Did you miss Tuesday’s webinar on Social Media Advertising? If not, we’re here to bring you up to speed.
Social media advertising trends have been increasing over the years. A recent survey of Katana’s clients showed that social spending is expected to be over 20 percent of ad budgets by 2019. Facebook takes up the majority of this spending with an estimated $23 billion spent per year and over 2 million advertisers.
Why? It’s all in the numbers. Americans spend, on average, more time on Facebook than any other network – approximately 40 minutes. The nearest competitor is Twitter with about 34 minutes with the rest of the networks garnering 20 minutes or less. Also, Facebook has the highest conversion rate at 1.85% while its nearest competitor Instagram has on average 1.08% conversion rate.
Does This Mean Only Use Facebook?
While Facebook is highly successful for advertisers, that doesn’t mean that the other social networks don’t have their merits. You do, however, need to know how to effectively use each platform. We break down the possibilities for the following major platforms: Twitter, Pinterest, Snapchat and Instagram.
Twitter offers different ad types to help you get your message to your target audience. Plus, it allows users to target based on everything from followers, similar audiences, keywords, interests, etc. Common ad types include:
- Promoted Tweet: It allows advertisers to promote ads within user’s timelines. It determines to whom to target based on who the user follows, what they retweet and how they interact with other tweets. Typically, this costs between $0.50-$4.00 per engagement.
- Promoted Trend: Twitter allows advertisers to target specific demographics with promoted trends, including interests, devices, gender, location and more. If a user is exposed to a Promoted Trend, they’re more likely to discuss brands throughout the purchase process. This type of ad is typically for large corporations since it costs around $200,000 per day.
- Promoted Account: Advertisers can introduce their brand to new users who have similar interests to what they sell or follow their competitors. On average, these ads cost between $0.50-$10.00 per engagement.
- Promoted Video: A Promoted Video is similar to a Promoted Tweet since it seamlessly fits in user’s timeline, but it has a higher engagement rate. Over 90% of these types of ads occur on mobile devices. Advertisers pay on a cost-per-view pricing model, which can vary greatly.
Pinterest has over 100 million monthly users, and it’s expected to grow to nearly 330 million by 2018. Nearly half of its users are outside the United States with nearly 70% being female. Pinterest is a great avenue for targeting Millennials since this group encompasses nearly 30% of all users. Plus, unlike posts on Facebook and Twitter, a Pinterest Pin can stay up for months. These types of ads can also be targeted based on interests and keywords, or you can also upload an email list for targeting purposes. Ad types include:
- Promoted Pins: These look like organic pins, and they can link to landing pages or microsites. There is no minimum spend requirements for pins, and they’re good for increasing brand awareness, improving engagement and driving traffic to a website.
- Buyable Pins: These also look like organic pins, but they allow users to make a purchase without leaving Pinterest. Currently, these are only available for large retailers.
Snapchat’s most common users are typically younger Millennials. You can target based on age, device, location and context, i.e. themes like world news and culture. Ad types include:
- Geo Filter: This ad type is effective for building brand awareness and improving engagement. Most people use geo targeting with this ad type. Average cost starts at $5.00, but can vary greatly.
- Lens: Lens is designed to assist with content going viral. It’s good for building organic brand awareness and instant engagement. Geographic and demographic targeting is typically used for this ad type. It is geared mainly for larger businesses since it costs between $100,000-$750,000.
- Discover Ads: These are standalone ads that stay up for 24 hours. Both geo- and demographic targeting is available. Again, these are fairly expensive at between $50,000-$750,000.
- Live Ads: Similar to Discover Ads in that they stay up for 24 hours, these allow users to participate in the update, and it has a viral element. Geo- and demographic targeting is used for these. They cost $250,000.
Instagram has 400 million monthly users, most of which live outside the United States. It attracts both men and women, and these users are 58X more likely to engage on the platform over Facebook. It’s expected to double its revenue from 2016 to 2017 to $2.9 billion. Ad types include:
- Instagram Photo Ads: These allow brands to display products or tell a story to the most highly-engaged social media audiences. Marketers can add CTAs to direct users to their websites or landing pages.
- Instagram Video Ads: Marketers can tell their brand’s story with highly engaged video content up to 60 seconds long.
While Facebook is the clear leader in the social ad space, many other platforms are rapidly growing and offering new types of ads to reach potential customers. Always test ads and review insights before fully committing to a new platform.