Lisa Lacy, Clickz, reveals some startling facts and figures in a recent analysis of The Neilson Company’s report on ad spending on social media sites. The report lends us some hard dollar figures that any data-lover can easily sink their teeth into:
“…ad spending on social networking and blogging sites grew 119 percent, from an estimated $49 million in August 2008 to $108 million last month.”
That’s most definitely note-worthy growth. But where do all these dollars and cents go to in the vast realm of social media sites? The answer, of course, is Facebook, and why is very, very important. We’ll turn back to Ms. Lacy for her pithy explanation:
“A recent blog post from Facebook Founder and CEO Mark Zuckerberg noted the site now has 300 million users worldwide, up from about 100 million last September.”
But, that’s not all:
“..the average person now spends five hours and 46 minutes per month on the site, up from one hour and 40 minutes in August 2008.”
These figures reflect a hand-in-glove relationship and seem to point towards a very natural reciprocity—more users, more time online, more ad exposure. But now is really the time to start dropping big bottom-line question: Are those social ad dollars well spent? Are all those ads well-placed, well-designed, and well-targeted to their audience? That proof, I’m afraid, is obscured away on several digital marketing experts’ desks in office buildings far, far away, and I’m speculating that while some companies do very well, others will inevitably fail.
The reason for success and failure hinges mostly on an understanding of the creative medium, the positioning, and, the most important factor, audience behavior. Users are spending nearly 5 times as much time on Facebook, why? Because they like it. They’re enjoying themselves, and they feel comfortable in that social media medium. Freedom of expression, social contact, and the opportunity to forge new and creative connections quite naturally has a pretty captive hold over people. Successful Facebook ads, in turn, must not only understand that but embrace it.
Running a successful Facebook ad campaign that will get you the click through and conversion rates you seek means spending the time on Facebook to learn how to craft creative that’s going to suit the time, place, and sentiment of your audience. Learn to speak Facebook and your campaigns will resonate. Ignore the lingo, and risk a series of missed connections. The good news is business is booming, and that means it’s a great time to get your feet wet.