There is good news in digital advertising. According to the IAB Internet Advertising Revenue Report: Full Year 2023, revenues from advertising hit an all-time high, topping $225 billion in the US alone.
One of the key takeaways is that social media advertising enjoyed 8.7% YoY growth, increasing to $64.9 billion in 2023. This growth, the IAB notes, is thanks to the “creator marketing growth across several platforms.”
Social commerce took off during the pandemic, but it’s far from pandemic-era phenomenon. Revenue from social commerce topped $64 billion in sales in the U.S. This year, brands are expecting to haul in more than $86 billion.
If you’re not advertising on social media, you’re missing out. Social selling is big business, and getting bigger. By 2025, social media will account for $107 billion in sales.
Social Commerce 101
Social media is morphed into the consumers' preferred shopping channel. Like a lot of trends, the pandemic accelerated social commerce, but it didn’t end when lockdown orders were lifted.
Today it continues unabated, presenting a golden opportunity for brands to connect with consumers and convert them directly within their social feeds.
Social commerce allows social media users to purchase products and services directly from a brand’s posts, without the bother of navigating away from their feeds and to the brand’s ecommerce site. This frictionless shopping experience gets better and better as new wallets proliferate.
Which platform should you sell on? It really depends on your clients and type (format) of content you create. Here’s an overview of the top platforms:
Platform |
Number of US users |
Demographic |
Optimal Content Type |
|
188.6 million |
Boomers / Gen X |
Facebook’s formats allow for longer product descriptions and targeted advertising campaigns. |
|
169 million |
Millennials |
With a strong focus on visuals, Instagram is ideal for brands selling photogenic products like clothing, accessories, or homeware. |
TikTok |
150 million |
Gen Z users |
This short-form video platform is booming, perfect for brands that can showcase their products in engaging and creative ways. |
|
224 million |
All |
Focus on industry insights and thought leadership, with links to articles, videos and professional resources |
Let’s look at how some industry sectors can benefit from social media platforms.
Destination Marketing Organizations (DMOs)
As it happens, consumers learn about destinations and get inspired to pack a bag based on the content they see on social media:
Platform |
Content Engagement rate |
TikTok |
|
|
|
|
Engagement Tactics
Promptly responding to comments and questions on social media posts shows potential visitors that the DMO cares and is invested in their experience.
You can also offer prizes, such as free stays or meals, to collect contact information and build a database of email addresses to target on an ongoing basis. Partnering with relevant travel influencers can extend reach and introduce the destination to a wider audience through authentic recommendations and reviews.
Orange 142 helps many DMOs succeed with all digital marketing initiatives, not just social media. Learn more about Orange 142 and the Travel & Hospitality industry.
Education
Social media is a perfect vehicle for education facilities -- colleges, universities, training programs -- to nurture leads, build brand awareness, and ultimately convert prospective students into applicants.
Does it work? Some platforms, like TikTok, do particularly well for higher education:
Platform |
Engagement Benchmark |
TikTok |
|
|
|
|
Engagement Tactics
Not all students can travel to tour campuses and facilities, and to talk to students and faculty members. You can help them get a sense of what your campus and programs are like through smart social media engagement, such as:
Learn more about how Orange 142 helps higher education thrive in the digital ecosystem.
Social commerce is also perfect for other verticals, including ecommerce, CPG brands, government services and more. Questions or comments? Ready to get started? Get in touch.