2009/07/31

ARE FACE BOOK / MY SPACE EFFECTIVE FOR ADS? see a UK research result

The research raised the serious questions about the effectiveness of advertising on social networking sites such as Facebook and MySpace.
  • Of those who use large web sites only 12%claim to often pay attention to their advertising. A shocking 57%claim to rarely or never pay attention to the advertising on those sites. ABC1s are 19% less likely than C2DEs to pay attention to advertising on these sites
  • For all the hype surrounding social networks and the marketing potential they supposedly present, they have yet to show any better ROI for display advertising than the major portals, according to the 2009 online advertising attitudes report.
  • Of those British consumers who use social networks such as Facebook and MySpace, more than one in four (26 %) never pay attention to their advertising, and a further 36 % claim to rarely pay attention to it.
  • Of the British consumers who visit niche/specialist sites, almost three quarters (73 %) say they pay attention to the advertising of which almost a third (32 %) claim to usually pay attention to the advertising.
  • Harvey Sarjant comments, “As economic conditions continue to squeeze marketing budgets, some online advertising networks are looking to cut corners where possible as they try to protect and build their margins.”
  • “What this research reveals however is that now more than ever it is vital that advertising networks are working closely with their clients to ensure that advertising inventory is both creative and placed in sites that will effectively engage online audiences.”
  • “In the simple pursuit of trying to maintain margins using the same tactics and approach while budgets are being squeezed, brands will only continue to see response rates to their advertising dive as consumers continue to think much more intelligently about their relationship with advertising online and how it influences their purchasing decisions.” ---

Research methodology

The 2009 Online Advertising Trends Report was commissioned by Addvantage Media and conducted by YouGov, polling a nationally representative sample of 2,013 UK adults aged 18+ in December 2008.

Written by Michael Leander Nielsen