Internet Marketing has changed and improved so much over the past few years that companies and marketers must now rethink their entire marketing approach. Not so long ago, the whole definition of internet marketing could be summed up to basically place some paid ads here and there and then just hope someone would click on them, but those days are over. However, we're not trying to undermine the effectiveness of paid ads along the web, but there are several other variables to take into consideration, and we will focus on Social Media and some of its remarkable facts and stats.
Social Media Marketing is the hottest trend today, but as a newly discovered marketing tool, its dynamics are still a little tricky to understand. So it comes as no surprise that Social Media ads only represent about 14% of the total amount of digital ads around the globe, but this number is growing really fast.
Proof of it is that in 2015, the total investment made on social media ads surpassed the stunning mark of US$ 25.14 billion on a global scale. But what's really more impressive is the 63% growth expected by 2017, up to a total of US$ 41 billion. In Canada these numbers are nothing short of breath-taking as well, 2015 saw the expenditure of CA$ 563.4 million in 2015 and is expecting a CA$ 834.8 million total expenditure by 2017.
Dominant Market Players.
We have seen how important Social Media Marketing will be over the next few years, but where exactly should you, as marketers, focus your attention? It really will depend on your targeted (and retargeted) audience. But here are some numbers that will give you a heads-up.
One of the newest members in the whole online advertising game, Facebook is arguably also the most successful one. In 2015, the Menlo Park giant reported a US$ 17.08 billion total revenue from online ads. Sure, but how is that relevant to marketers and companies looking to invest in online ads?
Here's why: Desktop Facebook Ads have an 8.1x higher Click-Through Rate (CTR) than regular web ads, and on mobile it's 9.1x higher as well. That is remarkable, and it goes to show us that Facebook will provide our companies with so much more exposure than the rest of the Internet could.
The undisputed pioneer in this business, Twitter, is also a very strong contender. In 2015 alone, they reported a US$ 2.03 billion revenue in online ads, but what's more interesting about this number is where it came from. Mobile ads account for 86% of their total ad revenue, and it might have something to do with what Twitter does very well, engagement.
Promoted Tweets create a significantly higher engagement rate than the rest of online ads, and they do so by targeting highly specific audiences and providing them with content they would almost certainly be interested in. Other options to consider are Instagram, Youtube, and most recently, Snapchat.
Who Should Consider Social Media Marketing?
Honestly, everyone, and especially those companies which are offering products and/or services targeted to millennials. Fun fact, the freelancing working force is growing exponentially around the globe, and millennials are leading the charge in this pursuit for economic growth. Unsurprisingly, finance companies like CMC Markets who specialize in online trading are also investing heavily in Social Media Marketing.
These companies are empowering the new generation to take control over their lives by not only offering them their services as trading platforms, but also a financial independence ideal, and a wholly integrated environment to achieve just that. In such a globalized world like the one we're living in today, conventional marketing - while still very important - is rapidly losing ground to its more massive digital counterpart.