A slowing economy usually means that companies cut back on their advertising dollars. The wisdom of this is debatable, but the inevitability of it is almost assured.
But times are changing somewhat. In a survey conducted by Advertising Perceptions, we find that the long term traditional advertising outlets are the ones that ad execs - be they in house decision makers or agency professionals - see as being the ones that are likely to experience a decrease in ad spending over the next six months. Meanwhile, online and mobile are not likely to take any substantial hits.
This is pleasant news for those of us in the online arena.
The survey asked 1811 marketers - 40% from the marketing side, 60% from the agency side - if the share of spend per advertising would increase, stay the same, or decrease. National newspapaers and local newspapers took the biggest hit by far, with 44% and 40% of responders saying that they expected a decrease in spend, respectively. Only 10% and 14% expected an increase for those categories.
This somewhat surprises me. I would have thought the upcoming elections would mean more news media usage, regardless of the medium. And while, yes, most of the growth in usage would be online, local coverage, in print, will still matter.
Guess not. Newspapers are worse off than I thought.
The same can be said for broadcast 30% expecting a drop-off while only 14% expecting an increase; and radio, which is doing even worse. Thirty three per cent expect less spend with seventeen per cent expecting an increase.
The real story here are the increases in online. Seventy-two percent of those interviewed said they felt that online would see an increase in the next six months. Only 4% saw a decrease. That an 18 to 1 ratio.
In many industry verticals, online is not yet the automatic buy. But it’s becoming the best buy. The following numbers prove it.
No Comments » Posted on July 8th, 2008 by Jonathan Trenn
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