Spending on Digital Advertising Just Surpassed Television for the First Time
$72.5 billion was spent on digital advertising in the US in 2016, compared to TV’s $71.3 billion. Year-over-year, spending on digital advertising increased 22%. (Stat Source: Advertising Age)
Large and small companies alike are shifting away from spending on TV commercials, and using those funds to advertise on the internet instead. The ability to target potential customers online at crucial times in the buyer’s journey is one reason this shift is happening. It’s also because the statistical insights that can be gained from digital marketing are far more advanced than what you can get from advertising on TV.
If you’re curious on the exact number, US advertisers spent $4.9 billion in desktop video ads in 2016. (Stat Source: Advertising Age)
It’s high time you re-evaluate where your advertising dollars are being spent online. Ask your marketing manager or agency to break down the data specifically in terms of how many dollars you spend on mobile, desktop and tablets, as well as your KPIs for each device segment.
Also, don’t forget to analyze how each type of advertising is performing, such as banner ads, search ads and video ads. Finally, look at the overall traffic on your website and see how many people are accessing it on mobile vs desktops. This can help you determine the amount of budget to allocate to each device, as well as each type of advertising creative.
Generally speaking, people tend to be on their smartphones in the morning and evening, but when they are at work with a computer, they conduct most of their searches right there on the desktop computer. (Stat Source: Google)
Advertisers are getting increasingly savvy in our digital world, and many have figured out it’s best to run desktop search ads during business hours when their office is open, and when potential customers are searching there. This is especially true for businesses like law firms and doctors offices.
Together, Google and Facebook make up 20% of global advertising spend across all media in 2016. This is up from 11% in 2012. (Stat Source: Zenith)
It’s important to not only understand how advertising on these platforms works, but to foster relationships with advertising support specialists and teams working in Google and Facebook’s advertising departments. Whether you take the time to do this yourself or you work with a digital marketing agency who handles this for you, it’s important to have a real person you can speak to if you hit a snag or have a question advertising on either of these platforms.
That’s a massive amount of changes. Pair that with the fact that 15% of searches Google sees every day are new, and you can see how the world of SEO and paid-search is changing literally every day. (Stat Source: Google)
Don’t have time to stay on top of changes in the digital marketing industry? Contact us and tell us your online marketing woes. Let’s figure out what you need, together.
What a great post!