|Abstract||The thesis explores the phenomenon of social media influencers, reveal their distinctive features, explain how followers develop relationships with them and clarify how and why a cooperation with influencers could be effective. Based on parasocial interaction theory and social influence theory, the study examines the associations between parasocial interaction and identification with a social media influencer along with the effect it carries towards the collaborating brand; in terms of advocacy, purchase intention and brand image. Antecedents of parasocial interaction with social media influencers have been investigated in terms of awareness, credibility, and physical attractiveness. The data were collected using an online questionnaire from 252 respondents. The findings suggest that the three predictor variables; awareness, credibility physical attractiveness significantly influence parasocial interaction. Parasocial interaction affects identification which in turn exert significant impact on advocacy, purchase intention and perceived image. The findings have essential managerial implications, as such most importantly it proves that identification with social media influencer has a different level of effect on collaborating brands, depending on the fore sought marketing outcome.