In an interview with CNBC-TV18, Vimarsh Razdan, Co-founder and CEO of Underneat, stated that brands must align themselves with consumer interests. “All the attention is currently with creators. For a brand to thrive, we must follow where the focus is,” he remarked, adding that a sudden lack of influencers could create challenges for brands aiming for growth.
Nevertheless, marketers are becoming more cautious regarding how this attention translates into financial results. Arpan Biswas, Chief Marketing Officer at Reliance Ajio, indicated that while influencer marketing remains crucial, the approach is shifting. “As brands prioritize profitability, it’s essential for us to utilize channels that yield the best revenue for every rupee spent,” he explained. “Previously, it was a fixed-cost structure. Now we are transitioning to creator affiliate models.”
This shift mirrors a wider industry trend where brands are pivoting from awareness-focused campaigns to performance-driven strategies, emphasizing measurable outcomes. Biswas noted that while influencer-generated content retains its value, “the influencer must also produce results… the proof lies in the pudding.”
From the creator’s perspective, the discrepancy between engagement and actual sales is apparent. Amrita Thakur, a designer and style curator, mentioned that brands approach creators for various purposes—from storytelling to direct sales—yet conversion remains uncertain. “Brands must realize that it’s a hit-and-miss scenario. Similar to traditional advertising, there’s no assurance that every viewer will purchase the product,” she stated.
Thakur also pointed out the increasing pressure on creators to maintain authenticity amid commercial demands, noting that many partnerships are declined due to misalignment. The need for high-volume, rapid content creation often clashes with a creator’s personal aesthetic and the trust of their audience.
Despite these obstacles, influencer-driven strategies continue to yield strong results in the upper funnel. Razdan reported that Underneat has experienced significant growth through creator collaborations, with notable repeat engagement and customer retention. However, he stressed that sustained growth relies on more than just heightened visibility from creators. “A creator provides awareness and a boost, but product-market fit is essential for growth. Trust drives scale… brands thrive on repeat customers, not merely first-time buyers,” he articulated.
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The shifting dynamics are also evident in consumer behavior, particularly outside of metro areas. Biswas highlighted that while Reliance Ajio maintains a focus on Tier I cities, demand from Tier II and III markets is growing, spurred by rising aspirations and digital engagement. Lower return rates and increased use of EMI and cash-on-delivery options suggest a more intentional purchasing behavior among these consumers.
As brands intensify their influence-led strategies during high-profile events like the IPL, the consensus among marketers is clear: while the creator economy serves as a strong growth catalyst, sustainable success hinges on its capacity to consistently deliver conversions and measurable returns.
