Brands Still Like Celebrities, But Use Of Digital Influencers Is Growing.

Host-read ads have made podcasting a go-to for marketers looking to embrace endorsement ads. A new report finds more brands are embracing the marketing strategy. Sponsor United finds 29% of brands active in the space were newcomers during the past year. It also finds that while celebrities still secure more deals, things are changing. “Influencers are outpacing celebrities in both social media followers and new brand deals, signaling a shift in momentum,” the report says.

Some product categories are more likely to do brand deals. Sponsor United says consumer products, food products, and apparel and accessories accounted for 38% of the brands new to the space. Cosmetics and skincare brands continue to dominate the endorsement scene, it says, as brands in this category are seeking personalities who align with their product’s ethos, making them more relatable and appealing to today’s consumer. Other big users of endorsement ads include the non-athletic apparel and footwear category, e-commerce brands, television and streaming networks, and sports apps.

“Celebrity and influencer endorsements have become a critical touchpoint for brands seeking to engage with increasingly diverse and digital-first audiences,” the report says. “The endorsement landscape is rapidly evolving, with new brands entering the space, influencers driving massive follower growth, and a generational shift reshaping marketing strategies — making the competition for impactful celebrity and influencer partnerships fiercer than ever.”

But brands tend not to be all that diverse in their selections. Sponsor United says celebrities and influencers ages 25 to 44 are the most successful in securing brand deals, representing 58% of the total deals across the top 100 most-followed individuals. There is more parity in gender, however, as 48% of deals were secured by females and 52% by males.

“Our data reveals a clear difference in audience engagement between male and female influencers and celebrities,” the report says. “Men see higher engagement with fewer deals; however, once they surpass six partnerships, engagement drops significantly. In contrast, female influencers maintain steady engagement regardless of deal volume. This can be partially attributed to the fact that, while they have a less diverse range of brands, female influencers are heavily involved in a category with not only huge engagement but also great consumer loyalty: cosmetics and skincare. This finding highlights the need for brands to strategically manage partnerships — especially for male endorsers — to avoid oversaturation that can dilute impact and reduce campaign effectiveness.”

The report encompasses more than 650 brands, 1,350 deals, and 3,000 celebrity and influencer social posts from Sept. 2, 2023, to Sept. 2, 2024. Download the “2024 Celebrities & Influencer Report” HERE.