Halloween is almost here. We’ve all seen the Spirit Halloween memes. An eager business eyeing a newly empty strip mall location knowing it can make a year’s worth of revenue in just two months.
Imagine if that same Halloween chain opened their ‘seasonal’ doors to find out Halloween would be a two year long event. Pretty cool scenario if you’re in the props, costume, and candy business. Not so cool when you hit year three and realize now that Halloween is over, you’re stuck with a lot of plastic masks, hero capes and candy.
Two years after what will be the largest disrupter event in most our lifetimes, we are all still adapting. Your advertising is no different. Running a business today means constant evaluation, exploration, and adaptation. But it’s important to remember what made your marketing successful in the first place.
As we see tech companies facing nearly complete market saturation levels, their reach is plateauing while ad revenues are declining. We were going to reach this point eventually. The pandemic forced the hand of technology companies to reveal their limits, and those easy ad dollars are producing weaker results.
“Clients, say the passive scrolling experience of Facebook and Instagram coupled with the platforms’ decreased relevance to Gen Z, is making TV advertisers more appealing. He said the growth of ad supported streaming has rejuvenated advertisers interests in traditional TV commercials, especially because younger viewers are still there”
Adweek May 16th, 2022
As a result of the pandemic, Netflix has overestimated the available audience causing a very weak first half of 2022 and they are currently rushing to develop an advertising platform to help boost revenue and the end the sharp decline they’ve seen between 2019 and 2022.
Likewise, Snapchat is down roughly seventy percent on the year. This does not mean that these platforms are losing popularity. It simply means they are trying to figure out their own market positions as the world and US economy figure out what our new ‘normal’ is.
Snapchat, TikTok, Netlfix are just like your business. They need to figure out their revenue model to be successful and stick around. As consumers we get to go through these growing pains with them.
If I had to guess, half of the US population has been here before. Some of you reading this watched the birth of cable, or dish/satellite services rise and level off certain print medias.
“Marketers say they’re increasingly finding channels like TikTok, Google and even TV equally, if not more, effective for brand and performance marketing due to more captivating formats, more precise targeting and lower costs”
Adweek May 16th, 2022
Businesses have more advertising options than ever before. Along with that comes an increasingly fragmented audience making it even more important to have a good agency partner on your side to make sense of it all.