Hello folks, hope everyone is doing great & making use of the lockdown time with family or gaining a new skill. I am not going to write another article on very famous key words a Quarantine, corona, pandemic & so on. but effect of all these keywords on our very own Advertising world .So much have been spoken & discussed on current scenario of corona pandemic, it has affected almost every country & every human being directly or indirectly.
Let’s check out few points how it has affected advertising industry
Advertising
There is a slight move from offline media to online, This budget shift is not surprising considering that digital media is consumed at a higher rate due to the online lifestyle of the post-corona consumer.
Digital display ads, social media, and online video are channels that most likely will increase in the short-term media plan.
Out-of-home advertising such as metro billboards will have much lower exposure due to most people staying at home. Event marketing has come to an immediate stop, and we’ll likely see that marketing budget cease or shift towards online ads.
Content Marketing
A new study by Pattern89, published on 24th March, has noted a shift in the type of imagery brands are using in social media ads since the start of the coronavirus pandemic. Analysing more than 1,100 brands and advertisers active on Facebook and Instagram, Pattern89 found that there are 27.4% fewer images and videos ads of models displaying human interaction (such as hugging or shaking hands).
Since 12th March, imagery featuring people washing hands or faces, and images and videos that display water splashing or cleaning have risen at six times the normal rate. Meanwhile, headline and body copy mentioning “Sports & Fitness” topics has quadrupled (rising from 5.7% to 21% of all ads)
Social Media –
Facebook stated that its business is being adversely affected by a coronavirus, in particular its ad platform. This has been echoed by Cowen & Co, which forecasts Facebook ad revenue for 2020 to be $67.8 billion, which marks a drop of $15.7 billion from Cowen’s previous forecast
Across the 13 countries involved in the survey, over 50% are watching more streaming services, 45% are spending more time on messaging services, and almost 45% are devoting more time to social media. Interestingly, over 10% also say they are creating and uploading videos.
According to Facebook data, total messaging has increased more than 50% over the last month in many of the countries hit hardest by the virus. Similarly, in places hit hardest, voice and video calling has more than doubled on Messenger and WhatsApp. In Italy, specifically, Facebook has seen 70% more time spent across its apps since the crisis started, while Instagram and Facebook Live views doubled in a week. Messaging in Italy also increased over 50%, and time in group calling (with three or more participants) increased by over 1,000% during the last month
Global Twitter conversations surrounding the coronavirus pandemic quadrupled in the month of March, according to insight from SproutSocial.
The study found that topic volume remained at a steady one million global posts per day during February, but this soon spiked to 5-6 million after the US stock market was hit. Since then, topic volume rose from around 5 million in the first days of March to 20 million as the US declared a state of emergency in mid-March. Subsequently, conversation about the coronavirus has remained between around 13-20 million daily posts worldwide.
Youtube
YouTube sees a rapid increase in watch time among users in the worst-affected countries throughout February 2020.
The biggest change came from Italy, where there was 20x growth in the amount of content watched from the first to the last day of February. Germany ranked second, experiencing 11x growth during the same period.
Meanwhile, average global daily uploads with titles containing the phrase ‘at home’ rose by more than 50% between March 10th and March 15th when compared to average uploads before 2020.
TV – A study from Nielsen was conducted to investigate the change in media consumption in North Asia as a result of the coronavirus.
TV news viewership in mainland China has risen by 69% in the region since before the outbreak began, as the Chinese public turned in droves to news channels as a reliable source of advice and information relating to the pandemic.
Drama shows were the second most watched genre, seeing a 25% year-on-year increase in viewers, while educational shows saw a moderate 16% increase. TV shopping, on the other hand, experienced a huge year-on-year
decline of 65% as consumers tightened their purse strings during economic uncertainty.
Overall time spent watching TV surged by an average of 70 minutes, totalling seven hours and 40 minutes per day as viewers were confined to their homes.
Adword – Social banker has valued the average social ad CPM (cost per thousand impressions) for brands at $0.81, a figure that has steadily declined since the start of the coronavirus outbreak. This most recent estimate is less than half the CPM in November 2019, which had peaked at $1.88
Every problem every challenge creates a new opportunity even current scenario creates new market new demand & a complete different way of looking at business.
Event industry which is also very badly effected by corona virus pandemic making all international event to withdraw which has direct effect on TV viewership, Advertising revenue, Agency sustainability, venue Branding, Sponsorship value & ticketing sites now event industry also finding out a new channel to continue the business. Brandland advertising a Bangalore based event & marketing company has already launched one unique platform www.virtuallexpo.com for expo & exhibition , Conducting event & exhibition online is going to be future .
Opportunity
– Media will be cheaper as marketing budgets in certain industries are cut, if there is a possibility, capitalising on this will have clear positive effects on share-of-voice.
This is an ideal opportunity for some marketers to acquire new customers at a lower cost than previously.
Consumers spend more time reading or watching the news than ever before. Marketers now have the opportunity to capture more eye-balls by advertising on these popular websites, at a lower cost than the pre-corona period.
- Digital opportunities
With many affected companies decreasing their marketing budgets, we will most likely see a sharp drop in CPM and CPC prices (due to a decline in competition)
Conclusion Note –
It is important to stay focused on the long-term and not shy away from new growth opportunities. Branding is best-worked long-term, cutting budget spend too much when not necessary could negatively impact the brand when the pandemic is over. Marketers should not forget that in the midst of a crisis
