Why Smaller Audiences = Greater ROI For Brands
Many brands are looking for ways to expand their customer base and increase their revenue. One of the strategies they use is to partner with athletes who can promote their products or services to their fans. This seems to be a very effective marketing strategy, but it also has some challenges.
Most brands tend to focus on pro athletes who have huge fan bases, large social media followings, and wide-ranging influence. Pro athletes usually have millions of followers on social media, while amateur and semi-pro athletes typically have between 10,000 and 500,000.
But does that mean that amateur and semi-pro athletes have no value for brands? What if they have something that pro athletes don’t have? What if they have more trust and loyalty from their fans?
The Power of Trust and Loyalty
Trust and loyalty are very important factors that influence consumer behavior. Consumers are more likely to buy products or services from brands that they trust and are loyal to. And how do they develop trust and loyalty? By being influenced by people they know and relate to, such as family, friends, and colleagues.
The problem with having a large fan base for pro athletes is that their fans may not be very interested in them or their sport. They may just follow them because of social influence or curiosity. They may not have a strong connection or emotional attachment to them.
On the other hand, athletes with a medium-sized fan base, even in a less popular sport, can have more trust and loyalty from their fans. Their fans are more likely to be genuinely interested in them and their sport. They may have a personal relationship with them or share some common values or experiences with them.
This can translate into higher engagement rates for their social media posts. While pro athletes may have engagement rates of 50-70%, amateur and semi-pro athletes may have engagement rates of 90% or more. This means that their fans are more likely to like, comment, share, and interact with their posts.
This also means that they can have more influence on their fans’ purchasing decisions. If they endorse a brand or product that they use or like, their fans are more likely to trust them and follow their recommendations. They may even become loyal customers of the brand.
The Opportunity for College Athletes
One group of athletes that can benefit from this opportunity is college athletes. College athletes often have loyal social media fans who support them throughout their academic and athletic careers. They may also have a local or regional fan base that identifies with them or their school.
College athletes can also enjoy and receive the same level of endorsement as pro athletes, thanks to the recent changes in the NCAA rules that allow them to profit from their name, image, and likeness (NIL). Forbes estimated that college athletes could earn $0.80 per follower, but that’s not all; brands also look at the size and quality of any athlete’s social media following, whether they are pro, amateur, or college athletes.
The Challenge for Pro Athletes
This is not to say that pro athletes do not have loyal fans. They certainly do, but they also face some challenges in building trust and loyalty with their fans. One of the challenges is that they have too many responsibilities and distractions that prevent them from engaging with their fans effectively. They may not have enough time or energy to respond to comments, like posts, make personal connections, share ideas, take suggestions, or share memorable moments with their fans.
Another challenge is that they may face more competition and criticism from other pro athletes or media outlets. They may also have to deal with more noise and negativity on social media platforms, which can affect their image and reputation. They may also have to deal with more pressure and expectations from their fans, sponsors, coaches, teammates, and themselves.
These challenges can make it harder for pro athletes to maintain the trust and loyalty of their fans. According to the Edelman Trust Barometer, 56 percent of Americans said they trusted businesses in 2023, an increase from 20 percent in 2009. This means that consumers are more discerning about the brands they trust and buy from. If they feel that a brand or an athlete is not trustworthy, they may switch to another one.
The Conclusion
Amateur and semi-pro athletes may not have large fan bases, but they have more real engagements from a community of loyal fans. They can use this advantage to help brands grow by endorsing products or services that they use or like. They can also use this opportunity to earn some income from their NIL rights.
Brands should not overlook the potential of amateur and semi-pro athletes as partners. They should look beyond the numbers and focus on the quality of the fan base. They should also look for ways to support these athletes in their journey and help them achieve their goals.
Trust is a key question that brands should always ask themselves, according to Baumann, to make sure that they are making an impact. By partnering with amateur and semi-pro athletes who have trust and loyalty from their fans, brands can increase their customer base and revenue.
“These athletes don't have to be All Stars, they are rising stars” says Issa Hall, Founder and CEO of JRZY“ which gives brands the ability to build lasting relationships with multiple athletes, have stronger ROI, and greater long term returns only improves as athletes continue their journeys towards becoming an all star"