In our recent insight-packed webinar, Pathmatics CEO Gabe Gottlieb and Kantar Media’s North American CEO Manish Bhatia discussed key trends in cross-channel advertising strategies, including Facebook's growing impact on driving digital engagement during the busy winter holiday season.
In case you missed it, here are three key takeaways from their discussion.
1. When it comes to social advertising, Facebook is still King
As any seasoned advertiser knows, nearly 50% of advertising is focused on digital platforms, including search. But did you know that Facebook advertising accounts for 20% of all digital advertising? In fact, Facebook makes up about 10% of the total advertising across all mediums—beating out old favorites like magazine, newspapers, and spot TV advertising.
Link and carousel posts are the most dominant, accounting for a combined 86% of all Facebook ads.
2. Tis’ the season (for increased spending)
Consumers aren’t the only ones that break out their wallets during the holiday season. Because it’s often more competitive and more expensive to advertise during the holidays, retailers generally focus about 25% of their annual advertising budgets on the winter holidays and expect 20% of annual sales during this same time period.
Using a combination of digital and social data from Kantar and Pathmatics we saw that the top 10 advertisers spent a combined total of 1.3 billion during the 2017 holiday season. TV, digital, and Facebook rounded out the top three advertising platforms.
During the webinar, we broke down each advertiser’s strategy to reveal key differences in tone, timing and focus.
3. Our predictions for 2018
- Digital is growing. For now, there’s still a place for holiday advertising on TV. But as big brands like Walmart and others increasingly focus on and expand their e-commerce offerings, digital ad spend will continue on its upward trajectory.
- Midterm elections throw a wrench in holiday messaging. While some brands historically begin holiday campaigns as early as October, major election years such as this one can cause advertisers to shift their strategies, letting election day pass before rolling out their first holiday initiatives. This means increased ad clutter, and more expensive ad units, especially in the weeks leading up to Thanksgiving and Black Friday
- Higher spend, bigger budgets. Each year holiday advertising space becomes more competitive and many brands must increase their budgets to secure their intended share of voice. Based on recent trends, winter holiday advertising spend is expected to increase 2-4% year over year.
Want more insights? Download the webinar recording now for an in-depth analysis of the top 10 holiday Facebook advertisers and our predictions for the upcoming winter season.