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Social networking sites attract brand campaigns

Ad spends on digital media to grow 44% this fiscal: Study.



Orkut led the list of social networking sites in India with a growth of 51 per cent, according to a survey by comScore. — AFP

Amit Mitra

Hyderabad, Sept. 29

Orkut, Facebook, Bharatstudent, Ibibo, Bigadda, Fropper. Till some two years ago, corporates would have hardly given a second look at these social networking sites on the Internet. But, today, companies are getting increasingly hooked on to them – and it is not as much for social networking as for exploring the possibilities of positioning their brands in some of these interactive sites.

As social networking sites are growing, and with the number of visitors swelling, brand managers are seeing in them an alternative, cost-effective platform for ad campaigns, especially as this medium can provide an interactive connect with consumers.

Not only in India, but in other developed countries too this appears to be the trend. A recent report by Nasdaq-listed comScore, which measures the digital world, has shown that about one in every five Internet display ads in the US is viewed on a social networking Web site such as Myspace or Facebook. Back home, a recent report by Webchutney, a digital agency which works with HUL, P&G, Airtel and Microscroft, among others, says that the overall ad spends from the 445 advertisers it surveyed were likely to fall by 10 per cent to reach Rs 4,663 crore, but their ad spends on digital media will grow by 44 per cent (from Rs 278 crore to Rs 399 crore) this fiscal.

In India, companies such as Vodafone, Airtel, Samsung, Kwality, Adidas and a host of other companies across sectors such as FMCG, mobile handset makers and consumer durables are increasingly positioning their brands on some of these sites. Says Mr Asim Warsi, Marketing Head, Samsung Mobile, which has positioned its campaign for its touch-screen mobile sets with ibibo: “We are finding social networking sites a very useful and interactive medium for communicating with the youth, which is a key target segment especially for our touch-screen and multimedia phones. I think our engagement with youth through digital media is going to grow.” The burgeoning audience that these sites are getting is the prime reason that is prompting brand managers to view this as a platform for brand campaigns.

A study by comScore on the top social networking sites in India in December 2008 had shown that in that month the total unique visitors to such sites were 19.3 million, up by 51 per cent from the same month in the previous year (12.7 million).

According to that survey, Orkut led the list of social networking sites in India with a growth of 51 per cent, followed by Facebook, Bharatstudent, hi5, ibibo, MySpace, Linkedin and Bigadda.

Says Mr Rahul Sharma, VP-Sales of Ibibo: “We have realised this trend and have taken many initiatives to make the platform more interactive for brand promotions. Recently, leading brands such as Kwality, Adidas, Acuvue and Samsung have come on board our talent initiative platforms.”

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