When did you ever, upon seeing a TV commercial, pack up and head to the store to buy the thing you saw? Never. Even though you saw many hundreds of thousands of those (OK I'm actually talking about me, growing up pre-internet).
That's not what TV ads are for, and IMO for the same reason not what FB ads are for. They are however both excellent brand advertising mediums. And brand advertising spending is HUGE, therefore FB is worth a gazillion dollars. People don't buy Coke or Nike or Tide because of an ad they remembered seeing, they buy them because of ALL the ads they forgot they saw.
Growing up, I probably saw cool toys advertised and was like "muuuuuuuuuuuuuuuum I reaaaaalllly neeeeeed this enormous lego pirate castles it's got hidden doors and cannons everywhere and a TREASURE CHEST. pleeeeeeeaaaaaasssssse".
I didn't get it though. Poor Deprived Child.
Anyway, I always wonder about the brand advertising thing. Do I buy stupidly expensive razor doodads? Sure. Why? Well, I use the same brand my dad did. He bought me the first one and I don't really go in for change, so I've stuck with it. I can logically acknowledge that it's dumb, but here I am yearly spending £30 on razors with more blades than can possibly be necessary.
Coke? I guess I had it somewhere for the first time, I like the taste. I don't think I buy it because of the advertising, I buy it because I like it. Why don't I buy own brand stuff? It tastes different. Would I prefer the own brand stuff if I'd started on that and was used to it? I suspect that is true, so for me it feels like the massive win is in being the first product that I use.
Surely when I go to the shops and pick something off the shelf that I have zero context for: What did family buy? What do friends buy? Is there a brand that somehow jumps out as attractive (advertising works!). But if a first mover gets my social circle to use and approve then that's going to be way more powerful than a shit ton of facebook ads down the line
LOL, that sounds very familiar, I was a PDC too :P.
The global brand ad spend is >$400 Billion a year! It's about 10x bigger than the "transactional" advertising market (Google CPC, coupons, etc). Brand is a very ephemeral almost artsy thing though, and it's not easily broken down into metrics (probably why Google didn't focus on it). Building a brand takes a lot of time and ad impressions to build up. Consider full page magazine ads or most bigger TV commercials; they often don't have a immediately obvious conversion ask, they're more about establishing a perception of something over time.
If you look back to the beginning of commerce, there were no brands. You would go down to the bazar or church to ask around and find out the best grain farmer or milk producers or whatever. The butcher you trusted might say "Oh go see the Quakers, they have the best oats!" That reputation became brand over time as commerce got more complex. Eventually they stuck a picture of a Quaker on the bag of oats to associate a certain expectation of quality or price or consistency with their products. Brand is really sticky too. Once you make that choice as a young adult to buy Tide detergent, or Gillette razors, or Honda cars or Nike shoes, its very likely you'll keep buying Tide, Gillette, Honda, or Nike. The lifetime brand customer value is very high even though the marginal profit on each purchase might be relatively low.
Im just suggesting essentially that the FB news feed is the new TV; a passive state where you "flip though the channels" consuming entertainment, and that's an ideal place to present a brand message. The fact that a FB advert fills the users' mobile screen for a few seconds as they scroll is analogous to how TV commercials interrupt a show for a short period.
On razors: I just don't get why they are still a thing. I got an electric shaving machine in my mid teens, and I still have and use the same damn thing. Basic, cheap Philips machine that probably cost $60 and has lasted literally decades. The battery's long dead, so I just use it plugged in.
Closer shave, more time before I get bristly. I personally prefer a tidy facial appearance. And since having children, more time for snuggles before the whiskers get to scratchy for them :)
> When did you ever, upon seeing a TV commercial, pack up and head to the store to buy the thing you saw? Never.
I just spent $150 today buying a product online I had never before considered or researched, from a company I knew very little about, thanks to an (organic) tweet in my Twitter feed.
That's not what TV ads are for, and IMO for the same reason not what FB ads are for. They are however both excellent brand advertising mediums. And brand advertising spending is HUGE, therefore FB is worth a gazillion dollars. People don't buy Coke or Nike or Tide because of an ad they remembered seeing, they buy them because of ALL the ads they forgot they saw.