The benefits of advertising on Social Media

Most marketers and small businesses opt for advertising on social media, and this is why!
Published on
March 9, 2023

With over 3.5 billion social media users worldwide, it’s no surprise that advertising on social media channels is the top choice for marketers, accounting for 33% of all digital marketing expenditure in 2022. There are several reasons why advertising on social media is so popular.

1.) The Cost

Social media advertising is one of the cheapest forms of paid marketing available to businesses. It is one of the few marketing channels in which you can spend less than two pounds to get one-thousand impressions. When you compare that to radio’s CPM of more than five pounds and tv’s average price of twenty pounds, it makes sense that Zenith predicts that advertising on social media will expand by 25% by the end of this year alone.

2.) Advanced Targeting

Unlike traditional marketing, advertising on social media gives you access to advanced targeting options. Social media tracks nearly every user interaction, from how long you spend watching a video to the profiles you visit! This data is critical to your business and can be used to advertise to very specific groups of people, which would be impossible on more traditional forms of advertising such as TV. In addition, social media’s advanced algorithms produce unmatched results. For example, when the CO-OP in the UK switched from regular Facebook ads to automatic AI-based placements, they saw an 18 times increase in app installs and a 22% reduction in their costs per install.

3.) Organic diffusion

Another significant benefit to advertising on social media is that you can dilute the cost of advertising through organic diffusion. Meaning that your paid social media ads will grow your social media followers, and over time, you will reach more and more people organically. As your social media presence increases, you can get your target number of impressions for much less because of the higher volume of organic, i.e. free interest.

4.) Higher Conversion Rates 

Businesses that switch over to social media advertising often report a sharp improvement in their conversion rates. For example, Vodafone in the UK saw a 2.1 times higher investment return when they started using Facebook and Instagram ads. 

5.) Advanced Success Tracking

When advertising on social media, you can track your conversions far more accurately, making it easy to analyse your ROI and the overall success of your marketing campaign. For example, with Facebook, this data is readily available in the Facebook ads manager, where you can identify the cost per lead, website click or even sale with a glance. This is a sharp contrast to the estimations you have to make when choosing traditional advertising. 

6.) Friendly user interface

Social platforms always aim to improve the end-user experience and are focused on making their platforms as easy to use as possible. Advertising on social media is no different, with most social media platforms having simplistic ad managers that make creating, optimising and tracking simplistic even for those with limited marketing experience. In most cases, such as with Facebook’s ad manager and LinkedIn’s campaign manager, you will have access to many free resources and tutorials to walk you through the entire process.

If you are interested in taking your business to the next level by advertising on social media, you can learn more about our advertising services by clicking here.

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