If you own or manage an SMB (small or midsize business), watch out – social media will be gobbling up more of your money. In fact, you’ll probably be tripling your expenditures for national social media advertising during the next five years. For local markets, your spending is destined to be seven times higher. At least, these are the well-grounded predictions of Borrell and Associates. In 2011 alone, SMB’s funneled a staggering $1.1 billion into local social ad campaigns. Remember, this hefty chunk of change doesn’t even include other types of online marketing, such as Google Ad Words.
Are SMB’s expecting astronomical revenue boosts over the coming years? Maybe. But most of the funding will be siphoned off of other types of advertising expenditures. Remember that phenomenon called ‘printing’? A big slice will be cut from the budgets for this category, with the cash generously redistributed to social. Basically, less money available for newspapers, phone book ads, and direct mail means more for Facebook and Twitter. But print won’t be the only category taking it on the chin. Paid searches, email campaigns, and other strategies will also be feeding the growing cash appetite of social media.
Given this impending scenario, should SMB’s be forking over big bucks for social media advertising — especially when the likes of Facebook and twitter offer them so many free options? The truth is, many business owners and managers feel more comfortable hiring expert help than doing it themselves. After all, there’s a very real risk of creating a marketing fiasco, especially in the still-uncharted social media waters. So in many cases, the costs might well be worth the price tag. It all depends on the knowledge, available time, and interest level of an SMB’s social marketers. If the decision makers can implement these assets on their own, do-it-yourself social marketing has a definite appeal. If not, better to spend for expertise then risk disaster.
What do you think? Should SMB’s pour big bucks into social media advertising or enjoy the available free ride? Feel free to fire off your comments below.
And, of course, if you have any questions or comments about social media, or about any other marketing topics, feel free to send them our way. You can connect with The Young Company team at 949-376-8404 #205 or byoung@youngcompany.com. And be sure to follow us for the latest industry news and tips.