Facebook Advertising to Surpass MySpace by 2011 by Brian Solis

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Facebook Advertising to Surpass MySpace by 2011 by Brian Solis Powered By Docstoc
					Facebook Advertising to Surpass MySpace by 2011
By Brian Solis, blogger at PR 2.0 and principal of FutureWorks PR, Co-Author Putting the Public Back in Public Relations and Now Is Gone

MySpace has been losing ―face‖ over the course of the last year. With sliding traffic and attention as well as shifts in management and reductions in staff, MySpace is not only a place for friends, but also a place for skeptics.

According to a Compete.com, Facebook received 122,559,672 unique visits in June 2009 twice that of rival MySpace, which realized only 60,973,908 unique visitors. In year-over-year comparisons, Facebook volume skyrocketed with 248.17% while Myspace slightly recoiled, down 5.65%. The good news for both networks is that June represented positive growth over the previous month with Facebook visits growing by 8.45% and MySpace realizing a bump of 7.19%.

(cc) Brian Solis, www.briansolis.com - Twitter, @briansolis

Not only has Facebook surpassed MySpace in traffic, according to eMarketer, Facebook appears primed to overtake the once dominant network in ad revenue as well. Social Media appears to be an unsteady landscape tied directly to the popularity, trendiness, and momentum of any given network at any given moment in time.

eMarketer anticipates US spending at MySpace to fall 15% to $495 million in 2009 from $585 million in 2008. In contrast, Facebook will grow from $210 million in 2008 to $230 million in 2009.

(cc) Brian Solis, www.briansolis.com - Twitter, @briansolis

After reviewing the numbers, an interesting observation surfaced…Advertising spending on Facebook and MySpace alone account for 2x the total advertising dollars going to all other networks combined. Also, widgets and applications will continue to grow with funding up 6.1% from 40 million in 2008 to $70 million in 2009.

Even though Facebook 2009 projections are roughly 40% of MySpace revenue, Debra Aho Williamson, eMarketer senior analyst and author of the new report, Social Network Ad Spending: A Brighter Outlook Next Year, expects Facebook to surpass MySpace revenues by 2011, ―Facebook, once a distant second to MySpace, has outperformed its rival in nearly every measure of usage— and is on track to surpass MySpace in ad spending by 2011.‖ Williamson also predicted a brighter future for advertising spending on social networking, ―The expected rebound in spending will come as more companies focus on creating and implementing an overall social marketing strategy. And it is a clear indication that the experimental phase of social network marketing is finally drawing to an end.‖

Indeed 2009 painted a bleak picture as spending was down an estimated 3%. The good news is that according to eMarketer, budgets will grow by 13.2% in 2010 and 8.2% in 2011. I imagine that by 2010, we’ll finally see a revenue model introduced by Twitter. Perhaps those numbers will only trend as opposed to fanning out once advertising becomes an option at the highly sought after network. .

(cc) Brian Solis, www.briansolis.com - Twitter, @briansolis

Brian Solis is globally recognized for his views and insights on the convergence of PR, Traditional Media and Social Media. He actively contributes his thoughts and experiences through speaking appearances, books, articles and essays as a way of helping the marketing industry understand and embrace the new dynamics fueling new communications, marketing, and content creation. Solis is Principal of FutureWorks, an award-winning PR agency in Silicon Valley. Solis blogs at PR2.0, bub.blicio.us, TechCrunch, and BrandWeek. Solis is co-founder of the Social Media Club and is a founding member of the Media 2.0 Workgroup. Solis has been actively writing about new PR since the mid 90s to discuss how the Web was redefining the communications industry – he coined PR 2.0 along the way. Solis is considered an expert in traditional PR, media relations, and Social Media. He has dedicated his free time to helping PR professionals adapt to the new fusion of PR, Web marketing, and community relations. PR 2.0 has earned a position of authority in the Technorati blog directory and currently resides in the top 1.5% of indexed blogs. BrianSolis.com is also ranked among the most influential blogs in the Ad Age Power 150 listing of leading marketing bloggers. Working with Geoff Livingston, Solis was co-author of ―Now is Gone,‖ a new book that helps businesses learn how to engage in Social Media. He has also written several ebooks on the subjects of Social Media, New PR, and Blogger Relations. His next book, co-authored with Deirdre Breakenridge, ―Putting the Public back in Public Relations,‖ is now available from FT press. Connect with Solis on: Twitter, FriendFeed, LinkedIn, Tumblr, Plaxo, Plurk, Identi.ca, BackType, Social Median, or Facebook --Subscribe to the PR 2.0 RSS Feed

(cc) Brian Solis, www.briansolis.com - Twitter, @briansolis


				
DOCUMENT INFO
Description: According to a Compete.com, Facebook received 122,559,672 unique visits in June 2009 twice that of rival MySpace, which realized only 60,973,908 unique visitors. In year-over-year comparisons, Facebook volume skyrocketed with 248.17% while Myspace slightly recoiled, down 5.65%. The good news for both networks is that June represented positive growth over the previous month with Facebook visits growing by 8.45% and MySpace realizing a bump of 7.19%.