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First half of year yields 47 percent rise in digital ad spending
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According to the ad technology firm The Rubicon Project, digital ad spending is up 47 percent. In Q1 CPM’s have grown 25 percent. Borrell Associates believe that online ad spending will grow 14 percent from 2010 to 2011, reaching $51.9B. Borrell has also predicted that 60 percent growth will take place in targeted display advertising by 2011. Q1 spending for ad displays in the US has grown to $2.7B according to ComScore. More at mediapost.com 8/31/10: (Article posted on 9/7/2010)
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Ads for targeted display and streaming video to grow in 2011
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Spending on ROS is expected to decrease as spending on online targeted ads are expected to increase. ROS is expected to fall 14 percent by 2011. In 2011 spending on targeted ads is expected to reach $10.9B. Advertisers are increasingly becoming interested in reaching niche markets and not mass audiences. The use of streaming video ads is expected to rise 60 percent by 2011. Mobile phone ad sales are also expected to enjoy growth as companies try to reach the 25 percent of cell phone owners with smart phones. More at clickz.com 8/27/10: (Article posted on 9/7/2010)
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Personalized ads are preferred among women
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Studies show that 65 percent of women are pleased when they have an ad pop up with a personalized targeted message on their computer. 88 percent of women say that they wished their favorite brands would send them targeted ads. Brands that women were most connected to on-line are Pillsbury, Proctor & Gamble, Betty Crocker and General Mills. The study shows that people do respond well to targeted ads, a theory that has been under tough scrutiny. More at Mediapost.com, 4/20/10: (Article posted on 4/26/2010)
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Online ads are more likable and recalled easier than TV ads
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New research has reinforced the theory that online advertising has more recall than television ads. Online video ads have a 65percent general recall, compared to 46percent general recall for TV ads. Brand recall online is at 50percent to TV's 28 percent; message online recall comes in at 39 percent to TV's 21 percent; and online likability is 26 percent to TV's 14percent. Internet videos are said to be responsible for the web’s increased engagement and attention. The videos are sometimes sought out and harder to skip than traditional television ads. More at Mediapost.com, 4/22/10: (Article posted on 4/26/2010)
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Word of mouth responsible for 20-50 percent of purchases
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According to a McKinsey survey, marketing campaigns that encourage considerable word of mouth have a much greater impact than traditional campaigns. The study argues that 20percent to 50percent of products, especially high dollar items, are influenced by recommendations and word of mouth. The study also showed that an advertising overload causes a mistrust and feeling of overcompensation for the product. The study also revealed that 50 percent to 80 percent of all word of mouth comes from direct experience with the product. More at Warc.com, 4/21/10: (Article posted on 4/26/2010)
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Ads in magazines try ‘snappable’ ads with bar codes
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When Entertainment Weekly runs its summer movie preview magazine, it hopes that users embrace the concept of snappable ads. Traditionally these icons that open interactive content have low response levels. This promotion will ask EW users to scan a Microsoft barcode with their smartphone in order to unlock 20 new trailers for summer films. HBO, Absolut and Honda are among the advertisers that are utilizing the snappable ads in the issue. More at Brandweek.com, 4/15/10: (Article posted on 4/26/2010)
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Online ads are more likable and recalled easier than TV ads
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New research has reinforced the theory that online advertising has more recall than television ads. Online video ads have a 65percent general recall, compared to 46percent general recall for TV ads. Brand recall online is at 50percent to TV's 28 percent; message online recall comes in at 39 percent to TV's 21 percent; and online likability is 26 percent to TV's 14percent. Internet videos are said to be responsible for the web’s increased engagement and attention. The videos are sometimes sought out and harder to skip than traditional television ads. More at Mediapost.com, 4/22/10: (Article posted on 4/26/2010)
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High tech and telecom providers expected to increase marketing spending in 2010
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Marketing by HTTP’s, High Tech and Telecom Providers, should see an increase in 2010. 44percent of companies project a flat budget, 41 percent see growth and only 15 percent are expecting marketing budget cuts. This budget is a big increase from 2009, when over half of the HTTP companies cut their budget. Despite consumer confidence being on the rise, studies show that there is a “new normal” in how people spend their money after the recession. More at Mediapost.com, 4/22/10: (Article posted on 4/26/2010)
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Word of mouth responsible for 20-50 percent of purchases
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According to a McKinsey survey, marketing campaigns that encourage considerable word of mouth have a much greater impact than traditional campaigns. The study argues that 20percent to 50percent of products, especially high dollar items, are influenced by recommendations and word of mouth. The study also showed that an advertising overload causes a mistrust and feeling of overcompensation for the product. The study also revealed that 50 percent to 80 percent of all word of mouth comes from direct experience with the product. More at Warc.com, 4/21/10: (Article posted on 4/26/2010)
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Personalized ads are preferred among women
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Studies show that 65 percent of women are pleased when they have an ad pop up with a personalized targeted message on their computer. 88 percent of women say that they wished their favorite brands would send them targeted ads. Brands that women were most connected to on-line are Pillsbury, Proctor & Gamble, Betty Crocker and General Mills. The study shows that people do respond well to targeted ads, a theory that has been under tough scrutiny. More at Mediapost.com, 4/20/10: (Article posted on 4/26/2010)
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