Evolution of influencer business in 2024 with a startup perspective

Influencers starting their own brands and startups is becoming quite a popular trend these days. It’s a natural progression for them to take their influence and expertise to the next level by creating their own products or services. 

By doing so, they not only establish a stronger connection with their audience but also have more control over their personal brand. It allows them to diversify their income streams and expand their reach in the industry. This shift not only signals a major change in the influencer scene but it also has the potential to shake up the entire industry.

The trend of influencers going from being brand spokespeople to brand creators is gaining traction. These digital trendsetters–once confined to promoting stuff and doing collaborations–are now trying their hand at something new by starting their businesses. This move shows their ability to adapt and also reflects the changing tastes of their followers.

What’s interesting is the variety of startups cropping up from the influencer scene. From clothing lines and beauty products to fitness programmes and lifestyle brands, influencers across segments are using their brands to create products that click with their audience. This shift is not just about expressing creativity, it’s also about influencers understanding their unique connection with their followers.

For instance, look at the surge in influencer-led fashion labels. Influencers, who were once the face of established fashion brands, are now carving out their own space in the industry. By launching their clothing lines, they are not just giving their followers a curated style but are also positioning themselves as trendsetters and fashion experts.

Beauty influencers are taking a similar path. They are not satisfied with just endorsing existing cosmetic brands, they are also stepping into the product creation game. This has led to a boom in beauty startups led by influencers who want to share their skincare or makeup wisdom with their audience. By actively participating in product development, influencers add a layer of authenticity to their brand, building trust and loyalty among their followers.

The impact of influencers turning entrepreneurs goes beyond the digital space. The traditional business world is also taking notice of this shift. Investors are increasingly interested in influencer-led startups, recognising the potential in these ventures. The ability of influencers to turn their massive online following into a customer base is becoming a unique selling point, making these startups attractive investment opportunities.

Democratisation of entrepreneurship

This trend is also contributing to the democratisation of entrepreneurship. Using social media as their launchpad, influencers are challenging the typical path to business success. They aren’t bound by the same rules as traditional entrepreneurs; instead, they leverage their existing platforms to introduce and market their products. This accessibility to entrepreneurship is inspiring a new generation of creators, encouraging them to turn their passion into a viable business.

The impact of influencers starting their businesses goes beyond business dynamics; it’s changing the relationship between influencers and their followers. The traditional influencer-follower dynamic is evolving into a more collaborative and engaging experience. 

Followers are no longer passive consumers of content; they are actively involved in and supporting the influencers’ entrepreneurial ventures. This sense of connection creates a community where followers feel like stakeholders in the success of the influencer’s brand.

From fashion to beauty, fitness to lifestyle, influencers across categories are becoming creators, launching startups that mirror their brand and resonate with their followers. This shift not only transforms the influencer landscape but also influences the broader entrepreneurial world. 

In a nutshell, the influencer business in 2024 will see a surge in entrepreneurship within the influencer community. As influencers continue to redefine the rules, their startups will showcase the power of personal branding, creativity, and the symbiotic relationship between influencers and their followers.

The author is Co-Founder and CPO, KlugKlug, an influencer marketing platform.