Digital Ad Spend May Surpass Trad Media In Near Future

A new survey of ad agencies indicates that digital media may eclipse traditional advertising in the near future, with nearly one-third of respondents expecting to spend more on digital than on traditional media within the next three years.

That’s according to a survey conducted by ad transaction processor Strata, which polled nearly 100 ad shops in the fourth quarter.

The survey found that enthusiasm for spot TV and spot radio continues to decline. On a year-to-year basis, the survey found that 40% fewer respondents indicated their clients were interested in spot TV advertising, while 32% were less interested in spot radio.  

According to the survey, print continues its free fall, with agencies indicating that 60% percent of advertisers are less interested in print than they were a year ago.

“New advertising mediums are evolving at an unprecedented pace, and agencies are constantly trying to figure out how to get the best return on investment for their campaigns,” stated John Shelton, CEO and President of Strata. “It makes sense that understanding how to attain the best possible media mix could be a very real challenge today.”

According to the survey, 22% of agencies polled indicated that the media mix was a challenge. Some 76% of responding agencies said their client campaigns utilize at least three different media.  

The outlook for 2013 remains uncertain, per the survey. Half the agencies polled expect their growth in the first half of 2013 to be the same as the last half of 2012. Nearly one-quarter of the agencies polled see their business decreasing within the same periods.



4 comments about "Digital Ad Spend May Surpass Trad Media In Near Future".
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  1. Michael Lynn from ECD Consulting, February 6, 2013 at 10:45 a.m.

    I don't believe this. Which agencies were included in the 5...10...??? And what does "less interest" in or "enthusiasm" have to do with what they will have to spend their $ in? The headline greatly over states any "facts" you may have created in your article.

  2. Doug Tanger from, February 6, 2013 at 10:45 a.m.

    We see this behavior every month with traditional media dollars moving to our local GEO domain

  3. Peter Cornelius from Kinesis Media, February 6, 2013 at 5:40 p.m.

    Further to Michael's comment, it would be good to know the sample base. If the survey is concentrating in the digital agency space then it stands to reason they will want to be promoting all things digital.
    The second issue is one of definition. What does digital ad spend mean today? Digital is ubiquitous - most traditional 'main media' are utilising the digital spectrum in one way or another so we need to understand what is really being discussed here. I believe the industry should stop trying to differentiate the spectrums for the borders no longer easily exist.

  4. Mike Cornelison from @mcjazzbass, February 7, 2013 at 7:49 a.m.

    You know who would smile at this news? Andrew Breitbart. Down with the old media, up with the new!

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