A new study released by Clash-Media suggests over fifty percent of marketers' budgets now spent online. The research conducted by E-consultancy for Clash-Media found:
I have not seen a copy of the research, so it's hard to do much interpretation based on this press release. I have could not find any more information regarding the research on the Websites of Clash-Media or E-consultancy.over 90 percent of marketers see Online Lead Generation as a growth area – up from 82 percent last year, and over 70 percent of those using Online Lead Generation, use Search Engine Optimization, Paid Search and e-mail marketing to in-house lists. The same research shows the use of offline marketing methods has largely decreased, with only press and television advertising growing.
"The growing popularity of Online Lead Generation shows that marketers are increasingly aware of its potential to generate quality leads with excellent conversion rates in a highly cost-effective manner," commented Christopher Petix, President of Clash-Media US. "However, just under half of the US organizations polled still feel that they aren't using Online Lead Generation effectively. Clash-Media is constantly launching new services to enable marketers to make the most of this relatively new mode of online marketing. The key to Online Lead Generation is that it's highly targeted, allowing us to develop services tailored to any number of specific markets. Already this year we've launched services aimed at the financial services, education and telecommunications sectors.
"The way to achieve the best results is to realize that many methods have their own individual benefits," Christopher Petix continued. "It is interesting to note that the only two offline marketing methods which have increased in use are press and television. These are the two offline methods which can be most easily linked to online marketing channels, such as Search Engine Optimization and Proactive Online Lead Generation. Companies are increasingly taking an integrated approach to their advertising, which is good because no single marketing tool will ever be 100 percent efficient."
Discussion
By Rex Hammock on Sep 04, 2008
re, your headline: "Over fifty percent of marketers’ budgets now spent online"
Let's get this straight. An e-marketing company commissions and e-consulting company to do some research and it comes back claiming marketers are spening 1/2 of their budgets online. That would mean that online marketing is now equal to the size of *ALL* the money spent *combined* for broadcast and cable TV, outdoor advertising, direct marketing, magazines and newspaper, specialty advertising, events, sports sponsorships.
By Adam Dewitz on Sep 04, 2008
Rex, that's what their survey results suggest. The headline is from their release.
The numbers might be inflated based on the survey sample, but the research does show the continued trend to spend more on online initiatives.
The take away for print service / markting communication provider is that they need to be investing in systems that will support both print and online media so they can offer the services marketers are looking for. E.g offering email marketing with a direct mail campaign.
By Michael Josefowicz on Sep 04, 2008
Adam,
I agree that for a "print service/marketing communication provider" your suggestion makes good sense.
But, with all due respect, I don't think a "marketing communication provider" is a realistic description or goal for most printing companies that are still standing or trying to figure out how to survive a clearly shrinking market for Print.
The reality is that there are already lots of very experienced, expert "market communication providers." Agencies, soloprenuers (thanks Randy), graphic design studios, marketers and many more. These are the real value creating parts of the marketing logistics network. The competition in that space is already brutal. To enter it as a newbie doesn't make sense to me.
A more plausible approach might to be partner with firms that are already established experts in these professions and technologies. The printer can fortify their position as an experts in printing stuff and getting it delivered. Actually the defensible advantage of producing stuff is not bad.
Another plausible approach, as described by George Alexander's comments in the thread about the Inc 5000, is to find your natural niche market and relentlessly focus on being the best print producer in that niche.
By Rex Hammock on Sep 05, 2008
My point is this: The survey results are bogus. I am about as over-the-top supportive of online marketing and publishing strategies as one can be. But it's important to realize where online marketing fits in with everything else a marketer has available.
Look at Apple, a brand that has products that people can purchase from 99 cents to tens of thousands of dollars. Look at the balance of their marketing dollars and you'll discover that a marketer who, arguably, could put every marketing dollar "online" is one of the most aggressive advertisers in a wide array of media: outdoor, magazines, network TV. Again, I'm all for traditional print-based media to embrace the opportunity of the digital media, but I'm against blindly believing any press release that comes along.
By Michael Josefowicz on Sep 05, 2008
Rex-
Good point about the stats. But I think it's fair to say that traditional print is a contracting market, no matter what the stats say or don't say. The evidence on digital is not in yet, but it does seem hopeful.
Approach number one is to try to fight the market contraction.
Approach number two is to see the writing on the wall and come up with a strategy that deals with that fact.
Although I could be wrong, my take is that approach number one is a loser. Besides that's a vendor's problem, not a printer's problem.
On the ground, the only response that makes sense to me is approach number two.
By Mike Barbee on Sep 05, 2008
I think the there is obviously validity to research supporting online marketing spending growth. However, I believe these numbers are largely driven by customers testing the waters. These blanket growth statements ignore the reality that many organizations spending marketing dollars for on-line lead generation (including printers) are finding that such lead generation is often, if not usually, not the silver bullet on-line agencies convey.
This explains why these articles always, and rightfully so, explain that a balanced mix using multiple channels in an integrated approach is most effective.
The comment in the release that “just under half of the US organizations polled still feel that they aren’t using Online Lead Generation effectively" is another way of saying that many organizations have and are testing the waters and are disillusioned by the results.
Discussion
Join the discussion Sign In or Become a Member, doing so is simple and free