What Are The Consequences Of Brand Corruption Strategy?

From kickbacks to skyrocketing prices or even fake browsing, some agencies are doing their best to cut spending and increase revenue.

Chinese influencers are not cheap and the prices are rising. But is it really as expensive as you think? Or is your influence marketing organization secretly pushing up prices to increase their profit margins? Do you really understand how your organization chooses net red? Do they actually choose the net red because they have the ability to produce high quality content, or is it because these nets agree to kickback the employees of the organization in exchange for brand work?

These are important questions that brands should ask themselves.

Although we may think that they are corrupt according to Western standards, these practices are common among many top Internet red institutions in China.

From kickbacks to skyrocketing prices or even fake browsing, some agencies are doing their best to cut spending and increase revenue.

Asking for rebate

Insiders Elijah Whaley revealed that many Chinese employees who work for top influx organizations often ask influential people for up to 35% rebates (mostly in the pockets of employees) in exchange for top brands, including a large number of large luxury brands.

Whaley's girlfriend Maggie is one of the famous beauty bloggers in China.

When Maggie focused on content creation and expanded her audience, Whaley was responsible for the business.

In a recent interview, he shared some organizations' frequent requests for kickbacks from them, and it was frequent.

Although this is frustrating for them, they feel that they have no choice because they are often "gatekeepers" of top brands.

If they refuse to pay the rebate, the employees of the agency will give the job to another net red who is willing to pay, even if they are not suitable for the job.

He went on to say that net red people would not want to lose the opportunity to cooperate with top brands, but they did not want to lose money, so they would increase the rebate cost to the cost of the project.

This means that in many cases, the brand will pay unknowingly for the employees of the organization besides the agency and the net red cost.

Skyrocketing net red price

Western brands are often at the mercy of agencies when adopting net red and setting prices for them.

In China, with the emergence of new types of content and platforms, the charges of net Hong are far from standardized and are constantly changing.

In addition, there is almost no pparency, and few brands can get the information of average cost publicly.

And as more and more Chinese marketers realize that net red is one of the most effective ways to reach consumers of the millennial generation, the cost is also rising.

Many agencies use this situation to get quotations from net red and then increase them to expand their profit margins.

Only recognizes the high ranking influencers.

Even though you may have hired agencies to get what they call professional knowledge, Elijah reveals that many organizations do not have a thorough understanding of net red, but only get their information from the industry rankings.

He said he couldn't find a cooperative organization before Maggie got on the list.

But once they get on, agencies are springing up to provide jobs for them (assuming they are willing to pay rebates).

At first glance, this approach seems reasonable.

The agency has pulled out influential red net from these ranking lists because they want to provide the best resources for their customers.

But don't be so naive.

Most of these rankings lack credibility.

Many net red can be bought by buying fake fans and participating degrees. We know that this is a common practice in China, or to establish an internal connection in the company.

In addition, many agencies have not actually reviewed those nets to find out whether their fans and participation are false.

The fact that agents rely on these lists also means that many brands, especially luxury brands, will eventually reuse the same net red.

This has also created a problem. If a net red constantly cooperates with the brand, their listeners will eventually feel insensitive to their news.

For luxury brands, if the KOLs co operated with them is over exposed, there will also be the possibility of destroying the uniqueness of products.

Agencies purchase fake browsing to ensure KPI (key performance indicators) meet standards.

Although some net red may never have bought a false degree of participation, an institution may have done these things for them without knowing it.

A net red who wants anonymity has shared his experience.

"When the company wants to broadcast live, the agency will find any KOL to do the live broadcast, then the agencies will pay a lot of fake browsing to package the whole live broadcast."

He continued, "to tell you the truth, I have done many live broadcast, but I am not a live media person."

In a podcast interview last year, fashion and life Vlogger Adrianna Wang said that many organizations are concerned about not the real result, they only care about how to satisfy their customers and make every effort to make the strategy seem successful, so that customers will continue to cooperate with them.

Because of these reasons, many net partners are willing to cooperate directly with the brand.

I have experienced all these experiences.

As far as I have done hundreds of projects in China in the past six years, I have learned some skills used by some agencies and agencies.

Food and drink is shared by Antoine Bunel.

For this reason, he is strongly inclined to cooperate directly with brands under any circumstances. He believes that these institutions will become more and more difficult if they want to get rid of them.

"In this digital age, there are more and more resources on the Internet, and it may become more difficult for them to continue to operate.

It is easier for future customers to find and directly negotiate with these KOLs.

In order to maintain relevance, agencies must provide valuable strategies and execution to prove that they have leadership creativity and ability to allocate.

Unfortunately, not many agencies do so.

He explained that it was too many times, and the first question the institution asked him was, "how much do you bid?"

"Their marketing tactics usually can be summed up to provide customers with some KOL, thus charging a certain fee.

But a truly good marketing strategy must include multiple platforms and an integrated approach.

I'm not just making a video of how much RMB will be spent on KOL.

I am an innovative digital media strategist, able to conceive and execute diverse activities on various Chinese media platforms.

So I would rather cooperate directly with the brand and be my own agent.