Search results matching tag 'marketing and media spend'

US social media spend to rise in 2009

878512 — Mon, 05 Jan 2009 13:16:00 GMT

Hot on the heels of of similar UK predictions from Econsultancy, comes this from Brian Morrissey in Adweek:

According to researcher eMarketer, [US] online ad spending will climb 8.9 percent next year, from $23.6 billion to $25.7 billion.
Old school methods like display ads and microsites will come under pressure. Social media looks set to remain on the top of advertisers' agendas, as they look to apply the lessons of their early missteps in the area while adding real measurement to what have been experimental forays to date. As the Internet becomes more social, there will likewise be an acceleration of a move from purely technical implementations to using the Web's emerging social infrastructure to connect on a more human level.

Combined with the phenomenal growth in people's usage of social media and the impact this has on their purchase decisions, this makes us even more confident that the help and advice that we're able to offer brands means that We Are Social is in the right place at the right time...

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The outlook for 2009

878512 — Sat, 20 Dec 2008 16:58:00 GMT

Econsultancy have published a good overview of the economic outlook in 2009 for the digital marketing industry, with one of the data sources quoted being Wednesday’s eMarketer report predicting 7.2% growth in UK online ad spend.

Just like the Group M report earlier this month, although there's bad news for those in the industry who have yet to wake up to the changes that social media is bringing to people's behaviour, there's good news for those of us that have:

Time and time again, when we meet with companies, we are asked about social media marketing strategies. Whilst this covers social networks, it is likely we will see a rise in businesses actively trying to engage with users through other social means online.

Tying in with the forecast that social media will continue to grow, is that despite a recessive economy, online marketers will look to alternative ways of measuring success – rather than just a standard ROI model.

This has been mentioned before, but to recap: measurements of success also include customer retention and satisfaction (all the more important in a recession), the rate of customer acquisition and the net promoter score.

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Sony Ericsson shifts adspend into digital

878512 — Sat, 23 Feb 2008 16:03:45 GMT

Sony Ericsson is to increase the proportion it invests in website development and online advertising from 15% to 25% of its £50m marketing budget during 2008.

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Umair Haque on the future of brands

878512 — Thu, 21 Feb 2008 00:32:30 GMT

You have to watch this. Scared?

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Internet adspend growth hit by economic slowdown

878512 — Fri, 18 Jan 2008 08:35:50 GMT

Jennifer Whitehead:

Growth in internet adspend appears to be falling off, with the smallest upward revision [16%] to online marketing budgets since the autumn of 2003, according to the latest Bellwether Report.

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A move to zero media spend?

878512 — Thu, 17 Jan 2008 16:14:36 GMT

James Gordon-MacIntosh with an interesting post (I agree with some, not all, of it) on the move to zero media spend:

The media that they would have bought is being replaced - for many of them - by the creation of original, engaging content that the brands themselves generate and own.

Read on and let him know what you think...

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2008 - the year of peak advertising

878512 — Wed, 16 Jan 2008 09:25:04 GMT

Russell Davies with a provocative thought:

2008 may well also be the year of Peak Advertising. In the West at least. The year in which there is the most advertising. And after that there's less and less each year.

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UK internet ad spend to exceed TV in 2009

878512 — Thu, 03 Jan 2008 10:52:48 GMT

Oh yea, baby - it's got a whole year closer (see the previous 2010 prediction):

Group M forecasts that the UK will be on the brink of passing the milestone at the end of 2008, when the internet will account for 24.8% of UK media spend, just behind the 26% share held by the TV ad sector, according to Group M. After that, UK internet ad spend will need to grow just another 6% year on year to overtake TV in 2009.

Read the whole thing.

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eBay splits with PHD as it shifts focus to digital

878512 — Sun, 09 Dec 2007 17:42:28 GMT

Marketing:

from February, eBay will abandon TV and all above-the-line media. It will therefore no longer need a retained media agency. Digital media buying is handled in-house at eBay.

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Is there a crash coming?

878512 — Fri, 16 Nov 2007 00:07:34 GMT

Was Publicis's Levy right when he said that "far too many people are building plans based on advertising and they may well be disappointed because there is not enough money for everyone".

If you've been reading this blog for a while, you should already know the answer (and Mr Mayfield, it seems you don't). So what is the answer? Read on...

Levy is right. Although perhaps there won't be a crash, the traditional media industry faces a slow and inevitable decline. Those investing in new businesses based on online advertising revenue, as in the first dot.com boom and bust, need to face the fact that most of their investments will fail (for example, at recent Mashup Demo event I met a gentleman trying to get funding for a social network for gardeners). Of course, if you work in advertising rather than media, you've nothing to worry about, right?

Well, maybe you do. I think Jeff Jarvis hit the nail on the head in his recent piece for the Guardian:

As the media become more dependent on advertising, so advertising becomes less dependent on the media. With the recent death of the New York Times' pay service, TimesSelect, and the rumoured razing of the Wall Street Journal's pay wall, any final hopes of readers paying for content are fading. We prophets of free content are being proven right - whether we like it or not. Advertising is all we'll have to support content and media.
And that's fine. Advertising has long paid for content and made it free. This year, ZenithOptimedia says, advertisers will spend $448bn worldwide, much of it supporting media. Online is the one medium where ad revenue continues to grow, though at a slowing rate - 19% this year, says eMedia. There's lots of money still to be had.
But, of course, there are now more media properties to fight over that money. Scarcity no longer drives the media market, as it did when advertising was limited to the time of broadcast and the space of print. Now there's always another page view. This will drive down the price of media and that could reduce total ad spending. It doesn't help that Google is commodifying media as it scoops up, according to one estimate, 40% of the online advertising market.
But the real threat to the advertising gravy train comes not from any change in media, but from a fundamental shift in the relationship between companies and customers that has been made possible by the internet.
Advertising is no one's first choice as the basis of a relationship. For marketers, it's expensive and inefficient. For customers, it's invasive and annoying. And targeted advertising is only slightly more efficient and slightly less annoying. Clearly, the direct relationship between a customer and a company is preferable. But that direct connection cuts out the middlemen - that is the media.
The Advertising Age media critic Bob Garfield dubs this the "chaos scenario", arguing that total advertising spending - which long stayed stable and merely shifted among media - will now decrease. Blogger Doc Searls contends that on the internet, "supply and demand will find each other . . . Advertising will still be part of that picture, but it won't fund the whole thing." Beth Comstock, a digital exec at NBC Universal, complains that every business pitch she hears is ad-supported. "It's just not going to be possible," she said recently. "There are not going to be enough advertising dollars in the marketplace - no matter how clever we are, no matter what the format is."

I've chopped a lot of the meat out of Jeff's piece, so as usual, read the whole thing...

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