The Revolution of Marketing
Feb 11th, 2010 by Zee
Business firms sell their products effectively by promoting their products to consumers through various types of advertising channel. We see them on billboards, magazines, newspapers, television, mobile and more but one channel that earns the most responsiveness is through social media.
According to an article written by Christina Ledesma in May 9, 2007, social network marketing will hit $2.5 billion in 2011, where in 2007 was $900 million. This means that the advertising spending on social network will grow 180%. “The increase comes from two factors: increased revenue projections for Facebook and additional spending on niche and marketer-sponsored social networks.”
The largest player by far is MySpace and the second is Facebook. “MySpace generated $525 million in the US in 2007 and Facebook is expected to generate $125 million”.
However, Debra Aho Williamson, senior analyst and author of the report questioned the issues that are beginning to emerge. “Is there enough interest among consumers to support so many ventures? Does every company need a social network? Indubitably, many of the hundreds of social networking ventures pouring into the market will not survive.”
And my question is, if there isn’t enough interest among consumers, where are the ventures going to turn their advertising channel to? Could it be worse? Or better? Who knows…