Bloomberg News journalist Sarah Frier, and author of the book No Filter: The Inside Story of How Instagram Transformed Business, Celebrity and Culture explained: “this is the way people are building the foundation of new businesses, this is where entrepreneurship is happening. If you are a baker, or you want to launch a make-up or a fashion line, or for any other small business, Instagram is where you really have to be. We tend to trivialise Instagram business as all about influencers and vapid, narcissistic content – and there is a lot of that- but even that is a huge business.”
Before social media, advertising agencies and expensive media campaigns were the main way to get information about your business out to your potential customers. Now, every person and company CAN BE their own media brand and reach out to their users or consumers directly, literally in direct conversation.
This has totally disrupted the traditional advertising model, and as a result, the social media and e-commerce platforms have become some of the world’s biggest companies by market capitalisation. Almost $0,70 of each marketing dollar spent on advertising will be spent online rather than offline.
Facebook, Amazon and Google, control almost 60% of all online media spending today. This has, despite an outcry about the monopoly these companies have, allowed many smaller brands to gain a foothold in the market much easier, quicker and cheaper than ever before. The loads and loads of these small, new, ‘cottage’ brands becoming popular via social media are disrupting the hegemony of bigger, established, brands by being more agile, more in direct contact with their consumers and by being more authentic.