Facebook ad revenue is dropping more rapidly in the US than other Covid-19 hit markets according to new data from social media marketing company Socialbakers. Facebook is suffering an ad fall (as is Twitter) despite the rapidly growing use of Facebook Groups, most notably in Italy.
Socialbakers CEO Yuval Ben-Itzhak says: “Socialbakers’ data reflects what we are hearing from brands. Because of uncertainty about the economic environment they are slowing down investment. This trend is expected to continue as businesses look for less costly alternatives to engage their audiences. That means that organic strategies driven by the right content may win during this period.
“Since we believe that now, more than ever, customers want to hear from the brands they follow, cutting back on social media investment could be a mistake on the part of the brands. Brand marketers need to be mindful that, faced with the prospect of social distancing and more time at home, their audiences will be looking to the digital world to keep them feeling connected, updated, and entertained.”