The digital landscape has long been lauded as a veritable goldmine for advertisers, with social media platforms at the forefront of this revolution, offering cheap conversions for cents on the dollar compared to search.
However, recent trends and emerging data suggest a significant shift.
The once-adored status of social media as an advertising juggernaut is beginning to wane. Increasing automation and the prevalence of artificial intelligence in both content creation and social interaction are eroding the once-compelling value in human connection at a distance that social media offered.
Misinformation, fake news, privacy concerns, the documented mental health impact, echo chambers, addiction and time consumption aside lets delve deep into the commercial justification for social media’s decline.
The perception of diminishing value in social media interactions is pivotal in this transformation. Cory Doctorow brilliantly coined the term “enshittification” for the degradation of digital platforms as they prioritise profit over user experience.
Arguing that platforms initially provide value to attract users, then shift to prioritising advertisers, and finally focus on maximising their own revenue, often at the expense of both users and advertisers. This process results in a decline in the quality and utility of the platforms, leading to widespread dissatisfaction.
The term “enshittification” encapsulates this vapid cycle of value extraction.
Enshittification is the personification of over-optimisation in communications technology. When profit is the motive, the nature of people and society is that profit will become prevalent, leading to degradation and the non-sustainability of the service.
The Automation AI Tsunami
The rise of automation is indisputable. Advanced algorithms and AI-driven tools now manage a substantial portion of digital marketing activities, so much so that there are now robots talking to robots about sh*t that nobody really cares about.
This automation wave comes with a paradoxical downside for social media advertising. Automation in social media marketing promises precision targeting and scalability.
Yet, the mechanisation of social media interactions often strips away the human touch that made these platforms appealing in the first place. The cookie-cutter interactions orchestrated by bots lack the authenticity that consumers crave, leading to a decline in engagement and trust and effectively people abandoning the platforms.
Whilst platforms are reporting the ever-required “Growth” the quality and advertiser validity in that growth especially on older social platforms is under the microscope.
Outsourcing and Perceived Value
The trend towards outsourcing social media management further underscores its perceived diminishing value.
When companies outsource tasks, it often reflects a strategic decision to allocate resources elsewhere, typically to areas considered core to the business or of higher value. In the context of social media, this outsourcing suggests that businesses are beginning to see social media management as a peripheral activity rather than a central one.
Certainly social media is still a valid source of conversions, but when I open my Facebook or my Instagram the perception at least is that the majority of content is advertising, people hawking whatever my data profile defines I may be in the market for.
Wishing to participate, but understanding the value and the addiction of such platforms, what do we do? We outsource to robots, giving them the agency over our social discussions.
A study from Socialinsider reveals a growing inclination among brands to delegate social media activities to third-party agencies. This shift implies that businesses no longer view social media as a high-value channel demanding in-house focus and dedicated input. Instead, it is relegated to the status of a utility—necessary but not integral to strategic goals or the growth of a business.
The Evolution of Social Channels
While social media platforms will undoubtedly continue to evolve, their role as prime advertising real estate is under scrutiny. The transition of social media from a fertile advertising ground to a space cluttered with noise, where distinguishing genuine engagement from automated interactions becomes increasingly challenging.
This saturation diminishes the overall impact of advertising campaigns, eroding the return on investment for businesses.
Who remembers MySpace? Friendster? Over 100 social platforms once the darlings of the tech space have gone the way of the proverbial dodo.
A Shift in Consumer Preferences
The fundamental shift in consumer behaviour also contributes to the decline of social media as a preferred advertising channel. The Datareportal’s 2024 report emphasises that while social media usage is still growing, the nature of interactions on these platforms is changing.
Consumers are increasingly valuing offline activities—walking, outdoor adventures, and face-to-face interactions over and above digital engagements and endless scrolling.
This pivot towards real-world experiences is partly a backlash against the over-digitalisation, over-optimisation and ultimately over-communication of social media. As the novelty of social media wanes, people seek more meaningful and tangible experiences.
The Future Landscape
As the existing big social media platforms’ allure fades due to the increasing enshittification, businesses must reconsider their digital marketing strategies.
The emphasis needs to shift towards integrating high-value content and personalised experiences that transcend the limitations of automated interactions. Brands need to re-establish trust and authenticity, leveraging digital channels in ways that complement rather than replace human touchpoints. One potential avenue is the strategic use of AI to augment rather than replace human interactions.
Automation should facilitate personalised experiences without compromising authenticity. For instance, AI can handle data analysis and initial customer queries, freeing up human agents to engage in more meaningful, value-driven conversations.
So What Is Next ?
The decline of social media as a genuine quality channel for engagement marks a critical juncture in the digital age. Increasing automation, outsourcing trends, and evolving consumer preferences signal a shift towards viewing social media as a utility rather than a core strategic asset.
Businesses must adapt by rethinking their engagement strategies, prioritising authenticity, and integrating high-value content that resonates with the evolving digital consumer landscape. While social media will undoubtedly remain a part of the digital marketing toolkit, its role will be more complementary than central. The future of digital communication lies in a balanced approach that leverages technology to enhance human interactions, ensuring that the essence of authentic engagement is delivered.
What platforms will create the value of tomorrow?
Functional community platforms from those available at Circle or Mighty Networks will continue to grow as brands put community platforms around their people, rather than throwing their people into existing social media platforms.
New platforms that offer the ever-exclusive opportunity for genuine human connection will prevail, the rise and fall of platforms will continue to be a ticking pendulum of genuine human engagement to an over-monetised advertising stream of rubbish sales sh*t.
The platforms you know and love today, Twitter, Facebook, Instagram, TikTok will all go the way of the dodo, it is just a matter of time.
Do you disagree? Let me know in the comments.
About me
Helping leaders in Cybersecurity, Quantum, and AI drive high-impact growth, stronger valuations, and better exits.
📌 Director of the world’s largest Quantum Cybersecurity community (700+ members), connecting top experts in Quantum, AI, and Cybersecurity.
📌 C-suite executive with a proven track record in scaling tech, finance, and asset finance businesses across EMEA & APAC.
📌 Former network engineer with deep expertise in computational Root Cause Analysis & Causal Reasoning, applied in military and telecom environments.
📌 Member of the Institute of Directors, European Corporate Governance Institute, and Royal United Services Institute for Defence & Security.
