Social Marketing Dethroning Traditional Media and Classic ‘Word of Mouth’ as Main SMB Marketing Channel

Magisto Survey Reveals Social and Online Video Rapidly Replacing TV
Ads for Millennial Marketers

MENLO PARK, Calif.–(BUSINESS WIRE)–#Magisto–Marketing trends for small and medium-sized businesses (SMBs) are
shifting from traditional channels, i.e. print, radio and television
advertising, and even classic word-of-mouth marketing, as millennials
implement new, more viral digital practices, like social media and
particularly online video, according to data from new SMB survey.

The new survey report, Unlocking
The Most Powerful Shift In SMB Marketing, was released today by
Magisto, the world’s most popular smart video storytelling application.

The survey found that traditional marketing goals have not changed for
SMBs, revealing that three out of four SMBs want to generate new
customers and over half want to build customer loyalty and grow brand
awareness. But, according to the survey, the way SMB marketers reach
these goals is shifting drastically from traditional methods, such as
print and TV advertising, to strategies using social media and video, a
shift driven mostly by the millennial generation.

The survey found that millennial marketers are 84 percent more likely to
use social media to promote their small businesses than invest in print
advertising; according to the data, millennials are 136 percent more
likely than baby boomers to create videos for social media; and
virtually no millennials marketing SMBs would invest in television
advertising.

By contrast, nearly one out of three baby boomers marketing small
businesses employ TV ads and other legacy marketing options.

“Millennials retain the same basic marketing objectives as their older
colleagues, but are besting their counterparts with a more evolved media
mix, greater authenticity, more sophisticated targeting and an overall
better understanding of new tools like social video,” said Magisto’s
CMO, Reid Genauer. “Even when baby boomers use social channels, they’re
publishing outdated product centric ads, and are missing their audience
and the real opportunity by treating Facebook like late night local TV.”

“This data confirms the rate of change and the impact millennials’
social-first advertising strategy is having on the SMB marketplace,”
added Genauer.

Massive changes are underway for SMB marketing, driven by millennials.
Key findings in the report include:

• Social is the new mass media. Nine out of 10 millennials at
  SMBs lead with social media in their marketing strategy.
• The culture of authenticity. In order to make a sale within
  social media, millennial marketers understand the need to speak with
  the authenticity that the channel requires. Over half of millennials
  at SMBs lead with branded lifestyle video stories versus traditional
  product overviews that their older colleagues continue to create.
• Targeting audience. Millennials inherently understand how to push
  the right content to the right audience at the right time versus
  posting media and hoping that an audience finds it. According to the
  data, millennials are 183 percent more likely than baby boomers to
  post a video to Instagram.
• Understanding the power of video. Millennials are using video
  marketing as a pillar of their marketing tactics. According to the
  data, millennials are 136 percent more likely than baby boomers to
  create videos for social media.

To better understand the habits of today’s evolving marketing trends for
SMBs, Magisto surveyed over 550 SMBs throughout the United States. The
company looked at how SMBs leverage today’s marketing trends and tools,
and how millennials are driving those trends with a focus on social
media and video creation.

For more on the findings of the 2016 Unlocking The Most Powerful
Shift In SMB Marketing, download the full
report.

About Magisto:

Magisto is the world’s most popular smart video storytelling application
that uses Emotion Sense Technology™, a patented story detection that
automatically analyzes and edits raw video footage and photos into
movies, making video
storytelling for consumers and businesses easy to share. Magisto is
available for iOS, Android, PC and the Web. For more information, visit
Magisto.com, Magisto.com/business or finds us @magisto. It’s not magic,
it’s Magisto.

Contacts

104 West Partners for Magisto
Sarah Thorson, 720-407-6078
sarah.thorson@104west.com