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Ad Spending on Digital Shows Q4 Decline

posted on March 14, 2012

The good news is, total advertising expenditures rose in 2011. The bad news is that the rise was only 0.8% and the internet didn’t make out all that well.

The numbers come from Kantar Media’s final 2011 report and it could be worse, right?

Looking at the Internet section, you can see that Q4 was a tough sell. Display still did okay for the year but paid search is down 2.8% over last year. Newspapers and magazines continued to take the hit in Q4 and in spite of a boost from their Spanish language options, ended the year down compared to 2010.

Ad Spending by Category

Automotive folks continue to be the biggest spenders with Retail coming in second. Insurance had the largest growth rate with Food and Candy and Telcom the only losers for the year.

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Paid Search Dollars Decline, While Display is On the Rise

posted on December 19, 2011

Earlier this year, Kantar Media said they were cautiously optimistic about the future of the ad dollar. Now, they say that optimism has been replaced “by the statistical evidence of progressively slowing growth rates.”

Jon Swallen, SVP Research at Kantar Media North America lays it out for you,

“From +4.1 percent in the first quarter, to +2.8 percent in the second quarter and now a barely palpable +0.4 percent for the July to September period. During Q3, an expanding number of the largest marketers became even more conservative with their ad budgets and these reductions have neutralized the healthy spending growth occurring among mid-sized advertisers.”

Aw, that’s not good, is it?

Looking strictly at internet ad spending, it was a case of robbing Peter to pay Paul

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Mobile Paid Search Offers Bigger Bang for the Buck

posted on November 28, 2011

Now that more people are using their mobile devices to search and shop, more advertisers are paying for mobile ads — it’s the circle of life and it’s working out well for everyone involved.

New numbers from Performics show that smartphone CPCs are still a real bargain, coming in at around 40% less than desktop CPCs. The one mobile exception is the tablet, which, last week, rose 20% over desktop CPCs.

When compared to last year, mobile impressions and click shares are both way up. Says Performics:

“We now predict that mobile paid search will make up 25.4% of all clicks (desktop + mobile) in December 2011, up 8 percentage points from our projection a month ago.”

For those visual learners in the bunch, here’s a graph that tells it like it is.

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Adwords Location Improvements Help Local Advertisers Target Better

posted on October 31, 2011

One of the most important features of Google Adwords has been the ability for advertisers to target specific locations to ensure that their ad spend was happening in the geography of their business. This goes a long way to being more efficient with spend and helps stretch an ad budget due to less waste.

Today Google has announced improvements in how local marketers can target their Adwords efforts. This comes from the Inside Adwords blog.

Today, many businesses are using location targeting in their online ad campaigns to reach the right customers and improve campaign performance. Online agency iProspect, for example, uses location targeting to focus on top performing geographic areas for their client Talbots. As a result, they were able to lower their cost-per-click (CPC) by 36 percent, driving higher quality leads at a lower cost.