Global Social Networking Market 2016-2020
Market outlook of the global social networking market
Technavio’s research analyst predicts the global social networking market to grow at a CAGR of around 18% during the forecast period. Social media advertising has gained popularity over the past decade, mainly due to the active participation of social media users. Social media advertising offers a solid platform for advertisers to exhibit their brands/products, especially during global events, which are actively followed across the world.
One of the reasons for the growth of advertisement spending on social media is the fact that social media acts as a platform that helps in directing search keywords toward the company’s website, leading to increased website traffic and brand popularity/visibility. Besides, social media allows brands to interact with people by offering an effective platform for communication, thereby leading to higher conversion rate and improved brand loyalty.
Segmentation by device and analysis of the social networking market
Technavio Announces the Publication of its Research Report – Global Social Networking Market 2016-2020
Technavio recognizes the following companies as the key players in the Global Social Networking Market: Facebook, Google Plus, LinkedIn, Sina Weibo, Twitter and YouTube
Other Prominent Vendors in the market are: Instagram, iQIYI, Pinterest, Qzone, Renren, and Tumblr.
Commenting on the report, an analyst from Technavio’s team said: “With social media advertising being entirely web-based, we may expect significant changes in the market during the forecast period. The share of advertisements created and posted for compatibility with desktop computers is rapidly declining. It has been estimated that 36% of the time spent on digital media is through mobile communication devices such as smartphones. Most advertisements in the coming years will be designed to cater to the users of smartphones and other mobile communication devices.”
According to the report, social media acts as an interface for brands and their customers. It has been estimated that 32% of the global customers who have heard about a brand on social media platforms have made a purchase. This is approximately 50% in developed countries such as the US and the UK. This supports the fact that a strategic and open social media platform enables organizations to reach a broader customer base, thereby increases brand recognition and customer loyalty.
Further, the report states that fans and followers of brands are free to post comments and reviews on social media platforms, which expose the business to the possibility of negative publicity.
Facebook, Google Plus, LinkedIn, Sina Weibo, Twitter, YouTube, Instagram, iQIYI, Pinterest, Qzone, Renren, Tumblr.