Marketing is changing at a record pace and businesses are working hard to keep up. Social Media Marketing (SMM) is dying. Content is barely being delivered to many users and brands are not getting a high return on investment from their social media campaigns anymore.
Why is this happening? Social media has put profits over user experience and advertisers. Facebook and Instagram have made algorithmic changes prioritizing profits and content monetization, like changing what shows on your timeline, how often an ad is shown against your followers’ posts, and the heavy push for integrating suggested content into your timeline to compete with competitors. These changes have not only hurt advertisers’ ability to reach customers but also the experience of the users as well.
The algorithms aren’t the only problem. Tracking issues due to the Apple iOS14 update and other privacy laws changes (yes, you GDPR), have made it harder for apps to see what users are searching for and engaging with, turning what once was amazing audience insights into a shot in the dark.
These changes have resulted in brands using social media marketing less for sales and more for reach. One thing brands know for certain is that people are still spending time on the apps. So brands are casting a wider net, prioritizing brand awareness over conversions. Some advertisers are pulling SMM dollars overall, having social media taking a back burner on marketing strategies and reallocating those marketing dollars to other tactics.
This has had a big impact on small businesses that have relied heavily on social media marketing in the past and seen results. Social Media Marketing was a key part of marketing strategy for small businesses due to its ability to be successful on a shoestring budget.
Now that these brands are hardly seeing a positive return on their investment, they are forced to explore other ways to reach their customers. But where are they allocating their budgets?
CONNECTED TV (CTV) ADVERTISING TO THE RESCUE.
Connected TV (CTV) is television content accessed through apps. It has become the way that most viewers digest content, using streaming services like Hulu and Netflix. Connected TV has started to become more essential to marketing plans and it offers its own unique benefits when it comes to advertising. Here are some of the ways CTV advertising is able to take the place of social media marketing for small businesses.
Fixing The Tracking Problem
Clearer Picture Of Interests
You can now get more accurate targeting by using interests based on the content viewers are watching. Gone are the days that assuming 60-year-olds don’t like Taylor Swift or 20-year-olds don’t care about their credit. You can now show your ads on Taylor Swift or money documentaries, capturing more viewers and potentially shifting your insights on your target audience.
Marketing to parents? Showing ads on parental reality TV shows will help you easily reach your target audience.
Streaming is on the rise. 23% of global viewing time is spent watching live content; the other 77% goes to on-demand content. People are spending hours per day watching content from streaming platforms. Brands are now able to capture their audiences where they spend the most time. And, the best part? Streamed commercials are not skippable, which guarantees more eyes on your ads.
Early Adoption = Low Costs
With most streamers charging premiums for commercial-free options, and others rolling out advertising in 2023, CTV advertising will be a great integration into your 2023 marketing strategy. Due to streamers looking to add more advertising revenue, advertising on streaming services is nearly as affordable as marketing on social media.
Inevitably, as more advertisers join these platforms, marketing costs will raise. However, with their newly unmatched insights into viewers, high returns on advertising are here to stay.
Overall, creating content that can be used on streamers will help businesses to reach their audiences at home, in a more targeted way. Integrate CTV into your marketing strategy today.
Need help reaching your advertising and marketing goals? TC Creatives can help. Our full-service agency and production studio, Bias Lab, are equipped to help you strategize and produce quality content, as well as plan and execute your marketing strategy. Ready to get started? Book a consultation today.