Social Media's Impact on Advertising

In the documentary "Merchants of Cool" video which was set in the early 2000's, special companies would exist to provide information on the trends and styles of the teen generation. These firms would conduct extensive research by holding focus groups and polls, and even gong undercover to find out from firsthand friendships. After publishing their conclusive findings on their website, firms would charge companies around $200,000 for yearly subscriptions.

However, to companies marketing their products to a mysterious, misunderstood generation, this information is priceless. Having access to what trends teens would drop money for at the moment is crucial to a brand's financial success. But these databases were only at value at a time when companies lack the platform to view trends for themselves.

Today's social media allows companies to view the accounts of teens where they may post trending material or interact with accounts that post it. While the statistics may not be as concise as former databases, social media acts as a tremendous, free window into the interests of adolescents. 

Not only are they following the pop culture that exists on them, but companies are also taking advantage of social media to engage with users through promotions and contests. For example, back in May Sunny Co clothing, a relatively unknown small company, quickly gained fame by promising a free swimsuit to any user that reposted their picture. Although the snowball effect made it impossible for the company to fulfill their promise, their interaction with ordinary teens enabled them to gain lots of popularity with teens and also lots of potential customers. Social media is the curveball in advertising, that if used strategically, can shower a brand with revenue.