Recession Resistant: Marketers Likely to Rely on Mobile, E-mail, and Search

Allie Mims — Tue, 19 Feb 2008 21:30:00 +0000

Advertising Age published a great article yesterday, How Media Would Weather a Recession. The article covers all the major media channels and gathers opinions from some major players in media buying and selling. There is a general consensus among these media buyers and sellers that online marketing will remain strong through a recession due to marketers’ ability to accurately measure online marketing ROI.

Some highlights from the article:

Digital, said Bryan Wiener, CEO of digital agency 360i, is the least vulnerable media spend in times of economic downturn because it is inherently more measurable than other media. [Wiener] add[ed] that the categories that tend to drive the best return on investment are e-mail and search — so marketers are likely to continue investing in those categories regardless of the economy.

Search marketing, because it’s so closely tied to sales, more often is thought of as a cost of goods sold rather than a marketing and administration expense. Therefore, it is assumed to be the most recession-proof of all marketing channels.

“As consumers get more frugal, [Consumer Package-Goods] will shift their media to things that have a more immediate return on investment,” Mr. Garga said. “Shopper marketing is a captive audience in the store with an immediate effect. … Online is a medium, too, that supports more value-oriented messages.”

I highly recommend reading the article. It offers some great insights.

Online ad spend to leapfrog radio and magzines by 2010

admin — Mon, 03 Dec 2007 22:02:00 +0000

AdAge is reporting that a new ZenithOptimedia forecast predicts total ad spend in North America to increase by only 4.1% next year, with global ad spend growing 6.7%. According to the forecast newspapers, magazines, and radio ad spend will decline over the next two years with TV ad spend remaining flat.

Online ad highlights from the AdAge article:

It’s only online, of course, that the media business looks both fun and easy. Worldwide internet ad spending will climb to $44.6 billion from about $36 billion, increasing its share of the market to 9.4% from 8.1%.

“We predict internet advertising to pass three milestones over the next three years,” ZenithOptimedia’s forecast said. “We expect it to overtake radio advertising in 2008; to attain a double-digit share of global advertising in 2009; and to overtake magazine advertising in 2010, with 11.5% of total ad spend.”

Other interesting ad spend topics covered in the AdAge article:

The quadrennial year: ad-boosting events such as the Olympics, a presidential election, and a European soccer championship all take place in the same year.
The writer’s strike and TV market share.
The shift in global ad spend from North America to markets “east of Eastern Europe.”

Data: Ad Outlays by Medium (pdf) provided by AdAge.

Miami Online Marketing Blog » AdAge

Recession Resistant: Marketers Likely to Rely on Mobile, E-mail, and Search

Online ad spend to leapfrog radio and magzines by 2010