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Running social media ads can be expensive… and this year is predicted to be more expensive than most. According to eMarketer, the spending forecast for social media ads in particular is expected to increase by 13.5% compared to 2023. Video ad spend is expected to increase by 21.2% in 2024. Why? 1. Inflation: While inflation in the US has only increased by 3.3% in 2024, it is still a rising cost that impacts those buying media placements.  2. Social Search: There is a large increase in people using social platforms, such as TikTok or Instagram, as a search engine to find the best new restaurants, get product reviews, or find the coolest activities for their trip. This increase in social searching, up over 450% over the last year, has been met with an increase in content from brands large and small and a corresponding increase on prices for ads.  3. Political ad spend: It’s an election year in the United States which means that there’s a lot of money going into political ads - over 12 billion dollars. That means a higher cost per click to reach the same audience due to the increased competition. 4. Influencer Marketing Growth: The influencer market is bigger than it's ever been - with 44% of advertisers investing more in creator content in 2024. Again, this means that there will be more videos in the market, increased competition, and higher prices.   5. Generative AI: Generative AI is making it easier than ever for people to create videos. This ease means more competition, and we all know what that means - higher prices. So what can you do about it? 1. Test new platforms. TikTok, which was once seen as a young man’s game, is increasingly starting to have pockets of older audiences which, if you target appropriately, can help you unlock more affordable ways to reach your target audience. Same with other platforms such as Pinterest or YouTube Shorts. It’s worth testing the lift of new placements outside of Meta to see if you can help create a stronger funnel for your content for a lower, or at least equal, investment. 2. Post organic content. Post organically, tie into platform trends, and use hashtags. See what takes off and then use that to inform your paid media strategy.  3. Test creatives. Improve your efficiency with more creative testing. Test early and often.  4. Invest in the top of the funnel. No one can search for you if they don’t know who you are. Make sure you’re getting in front of the right people with prospecting campaigns who will later search for you by name. Unsure where to start? Read more on our blog about creating the best video content for your brand to unlock the efficiency you need to improve your social campaigns, even within an increasingly expensive market: https://lnkd.in/ei3MkstW

  • 2014 social spend forecast image with stats on the increase in social spend in 2024 compared to 2023
Stephanie Balaconis

Paid Media Expert | Brand Building | Paid Search Leader | Performance Marketing | B2B | SaaS | B2C | Servant Leader

4w

"Political ad spend: It’s an election year in the United States which means that there’s a lot of money going into political ads - over 12 billion dollars. That means a higher cost per click to reach the same audience due to the increased competition." - woof - 12 billion more in market - those CPCs and CPMs are going to skyrocket! 😅

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