This week’s first winner is Netflix, which had 61 million active subscribers in Q1 and recently saw its market capitalization surpass that of CBS and Yahoo. CEO Reed Hastings once said Netflix’s goal was to “become HBO faster than HBO can become us.” Today, it seems like they’re beating HBO at its own game.
As movies won, commercial photos lost. Consumers trust content created by users more than content created by professionals, according to L2’s recent study on user-generated content (UGC). More than half (55%) of consumers surveyed believed in UGC photos, while only 45% placed their faith in professional photos. On Instagram, UGC also produces a higher conversion rate – 9.6% – then professional brand photos.
Email was another winner, with the best ROI in digital marketing –proving that what’s boring is sexy. Email is one of the few growing channels for customer acquisition, more effective than direct mail or social media. Meanwhile spam is rapidly losing. Almost 60% of emails are spam, according to cybersecurity firm Trustwaves. This may sound high, but it actually represents a decrease from 90% in 2008.
For more Digital Research, Visit L2.