The Rise and Fall of the Social Media Influencer

The word “influencer” was officially added to the Merriam-Webster dictionary in 2019, but the concept of influencer marketing has been around for centuries. Long before Instagram and TikTok, high-profile figures shaped consumer trends and buying decisions.

Centuries ago, people looked to royalty and religious leaders for guidance on everything from fashion to medicine. In the early 1900s, Roscoe “Fatty” Arbuckle became one of the first celebrity influencers, promoting Murad cigarettes (though he refused to smoke them). Fictional characters also played a role—Coca-Cola helped define the modern image of Santa Claus in its 1930s holiday ads, and the Marlboro Man turned smoking into a rugged lifestyle choice in the 1950s.

By the ‘80s and ‘90s, celebrity endorsements were everywhere. Michael Jordan became the face of Air Jordans, Wheaties, Gatorade, and McDonald’s. Jennifer Aniston sold the dream of Rachel Green hair with L’Oréal. Cindy Crawford and the Spice Girls made Pepsi commercials that are still iconic today.

Then came the internet, and influencer marketing changed forever.

The Rise of the Influencer

By 2000, only half of U.S. adults were online, but blogs were gaining traction. Travel, parenting, and food bloggers built loyal audiences, often recommending products they genuinely loved. Brands saw an opportunity, and influencer marketing took off.

The game changed again in 2010 with the rise of Instagram. Early adopters built massive followings, and influencer culture exploded. Instagram grew from 100 million users in 2013 to more than a billion today. As the platform expanded, so did influencer marketing. Brands realized they could reach engaged audiences through influencers who felt more relatable than traditional celebrities.

By the late 2010s, influencer marketing was booming. Social media users weren’t just tolerating sponsored content—they were seeking it out for product recommendations. By 2019, 86% of companies had influencer marketing in their budget. It seemed unstoppable.

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A Reality Check

Then, in 2019 and 2020, influencer marketing hit some major roadblocks.

First, scandals and fake followers rocked the industry. The Netflix documentary on Fyre Festival exposed the dangers of influencer hype. Companies like Devumi sold fake followers to more than 200,000 customers, including celebrities and politicians. Bots inflated engagement numbers, making it hard to tell which influencers had real influence.

Transparency was another issue. While bloggers had been required to disclose paid partnerships since 2009, social media influencers weren’t always upfront about sponsorships. This led to a growing distrust among consumers.

Then came the COVID-19 pandemic. Travel influencers had nowhere to go. Restaurant influencers had nowhere to eat. Sponsored posts featuring luxury shopping and exotic vacations felt tone-deaf as the world struggled. At the same time, companies slashed marketing budgets, and influencer partnerships were often the first to go.

For the first time in years, it looked like influencer marketing might be on the decline.

Influencer Marketing in 2025: What’s Changed?

Despite those challenges, influencer marketing is not only back—it’s thriving. But it has evolved.

1. Authenticity Matters More Than Ever

Today’s consumers are savvier. They can spot fake engagement, inauthentic endorsements, and forced sponsorships from a mile away. People don’t just want to see influencers pushing products—they want real opinions, honest reviews, and genuine connections.

Influencers who maintain trust with their audience by being selective about sponsorships and transparent about paid partnerships are thriving. Those who chase quick paychecks without considering credibility? Not so much.

2. Micro- and Nano-Influencers

While big-name influencers still exist, brands are shifting focus to smaller creators. Micro-influencers (10,000-100,000 followers) and nano-influencers (under 10,000 followers) often have higher engagement rates and more loyal audiences. Their recommendations feel like advice from a friend rather than an ad.

For brands, working with smaller influencers means:

• Lower costs per post
• Higher trust and engagement
• More targeted reach within niche communities

3. TikTok’s Explosive Growth

TikTok changed the game by making it possible for everyday people—not just established influencers—to go viral. Unlike Instagram, where high follower counts often determine reach, TikTok’s algorithm prioritizes content that resonates, regardless of who posts it. This has created new opportunities for brands to partner with emerging creators who produce compelling, relatable content.

TikTok’s Creator Fund and influencer marketing platforms have also made it easier for smaller influencers to earn money, leading to a more diverse range of voices in the space.

4. More Transparency and Regulation

The influencer industry now has clearer rules. Influencers regularly disclose partnerships with #ad or #sponsored, and consumers don’t mind. In fact, transparency has become a sign of status—some aspiring influencers even add #ad to unpaid posts just to seem more popular.

Brands are also being more selective, vetting influencers to ensure their audience and engagement are legitimate. AI-driven tools help companies analyze influencer metrics to identify real influence versus inflated numbers.

5. Long-Term Partnerships Over One-Off Posts

In the early days of influencer marketing, brands often paid for a single post or video. Now, companies are focusing on long-term relationships. Instead of a one-time mention, influencers become ongoing ambassadors, weaving brands naturally into their content over time. This approach builds trust and makes endorsements feel more authentic.

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How Brands Can Win with Influencer Marketing in 2025

Influencer marketing isn’t about chasing the biggest follower count anymore—it’s about real influence. Here’s how brands can make it work:

• Prioritize authenticity – Work with influencers who genuinely connect with their audience and align with your brand values.
• Think small – Micro- and nano-influencers often have deeper engagement and more targeted reach.
• Leverage TikTok and emerging platforms – Algorithms that reward great content over big followings create opportunities for fresh voices.
• Build relationships, not transactions – Long-term partnerships create stronger, more believable brand messaging.
• Vet influencers carefully – Avoid fake followers and bots by using tools that analyze real engagement.

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The Future of Influencer Marketing

Influencer marketing isn’t going anywhere. It has simply evolved. Consumers are demanding more authenticity, and brands are adjusting their strategies accordingly. Whether it’s a niche TikTok creator, a trusted food blogger, or an Instagram micro-influencer, the key to success in 2025 is connection over clout.

Brands that embrace this shift will continue to see strong returns from influencer marketing, while those stuck in the past—chasing massive follower counts without considering engagement—will struggle to keep up.

At its core, influencer marketing is still about the same thing it always has been: trust. The platforms may change, but people will always turn to voices they trust when making decisions. The brands that understand this will be the ones that win.

If you’re unsure where to begin in your marketing process, Marketing Insider Group offers specialized services to create content, manage campaigns, and engage with your audience. Contact us today to learn more or book your free consultation with our team!