Is paid social advertising the way forward?

A new report published by Kenshoo Social found that marketers most satisfied with their social efforts are happiest with the results they achieve from paid social advertising, as opposed to organic tactics.

More than one-in-three social media advertisers are dissatisfied with their results from both paid and organic social media strategies. Although organic posting on branded pages is the most popular social media tactic (73 per cent of respondents), it would appear it is not the most successful move.

Within Kenshoo Social’s study, called “The Key to Successful Social Advertising”, we find out the strategies and tactics used by marketers in the United States whose companies are forking out six-figure sums per annum on social advertising.

Only around half of all respondents (56 per cent) intimated they bought ads on social networks, however, these were the marketers who were most pleased with their results.

Those who were most satisfied with their paid social advertising efforts revealed their top three tactics included paying to promote content on general social networks, paying to promote trends on microblogs such as Twitter and Tumblr, and purchasing ads on general networks.

In terms of social network advertising, almost two-thirds (60 per cent) of respondents confirmed they use ad rotation, with only 35 per cent of large social media advertisers considering granular audience demographic targeting.

Back in April, forecasts from media analysts suggested that social ad revenues in the United States alone would soar to a whopping $11bn by 2017. Mobile local ad revenue is forecast to experience a whopping 49.3 per cent growth rate in the next four years, as brands and small businesses seek to gain more local penetration to consumers.

It is said  that native  and display ad revenue on social networks will be on the rise, with social display ad units continuing to outdo native advertising. However, the revenue gap between the two is sure to close as social networks refine their offerings.

Jed Williams, director of consulting and senior analyst for BIA/Kelsey, said: “Native social formats, including video, and mobile-social advertising will be the principal market growth drivers.”

Partnered, Qualified & Certified Marketing


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