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The Real Value Of Influencers And Content Creation – ClubHouse Media Group Inc.

Silvia Munoz Campo
·5 min read

In the wake of the COVID-19 pandemic, social media platforms have become businesses’ greatest allies for brand visibility as many struggle to survive.

With the recent digital transformation, efficacy rates for traditional advertising strategies using television, magazines, print media, and even the internet have been decreasing. This makes social media influencer-based strategies increasingly important tools for advertisers.

Social media platforms are built to harvest attention by elevating the most engaging content to the widest possible audience. It’s a natural fit.

Clubhouse Media Group Inc. (OTC: CMGR) represents the future of influencer-based media and marketing, with a global network of professionally run content houses, influencer cohorts and production capabilities. The company understands the power of influencers and content creation and is determined to prove that influencer-based marketing is the next big thing in the floundering multi-billion-dollar ad industry.

Here’s what you need to know.

The Power Of Social Media

Social media has become a critical resource for businesses, whether you’re marketing to consumers or organizations. Just 20 years ago, people aspiring to stardom in film or music needed agents. Nowadays, anyone can find stardom with just a phone if they can gain traction as a vlogger, influencer, or YouTube sensation.

Yet, social media stars are more than mere content creators. It takes passion, knowledge, and the ability to build an emotional connection with a loyal audience. Influencers that make it big tend to focus on creating relationships from their personal lives with those they can relate to.

That relatability creates a deeper connection than audiences experience through traditional media. Because of that deeper connection, the impact of integrated influencer-based marketing can be much more impactful than traditional marketing campaigns.

Over 1 billion people use Instagram worldwide — 140 million are U.S. users who spend an average of 30 minutes daily on the app. During those 30 minutes on the platform, a large portion of Instagram users is checking out business profiles.

At the end of 2020, Nathan Apodaca, commonly known as “Dogface,” became a social media sensation after his pickup truck broke down and he jumped onto his skateboard to get to work.

His video, which featured him cruising down the road on his longboard, lip-syncing to Fleetwood Mac and gulping down Ocean Spray Cran-Raspberry juice went viral, and now has over 69 million views and 15 billion media impressions — and is still shared endlessly across social platforms.

The video also elevated Ocean Spray, a 90-year-old agricultural cooperative of some 700 small family farmers, and injected a fresh awareness and enthusiasm for the drink.

The impact of the influencer marketing economy has developed into a mainstay factor for companies. Brands like REVOLVE and Fashion Nova and traditional companies like Procter & Gamble all now tend to allocate some portion of the advertising budget for social media strategies.

ClubHouse Media Group In The Spotlight

ClubHouse Media Group Inc. is a publicly-traded company focused on social media influencer-based marketing. The company’s management team consists of successful entrepreneurs with financial, legal, marketing, and digital content creation expertise.

ClubHouse Media, originally called “West of Hudson Group,” launched in spring 2020, and was founded by CEO Amir Ben-Yohanan, President Chris Young, COO Simon Yu, and Co-Founder Daisy Keech, who is a prominent social media influencer with millions of followers.

While Keech has departed, the rest of the founding team is still involved.

ClubHouse Media Group leverages the concept of Creator Mansions, paired with innovative technology, to build a scalable influencer-based marketing and media model.

The company is basically an organized influencer-based marketing firm capable of coordinating campaigns around a single brand across a big group of widely followed influencers.

The company takes a 20% cut on branding deals and works as an agency, bringing in brands and coordinating best-fit compatibility between brands and influencers. ClubHouse Media group also monetizes content created by its influencers for traditional ad revenues.

The other big avenue for driving growth for the company is its brand incubator potential, which involves launching, acquiring, or holding equity in brands that are developed specifically as maximum impact beneficiaries of its influencers in terms of top-of-funnel traffic generation.

What’s In A Name?

Recently, there has been a name mix-up with the Andreessen Horowitz VC-backed social media audio app known as “Clubhouse” after Elon Musk spontaneously appeared in a Clubhouse social app conversation on Sunday, January 31. In fact, some might have linked ClubHouse Media Group’s success to the social media platform’s popularity, yet there is more to the story than meets the eye.

The company states that there is a huge flaw in this narrative: ClubHouse Media Group stock really took off the Friday before Musk sparked widespread popular awareness of the Clubhouse app. In fact, the company shares traded all the way up to nearly $15 per share two days before the Musk appearance on the app. And two days after his appearance, the company was 1/3 of that price.

Over recent months, ClubHouse Media’s reach has surpassed 100 million followers, deals have been signed with top brands and its influencers have continued to emerge as globally visible internet celebrities.

From a simplistic chronological standpoint, ClubHouse Media Group shares actually lost ground in the immediate aftermath of the spontaneous appearance that brought so much attention and interest in the Clubhouse social app.

So, why then did ClubHouse Media Group shares rally so sharply days earlier? The company explains that one explanation might be that it had just announced it surpassed 1 billion impressions per month for the content published by its network of influencers.

The next time shares of the stock saw major buying interest was 1 week later, in immediate response to the announcement of its acquisition of Magiclytics, an AI startup that claims to be “the world’s first revenue prediction software platform for influencer-based marketing.”

Photo by Malte Helmhold on Unsplash

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