According to the recent Outsell annual Ad Spending Study to analyze differences across advertisers and the markets they target: B2B, B2C, and Healthcare, Yahoo! and MSN face extended minority status in the ratings of advertisers if they don't change the perception that ads on Google are more effective.
Shared on a complimentary basis, the study is based on advertisers controlling an estimated $2.4 billion in advertising with a confidence level of 95±3%, concludes that leading B2B trade information providers will generate 35% to 50% of their revenue online within two to three years. Advertisers are hooked on the results they're getting from targeted and measurable online marketing methods.
Chuck Richard, Vice President & Lead Analyst Outsell, Inc., suggests that print, TV/Radio, and events will lose share in the marketing mix, but they don't come close to being blown away. Marketers will continue to find strong value in the power of a mix of methods for reaching and influencing their prospects. He further opines that the 80% penetration of online marketing methods, already higher than widely reported, will quickly approach 100%.
Key findings include:
Percent Allocation of Marketing Budget | |||
| Yahoo! | Microsoft | |
Total marketing budget (Million $) |
|
|
|
$3.7 | $4.6 | $4.6 | |
27.1 | 29.1 | 29.9 | |
Online | 29.6 | 27.9 | 25.5 |
Events | 24.3 | 21.1 | 24.7 |
TV/Radio | 19.1 | 21.9 | 19.9 |
Source: Outsell's Advertising Tracking Database |
Percent Spending Allocation of Total Marketing Budget | ||
| 2005 | 2006 |
Print Media | 29.2% | 28.5% |
Events | 22.7% | 22.8% |
Online Media | 16.2% | 18.2% |
TV, Radio & Other Media | 31.9% | 30.6% |
Source: Outsell's Advertising Tracking Database |
Spending Percent by Type and Growth Rate | ||
| Percent 2006 Spending | Growth Rate |
Online Growth | - | 19.0% |
TV and Radio | 49.8% | 2.4% |
Public Relations | 25.7% | 1.4% |
Other | 24.5% | 1.0% |
Source: Outsell's Advertising Tracking Database |
For more information about the study, please visit here.