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THE LEADER AS INFLUENCER

University of Debrecen

Faculty of Economics and Business

Doctoral School of Management and Business

Creativity - Theory and Practice (2024) International Interdisciplinary Conference

Presenter: Krisztián Csák, PhD student

Co-author: Csilla Juhász, associate professor

Abstract:

The rise of social media has fundamentally transformed the tools for building and maintaining personal and corporate brands. Leaders today are not only responsible for achieving organizational goals but have also become key figures in shaping their company's credibility and public perception. Leadership personal branding and the emergence of leaders as influencers show a strong connection to the long-term success and competitiveness of organizations.

This study analyzes the role of leaders as influencers, with a particular focus on how they utilize the opportunities provided by social media to consciously build their personal brands. The role of influencers in fostering authentic and personal connections, as well as influencing consumer decisions, is highlighted, especially in the case of leaders with medium to large followings. A leader's presence on social media can strengthen corporate image, foster brand loyalty, and deepen consumer engagement.

Based on relevant literature and case studies, the research explores how leaders' digital skills and social media strategies contribute to the success of personal branding and how this, in turn, impacts the organization's image. The study places special emphasis on the relevance of influencer marketing, which today serves not only as a promotional tool but also as a key element of consumer relations and organizational communication.

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My main research area is personal branding for leaders (CEO branding) in relation to success
The new challenges and opportunities of the digital age for leaders
The interconnection of personal branding and the role of influencers
Why it can be important for a leader to become an influencer?

Introduction

The importance of topic identification:

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�"An influencer is an entity capable of exerting influence and shaping consumer opinions in the digital environment—be it a minor individual or an object, a virtual entity (such as an animal, mascot, digital character, or avatar)—who/which, either as an occasional or permanent partner or as a dedicated brand ambassador, creates and shares online content on their own website, social media platform, video-sharing site, or any other online platform. This is regardless of whether the content is original or a guest post. In most cases, the opinion leader possesses a committed follower base."

The influencer …

Source: gvh.hu – Informative Guide on Influencer Marketing

According to the 2022 statement of the Hungarian Competition:

Social media has become of paramount importance in marketing activities across almost every industry today. It has also become a valuable tool in the development and maintenance of our personal brand (Jacobson, 2019). In this context, the concept of an influencer is important, as they can have a significant influence on a specific target audience. The term "influencer marketing" is becoming increasingly popular, where these individuals test and showcase products.

In these cases, people often choose the products not because of the product itself, but because of the person associated with it, where the promoter's external traits, beliefs, and unique characteristics also come into play. With a suitable follower base, "the individual’s brand" can completely transform into a corporate brand, where conscious self-branding may take center stage. Typically, influencers owe their success to effective personal brand building, while athletes, for example, may be popular due to their outstanding performance in a particular field (Nagy et al., 2018). We can mention numerous advantages of these platforms; however, we must also keep in mind that a negative impression on the internet can damage our brand’s reputation (Jacobson, 2019)

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The differentiation of influencers

Campbell and Farrell (2020) developed a framework for classifying influencer types to provide a comprehensive understanding of the appeal of different influencer types and the impact of their campaigns. The ranking is based on the size of the influencers' follower base.

Source: Own compilation based on Rying et al. (2023)

We can now say that influencers have become a part of our daily lives, present on almost every platform of social media, with Instagram or TikTok coming to mind first (John & Shyamala, 2019). According to John and Shyamala (2019), we can distinguish five types of influencers:

Celebrity influencers, who are able to reach and attract people due to their fame and financial background,
Authority influencers, who are experts in a specific field and thus reach their audience,
Social media sensations, who express their opinions on products or services,
Micro-influencers, who have a smaller but more loyal following,
Bloggers.

Campbell and Farrell (2020) created a framework for classifying influencer types to provide a comprehensive view of the appeal of different influencer types and the impact of their campaigns. The ranking is based on the size of the influencers’ follower base, and according to this, the following categories exist:

Celebrity Influencers, who boast more than 1 million followers and became famous through activities or professions beyond social media,
Mega Influencers, those with more than 1 million followers, but who owe their popularity solely to social media platforms,
Macro Influencers, who have a following of more than 100,000 but fewer than 1 million followers,
Micro Influencers, whose follower count falls between 10,000 and 100,000, typically “Instagram celebrities” (Boerman, 2020),
Nano Influencers, who have fewer than 10,000 followers, typically with whom they have a direct relationship (Campbell & Farrell, 2020) (Ryding et al., 2023).

The above figure presents the classification of influencer types according to Campbell and Farrell (2020).

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Influencer marketing (IM)

Promotion of products or services

An individual's brand plays an important role

The distinguishing features of the influencer and their personal beliefs

Reaching and influencing the community

Selecting the right target audience is critically important

Source: Jacobson (2019), Nagy et al. (2018)

Social media platforms have become a primary source of information when we want to learn about a brand and its products. Influencers typically possess professional knowledge in a specific field and are active in a particular industry. Zhao et al. (2018) also found that consumers are willing to accept opinions and suggestions from influential individuals before making decisions about a specific product or service. We can also state that followers often expect influencers to present or test products, thereby influencing their purchasing decisions. This can also lead to customers becoming biased in their opinions about certain products or services (Djafarova & Rushworth, 2017). As a result, the most well-known celebrities or opinion leaders can significantly impact their followers’ decisions and purchase intentions. The influencer promotions that appear can greatly influence consumer behavior and decisions, both in terms of positive or negative effects (Ade et al., 2024) (Geng et al., 2020) (Chu, 2024).

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IM and business success

The rise of online shopping

Establishing brand-consumer relationships

Traditional advertisements do not allow for interaction

A sense of belonging and loyalty through a product group

Authentic recommendations and reviews
Brand visibility and appeal
Increasing online presence

Source: Jacobson (2019), Nagy et al. (2018)

The development of information technologies impacts every aspect of the world, where the spatial and temporal limitations of people are increasingly disappearing. The internet, as a medium, is no longer just a communication tool, but also serves as a purchasing medium, thus increasing the importance of digital marketing. Influencer marketing is the key to successful social media marketing (Ade et al., 2024).�It no longer just serves as a promotional tool, but also acts as a catalyst for building deeper and more authentic brand-consumer relationships. For consumers, it has become increasingly important to connect with brands in some way. Influencers play a key role in bridging this gap by providing reliable and authentic content. Furthermore, companies are focusing not only on one-off campaigns but also on long-term partnerships with influencers, so that through their sustained collaboration, they can reflect shared values and resonate with consumers. The future of influencer marketing lies in its ability to positively influence consumers by creating a sense of belonging and loyalty, for example, through a specific product group (Joshi et al., 2023) (Tabellion et al., 2019) (Ifeanyi & Emmanuel, 2023).�Online shopping is gaining increasing popularity, primarily due to its convenience options, as a wide range of products is available with almost constant online discounts, and there is no need to leave the comfort of our homes.

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Why is it important for a leader to become the influencer of their own brand?

Leadership Personal Branding on Social Media

The intertwining of leadership personal branding and business success is supported by numerous studies. Today, we can observe that leaders are not only responsible for the strategic direction of companies, but their persona and activities are also closely associated with the brand of the company they represent. The presence, impact, and power of this connection can be a key factor in the long-term success of a company. For example, we can mention the names of Steve Jobs and Elon Musk, where in both cases, the brand names they represent, such as Apple and Tesla, come to mind. The personal charisma, presence, and thinking of these leaders are reflected in the quality of the products they represent, and as representatives of their fields, they have earned significant trust from their communities.

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The social media is an effective tool for personal branding (Dominyka et al., 2023)
The direct, active presence of leaders on social media enhances the credibility of the company
Schawbel’s four steps for personal branding (2009):

Recognizing strengths
Setting goals
Creating and communicating content
Maintenance and adaptation

Consumers and market participants are increasingly looking for the human factor in corporate communication

Personal branding:

Offline and online self-representation

Personal branding includes both the offline and online self-representation of an individual, making social media an effective tool for this purpose (Dominyka et al., 2023). Personal branding has become a priority for many professionals. It has clear appeal for bloggers and influencers, but over time, it has become of significant importance for leaders as well as those entering the labor market, regardless of their professional background (Khedher, 2019). The development of a leader’s personal brand can have a positive impact and directly influence the organization’s reputation and image (Dominyka et al., 2023).

In their study, Dominyka et al. (2023) also mention, based on previous research, that the leaders of companies who are directly present and involved in social media, sharing the company’s core goals and values, are considered more trustworthy by our consumer audience. Personal branding is not always a simple and natural process; it requires numerous interaction, technical, and digital skills (Pagis & Ailon, 2017). In this context, leaders who possess the right competencies, such as digital skills, are able to recognize their own style, distinguish themselves from others, and convey this through creative, strategic tools in the appropriate way, increasing their chances of professional success (Gorbatov et al., 2018). Self-awareness and a deeper understanding of oneself are key elements of personal branding, which is why leaders need to understand and master this process. In his book, Schawbel (2009) outlines four steps in this process. First, it is essential to recognize our strengths and passions, followed by defining both short- and long-term goals. Afterward, content should be created that aligns with the image we want to project to others. The next step is communication and maintaining that content in a way that reflects our personal brand. The importance of personal branding among organizational leaders is widely acknowledged in social media. However, there is a lack of deeper understanding of the factors behind such behavior, the process of personal branding itself, and its impact on the organization (Cederberg, 2017) (Dominyka et al., 2023).

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The leader as influencer

The leaders' persona and their activities are closely intertwined with the corporate brand
Focuses on strengthening personal relationships
By building their personal brand, they strengthen the image of their company
Those with a large follower base have a significant impact on purchasing decisions
Increases leadership credibility and builds trust
It can result in long-term commitment and brand loyalty

Main source: Dominyka et al., 2023; Boerman, 2020, Gorbatov et al., 2018; Schawbel, 2009

Based on the analysis of literature and case studies

The role of the leader as an influencer and the intertwining of personal branding has become a key factor for companies and their leaders in today’s social and economic environment. The growing role of social media and the impact of influencer marketing have brought significant changes to corporate and leadership strategies. Today, a leader’s personal brand is not just about maintaining personal reputation, but has also become a key element in corporate image and consumer relations. Influencer marketing increasingly focuses not only on promoting products but also on strengthening personal relationships.

Leaders, as influencers, can leverage the opportunities provided by social media to build closer connections with their audience and strengthen their company’s brand through their persona (Dominyka et al., 2023). Influencers, particularly those with medium to large followings, can significantly impact purchasing decisions, as audiences increasingly expect product presentations in the form of personal recommendations (Boerman, 2020; Ade et al., 2024).

For leaders, the use of social media and influencer marketing as tools can not only facilitate brand building but also enhance leadership effectiveness and corporate success. According to the literature, leaders who actively build their personal brand and communicate their values on social media platforms can become more trustworthy and credible in the eyes of consumers, which can lead to long-term commitment and brand loyalty (Girginova, 2015; Dominyka et al., 2023).

The role of the leader’s personal brand and influencer status is thus increasingly indispensable for companies, as the direct influence of leaders on the brand and corporate culture has become a key factor in maintaining competitiveness. Leaders with digital skills can build stronger connections with their audience and have a greater impact on consumer decisions through their personal brand (Gorbatov et al., 2018; Schawbel, 2009). Therefore, leaders’ active social media presence is not only important for brand building but also essential for business success, as consumers and market participants are increasingly seeking the human factor in corporate communication.

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Further investigation of the topic

Conscious personal branding strategies on social media platforms

Using semi-structured interviews
Opportunities, risks, and limitations

Interview sample questions based on the research of Dominyka et al. (2023):

What drives you to develop your personal brand?

What tools do you use to develop your personal brand on

social media?

Please share examples of how you develop your personal

brand on social media?

What do you intend to do for your personal branding in

the future?

When you communicate (create content mainly), what

audience do you intend to reach?

How often do you create content on social media?

How would you describe your personal brand (on social

media)? What keywords would you use?

What do you do to look credible on social media?

What tactics/strategies do you use for better reach/visibility?

What types of content do you create when branding yourself

on social media?

How do you measure your personal branding efforts on

social media?

What shows that your personal branding efforts are paying

off?

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„Life isn't about finding yourself. Life is about creating yourself.”

– George Bernard Shaw

The quote encourages that personal brand building and becoming an influencer should not be passive processes, but rather a conscious and active form of self-creation. In personal branding, you are the creator, shaping your unique values and style, constantly learning and evolving, and pursuing strategic goals. This approach helps you become an authentic, inspiring, and successful influencer.

The quote emphasizes that self-identity and personal branding are not predefined, static elements that need to be discovered, but rather a continually shaped and molded construct. In personal branding, it’s important to recognize that you are the creator who consciously builds and develops your own brand.

Building a personal brand and playing the role of an influencer requires continuous self-development and learning. The quote encourages you not to wait passively for growth, but to actively seek opportunities to acquire new skills and knowledge.

Creating a personal brand involves unleashing uniqueness and creativity. The quote motivates you to walk your own path and create unique values and a style that sets you apart from others.

When building a personal brand, it is important to have clear goals and a vision. The quote suggests that creating a personal brand requires conscious decisions and strategies that align with your long-term objectives.