Malaysian authorities have arrested 27 influencers after investigations reportedly led the police to believe gambling syndicates hired social media personalities to promote illegal gambling and other activities.
On June 13, the group included four males and twenty-three women captured in seven states: Johor, Perlis, Kuala Lumpur, Kedah, Penang, Negri Sembilan, and Selangor. The individuals were between the ages of 21 and 35.
At a recent press conference, Mr. Mohd Shuhauly of the Criminal Investigation Department of the Royal Malaysia Police described how each influencer receives approximately US$430 for each social media platform, contingent on the number of followers. He also stated that they believe each influencer is active on multiple social media platforms.
In this Muslim-majority Asian state of slightly under 35 million people, gambling is strictly prohibited, albeit certain types of betting-like lotteries, casino games, and horse racing-are allowed. On the other hand, sports betting and internet betting are prohibited.
Thirty cell phones were seized as part of the ongoing investigation into this activity, which has been going on for the past year. According to Mohd Shuhaily, the authorities are still trying to find the people behind the gambling syndicates.
Not only did the influencers endorse illicit gaming websites, but they also made money by selling makeup and other goods. Four females and one male have been arrested in connection with a case concerning the purported promotion of prostitution, pornography, and illegal SSS.
Influencers Raking in Millions
This incident shows how influencers are becoming increasingly prevalent advertising figures due to their scope and reach. Notably, in November 2023, Zheng Xiang Xiang, a popular live streamer on Douyin, China's equivalent of TikTok, made headlines by earning millions of views.
Reports at the time said that Xiang Xiang had amassed an incredible 100 million yuan (S$18.7 million) in sales in just seven days. The report states that Xiang Xiang wears a stunning black halter dress that gained popularity due to a Chinese celebrity during her livestream sales activities.
What makes her stand out is how quickly and deadpan she introduces items. She gives each thing three seconds to be displayed. After handing it to her, her aide quickly sets the product aside so she can show it and disclose its price. There are no more explanations or upselling.
Influencers' Effectiveness
According to a recent report, influencer marketing efforts have proven successful for numerous well-known businesses. Examples of these projects include Dunkin's connection with the TikTok phenomenon Charli D'Amelio and MAC's association with Sabrina Bahsoon.
Additionally, Influencer Marketing Hub projects that the influencer marketing sector will reach a roughly $21.1 billion valuation by 2023, with TikTok emerging as the leading influencer marketing platform.
According to reports, influencer marketing helps organizations reach a target audience while selecting ambassadors who share their values, and social media helps businesses precisely target their ideal clients.
Because of this, influencer alliances are becoming just as important to large and small businesses as the enduring marketing programs they have spent decades developing. Furthermore, analysts predict that influencer alliances will play a bigger role in business in the future.
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