Social Media is becoming far more utilised
Brands are begging to take more of an interest in the advertising potential of social media at a time when Facebook and Twitter are undergoing significant changes.
Brands beginning to take the social media bull by the horns
Wednesday, February 02 2011 by Kate Billinghurst
Developers and internet consultants at Facebook, Twitter and a host of other social media websites are currently in the midst of introducing widespread changes to the way their users and clients can make use of features.
Whether it’s the recently introduced Facebook Deals technology, launched in the UK earlier this week, or planned revamps to Twitter’s profile interface – these overhauls are adding to the number of ways that users and brands can make use of social media.
What is particularly significant is the timing, with recent research by eMarketer showing that big brands are becoming more amenable to website promotions via social media.
The firm’s Worldwide Social Network Ad Spending: 2011 Outlook forecasts that 8.7 per cent of global spending on online advertising will be devoted to social media by businesses. This is expected to rise to 10.2 per cent in 2012, when total global online ad spending is expected to increase from $69 billion to $79 billion.
To take a more specific example, LinkedIn last week confirmed that it made £32 million from adverts in 2010 alone – which wasn’t even its largest source of revenue, most of which is drawn from recruitment and subscription payments.
One of the most anticipated social media changes, due to be introduced over the next few weeks, will see Facebook opening up its comments platform for external sites. This would mean Facebook’s comments technology could be used on popular news sites and blogs, as the main platform to process and manage reader feedback.
These improvements are definitely preparing the way for brands and users to more closely integrate their marketing campaigns with social media, which eMarketer principal analyst Debra Aho Williamson believes is a sign that big brand scepticism about Facebook, Twitter and other websites is beginning to fade.
In a post on her company’s website, she said: “Large brands are allocating more marketing budget to social media than ever before, and their social network ad spending is also rising.
“Two categories of advertisers are emerging: major brand marketers that increase budgets gradually, and performance advertisers that spend heavily and bring extensive search marketing expertise.”
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