Why influencer marketing poses a growing risk for your brand

Spanish actress Karla Sofía Gascón made history this year as the first trans woman to be nominated for an Academy Award in the Best Actress category. But her moment in the spotlight turned sour when past comments she made, containing racist and Islamophobic remarks, resurfaced on X.

The backlash was swift. Not only has it seemingly derailed her awards campaign but Netflix has also reportedly distanced itself by removing her from awards-related events.

Gascón’s case isn’t an outlier. More past social media posts, particularly on X, are resurfacing to trigger widespread backlash. And this isn’t just a problem for the individuals involved, it’s also a major risk for the brands which work with them.
Influencer marketing has always carried an element of risk, but today, that risk is growing. Here’s why:

1. Influencers are driving purchasing decisions at scale

Influencers have become a major force in shaping consumer behaviour and driving purchasing decisions. According to a report by Sprout Social, 49% of all consumers make daily, weekly or monthly purchases because of influencer posts. This statistic not only demonstrates the power of influencer marketing but also highlights how it consistently impacts buying habits across the consumer demographic spectrum.

The effect is even more pronounced among younger audiences. 84% of Gen Z and more than two thirds of UK millennials actively follow influencers, making influencer marketing a key channel for reaching these digitally native audiences.

Influencers are shaping consumer decisions and driving brand growth like never before.

2. Greater budgets + greater influence = increased risks

Creators have moulded themselves to become online celebrities in their own right, often creating content which pushes boundaries through controversial actions, opinions or problematic associations.

Using this highly engaging content, they cultivate huge followings on Instagram, TikTok and YouTube, giving them incredible reach to shape opinions, trends and purchasing decisions.

When your brand develops a partnership with an influencer, your investment is essentially backing the behaviour and past of the individual you are working with, purely because of the association.

The greater the influencer’s profile, the larger the partnership budget. The larger the partnership budget, the more a brand stands to lose, not only from a financial standpoint but from a reputation risk point of view.

 3. Consumers are demanding transparency

Being transparent about your brand’s processes, ethics and goals can help connect with your customers on a deeper level and add value to your offering.
Brands are increasingly recognising this and as a result are embracing purpose-driven marketing strategies which aim to make a positive social impact alongside achieving their business goals.

But with these purpose-driven strategies come responsibility, and if you’re intending to make claims about issues like sustainability, supply chains or corporate investment, you must back them up with real, verifiable actions.
When a company is caught exaggerating its credentials or hiding key information, the backlash can be swift. Accusations of greenwashing, unethical labour practices or misleading advertising can damage reputation and erode consumer trust overnight.

Now consider this: if your brand promotes sustainability, why would you partner with an influencer who has denied climate change or engaged in environmentally harmful behaviour? Even if their current messaging and content aligns with your message, can you be sure they haven’t made contradictory statements in the past?

Consumers expect the influencers brands work with to reflect the same values as the brands they buy from.

When there’s a mismatch, they won’t hesitate to call it out, even if it is historical.

4. Backlash from hyper-niche audiences

Influencers are increasingly building hyper-niche communities – small but highly engaged audiences united by very specific interests. Instead of broad categories like ‘fashion’ or ‘fitness’ these niches can be as precise as female pilots, holistic health, van life or vintage watches.

Tapping into these communities can be an excellent opportunity for your brand; these audiences are typically deeply knowledgeable, highly engaged and often more loyal. But the risks can be magnified; the smallest misalignment between your brand’s values and audience expectations can trigger a disproportionate backlash.

5. The desire for trust and authenticity

Although we’ve shown that influencers have power over purchasing decisions, the more audiences see brand partnerships the more sceptical they become. As partnerships become more ubiquitous, consumers are asking: “Does this influencer actually believe in the product, or are they just doing it purely for the money?”

According to Sprout Social’s report, 64% of consumers are most likely to engage with genuine and unbiased influencer reviews.

At the same time, social media is shifting. Highly polished, overly curated content can feel fake especially if the partnership doesn’t quite make sense. Instead, more of the unfiltered, unpolished content gains traction. Deinfluencing – where creators openly call out products they don’t think are worth the hype – is also on the rise. The more real something feels, the more people trust it.

But there’s a catch. The influencers who come across as the most ‘authentic’ are often the hardest for brands to manage. They’re unpredictable, and that can be a risk.

6. An exodus from from X

Celebrities, influencers and everyday users are increasingly distancing themselves from X as the platform gains a reputation for being more divisive.
However, leaving a platform doesn’t erase the past; old posts remain and digital footprints are scrutinised, especially at times when public figures find themselves in the media spotlight.

New search tools also make it much easier to search and dig up old social media posts.

Those who have been active for years – long before they became famous – may have large digital footprints, increasing the likelihood that past content resurfaces, sometimes in ways that can be damaging, as the Gascón case has shown.

Why influencer vetting is essential

If an influencer gets caught up in controversy, your brand could find itself facing public backlash, losing consumer trust and scrambling to contain the damage with costly crisis management.

It only takes one problematic post to resurface for a storm of negative sentiment to spread like wildfire. Once the internet turns on your brand, the financial and reputational fallout can be hard to undo.

With these growing risks and the continuous growth of influencer marketing, an increasing number of brands are benefitting from InsightX’s thorough due diligence checks. Our team’s mission is to support as many brands as possible by providing peace of mind and empowering confident decision making as they navigate the constantly changing world of influencer marketing.

If you’re worried about the risks posed by influencer and content creators working in partnerships with your brand, then get in touch to find out more about our brand ambassadors reports or ask to see a sample report.