Much like the song “Video Killed the Radio Star”, nothing could be more true for radio. But over the last decade, the same can be said for the Television & Video Star. Like radio and television before the Internet, a “Paid or Subscription” model emerged. In television, we saw the rise of Cable Television, Premium Channels like HBO, Showtime, A&E, and eventually Netflix. The evolution to a paid model has minimized, if not completely eliminated commercials. Consumers prefer to have an ad free experience to optimize their time spent on the medium. Will the same happen for the Internet? I have heard rumblings of a Paid Internet, however many have questioned how feasible and plausible it could be. The Internet has made digital advertisers including Google very rich over the last 15 years. I am a strong believer that things could drastically change.
Think about the number of users coming online. Can the current Internet infrastructure maintain the current user requirements? Advertising revenue help social networks address the consumer needs. However it’s safe to say ads impact the user experience, which sometimes leads to less adoption or decline in platform usage. Consumers in general have a lower level of patience, especially when it comes to online services. If a social network offered me an ad free service and enhanced experience, at a reasonable price, I might just take it. With billions of users set to be “always on” revenue streams although different could continue to flow.
For the last decade, companies have moved from traditional print and billboard media into Digital Ads. Popups, Banners, Videos etc. Digital Ads are predominantly in the form of banners and of course led by Google and Facebook Ads. Speaking with a very experienced and prominent marketing executive a few months back, the message was loud and clear. When marketers are looking to spend their budget online, Facebook and Google are quick and easy. “Nobody gets fired for buying Facebook and Google Ads” they said. I then asked “What about its efficiency factor? Do those ads work?” That’s when I received a smile in return. I had no further questions, nor did I think any questions were welcome. We all know that Google and Facebook are the “Go To” place for people or eyeballs. I am not questioning the potential “eyeballs” and how effective these options really are. I am simply trying to state that things are changing and Influencer Marketing has / will become a very important strategy for both small and large businesses.
The Internet, like Radio and Television will make many marketers re-evaluate their marketing strategy and I am confident this will include a larger appetite to engage both micro and mega Influencers through social distribution channels. In the last 3-4 years, online personalities have emerged as being much more popular with Millennials than Hollywood movie stars. Influencers offer more in terms of their constant interaction with their fans. A concept that only a few Hollywood celebrities have been able to grasp and offer. Online Influencers have a very loyal following and their messages have proven to become very powerful in a short period of time. This is why we see Millennials gravitating towards online personalities and treating them like Hollywood royalty we are typically accustomed to. I’ve said it before and will say it again. Influencer Marketing is only in its infancy.
Feeling nostalgic? Enjoy the video!