08 Apr Why Social Media Marketing is Key in 2019
In 2005, only 5% of Americans used social media. In 2019, that number has skyrocketed to 79%. Social media has become the sensation of this generation, and love it or hate it, it’s not going anywhere. Giants like Facebook have made billions of dollars through advertising. So much so that 89% of Facebook’s $40 billion revenue last year came from digital advertising. We know social media marketing is essential to businesses of all sizes, from Fortune 500’s to the family-owned, but why?
Why is social media marketing so highly utilized?
96% of social media marketers considered Facebook the best social media platform for return on investment (ROI). One of the core reasons Facebook excels in digital advertising is their low cost-of-entry. Campaigns can be started on Facebook for as low as $0.50 a day. This enables businesses small and large to test the waters on the world largest social network without committing to an exorbitant marketing budget.
Ads come in all shapes and sizes, even on Facebook. Advertisers can choose anything from videos to a carousel of photos or even a single image. A clothing company might utilize a carousel ad to show off multiple different outfits with each outfit targeted to a specific type of user. Offer ads, which are like digital coupons, can also be an effective way to promote a specific purchase opportunity. Another popular method of social media marketing is when advertisers pay social media personalities or celebrities to make a statement or endorsement, which is very popular on social media sites like Instagram, Twitter, and YouTube.
The Whole Package
Social media companies use incredibly advanced algorithms to ensure that ads reach the most relevant members of the target audience. Accessible, customizable ads that reach target audiences with pinpoint accuracy and you have the most efficient advertising platform the world has ever seen. Hotel chains can actively target users who search for hotels but have not booked. These users are presented custom-tailored ads for hotels in the region, price range, and dates that the user originally searched for. Dynamic ads like these saw a 300% increase in ROI over traditional advertisements in 2018. For example. say you put a toaster in your Amazon cart without completing the purchase. From there, a combination of Amazon’s data as well as your browsers cookies will begin serving you ads – and in some cases , even coupons (though it depends on the site).
Overall social media advertising is an incredibly efficient way to reach the audience you want. It’s cost-effective and flexible, allowing you to reach any of the billions of social media users around the globe.
Still unsure on Social Media Marketing? GillespieHall has you covered. We’ve been experts in social media marketing since 2010 (and we’ve been writing about its importance since 2011)! Talk to us about handling your Social Media Marketing – the right way and at the right price.
Philip Paverd is the lead Research Analyst at GillespieHall. A dedicated political junkie, he spends every waking hour measuring new trends and analyzing campaign effectiveness.