CHART: Advertising Tactics Trusted by Internet Users
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The “2010 Digital Marketing Outlook” report found that 81% of the brand executives surveyed expected an increase in digital projects in 2010, and one-half will be moving dollars from traditional to digital budgets. Further, more than three-quarters think the current economy will push more allocations to digital. |
Senior marketers reported that social networks and applications were their biggest priority for 2010, followed closely by digital infrastructure. While social media marketing looks set to stay top of mind, a majority of respondents considered a range of digital activities at least “important,” with only games failing to inspire widespread interest.
Many people who want to read electronic books are discovering that they can do so on the smartphones that are already in their pockets — bringing a whole new meaning to “phone book.” And they like that they can save the $250 to $350 that they would otherwise spend on yet another gadget.
Over the last eight months, Amazon, Barnes & Noble and a range of smaller companies have released book-reading software for the iPhone and other mobile devices. One out of every five new applications introduced for the iPhone last month was a book, according to Flurry, a research firm that studies mobile trends.
Read more at www.nytimes.com
The American Press Institute asked 2,400 newspaper executives if their papers “provide access to stories or information such as sports scores, headlines, stock quotes, etc.,” via Twitter, Facebook, Email alerts, Mobile/PDA, YouTube, Kindle, Flickr, e-readers, etc., and told them to “check all that apply.”
As the chart below shows, a whopping 24% of all respondents answered “None at this time.” Bizarre.
Here is a short list of highlights and findings from the report:
- As mentioned above, search traffic increased by 13.7% with an optimized display campaign running.
- A third-party display campaign ran in contrast to our own campaign in a separate period, and CPCs and CTR metrics reached all-time lows during this period.
- Search visits decreased by -30.8% when the optimized display campaign was not running (again, keep in mind that this gap may be partially attributed to the change in the economy over the time period surveyed).
- Daily unique visitors to the subject site increased by 2.5% in the second period, with an optimized display campaign running.
- Online users who viewed the display ads likely remembered the client’s brand after seeing the display ads, which translated to higher clicks and recognition when performing a search.
- With the optimized display campaign running, paid search click-throughs increased 14.87%, and costs-per-click decreased by 11.22%.
- ROI also increased with the optimized display campaign running.
Read more at www.mediapost.com
According to new research from PQ Media, spending on word-of-mouth marketing rose 14.2% to $1.54 billion in 2008, despite the worst economic recession in 70 years. However, WoM spending is on pace to grow another 10.2% this year, placing it among the fastest growing advertising and marketing segments.
PQ Media defines WoM marketing as an alternative marketing strategy which encourages consumers to dialogue about products and services through various online and offline tactics, often facilitated by brand ambassadors.
Industry spending increased at a compound annual growth rate of 37.6% from 2003 to 2008, as the rise in popularity of blogs, social networks and online communities led brands to shift dollars to WoM as part of integrated media solutions in their quest to engage more elusive consumers.
Total spending on WoM is expected to increase at a CAGR of 14.5% from 2008 to 2013. Both major sectors - content & services and ancillary products - will post strong gains and contribute to overall growth. Ancillary products spending will increase faster than content & services spending primarily because the market is smaller with more growth potential.
Patrick Quinn, President and CEO of PQ Media, notes that “The most influential marketer in a consumer’s life is someone they know and trust, such as a family member, friend or colleague…”
% Share of WoM Spending by Marketers in 2008
Brand Market
Share of WoM Spend
Consumer Goods Products
17.4%
Food & Drink
12.2%
Finance & B2B Services
9.5%
Electronics & Telecom
9.4%
Retail
9.2%
Auto & Transportation
8.6%
Entertainment & Media
7.5%
Apparel & Accessories
6.2%
Health Care & Pharma
4.1%
Sports & Gaming
3.6%
Travel & Leisure
3.3%
Home & Garden
3.2%
Other
5.8%
Total
100.0%
Read more at www.mediapost.com Source: PQ Media, July 2009
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Several comScore studies have confirmed that online campaigns drive offline sales, according to Fulgoni. In the first study, comScore took four categories, 53 brands and 200 of the most trafficked sites. The company looked at people exposed to display advertising and what they did in the month following. Findings reveal that 18% searched on the brand advertised and 29% went to the advertisers’ sites. Consumers who were exposed to the display advertising spent 55% more time than the average visitors to these sites the next month. The rise in time spent is matched by a similar increase in page views — about 51%.
Then, comScore analyzed the impact that online campaigns have on retail sales by matching the name and the address of consumers to retail loyalty card databases. The supermarket Kroger, for example, has issued about 60 million loyalty cards, which provide a massive data set to understand the degree that online search and display campaigns drive retail sales. The findings suggest a lift that is five times stronger when people are exposed to search ads alone, compared with display. Search alone produces an 82% lift, compared with display at 16%, and 119% when search and display are combined. About 82% of online ad campaigns measured by comScore have generated an average lift of 22% in CPG brand sales in retail stores.
Read more at www.mediapost.com
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Effectiveness of Media at Driving Consumers to the Web
Medium
Effectiveness
Magazines
26.0%
Broadcast TV
17.8%
Cable TV
16.4%
Newspapers
13.7%
Radio
11.0%
Out of Home
8.2%
Other
6.8%
Read more at www.mediapost.com Source: ICOM, American Advertising Federation (AAF) 2006, July 2009
Duh! Right? However, good to see some hard research to back that up.
New research from Affinity confirms that magazine ads with URLs are more likely to drive readers to advertiser websites overall, as well as across a range of genres. Even if “drive to web” is not the goal of the advertising campaign, including a URL to boost web visits is a benefit most advertisers will appreciate, says the report.
The VISTA research is based on an analysis of 833 ads in seven different magazines representing six distinct magazine genres:
Magazine Ads Driving Readers To Websites (Index)
Ads Without Web Address (Index 100)
Ads With Web Address Included (Index)
Home
100
203
Financial
100
122
Fashion
100
152
Men’s
100
138
Travel
100
286
Source: Vista/MPA, July 2009
Read more at www.mediapost.com
Percent Visiting Brand Website
Pre-Control
Post-Control
Point Difference
No URL included
5%
7%
2
URL included
13%
19%
6
Source: MarketingEvolution/MPA, July 2009
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According to a recent report by The Media Audit, in the past three years, the average U.S. adult has nearly doubled their daily use of the Internet as the average U.S. adult spent 2.1 hours per day online in 2006, compared to 3.8 hours in 2008, an 81% increase over three years. As a result, the Internet now represents 32.5% of the typical “media day” for all U.S. adults when compared to daily exposure to newspaper, radio, TV and outdoor advertising. Read more at www.mediapost.com
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