- Influencer marketing on stream: is Twitch profitable for brands?
- Published 01/11/2023
- 9 min Read
- Written by Julia Shandrokha
Table of contents
Today, we will discuss an effective advertising platform – the Twitch streaming service. Famesters Twitch influencer marketing experts will share insights on who is suitable for advertising on the platform, what formats can be ordered, what subtleties should be learned before negotiations with a streamer, and, in general, is Twitch profitable?
WHAT THE… TWITCH?
Twitch is a video streaming platform for broadcasting online games, product and service reviews, travel or cooking videos, and many more. The streamers broadcast the progress of some games in real-time or “live on camera” and receive money for it.
A streamer’s income consists of two components:
- payment for the service for advertising on the channel;
- percentage of paid subscriptions to it.
Twitch is designed for gamers of all levels. Some play through different games on camera, while others watch. There are a lot of players and people who just like to relax in the evening at their PC in some shooting game. Therefore, the streaming platform gathers a massive audience around the world.
According to Twitch statistics, 15 million visitors spend an average of 95 minutes watching 2.2 million streams daily.
IS TWITCH PROFITABLE & WHY IS IT WORTH YOUR ATTENTION?
- This live-streaming platform is popular. According to stat data, Twitch receives more than 35 million unique visitors daily. There are many users there who may buy your product in the future.
- Users are loyal to advertising. According to the same Twitch statistics, 82% of respondents believe that sponsorship is needed in the gaming industry, and 80% are open to brands sponsoring a specific player or team.
- The audience is solvent. Let’s look at the Twitch report again. 81.5% of site users are men. 55% of them are aged 18-34 years. That is, more than half of men can buy the product, and at the expense of the remaining users, you can increase brand awareness or make an advertising campaign viral.
With one ad on Twitch, you can get an extensive reach – popular streamers gather 25-30 thousand viewers at a time. Successful broadcasts gain even more views. For example, the record with the highest number of peak concurrent viewers, with 3.44 million, belongs to streamer Ibai (real name: Ibai Llanos):
Source: Statista
Many have already started advertising products on Twitch — for example, Coca-Cola, Mars, and Old Spice have launched large-scale advertising campaigns. Back in 2017, Amazon signed contracts totaling more than $1 billion.
But is Twitch profitable for brands? Consider the Paco Rabanne case. The brand for which the will to win is essentially decided to integrate into the EPIC League, the main e-sports tournament of the Dota 2 season.
As part of the international championship, the men’s fragrance Invictus was presented; the very name and shape of the bottle in the form of a trophy cup serves as a symbol of strength, pride, and victory. It was also decided to use branding at the tournament and stylized posts. It turned out stylish, and most importantly, the integration exceeded all expectations. Instead of the expected 2.5 million reach, the brand received 4 million.
WHO CAN WIN ADVERTISING ON TWITCH?
The audience of the site is still primarily gamers. Therefore, advertisements for products related to games are placed there. For example, they advertise manufacturers of consoles, online stores of games, joysticks, and other gaming equipment, and so on:
Large fast-moving consumer goods (FMCG) brands also come to Twitch: a striking example is the Old Spice advertising campaign, but more on that a little later.
The majority of advertisers on Twitch are gaming-related businesses and FMCG brands. But more often, you can see advertisements from other niches there. This is because the site is developing and opening new sections:
- Creative is for everyone who wants to show their talents to the world;
- Music & Performing Arts for musicians;
- Talk Shows and podcasts for game-related topics.
WHAT TYPES OF ADVERTISING ARE THERE ON TWITCH?
All advertising on the site can be divided into three large groups.
- Direct advertising
It is available to those willing to spend much money or effort. The campaign aims to sponsor an event like TwitchCon or create your channel and attract viewers with unique content.
Many market giants came from above. For example, in 2015, Old Spice created its channel with a real game. The broadcast was carried out from a man’s helmet in the forest, and users who entered the channel received real power over him – they could vote for the following action. For example, the hero managed to shoot from a huge slingshot and taste the stone. Seven hundred three thousand people watched the live broadcasts, and in total, the videos were watched by more than 2.65 million viewers.
[This “game” still has more than 700 followers, although the materials on Twitch have already been deleted, and the event itself was held in 2015.]
Another example is the HP Omen Challenge. HP, together with PUBG, launched their tournament between top Counter-Strike teams as part of the Gamescom festival in 2016. Spectators could influence the players – for example, shock, throw tomatoes at them, or let off stage steam. More than 1.5 million people watched this show through channels on Twitch and YouTube.
Direct advertising is expensive – you need to develop an idea, purchase equipment for broadcasting, and attract viewers.
- Advertising via Twitch
Twitch offers direct advertising. The streaming platform provides two types of advertising: video and image.
- The video has four separate formats – crossover, mobile, desktop, and embedded in the broadcast.
- The images come in five formats, ranging from a medium rectangle on the side to the entire background of the home page.
Each video and image format has its geography. There are certain features and requirements. More details about them can be found in the description of promotional products.
The cost of advertising is calculated separately. The average price is $3.5 per 1,000 impressions.
- Advertising with streamers
The most common way to advertise products is to go directly to streamers. Even though they receive money from the site, some will agree to earn extra money. Streamers can promote a product in several ways:
- place a banner under the broadcast screen in the channel description;
- add a brand logo to the broadcast;
- periodically write about the product in the chat and leave links;
- mention the product several times in streams;
- conduct a separate broadcast dedicated to the product;
- use the brand in the title of the broadcast;
- hold a drawing of some prize on behalf of the sponsor;
- place the product in the background or use it during the stream.
Moreover, some streamers advertise products on other platforms – they write posts on social networks and publish links on the YouTube channel.
Read more on the topic:
FEATURES OF ADVERTISING ON TWITCH FOR STREAMERS
Is Twitch profitable and worth brands’ attention? With advertising directly on the platform, everything is clear – it is effective, but only some have that much money and strength. Advertising through the platform is standard, although everything must be discussed individually. But interaction with streamers has its characteristics.
The platform broadcasts videos in real-time. Streamers do not record several takes for each episode, like YouTube creators, but live in the frame, spending most of the day on streams. They value the trust of their subscribers and try not to do anything unnecessary. For example, do not advertise dubious products. In addition, few agree in principle to sell advertising space, because streamers already have income from the platform.
Those who agree to advertise a product take a minimal part in preparing the campaign. Streamers do not develop strategies or draft reports, screenshots, and time codes. They also cannot guarantee any KPIs. The most they can promise is to publish the advertisement on time. Therefore, it is better to come to them with a ready-made technical specification so that they can fulfill the requirements.
If you want to launch an advertising campaign with a streamer on Twitch but want to be reassured, you can ask Famesters for help – with more than 7,000 advertising campaigns launched and over 40,000 Twitch influencers involved, we will organize your integration efficiently.
HOW TO RUN ADS ON TWITCH?
If you want to advertise your brand directly on the platform, get ready to rob the bank. You can sponsor some events in the gaming environment. Creating something on your own is much more complex and expensive, but it is also possible. Take the example of Coca-Cola: the brand organized a Game-a-Thon 1.0 tournament.
If you want to run ads through Twitch and wonder if Twitch is profitable, email the platform’s advertising department and agree on a campaign. You will be asked for promotional materials – order them in advance or make them yourself.
If you want to order advertising from a streamer, you have to work hard. To find the right one, watch several broadcasts. Please pay attention to how streamers interact with the audience, whether they advertise something or not, and what activity is observed in the chat. The more viewers, chat messages, and interaction with those watching, the better.
When you choose 2-3 streamers, contact them directly through social networks. Present your project, offer to run advertising, and specify the cost. If you receive a refusal, refrain from pressing. If the answer is positive, discuss the terms of the advertisement: what format is necessary, when will it be released, and will there be additional support in the form of posts on social networks and links to YouTube?
Read more on the topic:
WRAPPING UP
A business can use streaming in its advertising strategy for the following purposes:
- increase brand awareness, for example, through advertising with famous authors or your channel;
- increase sales with sponsored on-air videos;
- gain access to your target audience by launching your live broadcasts.
Make sure you are ready to promote your brand through streaming. So, is Twitch profitable? This promotion format is particular, not the simplest or cheapest, but with the right approach, it can bring good results. It all depends on what kind of audience you need, what your budgets are, and what goals you want to achieve.
If you need to start a quality advertising campaign with a streamer matching your target audience, contact Famesters via [email protected]. We will select the right influencers and make sure the collaboration will help boost your business.
Frequently asked questions about Twitch influencer marketing
What is Twitch influencer marketing?
Twitch influencer marketing grants you access to the platform’s vibrant community by collaborating with streamers who have a strong following. Brands partner with these influencers to have their products or services featured during live streams. This could include unboxing videos, real-time product usage, or mere shoutouts, all of which help introduce your offerings to the streamer’s loyal audience.
Why should brands consider Twitch for marketing? Is Twitch profitable?
Twitch is a hotbed for marketers due to its massive, engaged, and young audience. It’s particularly beneficial for brands targeting the 18-34 demographic, common in the gaming and tech industries. Marketing on Twitch offers direct access to a community that is traditionally ad-averse yet highly receptive to products endorsed by their favorite streamers.
How effective is Twitch marketing for reaching target audiences?
Twitch’s effectiveness lies in its tailored reach. With over 35 million daily visitors who are deeply engaged with content, the platform allows brands to interact with niche markets on a grand scale. The interactive nature of Twitch streams also means viewers spend a lot of time on the platform, offering more touchpoints for brand exposure.
What types of products work best for influencer marketing on Twitch?
While gaming-related items are a natural fit — everything from video games to gaming chairs and headsets — non-gaming brands like snack companies, apparel, and even movie studios have found success. For instance, a tech brand might promote its latest hardware through a tech influencer, or a snack brand might sponsor a long stream, keeping the streamer fueled.
Can Twitch influencer marketing directly increase sales?
Yes, particularly if the campaign is well-targeted and features products that naturally fit into the gaming or tech lifestyle of the audience. For example, special discount codes or links provided by the streamer can lead to direct tracking of sales generated from the stream, offering clear metrics on campaign effectiveness.
How do I choose the right Twitch influencer for my brand?
Start by looking for influencers who not only have a large following but also a highly engaged one. Check their content to ensure it aligns with your brand’s image. Also, review past sponsored content to see how they integrate promotions into their streams. This can give you insight into how well they might handle your products.
What are the common advertising formats on Twitch?
Beyond direct advertisements like pre-roll or mid-roll spots, Twitch supports branded content integrations where influencers incorporate the product directly into their streaming content. Sponsored streams are another popular format, where the entire gaming session is built around a product launch or promotion.
What should I know before negotiating with a Twitch streamer?
Be aware of the streamer’s content schedule, average viewership, and engagement rates. Also, know your goals: Are you aiming for brand awareness or direct sales? This will guide your discussions on what you expect from the campaign. Being upfront about these elements will help streamline the negotiation process.
How do I measure the success of a Twitch marketing campaign?
Define what success looks like beforehand — whether it’s increased followers on social media, spikes in website traffic, or direct sales. Use Twitch’s analytics for engagement metrics and combine this with your own tracking tools to measure traffic and conversions from Twitch to your sales platforms.
Here’s an article that will help you set and measure KPIs for your Twitch influencer marketing campaign: How to set and measure influencer marketing KPIs
Are there risks involved in Twitch marketing?
The main risk involves mismatched expectations or audience misalignment. If a streamer’s audience isn’t right for your product, the campaign may not perform well. Additionally, the open, live nature of Twitch means slip-ups can happen, potentially impacting your brand. Choosing experienced streamers and having a clear agreement can help manage these risks.
