Lai Lin Thomala
Research expert covering Greater China
Influencer/KOL marketing in China - statistics & facts
In many ways, social media has redefined fame and influenced how companies connect with their customers. To reach out to a broader audience, influencer marketing is a crucial gateway for consumer brands. In China, this sector was estimated to be worth about 100 billion yuan in 2023 and the entire influencer economy can swell to almost seven trillion yuan by 2025. Moving from text and photos to live streaming, social commerce, and short videos, China’s influencer marketing is booming.
Therefore, it comes as no surprise that advertisers in China have prioritized KOL promotion in their marketing plans. There are various advantages in collaborating with opinion leaders, such as accurate positioning, increasing brand exposure, and stimulating purchase intention. However, every coin has a flip side. In 2023, about 45 percent of invalid KOL followers were detected across the major social media in China. Apart from fake social followings, disguised engagement, unreal sponsored posts, and fraudulent giveaways are other common forms of influencer frauds which can cost companies a fortune.
Influencers vs KOLs
As a type of social media marketing, influencer marketing involves effective endorsements and product mentions from individuals who possess sizeable followings on social media. It is worth noting that the word “influencer” is used more broadly in China, covering bloggers, online content creators, live streamers, and traditional celebrities. “Key opinion leader” (KOL) is the common Chinese terminology for an influencer marketing practitioner who can command their followers to help brands gain exposure, or directly sell products.The love and pain of KOL marketing
From the consumer perspective, KOL marketing has become the most preferred marketing channel. A 2023 survey reported that influencer endorsements worked particularly well in promoting fashion and beauty goods. Over half of Chinese respondents had purchased recommended cosmetics and clothing items and a third bought promoted consumer electronics. In another 2022 survey, 67 percent of consumers ordered the endorsed products with the desire to mimic the KOL’s outlook style.Therefore, it comes as no surprise that advertisers in China have prioritized KOL promotion in their marketing plans. There are various advantages in collaborating with opinion leaders, such as accurate positioning, increasing brand exposure, and stimulating purchase intention. However, every coin has a flip side. In 2023, about 45 percent of invalid KOL followers were detected across the major social media in China. Apart from fake social followings, disguised engagement, unreal sponsored posts, and fraudulent giveaways are other common forms of influencer frauds which can cost companies a fortune.
