SRAX Recap: Social Media Continues to Rise, Despite Privacy Concerns

In this week’s digital news, social media use rises despite privacy concerns, Snapchat launches Face Lenses, and research finds ads below the fold are more effective.

New global digital report shows social media use is growing, despite privacy concerns.

The Global Digital Statshot report by We Are Social and Hootsuite shows that social media users around the world grew by more than 100 million in the first quarter of 2018, reaching almost 3.3 billion. A closer look at Facebook’s usage reveals that the Cambridge Analytica scandal didn’t impact its growth numbers. In the past three months alone, 67 million new people signed up for Facebook. You can find the full report in the slideshow below, meanwhile here are some keys stats we pulled:

  • Total internet users rose 276 million in Q1, reaching a total of 4.1 billion.
  • More than 5 billion people globally use a mobile phone, with 6 in 10 users owning a smartphone.
  • Facebook reach continues to fall, with the average page reaching just 8.9% of its fan base.
  • Twitter has 40% more users over the age of 35 than it has users under the age of 25.
  • WeChat passes the 1 billion user milestone, and Instagram is almost there at 813 million.

Study shows ads below the fold are more effective than those above the fold.

You would think that ads above the fold are more effective than those below the fold because they appear first and don’t require users to scroll down the page. However, new research from over three billion engagements across 130 million page views on 400 websites revealed that ads below the fold are more engaging. In fact, users engaged with ads below the fold for 27% of the viewable dwell time, compared to just 3% for ads above the fold. And even though, ads above the fold are five times more expensive, ads below the fold are seen 2.6 times longer.

Snapchat launches face lenses in Lens Studio and new shoppable ad option.

Snapchat has opened up face lens creation for developers within Lens Studio. Before, only world lens creation was available. Developers can create Face Lenses with seven different templates including, Face Paint, Distort, Trigger, Baseball Cap, and more. In addition, Snapchat is introducing Community Lens Stories to highlight these lenses and let others try them out. The company is also launching a new shoppable lens option that lets advertisers add a “Buy Now,” “Watch” or “Install Now” button to branded lenses. Brands like Clairol, King, STX Entertainment, and Adidas are already launching Shoppable Lens campaigns.

Cable still beats over-the-top video!

Although over-the-top (OTT) subscriber households are slowly surpassing TV subscribers, the average revenue per user (ARPU) for TV subscribers will be four times the OTT subscriber ARPU. OTT revenue based on 55 OTT providers, grew 41% in 2017 to $11.9 billion, according to Convergence Research. And they forecasted that revenue will rise to $16.6 billion for 2018 and $27.6 billion for 2020. In 2017, revenue for cable, satellite and TV grew to $107.6 billion, but it’s forecasted that it will slightly drop over the next few years to $106.9 billion by 2020. That’s still over a $79 billion difference.

Facebook cuts out 1.5 billion users from EU’s GDPR law.

Facebook has released its updated privacy tools and settings in compliance with the EU’s General Data Protection Regulation (GDPR). The new options make it clearer, easier to understand, and easier to opt out of any targeting. Although Facebook plans to make these controls available worldwide, the 1.5 billion members in Africa, Asia, Australia and Latin America will not fall under GDPR. In practice, this means the affected users will not be able to file complaints about misuse of data. Get more info here:

Instagram engagement by day of week

Study by Unmetric of 100 U.S.-focused brands in a range of industries examined their Instagram engagement by day of the week. The analysis found that brands publish most to Instagram on Tuesdays and Thursdays and generate the highest interactions on those days. On days brands publish less (Sunday and Wednesday), they actually generated a slightly higher average number of interactions per post. Friday has the lowest average number of interactions per post. For a breakdown of the best times to post photos and videos, see the full report here.

 

 

Published on April 20, 2018

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