaller but highly engaged audiences.
- More Money Is Coming In: 69% of brands plan to spend more on influencer marketing in 2025. They’ll focus on long-term partnerships, bigger campaigns, and especially short-form videos.
- Mergers and Acquisitions:Â The industry is seeing more companies buying or merging with others. For example, Whalar Group bought Sixteenth, and Live Nation bought Timeline Management. This trend is expected to continue, with big companies and investors jumping into the space.
The Future of Influencer Marketing
Influencer marketing is no longer just a small part of a brand’s strategy—it’s becoming the main event. With brands spending billions, creators earning more, and new technologies making things easier, the industry is set to keep growing.
The shift toward real-world events and long-term partnerships shows that influencer marketing is getting smarter and more creative. And with younger audiences trusting influencers more than celebrities, it’s clear that this industry is here to stay.
So, if you’re a creator or a brand, now is the time to jump into influencer marketing. The opportunities are huge, and the results can be amazing. Let’s see what 2025 brings!
