TLDR: Social media faces a potential collapse with rising ad-free models, declining ROI in influencer marketing, and challenges for creators adapting to new monetization strategies.
This article is a summary of a You Tube video “Great News – Social Media Is Falling Apart…” by heyDominik
Key Takeaways:
- Predicted Social Media Collapse: The speaker predicts a significant downturn in the social media landscape, suggesting an impending collapse affecting creators, agencies, and brands within the next one to two years.
- Shift to Paid Social Media: Initiatives like paid, ad-free versions of social platforms such as Instagram and Facebook are seen as the beginning of the end for traditional ad-supported social media.
- Impact on Advertising Revenue: As more users opt for ad-free experiences, the traditional ad revenue model for creators and brands will be disrupted, potentially leading to higher ad rates and decreased visibility.
- Changing Role of Content Creators: Content creators are expected to become the primary drivers of internet revenue, necessitating high-quality engagement and long-term audience relationships.
- Declining ROI from Influencer Marketing: There’s an observed decline in the return on ad spend from influencer marketing, with even well-engaged influencers failing to deliver expected economic returns.
- Saturation and Quality Concerns: The social media space is becoming increasingly saturated, leading to a mix of high-quality content and a surplus of mediocre content, impacting overall user engagement.
- Shifts in Content Monetization and Format: Platforms are experimenting with new monetization strategies and content formats, like longer videos on TikTok, which signal a shift away from short-form content reliance.
- Challenges for Midsize Creators: Many midsize creators may struggle to survive due to a lack of meaningful engagement and strategic planning, potentially leading to their exit from the platforms.
- Experimentation and Innovation: There’s a call for creators to innovate and adapt to new content formats and monetization strategies to stay relevant and successful.
- Corporate Brands and Content Evolution: Successful corporate brands on social media are those willing to defy traditional marketing norms and innovate, suggesting a path for other creators and brands to remain relevant.
