Here’s the digital media news you may have missed:
GENERAL
- Facebook has started testing paid subscriptions on Facebook Groups. Subscription prices can start at $4.99 and go all the way up to $29.99. It’s a very limited pilot and includes content-driven groups (declutter your home) to more service-oriented ones (college admissions help).
- MAGNA released their Spring 2018 Advertising Forecasts. Global digital advertising (display, video, search, and social) will grow by 15% to $250B (down from last year at 18%) and global digital media will represent 45% of ads sales. In the US, digital media will hit 50% of ad sales this year. There’s a lot more detail and you can read MAGNA’s executive summary here or contact MAGNA for the full report.
- Instagram now has 1billion users (here’s a great graphic that shows the growth). Instagram is growing at 5% per quarter, compared to Facebook (3.14%) and Snapchat (2.13%).
- HQ Trivia (the popular game show trivia app) has hit Facebook’s radar, with Facebook launching tools so that anyone can gamify live videos. Available features in a live video now include polls, quiz questions, and challenges including the automatic elimination of people who answer incorrectly (could be a fun brand opportunity).
- Amazon is making a hotel version of the Echo, where Alexa can provide hotel specific information like check out times, room service, etc (Marriott is a key partner). This really emphasizes the growing importance of voice search results for brands and positions Alexa as an alternative to the front-desk/concierge when you’re out of town and need to know where to find the nearest CVS, etc.
- Facebook is launching a quarterly magazine in the UK (no, this is not a headline from the Onion). Facebook’s magazine, called “Grow”, is aimed at the business community and is free, distributed only in high-end locations e.g. airport business lounges, and is also supported by a website. The launch issue features an issue with H&Ms head of millennial brand “/Nyden“.
CREATORS / INFLUENCERS
- Vidcon 2018 saw more than just YouTube participate. Facebook, twitter, twitch, and Snapchat attended Vidcon to connect with creators. YouTube still remains the key sponsor of the event.
- Vidcon wouldn’t be complete without YouTube launching new creator tools. This year the focus is on monetization, including the ability for creators to offer channel memberships, merchandise sales (in partnership with teespring), and premieres (a way to make pre-recorded videos more of a live-like moment). The theme of all of these tools is really monetization – giving creators a way of making money without having to rely on advertising.
- timed to coincide with the start of Vidcon (FYI: Facebook also held sessions in the Community Track at Vidcon), Instagram launched their Instagram TV offering (IGTV) video product. Designed for long-form vertical video up to an hour long. IGTV is Facebook’s take on YouTube and anyone can be a creator (including businesses). IGTV will be integrated into the core Instagram app and also as a standalone IGTV app for iOS and Android. IGTV advertising and monetization details are unknown.
- around the same time as launching IGTV, Facebook held a “Creator Day” in LA with 120 creators invites from around the world. Facebook has been working hard to court creators for a few years with offering Creator Group and standalone Creator apps but the event is a signal that Creators will become part of Facebook’s broader strategy (not just IGTV but also for Facebook Watch).
- continuing on the Facebook theme, the company also launched “Brands Collab Manager“. US-only (for now) the tool was rumored back in May, it’s only available to a limited number of brands and creators and is designed to help both parties discover each other.
RESEARCH
- the IPG Media Lab has released some research about the power of creators/influencers on twitter. The results show that brands that use creators see an increase across all brand metrics +61% favorability +88% purchase intent +64%. More details on the study can be found here.
TRUST & SAFETY
- while Facebook’s is doubling down on Creators, in Cannes, there was growing concern about influencer marketing. The CMO of Unilever raising concerns about the lack of trust and transparency, sentiments also shared by Samsung, HP, and eBay. There is a concern that Creators buy fake engagement, followers, etc. and Unilever is working with the World Federation of Advertisers (and others) on a project to clean up the sector.
- all of the major US mobile carriers have cut off providing location data to aggregators/data brokers, citing privacy and transparency concerns. It’s worth noting that this change will have no impact on location-based advertising, where most location data is sourced either directly from apps, or during the ad call and not from telco data.
- Facebook’s COO (Sheryl Sandberg) attended the National Association of Attorneys General conference to provide further details on the Cambridge Analytica incident. Details of what was discussed are not public and nor have they leaked, other than the vague statement that the format would be a Q&A not prepared remarks.
- twitter acquired anti-abuse technology platform Smyte a platform designed to stop online abuse, harassment, and spam. It’s a smart move by twitter, but not without controversy as twitter immediately turned off the Smyte API for all other customers causing a fair amount of anger.
Have a wonderful week.
Joshua