Hootsuite to Increase Revenue Through Paid Content
Traditionally, Hootsuite has been used by brands to manage all their social media marketing on one site. The startup allows companies to connect with customers faster, measure social ROI, and protect their brand image on social media accounts.
The company just announced their acquisition of AdExpresso, a platform used to help brands create, optimize, and manage Facebook and Instagram advertising. This may be a topic of controversy because Hootsuite appears to be moving away from owned and earned media towards paid media.
Ryan Holmes, Founder and CEO of Hootsuite, commented on the shift by saying:
“Owned and earned content are not going away but the augmentation with paid is critical to success. The trend with the algorithmic ranking of content and what you see in your stream means it’s not the same world it was five years ago. Every social network and stream has filtration, so for brands to get their message across they need to have that paid component.”
Hootsuite will continue using its existing advertising platform in addition to using its new paid tools. The company believes brands will have a better time achieving their goals if they use earned and paid media jointly.
Holmes acknowledges that paid news has been used to spread fake news on sites such as Facebook. He agrees that it’s an issue but believes it’s up to his new partners to manage. He hopes that social media networks will crack down on this issue for the betterment of themselves, Hootsuite, and humanity as a whole.