For Advertising, Social Media is the Media
Worldwide social media advertising revenue will soar to $US50 billion ($67 billion) by 2019 and outpace newspapers the following year according to predictions announced this week. It’s a clear sign that audience behaviour is redefining itself.
By the end of this year, the Australian advertising market will be worth $13.5 billion. In 2017 it will be about $16 billion. Digital media is taking a large chunk of that share. TV, combined metro and regional, accounted for approximately $1.7 billion. According to the IAB (Interactive Advertising Bureau), digital and social spend this year was approx. $8 billion. Now it’s clear where the money is going, organisations need to take another look at that campaign budget for 2017. They should ask themselves if the budget mix is where it should be . What’s the budget for Snapchat or Instagram? Is it still worth advertising in newspapers?
TV Is No Longer Where It’s At
Brands and advertisers shouldn’t waste campaign budgets solely on TV advertising. They may not need a TV budget at all. Audiences are everywhere. TV viewership is in decline. Radio listeners are spread vast and print advertising is pointless as media spend becomes more fragmented. Now that audiences are spoiled for choice, they’re redefining themselves in their own media channel in the mobile and devices world.
Audiences are super fragmented. More than ever, brands and advertisers must articulate their campaign budgets concisely for the best results or risk losing their audience during vital campaigns.
Consumers are moving into their safe spaces. For the majority that’s Facebook. For millennials, it’s also Instagram and for Gen Z it’s Snapchat, just to name a few. In the evenings, people watch Netflix or Stan where there’s no opportunity for ads.
But don’t despair. Recent research shows that mobile’s power is targeting audiences in the space they play in while they’re streaming video on demand. But a caution: the younger end of Millennials and Gen Z Are using devices to playback SVOD services. You’ll need to optimise when and where you’re targeting this group.
Learn Where The Audience Lives – Data Is A Goldmine, Baby
Social is no longer social media. It’s a media channel and a structural part of the campaign budget mix. While Twitter once rejected the idea that it was a media company, it’s hard now to view it as anything but. It’s a very niche one; with a select audience of politicians, journalists, celebrities, brands, trolls and then pockets of people who follow these prolific users.
Marketing today is about knowing where the right audience lives, where they play and on which platform. Advertisers need to understand what their audience’s primary and secondary interests are and what values they incorporate into their daily/weekly behaviour online. The results are sometimes surprising. Some audiences spend more time on social media platforms in a day than they do watching TV in a week.
Facebook is the powerhouse of individuals spending most of their daily time living in “echo chambers.” You can choose freely: your friends, which brands you like and follow, which news organisations you like and posts you share and what you want to see more frequently. Audiences segment into buckets based on their behaviours, interests and what they like. This is part of why advertisers spend more on Facebook than any other social platform. There are more targeting options with better, more direct and more visible results than traditional forms of media.
Snapchat is the platform to watch in 2017. As it grows, it keeps itself two-steps ahead of Facebook with innovation. Next year, that’s the Spectacles product line and more original viewing content (just like a TV streaming channel). Generation Z already lives there, and brands and advertisers need to be ready for it.
In 2017, campaign marketing plans need to use data discerning where the right audience plays. TV advertising won’t drive an activation campaign or product launch or new announcement – because chances are the audience switched on somewhere else, long ago.