Thinking Social / Value

7

Years of thinking social archives >

The Perks of Being an Influencer

 

Photo by Kaseylizbeth via flickr

If you’re like me, a fashion enthusiast who shops online for luxury items, then you know
how gratifying discovering a discount can be. What’s even more gratifying – sharing the
discount with your social community! How many times have you passed along a discount
or talked about a brand and thought to yourself, “I should get a commission on these
sales”. Well, the time has come! Influencers can now be rewarded based on the impact
of their opinions, links and recommendations across their social graph.

On Tuesday, March 6th 2012, the luxury flash sales site Gilt Groupe and Klout, the
startup that measures influence throughout social media, partnered for the first time to
offer unique discounts based on Klout Scores. For example, if your Klout Score is 40,
then you receive 40% off your purchase. Gilt and Klout have also selected influencers to
curate their favorite products from their distinguished fields.

The idea of discounting based on Klout Scores is an interesting concept for fashion.
Fashion is based on trends, so who better to target for exclusive discounts then
influencers who have the ability to create a trend. This method of narrowing discounts on
scores can ensure that brands are attracting influencers who will bring a lifetime value to
the company. A loyal influencer with a high Klout score is considered a tastemaker, and
is far more likely to yield relevant prospects who will like and buy from a brand; targeted
influencers foster loyalty.

Fashion sites lose money on broad promotions daily because they overestimate the
customer retention resulting from broad deals. By targeting influencers based on scores
this will limit the amount of promotions, which will increase the investment where it
counts for brand value.

The partnership between Gilt and Klout may be signs of future discounting not only in
fashion, but also in other industries. At the end of the day, we all want perks for being
social butterflies.

Do you think influential scoring will be the future of online discounting?