Digital marketing is nothing new, but it seems like in recent years the world of digital marketing has been growing and growing. The optional tactics of years before are now essential for finding success with your business while there are new strategies to take your company above and beyond what is expected. In some ways, digital marketing can be hard to keep up with. It seems like you just get the hang of what is trending and all of a sudden a new platform, algorithm, or system changes it all. But if you want to stay on top of your marketing strategy, you need to keep up with what is relevant in the digital world.
Today, the root of all marketing is done digitally. Through social media, blogs, and SEO, an online marketing strategy is in many ways more important than the traditional marketing avenues we’ve spent so much time understanding. With all our information online and billions of companies available right at our customer’s fingertips, there are new guidelines for getting attention. Each year, marketing changes. With digital trends shifting and new strategies coming in effect, it is important to always be checking the stats of what customers like, what is working online, and what is gaining attention fast. Here are a few of the most impressive stats of 2016 and what they could mean for marketing in 2017:
1. Customers don’t like ads.
- 198 million people around the world use ad blockers
- 73% of people believe that online ads are annoying
- Younger demographics are more likely to block ads, with 63% of US millennials admitting to using an ad blocker
- Ad blocking has cost publishers almost $22 billion worldwide
It’s hard to say if this is new information, but in the digital world, it is easier to measure how people react to ads than it was with traditional advertisements like magazines or commercials. So the struggle with finding a way to advertise to people who don’t like ads continues to grow. In 2016, we saw a growing number of sponsored posts and influencer-driven content. While this has raised some questions about disclosing what is a paid advertisement and what is a genuine recommendation for a product, we will be sure to see new ways to advertise products without consumers identifying it as an ad.
2. Social budgets are growing.
- The last two years have seen a 2X increase in social advertisement spending
- In 2015, social media received an average of 10% of the overall marketing budget.
- That number jumped to 14% this year.
- In five years, social media is expected to hold almost one-fourth of the total marketing budget.
Social media is a marketing strategy that many people fail to connect with. In the past, it was enough to post a few links, show some interesting pictures, and count the links each post got to measure its success. But today, social media is a powerhouse of sales, customer service, and content creation. You can’t upload new posts to an automated system once a month and expect to be successful. Customers of today expect to get serious engagement out of a company’s social media page. They don’t follow their favorite brands to receive link after link of products, blog posts, or press releases. Instead, they expect to find a connection with the voice behind they brand. They want to relate and they want to see that there is a true identity in the person sending out the posts.
3. Banner ads are “out.”
- Banner ads only have a 0.06% click through rate
- Only 2.8% of individuals believe the ads they see are relevant.
- Almost 50% of clicks on a mobile ad are on accident.
- 54% do not trust banner ads
Marketing online has developed much further than only posting banner ads throughout relevant web pages. While the occasional banner ad may come across the right person, overall, they aren’t a very successful way to target your audience. In many ways, this statistic reaches back to customers not liking to see ads. They may find banner ads to be misleading, untrustworthy, or they may fear for their privacy if they decide to click through a banner link. For whatever reason it may be, customers aren’t willing to click on a banner ad, even if it is something they may want to purchase. This further emphasizes the need to find new ways to reach target audiences online.
4. Native ads are “in.”
- Compared to banner ads, native ads have a 53% higher view rate.
- Almost 1 in 3 customers would show a native ad to a friend or family member.
- More than 70% of companies did not hear complaints about featuring native ads.
- Featuring rich media in native ads can translate into 60% conversion rates.
Native ads are one of the new ways that companies are squeezing their advertisements in without the customer realizing that they are looking at an advertisement. Unlike a banner ad, a native ad blends seamlessly into the structure of the website it is posted on. A native ad may look like another post on a social media page, or it may be in the form of a blog post on a large online publication. With a native ad, it does not stick out as being sponsored.The idea that customers like native ads more than traditional banner ads most likely traces back to the idea that the customer does not immediately realize that a native ad is an advertisement, making them more willing to view it and absorb the information without suspicion.
5. Email Marketing Isn’t Dead
- 61% of marketers increased their email marketing budget last year
- 26% of marketers believe that email marketing has the biggest ROI
- For B2B marketers alone, that number jumped to 31%
- On average, every $1 spent on email marketing brings in $38 of return
There are many people that like to believe that email is on its way out. While it may not be used for individuals to send messages to their friends and family, it is still going strong in the marketing world. The use of email is extremely beneficial for things like newsletters, promotion lists, sharing information, and connecting with individuals that you know to be interested in your products. Email marketing continues to be a great way for you to connect with customers who have signed up to receive alerts, deals, and information from your company. It can be difficult to see clearly where online marketing will go in the years to come, but in 2017 it is clear that strategies will be changing and our online resources will become even more important. We can expect to see budgets for our online advertisements increase while they decrease for the more traditional advertising avenues, including newspaper, TV, and radio. We can also expect to see our online marketing efforts move further and further away from typical sales copy and pushing products at clients. As with any other year, staying up to date with what is trending in the marketing world is crucial for finding business success.
If you need help or have any questions, feel free to comment and or contact us.
For more stats, check out What Ecommerce Retails Trends Will Look Like in 2020.