Social networks advertising faces a turning point, advertisers explore their own platforms

U.S. technology blog Silicon Alley Insider published an article on Friday stating that most Social networks advertising are still traditional forms of advertising, such as banner ads, video ads and text ads. However, with the development of advertisers 'own platforms, Social networks advertising is facing a turning point. nbsp;

Currently, the two most important trends in the online advertising industry are the popularity of Social networks and the emergence of more and more private platforms. ldquo; Own platforms refer to websites and applications owned by advertisers that help advertisers interact directly with users. These two trends have affected traditional content publishers, who make a living selling advertising space, as advertisers will be able to directly connect with users around publishers.

So far, advertisers have spent very little on advertising on Social networks because such ads are often ineffective. However, Social networks are becoming increasingly popular and have become a force that advertisers cannot ignore.

At the same time, many advertisers are developing their own platforms on Social networks and have achieved some good results. There is a trend towards accelerating development of such proprietary platforms, especially given that advertisers want to market on Social networks in a more effective way.

Brett Brewer, president of online advertising firm Adknowledge, pointed out at the 2009 Social Media Conference in Sydney this week that social media and proprietary platform advertising are facing a turning point. First, with the popularity of Social networks, major brand advertisers are exploring how to best utilize Social networks. Second, as traditional advertising forms have proven to be ineffective, advertisers will turn to their own platforms.

Brewer pointed out that despite still facing doubts from marketers, Social networks will surely penetrate deep into ordinary people's lives. It is expected that more than 90% of Internet users will use Social networks next year. So companies have realized that they must find effective ways to place ads on this platform, otherwise they will lose the opportunity to engage with users.

He also said that the low price of traditional advertisements on social networking sites is mainly due to the poor effectiveness of such advertisements on social networking sites. Therefore, as their own platforms make good progress, more and more advertisers will turn to this model.

A year ago, many marketers began talking about the possibility of Social networks as potential advertising platforms. Currently, marketers have begun to really invest advertising budgets on this platform. A recent table released by Nielsen shows that most large advertisers have doubled their advertising spending on Social networks in the past year.

Industry insiders believe that this increase in advertising investment is mainly in traditional advertising forms. However, as advertisers see the effects of Nike Plus or Facebook participating in sampling ads, they will ask advertising and media companies to carry out more such marketing activities. Because such ads have higher cost per thousand displays (CPM), Social networks such as Facebook will also offer more such advertising models.