Media Marketing
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After plunging by 18.5% in 2009, ad spending on traditional media is on a slow rebound. eMarketer estimates spending was up 2.1% in 2010, to $127.2 billion. But rather than making a true recovery, spending will seesaw in coming years, hovering under $130 billion through 2015—far from the $165.94 billion recorded in 2007 on the eve of the recent recession. “As advertiser spending continues to more closely reflect the amount of attention consumers give to individual media, each will fare differently,” said Nicole Perrin, eMarketer senior editor and author of the new report, “ Traditional Media: Dollars and Attention Shift to Digital .” “For example, TV and radio are holding on to their audience, and eMarketer forecasts advertising gains for both—unlike for print media.” TV still takes up more time per day for the average consumer than any other medium. eMarketer estimates adults spend 4 hours, 24 minutes watching TV and offline video daily, vs. 2 hours, 35 minutes online.
Traditional Media Ad Spending Plateaus
Here's What Google, Salesforce & Sequoia Are Investing In
Inbound marketing software company HubSpot announced Tuesday that it has received a $32 million round of Series D funding from Google Ventures, Sequoia Capital and Salesforce.com.
The Differences Between Mobile and Tablet Advertising
Research to date on tablet advertising has typically found that placements that take advantage of the full features of the device—like video, 360-degree views, striking photos and interactivity—appeal most to users. An Adobe -sponsored study found flashy iPad ads were more engaging and effective than their static print counterparts , and earlier research from UM and Time Inc. indicated that videos were the most desired feature of iPad ads . On smartphones, by contrast, users seem to prefer to keep it simple.After 2009’s downslide, US online ad spending in 2010 will rise by 13.9%, reaching a record $25.8 billion. And in that same vein, internet ad spending will hit new peaks in each of the following four years, passing $30 billion in 2012 and breaking the $40 billion barrier in 2014. The more granular quarter-by-quarter picture shows a record spend of $6.42 billion in Q3 2010, as reported by the Interactive Advertising Bureau and PricewaterhouseCoopers (IAB-PwC), followed by a new record of $7.25 billion in Q4, according to eMarketer projections. “A spending peak in Q4 is likely, primarily because Q4 has been the biggest quarter for US online ad spending every year but one since 1999,” said David Hallerman, eMarketer principal analyst and author of the new report, “ US Ad Spending: Online Outshines Other Media .” Such spending will bring double-digit growth to online advertising for five consecutive years.
Online Ad Spending Set to Break Records
How Online Video Can Reach the Business Audience
Executives with no time for fun and games do have time for the sound and motion of video, according to findings from Forbes Insights . In some cases, they may actually prefer it to text for learning about products and services. A majority of businesspeople surveyed by Forbes in October 2010 said they watched more online video than a year earlier. Nearly 60% of all respondents said they would watch video before reading text on the same webpage, and 22% said they generally liked watching video more than reading text for reviewing business information. Three-quarters of all executives said they watched work-related videos on business websites at least once a week, and more than half did the same on YouTube.Can Consumers Learn to Love Behavioral Targeting?
A whopping two-thirds of internet users don’t believe advertisers should be allowed to target online ads to their interests based on the sites they have visited, according to a survey by USA Today and Gallup . Respondents were only slightly more sympathetic when asked whether free access to content made targeting worth it; 61% disagreed while 35% thought the practice was OK. Younger and wealthier internet users were less likely to be against behaviorally targeted advertising, but even among those groups only a minority tolerated the practice. Respondents were more amenable to allowing behavioral targeting from select advertisers. The youngest respondents, ages 18 to 34, were most likely to say they would be willing to allow targeting from chosen advertisers, at 57%. The most affluent users fell behind, however, and those making between $30,000 and $75,000 were more apt to say yes.
There are only so many hours per day that consumers can spend watching TV, reading newspapers and surfing the internet. But as marketers may suspect, the time devoted to media is undergoing some not-so-subtle changes. eMarketer recently conducted a meta-analysis of data from dozens of research firms using a variety of methodologies. The result is a series of estimates of how much time consumers spend with all major media, regardless of multitasking or simultaneous usage, from 2008 to 2010.
Trends in Consumers’ Time Spent with Media
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The economy may be on an upward trajectory, but continued caution among advertisers will lead to a continued shift toward online advertising, eMarketer forecasts. eMarketer, which forms its forecast by performing a meta-analysis of research estimates and methodologies from dozens of firms that track ad spending, projects a 10.5% increase in US online ad spending next year, followed by double-digit growth every year through 2014 when spending will reach $40.5 billion. “It may seem ironic, but marketers’ economic concerns are leading them to spend more for online advertising,” said David Hallerman, principal analyst at eMarketer.
Online Ad Spend Continues Double-Digit Growth