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Posts Tagged ‘Nielsen

Social Stratification Among Users Of Social Networking Sites

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facebook-vs-twitter

It seems that the Brahmins of cyberspace congregate on Facebook and LinkedIn and the folks that fall into the lower strata of society congregate on MySpace.  A recent article in CNN based on a study by market research firm Nielsen Claritas seems to point in the direction that our socio-economic status is reflected in our favorite social networking site.

Here are some highlights:

People in more affluent demographics are 25 percent more likely to be found friending on Facebook, while the less affluent are 37 percent more likely to connect on MySpace.

Almost 23 percent of Facebook users earn more than $100,000 a year, compared to slightly more than 16 percent of MySpace users.  And 37 percent of MySpace members earn less than $50,000 annually, compared with about 28 percent of Facebook users.

Even more affluent are users of Twitter, the microblogging site, and LinkedIn, a networking site geared to white-collar professionals.  Almost 38 percent of LinkedIn users earn more than $100,000 a year.

It’s too early to tell if these trends will hold and what it will mean for advertisers and brands.  MySpace has been hemorrhaging users and Facebook is growing exponentially.  If Facebook releases more robust music apps, they could siphon off the segment of MySpace’s community that are there because of music.  Also, LinkedIn is a very specific networking site and very unlike the general networking sites like Facebook and MySpace, so it stands to reason that the user base is more affluent.  Someone on LinkedIn could very well be on a general networking site like Facebook and someone who tweets could be on MySpace.  While the study provides valuable insight, the world of social media is not so cut and dry at this point and is constantly evolving.

Here is the CNN article:

http://www.cnn.com/2009/TECH/science/10/13/social.networking.class/index.html

Users with household income above $75,000

Facebook — 41.74 percent
MySpace — 32.38 percent
LinkedIn — 58.35 percent
Twitter — 43.34 percent

Users with household income under $50,000

Facebook — 28.42 percent
MySpace — 37.13 percent
LinkedIn — 17.34 percent
Twitter — 28.36 percent

Female users

Facebook — 56.33 percent
MySpace — 56.69 percent
LinkedIn — 48.11percent
Twitter — 53.59 percent

Users aged 18 to 24

Facebook — 10.27 percent
MySpace — 15.46 percent
LinkedIn — 3.99 percent
Twitter — 9.51percent

Users aged 35 to 49

Facebook — 31.54 percent
MySpace — 29.09 percent
LinkedIn — 43.64 percent
Twitter — 34.02 percent

Source: The Nielsen Co.

Written by Atique Ullah

October 14, 2009 at 9:02 PM

Social Networking Use Triples In Just One Year And Companies Take Notice

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nielsenlogolarge1

If you find yourself spending more and more time on Facebook, LinkedIn, Twitter and other social networking sites, you’re not alone.  According to The Nielsen Company, Americans are now spending three times as much time on social networking sites than they did a year ago.  This is a significant shift in what people are doing on the internet.  Time spent on social networking sites now account for 17% of total time spent online.

Of course advertisers are starting to take notice.  In this recession companies have dramatically reduced their advertising and marketing budgets, but they’ve increased spend on social networks and blogs.  Spend is up 119% from last year. ($108 million in August 2009 up from $49 million in August 2008).  It’s interesting to note that while spending is up across across all industries, the change is quite dramatic in entertainment (up 812%) and travel (up 364%).  I expected the consumer goods industry to spend more than they’re currently spending as social media can be a perfect vehicle for branding and loyalty for quite a few consumer goods brands.

Year-over-Year Percent Change in Online Ad Spend by Industry (U.S., August 2009)

Estimated Spend on Top Social Network Sites Year-over-Year Percent Growth
Industry Aug-08 Aug-09 On Social Network Sites* On All Sites
Entertainment $1,097,700 $10,012,800 812% 40%
Travel $473,700 $2,198,200 364% -11%
Business to Business $683,400 $1,941,700 184% -8%
Automotive $1,110,200 $3,085,800 178% -26%
Health $1,131,500 $2,754,900 143% 8%
Web Media $11,231,800 $26,855,700 139% 30%
Software $526,400 $1,202,500 128% -29%
Financial Services $3,233,900 $6,415,900 98% -10%
Public Services $6,836,500 $13,203,100 93% 13%
Telecommunications $12,449,500 $23,550,300 89% -1%
Consumer Goods $1,913,400 $3,349,200 75% 8%
Hardware & Electronics $654,000 $1,022,900 56% -47%
Retail Goods & Services $8,101,400 $12,556,800 55% -12%
Source: The Nielsen Company

Written by Atique Ullah

October 6, 2009 at 4:17 PM