Social media advertising has been growing at a rapid rate over the course of the past few years. Large masses full of consumer potential hovers in the social media sector. Unfortunately for advertisers, up until recently, it has not brought revenue to match the large potential. Four main reasons encompass why this is beginning to change for marketers using social media as an advertisement platform.
First, social media networks are providing more metrics for advertisers. In times past, marketers were left in the dark as to how a new campaign was going in the social media world. However, new social analytics services are popping up everywhere, which provide marketers valuable insights. Most recently, Facebook has revealed a new measurement tool for its business associates called Insights. The social networking giant is also working diligently to create a way for more targeted messages. Facebook says that advertisers will soon be able to target a smaller niche of prospects through data integration with other websites like Hulu and Spotify.
Second, content is king, and most social networks and its advertisers are beginning to realize this truth. Advertisers are providing content on a more regular basis. Meanwhile, social media sites like Twitter and Facebook are incorporating that content by turning it into an ad. Twitter is accomplishing this through Sponsored Tweets, and Facebook has joined the bandwagon by incorporating Sponsored Stories. Additionally, when users like a product or brand, it is incorporated when a friend of the user sees an advertisement.
Third, the fight for attention gains momentum. As social networks become more crowded with users and advertisers, some believe that there will be a mass increase of consumer “deafness or blindness” to the brand messages. This will happen as social networks continue to get flooded with promotional content. However, the good news lies in brand’s determination to fight the clutter. Facebook is aiding advertisers in the fight through its new algorithm that moves brand activity generating interest to the top of a user’s news feed.
Fourth, it’s not just about Facebook anymore. Facebook is one of the world’s largest, most popular ways for people to connect. However, it is not the only network that people are paying attention to anymore. Many other networks are beginning to gain the attention of both advertisers and consumers. While Facebook still gains a great portion of ad spending, other services continue to make progress. For example, many advertisers are leaning to enter into a newer social network called Foursquare. It is forecasted that 26% of advertisers will move into spending a portion of its advertisement dollars on this social networking site in the coming year.Social Media Advertisement Trends by Harrison Barnes