Brands wake up to influencer marketing 'growing pains'

Creator marketing might be booming – with Goldman Sachs claiming the sector will be worth $480bn by 2027 – but brands are facing major “growing pains” as they seek to preserve authenticity and intimacy while scaling operations.

That is according to new independent research by digital agency Billion Dollar Boy, which quizzed 2,000 senior marketing professionals across the UK and US, and found that brands have moved beyond experimenting with creator marketing, and are now investing extensively.

It reveals that more than half (52%) of UK marketers are now investing in excess of £765,000 ($1m) annually in creator marketing, while nearly one in five (19%) are spending up to £2.3m on the discipline, with US marketers matching, and, in some cases, spending even more.

Even so, contrary to a growing narrative suggesting that brands are increasingly managing creator marketing in-house, the research shows that fewer than 1% of marketers do so without agency support.

But with increased investment comes operational complexity. One in three marketers cite ‘managing relationships at scale and ensuring creator preference for the brand’s partnerships’ (33.58%) and ‘maintaining authentic, high quality content and consistent brand messaging’ (33.88%) as their top concerns.

Yet there are other issues looming too, including finding the right insight, strategy and creative expertise (31%); identifying and vetting the right influencers at scale (29%); proving effectiveness against business objectives (28%); navigating platform changes and new social media trends (26%); budget management and supplier negotiations (24%); and handling due diligence, compliance and legal requirements (23%).

When it comes to tackling these concerns, the most commonly used agency partners are creator marketing agencies (29%) and social media agencies (26%), although creative agencies (15%) are still in with a shout.

The report claims that as brands scale their creator marketing investment, they are increasingly seeking agencies that offer more than logistical support. Much like their other agency partners, they want creative leadership aligned with brand values, robust creator networks, rigorous vetting processes and expert teams to effectively manage and measure campaigns

Billion Dollar Boy chief executive Ed East said: “Our research shows a sustained and growing confidence in creator marketing, with marketers spending extensively each year.

“It signals that creator marketing is no longer an emerging channel but the frontline of brand-building, where narratives are shaped, trust is earned, and culture is created. But as investment scales, so do the challenges – particularly around managing creator relationships at scale, as well as maintaining authenticity and consistent brand messaging.

“This study reveals a clear operational gap and it’s holding some brands back from experiencing the full creative and commercial potential of this channel. The solution isn’t choosing between scale and authenticity – it’s building the infrastructure to deliver both.

“Creators can provide emotional connection and commercial results – but only if the strategy, systems, and teams are aligned. To succeed in a growing and increasingly competitive creator economy, marketers need to identify a framework that supports fast, confident execution for their brand and partner with agencies who can deliver performance, trust, and cultural relevance at scale. That’s the business of influence.”

Even so, a study by the University of Portsmouth – published in February – exposed a lesser-known “dark side” side of the creator culture, claiming that if left unchecked influencers pose psychological, health and security risks and need tighter regulation.

University of Portsmouth professor of marketing and sales Yuksel Ekinci said: “Many influencers act as opinion leaders or experts within their respective areas, frequently reviewing products and leveraging their authority, expertise, or relationships with followers to influence purchasing decisions.

“Some inspire and entertain; others deceive and upset. The deception and damage, and their impact on consumption, need to be carefully regulated.”