Shift towards Social Media Advertising

The rapid adoption of social media is now a well-known fact.  With such large number of users on social media platforms such as Facebook and Twitter, it is difficult for companies (especially consumer-oriented companies) to ignore social media as a marketing channel.


Most consumer-oriented firms have established Facebook and Twitter accounts to listen and engage their customers. Some firms have also started advertising to customers on theses social platforms. A big driver for this shift was mobile, as mentioned in a previous post (Shift towards Mobile Advertising). Data from a recent Nielsen report: “The U.S. Digital Consumer Report”, states that almost half (47%) of smartphone owners visited social networks everyday in the last year, and the unique audience for social media smartphone apps increased 37%. The data also shows that the highest year-over-year increase of social media usage is on smartphones applications (compared to usage on computers and usage via smartphone browsers).  With more consumers embracing smartphones (approximately 75% penetration in the US.) and using social media on these devices, firm will follow suite to capture consumer’s attentions on these platforms.

Some eCommerce firms have even shortened the consumer journey by providing direct purchase options on their advertisements on social media. Brick-and-Mortar stores can also take advantage of social media on smartphones to target, engage and attract consumers who are within a specific geographic location into their stores.

I believe that we will start to see more firms moving towards advertising on social media and leveraging these platforms to create a path to purchase and even fulfillment.


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