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BizReport : Social Marketing : March 29, 2016

Social ads influence Millennials' purchase decisions

Social media advertising has the power of persuasion over Millennials in the U.S., according to new figures released by Deloitte.

by Helen Leggatt

In their tenth 'Digital Democracy' study, Deloitte found that Millennials between the ages of 19 and 32 are significantly influenced by ads on social media sites, as well as video game ads and online celebrity endorsements.

In fact, more than half of Millennials (53%) rank social media ads as having either a high or medium influence on their buying decisions. Overall, 70% of Millennials believed that a positive opinion on social sites such as Facebook and Twitter influenced their purchases.

In comparison, just 64% of Millennials said the same influence came from television commercials and 65% for online reviews from people they did not know.

However, word-of-mouth from family and friends remains the most significant influence channel, cited by 80% of Millennials as being an important driver of purchase decisions.

"The on-the-go, always-connected consumer is driving cultural changes in content consumption that fundamentally impact how companies connect with and engage consumers," says Kevin Westcott, Principal/US Media and Entertainment Consulting leader at Deloitte.

"These behavioural changes, combined with the shift towards mobile-based consumer experiences, are disrupting traditional business models - while at the same time paving the way for newer opportunities for technology, media, and entertainment companies to adapt and evolve."

Image via Shutterstock

Tags: advertising, Millennials, social ads, social media

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