Economic uncertainty is driving advertisers to prioritize performance often at the expense of brand safety and support for quality journalism, according to a new study from Advertiser Perceptions.
The researcher asked marketers to list the top three reasons why they reduced spending with a given media company or platform. Agencies were asked the same question about main clients. Combined, 41% replied that recent campaign performance did not meet expectations. Forty-one percent also replied that “brand safety/suitability for my ads” was an issue. And 38% expressed concern about the reputation of the media company.
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That said, there was a seven-percentage point decline in the number of respondents agreeing with the statement that “our [company/agency] is adapting brand safety approaches to better combat disinformation and support credible journalism.”
The study found a significant decline in organizations’ actions or priorities to support quality news sites and credible journalism. Fifty-five percent said that “supporting new organizations with ad dollars is important to my organization,” an 11-percentage point drop from a year ago when 66% of respondents said they believed that.
Despite Trump’s war on diversity, equity and inclusion programs, DE&I remained a top social cause for marketers (38%). However, 21% reported no plans to align marketing with any social issues, up five points compared to 2024.
Close to half (46%) reported having a policy on inclusion or exclusion of made-for-advertising sites and apps. The figure is significantly higher for agencies (54%) compared to marketers (33%).
Among those with an explicit policy, 33% are okay with including MFA’s to improve campaign “vanity” metrics like reach and efficiency, the survey found. Just 19% said they believed paying for impressions on MFA sites is equivalent to fraud and should be eliminated. Forty-seven percent said they aim to minimize MFAs in ad buys but expect them to comprise a small portion of delivered impressions.
Brilliant insightful report on a trend that is eroding the cost effectiveness of brand campaigns and the media cess pits they are leaning towards. Perhaps the Advertiser CFOs should demand real meaningful accountability for media investements from their CMO colleagues? Hint: High quality media help optimize long term brand equity!