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Search & Social Networks Will Challenge Television for Advertising Dollars

Given Yahoo’s rumored offer of $1 Billion to buy the Bebo social network (and the previous reports of Yahoo wanting to buy Facebook), the success of MySpace and Google’s acquisition of YouTube, it can be said that the online media giants have their sites set on the world of social networks and user generated content.

Pair that interest with the acquisitons of DoubleClick, Right Media, and aQuantive by Google, Yahoo!, and Microsoft and the monetization and advertising strengths of multichannel online communication through these networks helps explain the interests in user generated media.

comScore recently looked at the power of influence in terms of online networks and the 18-34 year old age group and the equation points to a growing trend in trust and association with the brands that market on these online channels, and the growth of such networks to reach the trust and influence of television.

Consumers are most likely to notice advertising for a product or service if they see it on television: 85 percent overall. User-generated content sites (UGC) garner a much lower 28 percent attention level. Television ads also generate a higher level of trust than ads carried on UGC sites.

However, when we analyzed the data by demographic segments, we found that 18 – 34 year-olds are much more comfortable with UGC sites, with 41 percent responding that they are receptive to advertising on those sites. In contrast, a lower 30 percent of 35 – 54 year-olds and only 23 percent of 55+ year-olds identify themselves as being receptive to advertising at UGC sites.

18 – 34 year-olds are most receptive to advertising on UGC sites for “high-fun” product categories – such as Apparel, Music/ Movies/ Entertainment, Food & Beverage, and Consumer Electronics – and less receptive to advertising for these product categories on traditional media sites.

Social Media Sites & Advertising

Category SEO
SEJ STAFF Loren Baker Founder at Foundation Digital

Loren Baker is the Founder of SEJ, an Advisor at Alpha Brand Media and runs Foundation Digital, a digital marketing ...

Search & Social Networks Will Challenge Television for Advertising Dollars

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