Social media has provided consumers with a great way to communicate with family and friends, as well as meet new people, and find new interests.
Although most social media platforms are free to use, the value they capture and generate is extraordinary.
Today, top celebrities are compensated nicely for just one sponsored post – at the top of the list is Cristiano Ronoldo who earns on average $1.6M per sponsored Instagram post. He is closely followed by Dwayne “The Rock” Johnson ($1.52M), Ariana Grande ($1.51M), and Kylie Jenner ($1.49M).
Many businesses have found value advertising their products and services online. Social media has unlocked advertising power never before available, resulting in higher conversions at lower costs.
But the value has extended to individuals who today command high earnings for merely posting product ads on social media platforms like Instagram, YouTube, TikTok, and others. But it’s not just existing celebrities that can benefit from this – a record number of influencers have come to life since.
We continue to see large opportunities at the intersection between social media and commerce – companies like Facebook are at the leading edge, while others certainly have the space in their sights.
Twitter: @_SeanDavid
The author or his firm may have positions in mentioned securities at the time of publication. Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
