Social Media’s Diminished Impact on Business

REPLAY VIDEO
Your next video will start in
Pause

Recommended Videos

  • Info

  • Comments

  • VIDEO TEXT

August 5 (Bloomberg) -- In "This Matters Now,” Scott Galloway, Marketing Professor at NYU Stern School of Business, discusses the effectiveness of advertising on social media and the blowback from lackluster returns. He speaks on Bloomberg Television's “Bloomberg Surveillance.” (Source: Bloomberg)

I love with your thinking here.

People are really beginning to question the value of brand advertising and facebook.

The study that we did block shows that less than 3% of the traffic to brands in retailers was actually coming from social media.

Priced in context, social media as not having as large an impact as originally thought.

What is the response to big companies?

I see this out there personally, it is a big -- so what?

Is that the mood of ford?

What they are still embracing social media, it is innovation to constituents and they are still trying to figure it out and experiment, but there are telltale signs of a blow back.

Social media manager at the job is declining and the pay is not what people thought it would be.

The kids coming out of business school are more interested in e-commerce.

Part of this is technological progress, part of it is experimentation in failure.

How are twitter and facebook responding to this idea of less of an impact for visible companies?

You have to give it to facebook, they are probably the most nimble company out there, pivoting in creating products to match where things are headed.

One-third of their revenues for mobile, facebook exchange is basically for targeting, facebook is now responsible for 45% of their targeting.

How are they responding?

They are moving away from the notion that they will be impacting a lot of commerce.

Everyone thought facebook would be a huge pointed distribution and it is not.

They're moving around retargeting, of which is behavioral.

It has proven to be quite effective on the web.

Bring that right over?

That is right.

The new paradigm is classic for targeting.

Can you please inventing easy cookie take awayrer?

You can do that.

You can clear your cookies right now.

For all the talk about privacy, people do take the steps.

Fl, it is all about corn.

This text has been automatically generated. It may not be 100% accurate.

Advertisement

BTV Channel Finder

Channel_finder_loader

ZIP is required for U.S. locations

Bloomberg Television in   change