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Social Networking and Social Media sites are part of the whole Travel 2.0 euphoria…and marketers are scrambling for pole position when it comes to reaching a maximum number of eyeballs. However, the social media and networking sphere is not without its problems and criticisms. The first problem, of course is the low ROI on such sites… after all, advertisers are putting out banner and rich-media ads to an audience that doesn’t really want to view them in most cases, unlike in Search advertising where you have a captive audience driven by purpose. Another issue to emerge…
While sites like Facebook, MySpace, Bebo and Habbo Hotel have a powerful allure, the companies that run them are finding themselves on the front lines of criticism about fast-evolving standards. Some of the criticism in Britain involves advertising for junk food that is migrating to the sites from children’s television programming, where such ads are now banned, and corporate concern about employees distracted by time-sapping virtual networking.
Online advertising is a vital part of development for social networks, which have grown dramatically in the past two years with MySpace attracting more than 114 million visitors internationally in June, followed by Facebook with 52.2 million and Bebo at 18.2 million, according to comScore, an Internet tracking service. And all of those sites are feeling some growing pains.
“Ultimately there are going to be mistakes and unfortunate incidents,” said Debra Aho Williamson, a senior analyst with the research firm, eMarketer, and the author of a report predicting that global advertising spending on social networks would grow to $3.6 billion by 2011 from $445 million this year.
Read the original article at the International Herald Tribune