According to TechCrunch.com, total advertising is on the rise. In 2015, the commercial market spent about $187,000,000,000 (that's a B for BILLION) o attempts to grab and secure a consumer base. That's a lot of money. If we follow the spending trends, there are some growing changes that are affecting the industry. Digital (primarily social media) spending is nipping at the heals of big TV.
in 2015, 30% of the spending was thrown at the old flat screen. But consumer preferences are going to quickly change that dynamic. We aren't watching as many commercials. Thanks to technology, we're not even watching shows in "real time." We DVR this and that, and now our favorite shows work around our schedule, not the reverse. Gone are the days of us rushing home to catch the newest Dallas episode. We watch on our own time. And what has come with that is the slow death of the television advertising market.
Let me step back a moment. Death may be the wrong word. Let me call this an inevitable long term hospice situation. There will always be a market for these ad attempts, but over the coming years, that market is going to shrink severely. Why? When corporations utilize television for advertising, the theory is simple, yet basic. Throw it out there, and let's hope that something sticks. Now, there's a ton of market research that goes into channel placement, timing, etc. But, overall, there's nothing that guarantees that a 30 second spot will be seen by the right audience. Also, more consumers are utilizing the DVR technology (as discussed) that allows us to "Fast forward" through commercials in order to reach the content we desire. What we will continue to see grow is product placement. We aren't watching ads, that is unless those products are built into the media we are watching. Watch a newer episode of DC's Arrow. Product placements are all over that show, and this is the single bright light in television's advertising future.
Only the Super Bowl still brings in the viewership that once was the staple of TV marketing. The reality is, our desire for the latest and greatest convenience in life has killed off much of the advertising we are so accustom too.
Enter in social media. It's a consumer wonderland, and its influence on the average user is so much greater than the television.Why? There's no easy answer here, but the main reasons lie with our own need to be social, even when we're not.
Social media has presented a playground for almost every living being. 15 years ago, millions felt alone, confused by thoughts and feelings they thought were unique. And social has changed that, drastically. We have forums that bring us together, even if they're making us less social with the outside world.
And as the world opens up, we have the ability to share the differences, or similarities, that make us unique. It didn't take long for marketing reps to grasp this concept and run with it.
Cookies make the world just a bit smaller. The free internet records endless trends, tagged by individual logins and memberships, and stores it for us. Anyone with a few dollars to spend can research and capture a demographic, while pushing aside those who may have no interest in what's being offered.
Take a look at Facebook. The average user is inundated with marketing with every scroll, and every click. But those offerings are very specific, based on the users' past internet activities. Did you Google sunglasses? Ray-Ban very well may show in your Facebook feed! Marketing content is narrowed down by interests, physical location, and even household income. Television can't even compete with this amount of selection.
In 2016, it appears that digital marketing money will surpass that of the old boob tube. Since the first tv ad hit the airwaves, television has been king. And now it's being forced to step aside and give up its crown. Social media is now the home of creative content. Looking towards the future, that won't change any time soon. In fact, the gap between digital and television will just continue to grow.
Why blog about something that is seemingly common knowledge. Realistically, there are still too many on the outside looking in. And if you're not working the marketplace, clients don't know you exist. I estimate that 99.9% of the companies in existance can benefit from social exposure. Who sits firmly in that .1%? I'm not sure and it's not important.
So what's keeping people out of the digital market? Ignorance? Price?
Yes. "Yes" is the answer! Ignorance is still out there. "It's just a fad" is no longer a valid excuse, but it's still used. Fear, ignorance, and some general misunderstanding keep people away from the social marketplace!
"It's just too expensive" is another favorite. Every company has competition. The industry in which any company exists has social media spenders (investors). Those who don't invest in the digital marketplace will soon find the expense of losing clientele to those who do. You have to spend money to make money, and being unwilling to invest is an awfully expensive proposition.
The social/digital marketplace is a world marketplace in which creative content rules. Periodicals, trade shows, and mailers are no longer the mainstays, but rather (often) a waste of money. Spend money, time, and effort wisely. Invest in the "fad" because it's not going anywhere soon.
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