Research Shows That Having a Strong Social Media Presence Pays Off

Research Shows That Having a Strong Social Media Presence Pays Off

Facebook

Having a strong social media presence pays off for your brand – literally. That’s what research from Sprout Social shows. Sprout Social surveyed consumers and social marketers between February 28 and March 4. As reported in Mobile Marketer, the survey reveals:

  • Nine out of 10 people purchase from brands they follow on social media.
  • Seventy-five percent of people have increased their spend on companies they follow on social. That’s a 12 percent increase from 2019, a leap that’s particularly noteworthy given the COVID-19 pandemic.

Moving Forward

These findings validate what we wrote in a recent post: brands advertising on social media can connect with people who are willing to spend money even during the coronavirus era. Knowing this, how does a company move forward during such an unprecedented time? Here’s what we suggest you do:

  • Make sure you have a strong social media presence. As we’ve noted, use of social media has surged in the first quarter, with engagement on platforms like Facebook, WhatsApp, and Instagram spiking 40 percent or more — this despite, or even because of, the pandemic. In short, not only are people willing to spend on brands, there are more people on social, period. Brands that advertise on social will reach that larger audience.
  • Make sure your content is engaging, and that you engage with the audience. According to the Sprout Social report, 61 percent of consumers say that engagement with the audience is the brand characteristic that is most meaningful to them.
  • Complement your advertising with strong customer service. What does strong customer support look like now? Per Sprout Social, responding to people quickly is a strong barometer of customer service. As noted in Mobile Marketer, 40 percent of consumers expect brands to respond within the first hour of connecting through social media; and 79 percent expect a response in the first 24 hours.
  • Reach out to younger consumers in a way that matters most to them; that means a strong presence on YouTube and Instagram. Gen Z is the largest age cohort in the United States, and Millennials remain sizeable. It’s important that brands understand where Gen Zers spend their time. Right now, visual content is the key to Gen Zers’ hearts. The Sprout Social report reveals that social sharing platforms highlighting videos and photos, such as Google’s YouTube and Facebook’s Instagram, are becoming more and more popular with younger consumers. As reported in Mobile Marketer, “Almost three quarters (73%) of Generation Z said they plan to use Instagram more often, while 65% said they plan to spend more time on YouTube.” So it’s no surprise that Facebook just purchased Giphy and will integrate the business with Instagram.

Finally, make sure that you stay abreast of the various tools that are constantly made available to businesses to maximize the value of their social media spend. For instance, Google has adapted the YouTube masthead ad format for the era of connected TV.

Contact True Interactive

Eager to build a stronger social media presence? Contact us. We can help.

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Why Mobile Will Power Your Marketing Future

Why Mobile Will Power Your Marketing Future

Mobile

For businesses, engaging with mobile should not be a matter of if, but when. And according to App Annie’s The State of Mobile 2020 report, sooner is better than later. The report underscores how important it is for businesses to connect with their customers on mobile. Here are some stats that resonate:

Mobile Is a Way of Life

  • According to the report, consumers downloaded a record 204 billion apps in 2019. Annual downloads have grown 45 percent in the three years since 2016, and six percent year over year. As App Annie points out, this growth is especially impressive because it excludes re-installs and app updates.
  • Also of note: in 2019, people spent roughly three hours and 40 minutes a day on mobile, a 35 percent increase over 2017.

People Are Spending on Mobile Apps

  • Consumers are opening their pocketbooks to engage with mobile—and not just with games. App store consumer spending hit $120 billion in 2019, up 2.1 times from 2016. Although games comprise 72 percent of all app store spend, subscriptions in non-gaming apps leapt from 18 percent share in 2016 to a solid 28 percent in 2019.

Mobile Is Where People Go to Be Entertained

  • Time spent on sports apps such as ESPN grew by 30 percent from 2017 to 2019.
  • Mobile gaming is, hands down, the world’s most popular form of gaming. In 2019, mobile games enjoyed 25 percent more spend than all other gaming combined.
  • New entrants like Disney+ are heating up consumer interest—and competition—in the streaming industry. For right now, consumers seem happy to double-dip: close to 25 percent of Netflix’s iPhone users also used Disney+ in Q4 2019, for example. That’s the highest overlap of users among top video streaming apps in the United States.

YouTube and TikTok Are Exploding

  • YouTube enjoyed a staggering 980 percent growth in worldwide active users from December 2017 to December 2019. And as we recently blogged, the platform is an advertising giant, to boot.
  • App Annie calls it the “TikTok Tidal Wave”: time spent on TikTok, which as a social networking app and entertainment source poses a double threat, grew 210 percent year over year in 2019. TikTok is also drawing interest from brands; as we have noted, the platform is an ideal place to demonstrate a lighter side through funny videos or challenges.

Social Media on Mobile Is as Strong As Ever

  • Social isn’t going anywhere. App Annie notes that 50 percent of time on mobile is spent on social and comms apps like Snapchat. As a result, apps like Snapchat are thriving: as we recently blogged, Snapchat continues to grow, even in a competitive landscape.
  • Meanwhile, use of Nextdoor has grown 65 percent from December 2017 to December 2019 in the United States, demonstrating an interest in social networking at a local level.

Gen Z Is Rocking Mobile

  • Gen Z are digital natives, and as such lead all other demographics in terms of mobile use. According to the App Annie report, Gen Z has 60 percent more sessions per user in top apps than older demographics. And 98 percent of Gen Z own a smartphone.

Implications for Businesses

  • If you are advertising on mobile already, don’t put your advertising on pause during the coronavirus pandemic. Phone carriers such as AT&T are reporting a surge in mobile usage as more people work from home.
  • That said, you may find yourself adapting your mobile campaign at this time: say, by discussing community building activities that will keep your brand front of mind when the crisis subsides. Sensitivity to the current crisis is key. And patience. Elijah Whaley, the CMO influencer marketing agency Parklu, notes of brands who proceed carefully and wisely through the coronavirus era, “When [consumers] start spending again they are going to spend with you.”
  • Capitalize on YouTube and TikTok. These apps are only going to increase in popularity as more Gen Zers come of age. TikTok is just sorting out its ad products, but, as we’ve noted, YouTube already offers strong advertising options.

Contact True Interactive

Mobile is where the action is. Are you getting in on it? Contact us.

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How to Advertise to Gen Z

How to Advertise to Gen Z

Advertising

Generation Z is a fast-growing demographic, and savvy businesses are getting to know them and how to connect with them, as good marketers have done with generations that precede Gen Z, such as Millennials and Baby Boomers. Who makes up Gen Z, and why are they important? Read on for a thumbnail sketch of the generation that has grown up in an “always on” technological environment.

Who Is Gen Z?

Pew Research defines Generation Z as anyone born from 1997 onward. Bloomberg research indicates that in 2019, Gen Z will comprise about 32 percent of the population, making it the most populous generation — larger even than the Millennial generation, which, for years, has dominated the imagination and attention of advertisers.

Gen Z is different from any other generation because of one simple fact: they are true digital natives. They don’t know life without smart phones. In addition, they are growing up in an economy where ownership isn’t mandatory or even preferable: Older Gen Zers are comfortable renting someone else’s belongings to get from Point A to Point B (think Uber) or spending time in a new city (Airbnb), a pattern that will probably persist once they come of age and have real spending power. And this is a generation invested in meaningful social connection and expression, where “friend” count, or quantity, is less important than the quality and personal nature of one’s connections.

5 Way to Connect with Gen Z

It’s important that your business understand how to communicate with Gen Z. What are the keys to a meaningful connection with a tech-savvy generation that values just that — connection?

1 Lead with Digital

Use online advertising as the cornerstone for all your advertising. Remember, this is the generation that is growing up digital. As Jonah Stillman, the co-author of “Gen Z @ Work” and a 2018 panelist at Advertising Week in New York City, has noted, “[Generation Z] sees no difference between the physical and digital worlds. This is a generation that is native to technology and has complete comfortability with [their] phones.” This is also a multi-screen generation: if Millennials are known to use three screens at once, you can plan on Gen Z using five. Make sure your ads are present across multiple platforms in order to optimize views and clicks.

2 Be Visual

Gen Z is growing up in the age of YouTube and Instagram. For example, online videos are a key brand discovery platform: Marketing Dive reports that 56 percent of the group has indicated “they want video to reflect the products and services they already own or are specifically interested in.” As we have blogged, creating great visual content is no longer a nice to do – it’s a must-do.

3 Look beyond Facebook

In 2018, eMarketer senior forecasting analyst Oscar Orozco told Business Insider that “[o]utside of those who have already left, teens and tweens remaining on Facebook seem to be less engaged—logging in less frequently and spending less time on the platform.” A 2017 Piper Jaffray survey, in which only nine percent of teens designated Facebook as their preferred social-media platform, confirms this trend. As nineteen-year-old Ishan Goel, a marketing strategist with the Mark Cuban Companies, observes, being on Facebook is “not cool.”

So where is Gen Z spending its digital time? According to Ishan Goel, “Because Gen Zers are individualistic and value their privacy, they prefer anonymous social media like Snapchat, Secret, and Whisper rather than Facebook,” An Hodgson, an income and expenditure manager at Euromonitor International, notes that Instagram is also a go-to.

4 Be Authentic

This isn’t necessarily a generation invested in status. Piper Jaffrey reports that “refined-classic” brands like Ralph Lauren or Vineyard Vines are suffering record lows in the Gen Z market, dropping from a 14 percent average to a 5 percent market share among teens. (That said, according to a recent report from consultancy Irregular Labs, 25 percent of the 1,000 13- to 24-year-old females surveyed indicated that they are saving up to buy a luxury product.)

Gen Zers also value ads with everyday people in them, as opposed to celebrities. Look to retailers like Target for a sense of how to get it right when it comes to authenticity: in Target’s online as well as in-store advertising for women’s fashions, for example, models come in all shapes. And in the store itself, even the mannequins showcasing the clothing are different sizes.

5 Tread Carefully with Cause Marketing

Gen Zers value social issues. In a new study from the consulting firm DoSomething Strategic, two-thirds of Gen Z consumers indicate that there is a correlation between a brand’s association with a social cause and positive impressions of that brand. That said, authenticity (see above) must be established: any whiff of a disconnect between the cause marketing and a company’s values, and Gen Z will not be impressed. Furthermore, a study published in the Journal of Advertising Research suggests that businesses should avoid relying on guilt in any cause-related marketing they pursue.

Contact True Interactive

Looking for more insight into how to reach Gen Z with your digital advertising? Contact us.

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