Brand–SMI collaboration in influencer marketing campaigns: A transaction cost economics perspective

• Published in: Technological forecasting & social change 2023-07, Vol.192 (122580), p.122580, Article 122580
• Main Authors: Syed, Tahir Abbas, Mehmood, Fahad, Qaiser, Talia
• Format: Article
• Language: English
• Subjects: Brand–SMI collaboration; Business administration; Collaboration management framework; Humanities and Social Sciences; Influencer marketing; Transaction cost economics theory
• ISSN: 0040-1625; 1873-5509
• DOI: 10.1016/j.techfore.2023.122580

Brands are showing an increasing appetite for influencer marketing campaigns in order to accentuate the exclusivity of their products. While the literature supports influencer marketing as a competent persuasive marketing strategy for reaching niche audiences, studies investigating influencer collaboration management strategies to evade the associated challenges remain scant. Thus, influencer marketing is at risk of wasted investment and a low success rate. This research draws on transaction cost economics theory to investigate how brands effectively manage collaboration with social media influencers (SMIs) using a multi-case-study approach of influencer marketing campaigns in 15 brands. Our findings identify critical management strategies and develop a collaboration management framework for effective collaboration. We also highlight control factors to steer brand–SMI collaboration, offering a more nuanced understanding of influencer marketing collaboration management strategies. This paper marks an exploratory step toward understanding influencer marketing from brands' perspectives and offers guidance for brands on how best to engage in effective influencer collaboration. •Effective collaborations between brands and SMIs remain a significant issue.•Influencer marketing remains in peril of wasted investment and a low success rate.•Examine influencer marketing campaigns using multi case approach.•Findings present a framework for effective collaboration and explain using TCE perspective.•Identification of control factors that steer brands-SMI collaborations.