I recently ran across the results of a very interesting survey. It is interesting to me because much of the results compare with what we’re seeing here at Bob Abbate Marketing. Social media ads are rocking results for our clients. Our social media ads have been delivering unsurpassed results for our retail clients, our car dealers, our health and fitness clients, our B2B clients and more. Impressions, clicks, video views. All of it. And with great ROI.
The survey results show that social media ads are considered to be as effective at generating sales as broadcast TV ads, according to a survey of 666 local ad agencies from Borrell Associates [download page]. Respondents were asked to rate the performance of various media they use on a 5-point scale.
Broadcast TV emerged on top with an average rating of 3.22. However, that was only a hair ahead of social media, with its score of 3.17. In other words, local ad agencies using social ads are about as pleased with their success as those using broadcast TV ads.
The survey asked the agencies to disregard price when considering the effectiveness of the various advertising media. A score of 3 or higher indicated that the media’s performance was “good” or better.
It’s yet another indication that social media is making its way up the ranks as a marketing and advertising vehicle – particularly when targeting youth. For example:
- A MarketingCharts report released last year found social ads second only to TV ads in perceived effectiveness among Millennials; while
- A survey this year revealed that for youth, social recommendations top TV ads in stated purchase influence.
Highlights from Borrell’s report also suggest that broadcast TV and social media are thought to have the highest ROI. Facebook is the clear winner among social platforms, with most not seeing Instagram, Snapchat or Twitter as effective (at least for local ad buyers).
Meanwhile, following broadcast TV and social ads in the effectiveness rankings were email ads (3.09) and direct mail (3.00), per the study.
For direct marketers, data suggests that median ROI is far higher for email than for direct mail, though. That seems to be due to higher cost-per-acquisition figures for direct mail than for email.
Overall, Borrell’s study finds that a slight majority of local ad agencies feel that the best mix of advertising media leans mostly towards traditional, with some digital added.
The full report can be purchased here.
About the Data: The results are based on a survey of 666 local ad agencies conducted in the Spring and Summer of 2017. Respondents come from a mix of company sizes and industries, and three-quarters are with agencies that have been in business for more than 10 years.