Influencer marketing has grown significantly, but the term influencer is applied to a very wide range of individuals — from celebrities with millions of followers to niche creators with a few thousand highly engaged subscribers in a specific topic area. Understanding what an influencer is and where this channel is and is not appropriate helps founders assess whether it belongs in their marketing mix.

A social media influencer is an individual who has built an audience on one or more platforms and can influence that audience's opinions, interests, or purchasing behaviour through their content. Businesses work with influencers by paying them or providing products or services in exchange for content that features or endorses the business. The commercial value of an influencer depends on the relevance of their audience to the business's target customer, not just the size of their following.

For many small UK businesses, working with micro-influencers — creators with smaller but highly engaged niche audiences — offers better value than pursuing celebrity endorsements. The key variables are audience fit, engagement quality, and authenticity of the recommendation. UK advertising regulations require that paid influencer content is clearly disclosed. Our guide to influencer marketing for UK founders covers how to find, approach, and work with the right creators.