What Happened to Social Media Spending?
You may have noticed that brand presence on social media platforms has been lacking as of late. For many brands, there are individual platforms they are boycotting, which we will address. The main way to control where these brands are advertising is through their choice of social media spending, or where they choose to invest their money to promote their company or product. Read on to find out more.
Social Media Spending and Facebook
Platforms that have especially taken a hit in advertising revenue are Facebook and various other companies they own, such as Instagram. Brands are choosing to group the two together in a collective boycott. As noted by Digiday, Facebook is losing out on brand revenue because of their inaction in controlling hate speech that has run rampant on their platforms.
Users have chosen to stay off platforms that seem unmonitored, therefore reducing the number of people seeing the advertisements posted by brands. Brands standing behind their customers and supporting campaigns asking for the platforms to ban hate speech have in turn decided to cut their social media spending to the platforms not complying, notably Facebook.
So where is the social media budget going instead?
As a result of the demand of many companies and the “Stop Hate for Profit” campaign, advertising has come to a halt. However, this is not the sole reason many brands are pulling back from social media spending.
The coronavirus pandemic changed the face of business as we know it, and with the loss of work comes a lack of spending. Thus, many brands are forced to reduce their budget, both for lack of funds and relevance during the pandemic.
Navigating your Budget
So where should your company go from here on social media? Each company is taking their own route right now, choosing to reserve their social media spending for a new business climate. Some are also turning their backs on Facebook and Instagram in a stand against hate speech on the platforms.
If you are still feeling misguided about branding and social media right now, let Fat Guy Media handle it. Our social media marketing will lead your brand through these difficult times. Visit our website today!