Tag Archive: advertising


media_monkeysAfter holding ad spending flat in the first quarter, marketers increased their spending in U.S. measured media in the second quarter by 3.5% from the quarter a year earlier, according to data released today by Kantar Media. Their spending totaled $35.8 billion, Kantar Media said.

“Ad spend has now increased for six consecutive quarters and in reaching 3.5 percent growth for Q2, had its best performance in a non-Olympic period since the end of 2010,” said Jon Swallen, chief research officer at Kantar Media North America, in a statement.

Total spending for the first six months of the year grew 2.0% to $68.9 billion, Kantar Media said.

The second-quarter gain, however, was buoyed by two unusual phenomena. Last year’s ad spending was deflated as major advertisers conserved their second-quarter budgets ahead of the Summer Olympics, Mr. Swallen said. More NBA playoff games in the quarter this year than last year also helped to goose TV ad spending.

“Without these factors, Q2 ad spend growth would have been lower by about one full percentage point,” Mr. Swallen said.

Ad spending for TV as a whole in the second quarter grew 6.4%, with cable TV seeing a 14.9% boost and broadcast TV rising 4.9%, according to Kantar Media. Along with the assist from the NBA playoffs, TV’s second-quarter business also benefited from a scheduling change that moved the NCAA Final Four basketball games into April from March.

Higher prime-time ad prices at some of the networks also helped to drive the increase, according to Kantar Media. Spanish language TV spending increased 6.1% in the second quarter, while dollars going to spot TV declined 3.5% during that same time. The lack of political ads helped drag down spending on local TV stations, Kantar Media said.

Consumer magazines’ print advertising climbed 1.9%, based on their rate card prices, but the number of ad pages fell 2.1%, Kantar Media noted.,Sunday magazines followed a similar pattern, with a 4.1% boost in print ad spending but a 6.3% drop in pages.

Ad spending on local papers’ print editions declined 4.3% as auto dealers, financial services and retailers reined in their budgets. National newspapers’ print editions held roughly even with a 0.5% decline, according to Kantar Media.

Internet display advertising climbed 4.1% thanks partly to increased spending from financial service and telecom marketers. The actual increase is likely higher, however, because Kantar Media does not include video or mobile ads,in its totals for the web.

The top advertiser from April through June was the usual No. 1, Procter & Gamble, which spent $804.8 million on marketing, a 35.3% boost from the prior year. AT&T and General Motors were also again among the top spenders. AT&T poured $501.8 million into advertising in the second quarter, good for a 33.2% increase. GM spent $378.6 million, which represents a 28% spike.

Their growth rates are inflated, however, because last year the companies concentrated much of their spending on the Summer Olympics, which took place during the third quarter, Kantar Media said.

Retail marketers comprised the largest ad category in the second quarter, spending $3.8 billion in measured media, essentially unchanged — up 0.1% — from last year. Spending on auto ads was up 6.9% to $3.6 billion. Telecom saw the largest increase at 19.5%, to $2.4,billion.

From: Adage

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trackingAs mobile advertising dollars race to catch up with consumers’ evolving behavior, a number of startups have emerged with a tempting proposition: target the same user across both his mobile and desktop devices. It sounds logical: one core driver of advertising performance is frequency of exposure, so increasing this frequency across devices should help. After all, a consumer doesn’t undergo a change of identity when he closes his laptop and opens his smartphone, right?

Yes, but it’s not that simple. Consumers do exhibit different mindsets and behaviors as they use different devices. Though a person remains the same person as he watches prime-time TV, searches for a product on Amazon or checks his Facebook feed, he has a different level of receptivity to advertising in each of these contexts. We can’t effectively use cross-device advertising without taking this into account.

From a retention standpoint, it sounds intriguing to be able to identify the same consumer as he navigates from one device to another. Sending the wrong catalog to someone’s house is very expensive. Accordingly, customer-relationship management uses purchase data and other information to improve return by cross-selling or upselling to identifiable customers across multiple channels (voice/call centers, in-person/customer service, digital/email and print/direct mail). Retention and win-back marketing tactics personalize different offers to high and low-value customers. This may require identifying the same customers across multiple devices, often with personally identifiable information.

On the other hand, acquisition marketing relies primarily on anonymous identifiers to attract new customers (since by definition these consumers don’t yet have a relationship with the advertiser) and does not require identifying the same user across multiple devices. The only reason such a technical feat would be useful is if it drove down acquisition-marketing costs. However, since the reach is diminished and the cost increases with the technologies that try to stitch the same user across multiple devices, marketers should treat this new tactic with caution, beyond any concerns with privacy.

Tracking device-to-device activity for the same individual means you’ll have to limit the size of the targeting pool to the specific audience that you can trace across these multiple channels (PC, smartphone, tablet, TV, radio or out-of-home). Imagine the Venn diagram showing the overlapping audience holding those devices. And imagine the smaller and smaller subset of those individuals who fall into the middle. Since there are techniques to target the people who closely resemble the very same people on all these devices — but with a much wider net — why pay more to reach far fewer?

Furthermore, much ad spending would be wasted using cross-device tracking to send a similar message to someone whose attention is very different, depending on which device he’s using and his current activity.

Given relatively low call-to-action response rates on acquisition marketing, it stands to reason that the optimal approach would be to target advertising at a wide array of those who best reflect clearly observed behavior and interests that would most resonate with the advertiser’s products and services.

To target consumers across devices, it is important to evaluate whether the reach and ROI of tactics are being applied to the right marketing goals. Because of limitations and privacy implications, tracking the same individual across devices is best for retention marketing.

Acquisition marketing can benefit from cross-device analytics and planning. However, given the different mindset with use of each device, and the huge number of consumers targeted by acquisition marketing, the best approach is to take advantage of the channel-specific targeting abilities of each device rather than trying to cobble together techniques to find the same user on each of his devices. Marketers should use techniques to analyze all of the channels at their disposal – and not be singularly focused on trying to connect the mobile and desktop experiences.

From: AdAge.com
Author: Joshua Coran

Label: #DigitalNext

 

 

LinkedIn_Offices_1_270x126LinkedIn did it again, posting earnings Thursday that blew past expectations Wall Street expectations.

LinkedIn earned 38 cents per share on revenue of $363.7 million in the second quarter, an increase of 59 percent from the year ago quarter. The professional social network, which now touts 238 million members, posted net income of $3.7 million, when accounting for all expenses.

Analysts were looking for adjusted earnings per share of 31 cents on revenue of $353.85 million.

“Accelerated member growth and strong engagement drove record operating and financial results in the second quarter,” CEO Jeff Weiner said. “We are continuing to invest in driving scale across the LinkedIn platform in order to fully realize our long-term potential.”

LinkedIn’s biggest money-maker continues to be Talent Solutions, a suite of hiring-related products for company recruiters. Revenue from Talent Solutions grew 69 percent from a year ago to $205.1 million. LinkedIn made $85.6 million from its marketing products and $73 million from selling premium member subscriptions. The businesses grew 36 percent and 68 percent respectively from the year-ago quarter.

The Q2 earnings report comes a week after the widespread release of Sponsored Updates, a Web and mobile in-stream ad unit similar to Twitter’s Promoted Tweets and Facebook’s Sponsored Stories that the professional social network believes will funnel more revenue to its marketing solutions business.

LinkedIn’s stock spent most of Thursday climbing in anticipation of the report. Shares closed the day up 4.5 percent at $213, and are now up an additional 6 percent in after-hours trading.

Source:  news.cnet.com
Label: #Digital-Media