The influencer marketing platform HypeAuditors published a study on the growing field of financial-related social media influencers, aka “finfluencers”.
The world of influencers is somewhat controversial, with some influencers being criticized for spreading misleading information, especially to young people.
However, the Australian government has refused to step in and regulate influencers, with Financial Services Minister Jane Hume saying earlier that influencers are “an inevitable part of the financial ecosystem” and “the TikTok influencer who pushes Nokia isn’t that different from the guy in the pub who wants to tell you all about the great company he’s just invested in, but with a much louder voice.
What the new research from HypeAuditor reveals is that the continuing influencer trend in Australia is primarily driven by millennial women.
He analyzed engagement on hashtags like #moneytok, #stocktok and #finance, ultimately concluding that influencers make up less than 1% of Australian influencers. However, on TikTok, #moneytok still has over 3.8 million views and #stocktok over 361 million.
The research goes on to explain that influencers and their audiences are predominantly female – 34 percent of influencers are women aged 25 to 34 (compared to 16 percent of men). 57% of the public are women and 44% are between 25 and 34 years old. 19 percent were between 35 and 44 years old.
Interestingly, influencers aged 35 to 44 were more likely to be men, at 25%.
Research argues that “demographics point to a trend among most female consumers who wish to be educated by influencers who look like or look like them, who use lay terms and empower them to become financially self-sufficient.”
The influencers with the highest reach and popularity level are:
Alex Frolov, CEO and Co-Founder of HypeAuditor, said: “The influencer phenomenon is growing rapidly in Australia, and brands that want to engage with commercially savvy influencers and connect with money-conscious consumers are taking advantage of this evolving trend.
“It’s interesting to see this movement driven primarily by millennials, reflecting a continuing trend to look to and trust online information and sources when making important life decisions or taking important milestones such as than buying a first home, investing in stocks for the first time. , or reassess the best retirement options. Influencers step in where traditional financial institutions or more established businesses have historically made this information difficult to navigate and take action.
“Amid the rise of influencers, consumers and brands need to exercise caution when translating online content into actionable financial advice. While many Australian influencers have a solid background in finance, not all are qualified to provide financial advice.
“For influencers with strong, highly engaged audiences, it can become difficult for their audience to differentiate between an influencer’s observation or advice for a specific scenario and their advice for the follower themselves. With more and more influencers joining the scene, brands will need to remain vigilant in determining the most relevant and trusted influencers to partner with, and consumers will need to be cautious when analyzing financial advice.