With Increase in Advertising Spend, Will There Be an Increase Communicating with the Correct Targets, not just ROI?

Posted by: on Jan 23, 2012 | No Comments

A rebounding economy has Kantar Media reporting an increase in ad dollars from B2B advertisers, according to an article by Kate Maddox in BtoBonline. But is this 7.5% increase a cost- of- living increase for the media outlets and agency, or is it truly reflective of an uptick in the economy or a better investment in product quality?

Many companies are increasing their spending on digital to focus on interactive and social media marketing for loyalty and advocacy. But many are still stating that digital only accounts for up to 20% for the savviest of companies.

The shift to online advertising continues and is well documented as a huge trend as shown in the recent eMarketer estimate that projects $39.5 billion in online ad spending. The Kantar Media Report (from which many articles are written) shows Paid Search declining from July-September 2011 vs. 2010 – a number which is almost solely attributed to Google AdWords. This is interesting because although Google does command the greatest market share at over 65%, Bing is gaining in usage.

However, becoming more integral to marketers  large and small alike is getting what you are paying for online and assessing the impact it is having on your brand.  Even if it is only 20% of your spend (or less).  A Forrester Research Report recently released Marketing Executives Group Online Advertising Data Compliance Matters – Protecting Your Brand promoting self-regulation.  A presentation by Miles Dennison of DoubeVerify demonstrates how it is growing ever more important to verify where your online media spend is occurring and how to identify waste in spending and use safeguards to brand placement in order to boost ROI and marketing success.

With the increasing knowledge and use of online advertising verification (def.) – A system that ensures every ad impression is a quality impression, every impression is compliant, and every ad was served and displayed exactly as intended, one must continually ask, “What is the real ROI in cross-platform advertising?  You can see the dramatic increase in average Cost Per Click (CPC) and Cost Per 1000 Impressions (CPM) as documented by Jonathan Hochman between 2005 – 2010.

According to the new Nielsen Global AdView Pulse report, television advertising rose 11.9 percent year-on-year and increased its share among other traditional media (radio, magazines, and newspapers) from 63.5 percent to 65.3 percent in both developed and many emerging economies.  As advertising in general increases, especially within the traditional channels, the question, “Is my advertising really hitting the audience I am targeting?” is going to become more prevalent in the year(s) to come. Read more on cross-media platform measurement.