Marketing and Advertising: Results of Recent Changes
Changes are inevitable, this is a constiting part of development. But during the several recent months, COVID-19 has been dramatically and significantly changing the world. We have collected interesting 2020 marketing statistics, trends & data received for the last months.
Morning Brew informs about the Facebook poll. 86 000 people have been interviewed and that is an outcome of the impact COVID-19 on SME’s:
- 31% SMB’s have stopped operating during the last three months;
- 52% private entrepreneurs have shut down their business;
- 36% SMB’s do business online;
- only 45% business owners stated they would hire the same personnel when they reopened;
- 56% brands experience logistics delays with their supply chain.
47% US retailers expect their profits to fall. Sales of clothes and accessories have fallen by 30%.
Only 4.5% US consumers are confident in their paying capacity for retail goods after the lockdown.
According to Bloomberg, Facebook Survey Shows 31% Small Businesses Stopped Operating
- Retail giant Walmart reported U.S. sales have increased by 10%, online sales skyrocketed up to 74%.
- Amazon’s dominance: the global crisis has forced 250,000 US stores to shut down.
- Amazon accounts for nearly 40% of all online retail sales in the United States. This is about 8 times more than its major competitor Walmart.
- Macy’s, Gap і JC Penney sent about 300,000 workers on unpaid leave, but kept their medical care.
- Target announced that its sales for 3 decades of March increased by 20% compared to the last year correspondingly.
- Starbucks plans to open 90% of its establishments by early June; focus on mobile orders, contactless export and non-cash payments. The Washington Post reports that Starbucks shares have risen by 3.2% after the company’s plan has been announced.
- Visa Inc will allow most of its employees to work from home until the end of 2020.
- Revenue in Disney’s parks segment fell by 10% to $5.5 billion while operating income has dropped by 58%. Execs pegged COVID-19 losses at $1 billion. As of March 28, the number of paid subscribers on the Disney+ streaming service has reached 33.5 million. As of May 4, it has been 54.5 million.
- Airbnb is laying off a quarter of its employees due to lower profits, that’s 1,900 people.
Despite the crisis, the brands continue spending money on advertising. According to marketing statistics brands from Influencer MarketingHub, 41% users, who participated in the survey, are ready to increase their marketing activities.
Ads expenditures vary in different fields.
Social Media Marketing
List of the most popular social media in 2020:
- Facebook Messenger
- Douyin / Tik Tok
- Sina Weibo
Most of Facebook’s advertisers are small businesses, who use Facebook and Instagram to communicate with their customers. At the same time, Facebook engagement rates at the end of April were the lowest in 2020.
Facebook and Instagram roll out Shops, turning business profiles into storefronts. That enables businesses to create a full-fledged Facebook Store.
Popularity of Twitter has declined more than the one of Facebook or Instagram.
According to the Influencer MarketingHub survey:
- 74% brands post fewer messages in their social media profiles,
- 34% transferred their social time from Instagram to Twitter,
- online broadcasts on Instagram and Facebook have doubled, group calls have increased by 1000%,
- Google forecasts loss of advertising revenue by 18%, Facebook – by 19%.
58% of people in the US say they are more interested in the brand when they see it in Facebook Stories.
- Traffic to tourist sites decreases by 50%.
- Traffic to media sites increases by 30%.
- Conversions on construction sites decrease by 50%.
- Conversions on grocery sites increase by 60%.
- Traffic to supermarket sites increases by 161.4%
Analysts say that at least 15,000 stores, including several well-known brands, can shut down for good. This is 60% more than last year.
39% of British marketers who participated in the survey stated they have already seen a decline in demand for services, and 61% of them expect further decline in demand.
Marketing statistics details regarding advertising campaigns:
- 86% of marketers who participated in the survey change their planned marketing campaigns or cancel them at all,
- 34% have canceled their campaigns before launch,
- 45% have stopped the campaign,
- 38% have dropped all advertising campaigns by the end of the year,
- 68% expect a reduction in the advertising budget by 2021.
For Business Owners
The market requires companies to adapt quickly to change. Marketing analysis will help you. Based on specific data, it is possible to develop a marketing strategy and strengthen the company’s position on the market.
We provide market research and B2B research services. Our team has deep and various knowledge in international trading, infrastructure, logistics areas etc. worldwide, and we will be happy to help you.