Social media advertising is now front and center in this new age of marketing. According to a recent survey, company spending on social media platforms consist of 9% of marketing budgets. Marketers suggest that social media provides a more efficient way of communication between their consumers when compared to traditional media.
The millennial generation and future generations has become so accustomed to using social media platforms like Twitter, Facebook, Instagram, and many others that marketers take full advantage of using them to promote their brands.
But what makes social media marketing so effective? And how do advertisers define “effective”? Is it the site stickiness? Or is it number of views an advertisement gets when pushed through that platform? Or could it be the amount of positive reactions to your product?
Let’s compare the amount of views and active users on each platform. According to the graph Social Media Active Users, Facebook clearly has a huge lead amongst its competitors. Twitter and Instagram are neck to neck for second, but Instagram comes on top.
These figures don’t give us the total picture. To compare effectiveness, advertisers must take into consideration platform’s total advertising revenue. This data will show what types of advertising really works. Although there are plenty of factors that need to be taken into account, this is a good place to start.
Looking at the graph Social Media Total Quarterly Sales, Facebook is still in the lead with their total quarterly sales marked as $6.44 billion which is up 59% from last year. Twitter is slowly catching up with reaching nearly $556 million, up 31%. Then comes Snapchat with $366.7 million and LinkedIn coming in last with $153 million. Twitter is clearly not number one in either advertising revenues or active users, but Twitter presents a unique opportunity for their advertisers. Even though Twitter’s monthly audience has declined, their advertising business has grown exponentially. The big question is this: why do marketers continue to advertise their brands on Twitter if their audience is declining?
What advertisers do not realize is that marketing on Twitter is slowly developing into something that has never existed before. Twitter has made it possible for advertisers to present their brand in real-time. Advertisers can immediately see if something was successful or not. This allows the advertisers to change their marketing approach according to consumer feedback. Twitter’s appeal is real-time technology. Advertisers can easily jump on and target consumers based upon current world events. With the right segmentation and audience targeting, brands can be sure they are promoting to the right people at the right time.