Monday, December 08, 2014

Digital Advertising Spend Catching up with TV advertising



Throughout the semester we have discussed the plethora of forms of digital marketing, and tools used by advertisers to reach consumers. The increasing dominance of mobile has sent advertisers through the loop, increasing their digital spends, and now figures have come out to show that for the first time digital will equal the powerhouse of TV as the most revenue generating advertising form.

According to an article released today by Bloomberg, in 2019 thanks to increases in spending on mobile and social media, the increased spend is projected to equal the outlays for television. This equaling is occurring much sooner than many experts had expected, and is driven almost entirely by the smartphone. Users continue to become more and more attached and engaged with their smartphone, spending more time looking at its small portable screen, than the TV screen.

We have seen the transition from desktop to mobile advertising, so it will be interesting to see mobile continue to rise and dominant the advertising landscape, surpassing television. Advertisers faced challenges transitioning from the size of the desktop screen to the small mobile screen. That said transitioning from a TV screen, and keeping consistent messaging and quality on the mobile screen will provide some hurdles, but companies that are smart will begin innovating and testing these strategies now.

Next up, one has to wonder what will be the digital equivalent of the SuperBowl? Advertisers prepare to whip out your checkbooks…

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