This IBM Media Study released March 23, 2009 has significant relevance to small-to mid-size ad agencies.
“Digital Savvy Consumer Emerging Quicker Than Expected; Media Companies Struggle to Keep Pace With New Demands”
The study titled “Beyond Advertising: Choosing a Strategic Path to the Digital Consumer” was developed by IBM Global Business Services’ Media and Entertainment practice and the IBM Institute for Business Value. This was an extensive survey of 2,800 consumers across six countries plus interviews with advertising industry professionals.
Some important “take-aways” from the study:
- Growing rift between advertisers and content owners, media distributors and agencies.
- Advertisers are aggressively shifting their spend to even more interactive more measurable means of advertising.
- To be competitive media companies and content suppliers will have to fundamentally change the way they deliver information to their audiences.
According to the survey, 4 trends are emerging:
- Consumers are accelerating their adoption of new distribution formats (Twitter, YouTube, FaceBook, etc) is soaring
- Shift in advertising spending. 63% of global CMOs expect to increase interactive/online marketing spend while 65% expect to decrease traditional advertising.
- Shift to “Brands-Actional” Advertising. Advertisers can focus on ROI-driven and brand marketing simultaneously.
- Agencies Can’t Meet Demand. 80% of advertising industry participants interviewed for the study expect the industry to be at least five years away from being able to deliver true cross-platform advertising
To read the entire Fox Business News article: IBM Media Study: Digital Savvy Consumer Emerging Quicker Than Expected; Media Companies Struggle to Keep Pace With New Demands