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What is due-diligence? and how does it apply to influencer marketing?

Due-diligence is a process of investigating and evaluating a potential business partner or investment opportunity to ensure that all parties involved are reputable, trustworthy, and have a good track record. 

“This process is crucial for businesses to undertake before entering into any business arrangement, including influencer marketing.” says Bazil Cromer, CSO at RippleXn.

Influencer marketing has become a popular and effective way for businesses to reach their target audience through social media platforms. However, it is important to note that not all influencers are created equal. 

Some creators have a large following, but their followers may not be genuine or may not align with your brand's values and messaging. Therefore, conducting due-diligence is essential to ensure that businesses are collaborating with the right influencers who will represent their brand in the best possible way.

How to conduct IM due-diligence

To conduct due-diligence in influencer marketing, businesses must undertake extensive research. One way to do this is by reviewing an influencer's engagement rate, audience demographics, and previous collaborations. 

If you are dealing with video produces especially on YouTube and Twitch who may have hundreds of hours to review. How you ask.

Reviewing 000s of hours of video

This information can provide businesses with valuable insights into an influencer's performance and reputation. Additionally, businesses can use social media listening tools to monitor an influencer's reputation and interactions with followers.

What due-diligence questions to ask!

When conducting due-diligence, it is also important to consider the potential risks and challenges associated with influencer marketing. For example, businesses must ensure that they comply with advertising regulations and that their collaboration with influencers is transparent and authentic.

In conclusion, due-diligence is a crucial process that businesses must undertake when entering into any business arrangement, including influencer marketing. By conducting thorough research and reviewing an influencer's performance and reputation, businesses can ensure that they are collaborating with the right influencers who will represent their brand in the best possible way. As influencer marketing continues to grow and evolve, it is essential for businesses to stay up-to-date with the latest trends, regulations, and best practices.



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