Whenever someone mentions social media you will find yourself immediately thinking of Facebook and Twitter. These two have become synonymous with the term and it is as though social media began with them. Facebook reported a record more than 1.39 billion monthly active users worldwide at the end of 2014. Considering the world has a population of about 7 billion, Facebook has about 20 percent of the world using their platform. Facebook also reports that over 30 billion pieces of content are shared every month. This goes to show that social media indeed has a considerable presence all over the world.
It may have started as a means of communication and socialization but social media is taking a turn towards monetization. Business owners have shared useful content on their pages and their desire to capitalize on every piece of information they share has taken over.
How monetizing social media has grown
Social networks might have been in different forms in the 1980s but there were advertisements even then. They didn’t seem to achieve the expected results and they had to change marketing strategies. The most notable changes happened as follows.
Early Social Networking
It started out with Bulletin Board Systems (BBS) in the ‘80s and early ‘90s. They were online meeting places and could be accessed via a dial-up modem. Many of those that run these platforms were technology enthusiasts who wanted to talk to fellow enthusiasts about technology. There were no advertisements but the social aspect had begun.
America Online (AOL) is the first site that had members create profiles and join communities. Communities were organized according to interest and AOL had subscription fees. Other websites had banner ads and different types of advertising for revenue even though ads were similar to copies of newspaper and magazine ads.
Enter Myspace with Modernization
Myspace brought together different features from other social networks to deliver a modern form of social networks. They allowed advertisers to choose who saw their ads using the user information collected by Myspace. Users didn’t click on ads much since they wanted to socialize with friends.
Facebook Brought Monetization
Facebook has an Open Application Programming Interface (API) and advertisers and marketers can get user data easily. This allows them to customize campaigns and ads and this makes for better monetization. The ability for businesses and brands to have their own pages allows for brands to interact directly with prospective clients and get better feedback which then helps them develop even better campaigns.
Twitter Taps Into Mobile
Twitter has more than 300 million monthly active users and 80 percent of these access it from mobile devices. Its advertising is all native and accounts for about 85 percent of its revenue. Twitter’s ads blend into other posts without disrupting activity meaning more people see them and possibly click.
Since advertising and marketing is all about understanding the clientele, businesses need to analyze the data coming from social media to ensure proper campaigns and successful monetization. A wide range of social media tools enable individuals to effectively conduct social media analytics. These include Topsy, Hootsuite and Buffer among others. This trend is bound to continue so business professionals need to learn as much as possible so as to tap into social media advertising.
Such knowledge can be obtained at Point Park University with the different online business programs. These give students ample preparation for the business and technology world and ensure that you add value wherever you go.