Year after year, Nielsen collaborates with other data and information collection companies to measure what has happened and will happen. Recently, Nielsen, CMO Council and Vizu released their Online Advertising Performance Outlook for 2013. As digital media continues to infiltrate online marketing, it is becoming a larger portion of such reports.
As online advertising and consumer needs are more driven toward digital channels, social media is becoming a more important aspect. Personally, this is one of my favorite parts about working in this field. Watching the social media realm change and evolve is riveting! That being said, after reviewing the report I found two social media areas worth noticing:
Social Media Spend to Increase
We continue to see social media outlets continue to update their advertising platforms. One of the most recent is the expansion of sponsored updates at LinkedIn. Ad platforms help increase revenue for the social media sites as well as providing companies (and individuals) the opportunity to expand the reach of their content.
It’s prospected that 70% marketers using social media will increase their social media spend and mobile advertising in 2013. With that being said, if you’re considering starting, continuing or increasing your spend in social media, do so wisely.
Know which ads are best for your social strategy:
- Retarget advertising (sometimes known as Facebook Exchange) – Regular social ads are great and perfect for reaching out to a new audience. Retargeted ads are a better choice for more direct response marketing. On average, only 2% of website visitors will convert on their first visit. Retargeting can help you close that window by showing ads on Facebook to the other 98%.
- This is definitely a more cost-effective for performance based advertising. For a little more detail, see my previous post on social retargeting advertising.
- New ad opportunities – LinkedIn and Twitter have both expanded the capabilities for their ads by sponsoring updates within their feeds. Facebook also has this option. If you’re looking for more of a lift in brand awareness, instead of a specific call to action, these ads may be the best choice for you.
- When deciding where to expand this type of ad spend, consider which platform is best for your advertising goals. For example: if you’re looking to increase your brand’s professional network, LinkedIn would be the best area to spen your advertising dollars.
Content: Online Video Grows
YouTube is currently the second most popular search engine (right behind Google). It’s no surprise that many brands are considering shifting their focus to online video. In fact, 48% will shift ad dollars from TV to online video. 64% of marketers also say they will increase the use of video advertising online.
To me, it’s no surprise. We’ve recently seen a rapid growth of short and stop-motion videos on platforms such as Vine and Instagram. Video is easily shareable and visual content generally has a better engagement rate.
What to do: Get recording! If video isn’t a piece of your social strategy, it’s time to start adding it in. Whether it’s YouTube or Instagram, video will be expanding throughout the rest of 2013. Also, keep an eye out for video advertising on social channels.
Facebook is rumored to expand their ad campaigns to include video. It is said it could bring in up to $1billion in ad revenue. With that kind of return, the chance we’ll see video ads on social platforms is quite high.
Want the full Nielsen report? Get it here.