With the economic downturn, 60% of large companies and 29% of medium-sized companies have made cuts or are thinking of making cuts to their marketing budgets.1 How are marketers shifting their spending to respond to this challenge?
- More investment is being made into online advertising compared to traditional methods – a 38% increase in online marketing investment and a 36% decrease in traditional advertising.1
- There is a greater emphasis on ROI and the ability to measure and track results. Online marketing tactics are a promising solution since they are less expensive and easily measure analytics.
- Behavioural targeting is being used to make online advertising more cost effective. While it is viewed by some as an invasive method, it does help to stretch each dollar even further. eMarketer predicts that U.S. spending for behaviorally targeted online advertising will reach $1.1 billion in 2009 and $4.4 billion in 2012.2
1Marketing Sherpa. “Economic Downturn and Marketing Survey.” March 2008.
2eMarketer. “Behavioral Targeting: Secret Weapon in Display Ad’s Arsenal.” July 2008.