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Global spending on media is forecast to rise at a compound annual rate of 5.1 percent during the next five years—to $2.1 trillion in 2019, from $1.6 trillion in 2014.ddd December 2015 1

Digital advertising was the fastest-growing category in 2014, with a 16.1 percent increase in spending, followed by video games at 14.3 percent and broadband at 9.2 percent.  December 2015 2

Digital advertising, video games, and broadband will continue to be the fastest-growing segments over the next five years, with projected compound annual increases of 12.7 percent, 8.1 percent, and 7.8 percent, respectively, to 2019. ddd December 2015 3

More than a third of CMOs say that digital marketing will account for 75% or more of their spending within the next five years. November 2015 4

As more consumers run local searches on mobile, advertisers are increasing spending on local mobile ad campaigns. In April 2015, BIA/Kelsey estimated that US mobile ad spending on local, or location-targeted, placements would rise 56% this year to $6.7 billion, or 37% of all mobile ad dollars.ddd June 2015 5

69% of senior marketers are currently allocating their digital marketing funds to website content, development and performance optimization. 53% are spending part of their budget on social media community growth and engagement.  May 2015 6

Marketers are expected to spend 540 billion dollars globally on advertising this year. ddd March 2015 7

Mobile search ads will be $12.85 billion in 2015, over 50% of the search market. March 2015 8

With increased use of smartphones and tablets, net US mobile advertising is projected to increase to $28.48 billion in 2015. Google dominates with 35.17% of net US mobile ad revenue share. Facebook is second with 16.68% of net US mobile ad revenue share.ddd March 2015 9

28% of marketers have reduced their advertising budget to fund more digital marketing. February 2015 10

In 2015, search engine marketing (SEM) will continue to capture the largest share of online spend at 47%, or about 14% of the firm’s total marketing budget 2014.ddd February 2015 11

Worldwide social network ad spending reached $16.10 billion in 2014, a 45.3% increase from 2013 that pushed social’s share of overall digital ad investment to 11.5%. Combined social network ad dollars from North America, Western Europe and Asia-Pacific represented 93.7% of global expenditure. January 2015 12

Spending on paid media in the US totaled $179.80 billion in 2014. Digital accounted for 28.2% of total ad investments, with 10.6% going toward mobile. Digital ad spending rose 17.7% in 2014 and will rise another 15.5% in 2015, fueled by mobile.ddd January 2015 13

According to B2B marketers, 14% of their marketing budgets will be devoted to in-person trade shows, conferences and events in 2015. 10% will be dedicated to digital advertising. January 2015 14

Digital ads will lead the way for global media growth in the next four years, accounting for 33% of total advertising revenue, nearly catching TV in the process. TV advertising will generate $173.7 billion worldwide in 2014 and grow to $214.7 billion in 2018. During the same period, Internet advertising will grow from $133 billion to $194.5 billion.ddd December 2014 15

Total entertainment and media spending on digital services is forecast to grow at a 12.2 per cent compound annual growth rate (CAGR) between 2013 and 2018 and account for 65 per cent of global entertainment and media spending growth, excluding spending on Internet access. December 2014 16

By 2018, Internet advertising will be poised to overtake TV as the largest advertising segment. As recently as 2009, Internet advertising revenue was US$58.7bn and TV advertising revenue was more than twice as big at US$132.0bn. But Internet advertising revenue will rise at a 10.7% CAGR to reach US$194.5bn in 2018, just US$20bn behind TV advertising.ddd December 2014 17

Two-thirds of revenue growth from consumers and advertising will be digital. Of the US$241bn growth in total entertainment and media consumer and advertising revenue from 2013 to 2018, US$157bn will come from digital sources. December 2014 18

Marketers spent $4.4 billion on mobile advertising in the U.S. in 2012. That figure doubled to $8.5 million in 2013; and that figure is projected to quadruple to $31.1 billion by 2017. Search advertising accounts for about half of the total.ddd November 2014 19

1% of all US advertising spending is on mobile platforms, compared to 43% for TV and 29% for print. November 2014 20

More than 40% of US marketing professionals said they increased spending on data-driven marketing in the first quarter of this year, compared with 38.4% who said the same in Q4 2013. More than 40% of US marketing professionals said they increased spending on data-driven marketing in the first quarter of this year, compared with 38.4% who said the same in Q4 2013. - See more at: http://www.emarketer.com/Article/Numbers-In-Data-Driven-Marketing-Spending-Still-Climbing/1011026#sthash.FQnnRC5x.dpuf More than 40% of US marketing professionals said they increased spending on data-driven marketing in the first quarter of this year, compared with 38.4% who said the same in Q4 2013. - See more at: http://www.emarketer.com/Article/Numbers-In-Data-Driven-Marketing-Spending-Still-Climbing/1011026#sthash.FQnnRC5x.dpuf More than 40% of US marketing professionals said they increased spending on data-driven marketing in the first quarter of this year, compared with 38.4% who said the same in Q4 2013. - See more at: http://www.emarketer.com/Article/Numbers-In-Data-Driven-Marketing-Spending-Still-Climbing/1011026#sthash.6bb1IpEx.dpufddd July 2014 21

Digital marketers spend almost as much to keep buyers (45 percent) as they do to gain new ones (55 percent). May 2014 22

80% of UK respondents plan to increase contnet marketing spend.ddd December 2013 23

U.S. marketers spend an average of 2.5% of their total company revenue on digital marketing activities, according to a new report by Gartner Inc.U.S. marketers spend an average of 2.5% of their total company revenue on digital marketing activities, according to a new report by Gartner Inc. March 2013 24

According to Duke University's, The CMO Survey, digital marketing spending is forecast to grow by 10.2%, a slower rate than the 11.5% increase forecast in August 2012, but a healthy rate nonetheless.ddd February 2013 25

CMOs are projecting increased budgets across a number of other areas. They’re expecting to spend more on new product (8%, down from 9.4% in August 2012) and service (5.8%, down from 6.5%) introductions, while also forecasting an 8.1% increase in budgets devoted to customer relationship management (down from 9%), and 6.8% more spending on brand building (down from 7.5%). February 2013 26

Overall marketing spending is expected to grow by 6.1% over the next 12 months, slightly slower than the 6.4% growth forecast from August 2012. Currently, marketing budgets are reported to account for an average of 10.6% of firm budgets, down from 11.4% in August 2012.ddd February 2013 27

As a percentage of overall firm budgets, B2C product companies devote the largest share to marketing (16.3%). B2C services companies had reported 16.8% share of budgets going to marketing in February 2012, but that dropped to 10.9%. February 2013 28

2 out of 3 marketers have moved at least 30% of their budgets from traditional to digital media in the past 3 years.ddd August 2012 29

CMOs will spend more on new product and service introductions over the next 12 months. They are also forecasting a 9% increase in budgets devoted to customer relationship management. August 2012 30

Planned spending growth on brand building into 2013 is relatively steady at 7.5% of spend, compared to an estimated 7.2% in early 2012.ddd August 2012 31

Companies who drive more than 10% of total sales from the internet allocate more of their budgets to marketing (16.4%) than companies with less than 10% of their sales coming from the internet (10.2%). August 2012 32

Marketing spend represents 11% of their firms’ revenues, up from 8.5% reported in a similar Duke University study conducted in early 2012.ddd August 2012 33

According to a Duke University study, Social Media currently makes up an average of 7.6% of respondents’ total marketing budgets. This share of spend is expected to jump by more than 40% in the next year to 10.7%, and more than double to 18.8% in the next 5 years. August 2012 34

B2C product companies project a cut in social media spend from a projected 15.3% share of total marketing budgets to an expected 11.4% share heading into Q4 of 2012.ddd August 2012 35

B2C product company marketers expect social media to make up 24.4% of their total marketing budgets in the next 5 years. August 2012 36

B2B services companies are upping 5-year forecasts for projected social media spend  from 19.1% share of spend to an estimated 20% projected share. Conversely, B2B product companies have dropped their current share of spend to 5% (from 6.2%), but also plan to cut 5-year spending projections for social media by as much as 15%.ddd August 2012 37

Now it’s the time to roll-up sleeves and build Mobile into an integrated marketing strategy. In 2012, marketers will spend $2.6 billion on Mobile advertising in the United States, and $6.5 billion August 2012 5 globally, according to eMarketer estimates. August 2012 38

As a guideline based on current ROI and smartphone penetration, Marketing Evolution recommends 7 percent of the media mix, on average, should be invested in Mobile advertising.ddd August 2012 39

Our data shows that the exact recommended share of the budget should be higher for marketers selling higher involvement products, such as automobiles and financial services – approximately 9 percent, and a bit lower for brands selling lower involvement products, such as fast moving consumer packaged goods. August 2012 40

Marketers currently allocate less than one percent of their marketing budget to Mobile advertising. ddd August 2012 41

Over the next 4 years, Mobile’s share of the media mix is projected to increase to over 10 percent. August 2012 42

This is in line with data from Useful Social Media, which, in April 2012, found that 54% of US companies planned to increase their social media budgets by up to 25% in 2012.ddd July 2012 43

When it comes to how much money to spend on social media, most marketers have less than 20% of their marketing budget set aside for outreach on social sites—including advertising and maintaining a social media presence. July 2012 44

AdAge and Citigroup found that 72.9% of respondents said they expected their overall social media budget to increase over the next year.ddd July 2012 45

Advertising Age and Citigroup spoke to US marketers in June 2012 and found that half of them (49.5%) said their company spent between 1% and 10% of their marketing budget on social media. An additional 19.0% spent between 11% and 20% and nearly one-tenth (9.7%) set aside nothing out of their marketing budget for social. July 2012 46

Breaking the results down by industry, the report finds that retail allocates the largest proportion of its budgets to social networks (60.3%), while communication and media dedicates the most to micro-blogging (14.3%). Process manufacturing and securities and investment services are the top industries in terms of percentage of social media budgets devoted to blogs and wikis, respectively.ddd July 2012 47

52% of organizations’ social media budgets are estimated to be allocated to social networking, while 13% are spent on blogs, 11% on micro-blogging, and 7% on wikis, per results from an IDC Global Technology and Industry Research Organization survey released in July 2012 July 2012 48

Tracking online marketers' budgets and costs per click can help marketers understand how to allocate budgets. Paid-search spending rose 29% in Q2 2012, compared with the year-ago quarter -- down from 32% sequentially, according to Rimm-Kaufman Group (RKG).ddd July 2012 49

Marketers spent 32% more in the quarter compared with a year ago, but investments fell sequentially from 36%. July 2012 50

Marketers in the Americas are the most optimistic, but even they only kept spending on par with previous levels, with a score of 50. (An index reading of 50 indicates no change, and a reading of over 60 indicates rapid growth.)ddd June 2012 51

Warc’s headline Global Marketing Index (GMI), which tracks overall industry opinion as a composite of marketing budgets, staffing, and trading conditions, dropped to 52.4 in June, from 55.3 last month. June 2012 52

The RSW/US agency respondents appear slightly more confident in their social and digital media savvy, with 64% saying their are on the cutting edge, although this is relatively unchanged from 2009. Oddd June 2012 53

Almost 3 in 10 marketers say they have shifted at least half of their marketing spending from traditional to digital advertising over the past 3 years, according to June 2012 survey results from RSW/US. June 2012 54

The data also shows that 2 in 3 have moved at least 30% of their budgets from traditional to digital, while just 4% have not changed their spending mix. These findings align closely with March 2012 results from a DataXu survey, which found about one-third of CMOs saying that more than half of their budgets have shifted from traditional to digital marketing in the past year, with an additional 23% reporting a shift of between 26% and 50% to digital.ddd June 2012 55

As a result of this shift in spending, 44% of marketers report that they are now spending at least half of their budgets on social and digital media. June 2012 56

This represents a 42% increase from 31% spending that amount on digital and social media in 2009. This year, just 5% remain digital and social holdouts, allocating none of their marketing budgets to these channels.ddd June 2012 57

In response, agencies report dramatically heightened activities in these spaces. 52% say that at least half of the work they perform for their clients is in social and digital media, an almost 80% increase from 29% in 2009. June 2012 58

30% said that social media is a lot easier to measure than traditional media (rating it at least an 8 on a 10-point scale), almost 4 times the proportion responding that way 3 years ago (8%). Agencies are in agreement, with 28% saying social is a lot easier to measure than traditional. Indeed, when asked which characteristic of digital marketing prompted their shift, the most common reason cited by respondents to the DataXu survey (see link above) was increased measurability and accountability (20%).ddd June 2012 59

Marketers responding to the RSW/US survey appear quite confident in their social and digital media savvy. 57% either somewhat (44%) or strongly (13%) agree that they are on the cutting edge of understanding, working with, and maximizing their presence in the social and digital media spaces. This is up from 44% in 2009. June 2012 60

61.7% of DDM budgets and activities were targeted towards customer acquisition, with the remaining 38.7% targeted to customer retention. The proportion allocated to customer acquisition represents a 4.8% point jump from 56.9% in Q1 2011.ddd May 2012 61

2 in 5 marketers and service providers say their direct and digitally-driven spending grew in Q1 2012 when compared to Q4 2011, almost double the 22.2% who reported decreases over the same period, according to a study released in May 2012 by the Direct Marketing Association (DMA) in partnership with Winterberry Group. May 2012 62

Spending growth has slowed over the past quarter, though: the weighted average of spending growth between Q4 2011 and Q1 2012 was noticeably lower than the weighted average of spending growth between Q3 and Q4 2011 (3.2 vs. 3.5, respectively on a 5-point scale, with 1 representing a significant decrease and 5 representing a significant increase).ddd May 2012 63

Respondents do not appear any more optimistic about the coming quarter: although they were more than twice as likely to forecast a rise in spending this quarter as to expect a decrease (35.5% vs. 14%), the weighted average of their expected spending growth remains at 3.2. May 2012 64

Looking at spending growth by channel in Q1 2012, social media tops the list with a weighted average of 3.6, followed by mobile and email (both at 3.4), and search (SEO/content optimization) at 3.3.ddd May 2012 65

According to the report, marketers will spend $168.5 billion on direct marketing this year, or 52.7% of all US ad expenditures. May 2012 66

Despite remaining atop the list with its weighted average of 3.6, social media’s spending growth decreased from a leading 3.8 in both Q1 2011 and Q1 2010. Similarly, email’s score of 3.4 continued a decline from 3.7 in Q1 2011 and 3.8 in Q1 2010. This may be a reflection of the channel’s maturity more than its effectiveness: a recent survey from the CMO Council revealed that marketers believe email is their most effective digital marketing channel.ddd May 2012 67

Meanwhile, data from the DMA and Winterberry Group’s “Quarterly Business Review” indicates that respondents have upbeat projections about future revenue driven by their direct and digital marketing (DDM) activities. While 43.4% reported an increase in revenues driven by DDM in the past quarter, a healthy 60% predict an increase in Q2. This compares to just 8.6% who expect a decrease of any magnitude. May 2012 68

Although 39% of the executives reported currently using big data for budgeting, forecasting, or planning, only 36% believed they should be focusing on this application.ddd May 2012 69

Only about 1 in 3 respondents said they feel that their companies are spending enough to build out their digital capabilities. CEOs were more likely than CFOs to say they were spending the right amount (36% vs. 30%). May 2012 70

Data from McKinsey’s “Minding Your Digital Business” indicates that executives are allocating significant shares of their budgets to these digital priorities. 1 in 4 said they expect to dedicate at least 3% of their total cost base on these initiatives this year, while a further 28% said they would spend between 1 and 3% of their budgets.ddd May 2012 71

Looking further into the data, the report notes that the sectors spending the most are professional services, high tech, and pharma, while CEOs are twice as likely as CFOs to predict a budget allocation of at least 3% to their digital business efforts (40% vs. 20%). May 2012 72

Though brands might allocate less to local advertising—and many may not bother tracking—they still expect those dollars to do more: 37% expected their local ROI to be higher than their national, and 44% expected similar ROI from both. Only 19% expected their national marketing to produce greater ROI than their local marketing. Of their national efforts, most (63%) expected their return to range anywhere from 1.5 to 3 times their initial investment.ddd May 2012 73

Findings released in May from local marketing automation provider Balihoo showed the vast majority of national brands (88%) in North America were investing some portion of their budget in local marketing. May 2012 74

Brands were polarized in their levels of investment: 29% allocated between 1-5% of their overall marketing budget to local initiatives, but a good portion (21%) invested a quarter or more of their total budget on local.ddd May 2012 75

However, measuring brand impact locally remains a challenge: 25% of advertisers in North America reported an inability to track ROI at the local level. Though the majority were able to track their local efforts, 58% of national brands nonetheless neglected to calculate the ROI of their local programs, a decision that may hamper their ability to further justify and grow local investment. May 2012 76

55% reported increased mobile marketing budgets for past 12 months; only 2% saw a decreaseddd May 2012 77

70% expect their budget to increase in the next 12 months May 2012 78

Mobile marketing budgets also remain a small fraction of overall interactive budgets, with 54% of businesses allocating 5% or less to mobile programs. Nearly a quarter of businesses reported less than 1% allocated to mobile. On the positive side, 55% report increased budgets over the past yearddd May 2012 79

BIA/Kelsey estimates a compound annual growth rate of 21% from 2011 to 2016 for all US social media ad spending; and for local social ads, it reaches nearly 30%. Local will grow from about a quarter of all spending this year to nearly one-third by 2016, boosted largely by geolocation capabilities. May 2012 80

eMarketer estimates social network ad spending is on a strong growth track, set to climb 43% this year in the US to $3.63 billion. Spending on paid social network ads will reach $5.59 billion by 2014.ddd May 2012 81

In May, BIA/Kelsey released more bullish estimates on social ad spending, projecting it will reach $4.8 billion in the US this year, $7 billion in 2014 and nearly $10 billion by 2016. Most of that spending will be national, but a growing chunk will come from local ads. May 2012 82

One area of opportunity for website updates and growth is mobile. As US consumers continue to adopt smartphones and tablets at a rapid rate, mobile website traffic is bound to increase. For example, the portion of paid search clicks coming from mobile devices in the US rose from 5.3% in January 2011 to 12.3% by December of the same year, according to Marin Software.ddd April 2012 83

According to a March 2012 report from ContentWise and the Custom Content Council, North American marketers spent $40.2 billion to produce and distribute content marketing last year, up slightly from $40.1 billion in 2010. April 2012 84

Keeping with tradition, print garnered the majority of budgets (58.7%) in 2011. Investment in electronic content formats, such as websites and email, were down slightly, yet spending on other forms of content marketing—which includes events and video—rose 44.4%.ddd April 2012 85

Companies’ interest in content marketing is a growing trend. Not surprisingly, Custom Content Council and ContentWise found 52% of North American companies used video for content marketing in 2011, a number that has increased sharply since 2009, when it accounted for only 37% of North American marketers’ content investment. Websites and emails remained the most common digital content marketing formats, used by 82% and 71% of companies, respectively, in 2011. April 2012 86

Since 2009, web and email have quickly closed in on print usage. That year, 91% of North American companies used print, compared to 77% that used websites and 66% that used email. The cost-efficiency of producing and distributing digital content—coupled with the ever-increasing amount of time the US population spends consuming digital media—are two factors driving greater adoption of electronic content marketing formats.ddd April 2012 87

A good portion (35%) of North American companies planned to invest more in website content this year, with an even larger percentage (54%) expecting to do so with video. Email appears to remain a tried-and-true content marketing tactic, and most marketers are already comfortable with their level of investment: just 15% plan to do more with email. The vast majority plan to keep email investment as is. April 2012 88

More than 3 in 5 social media marketers plan to increase their search engine optimization (SEO - 68%) and email marketing (61%) efforts in the next year, finds Social Media Examiner in an April 2012 report.ddd April 2012 89

SEO is a more popular area for increased activity among B2B than B2C respondents (67% vs. 62%), while those with 3 or more years of experience (74%) are more likely than the average to indicate increased activities in this channel. By contrast, those new to social media are more likely than experienced social media marketers to say they will increase email marketing this year (64% vs. 57%). April 2012 90

100% of brand and agency marketers surveyed utilize content marketing in their overall marketing strategies. For 87% of respondents, video is the most common form of content createdddd April 2012 91

And while 15% will budget more for traditional marketing or ads, 21% will scale back their budgets. March 2012 92

As with previous months, digital (excluding mobile) and mobile channels continued to attract global spend in March, with index scores of 78.9 and 71.2, respectively. The press again experienced the largest reduction in expenditure, with a score of 36.1, although that was an increase from 33.5 last month. Radio also improved slightly from 39.6 to 42.3, though remained well below the threshold for rising expenditure. TV and out-of-home hovered around the neutral mark, at 48.8 and 48, respectively.ddd March 2012 93

Sentiment regarding budgets appears to be steadily improving among global marketers, finds Warc, in its latest Global Marketing Index (GMI). The budget component score moved to 51.5 in March, passing the threshold score of 50 for the first time since Warc began tracking sentiment in November 2011, when it was at a low of 43.9. A score above 50 indicates a generally improving environment. The March score was an improvement from February’s 49.3. March 2012 94

Warc’s headline Global Marketing Index (GMI), which tracks overall industry opinion as a composite of marketing budgets, staffing, and trading conditions, rose from 56.2 in February to 57.4 in February. Respondents from the Americas were again the most positive, although headline GMI dropped from 62.9 to 59.7. Sentiment among marketers representing the Asia Pacific also showed some growth, rising from 56 to 57.9. While Europe remained behind in sentiment, it continued to improve, rising to 55, up from 52 in February and 50.4 in January.ddd March 2012 95

As with previous months, digital (excluding mobile) and mobile channels continued to attract global spend in March, with index scores of 78.9 and 71.2, respectively. The press again experienced the largest reduction in expenditure, with a score of 36.1, although that was an increase from 33.5 last month. Radio also improved slightly from 39.6 to 42.3, though remained well below the threshold for rising expenditure. TV and out-of-home hovered around the neutral mark, at 48.8 and 48, respectively. March 2012 96

Sentiment regarding budgets appears to be steadily improving among global marketers, finds Warc, in its latest Global Marketing Index (GMI). The budget component score moved to 51.5 in March, passing the threshold score of 50 for the first time since Warc began tracking sentiment in November 2011, when it was at a low of 43.9. A score above 50 indicates a generally improving environment. The March score was an improvement from February’s 49.3.ddd March 2012 97

Warc’s headline Global Marketing Index (GMI), which tracks overall industry opinion as a composite of marketing budgets, staffing, and trading conditions, rose from 56.2 in February to 57.4 in February. Respondents from the Americas were again the most positive, although headline GMI dropped from 62.9 to 59.7. Sentiment among marketers representing the Asia Pacific also showed some growth, rising from 56 to 57.9. While Europe remained behind in sentiment, it continued to improve, rising to 55, up from 52 in February and 50.4 in January. March 2012 98

38% of respondents expected to decrease their investment in paid traditional media, compared to just 16% for paid digital media, and 9% for earned/owned media. And while only 22% were forecasting increases in traditional media spending this year compared to 2011, half expected to increase their paid digital media spend, and two-thirds their earned digital media spend.ddd March 2012 99

CMOs are predicting a 0.8% decline in traditional advertising spend in the next 12 months, according to findings from Duke University’s Fuqua School of Business, which released its latest CMO Survey in February 2012. This represents a 161.5% decline from the last iteration of the survey, when marketers predicted a 1.3% increase in traditional advertising spend. March 2012 100

The forecast also stands in contrast to CMOs’ outlook for internet marketing spending, which continues to go up, from a projected 11.2% increase in August 2011 to an expected 12.8% rise in February.ddd March 2012 101

Meanwhile, according to the Duke University survey, CMOs are also looking to invest further into brand building (7.2%) and customer relationship management (7.1%), by a greater margin than 6 months earlier. And while new product introductions (8.5%) and new service introductions (4.2%) are also slated for increased spending, both forecasts are down from August’s expectations. March 2012 102

Along with this steady optimism regarding budget growth, CMOs say the share of firm budgets allocated to marketing spending continue to increase. In February 2012, respondents reported that marketing budgets accounted for 10.4% share of their firms’ budgets, up 4% from 10% 6 months earlier, and rising 28.4% from 8.1% a year earlier.ddd March 2012 103

Among economic sectors, B2C services companies boast the largest average marketing percentage of firm budget (16.8%), ahead of B2C product companies (16.1%), B2B product firms (8.7%), and B2B services companies (8.2%). March 2012 104

CMOs predict a 6.2% increase in firm spending on marketing research and intelligence in the next 12 months, unchanged from the August 2011 survey results. They also forecast a 6.6% rise in spending to integrate what they know about marketing (up from 6%), and a 3.7% hike in spend on marketing training (up from 3.1%).ddd March 2012 105

Although they also expect an increase in dollars for marketing consulting services (1.7%) and developing knowledge about how to do marketing (4.6%), expectations for both areas are down from the previous survey. March 2012 106

The Forrester report suggests that investments in search marketing, display advertising, email marketing, mobile marketing, and social media will near $77 billion and will represent 26% of all advertising. Email marketing will take $2.4 billion of the total by 2016 -- up from nearly $1.7 billion this year. Compare that with search marketing at $33.3 billion and $21.5 billion, respectively.ddd February 2012 107

Then there's mobile marketing, which Forrester estimates will reach $8.2 billion in 2016 -- up from $2.7 billion in 2012 -- but perhaps that's where marketers will find the real treasures when tied to email campaigns on portable devices. Mobile commerce should top $31 billion in five years, according to Forrester. Reports suggest that mobile has finally made a connection with commerce. February 2012 108

Marketers are clearly following the channels they see as the most effective uses of their budgets: 47% plan to increase their inbound marketing budget this year compared to the prior year, compared to 11% who plan to decrease it.ddd February 2012 109

Among those planning to increase their budgets, the most common reason was due to past success with inbound marketing (54%), with a change in management (17%) and the economy (11%) also factors. Of those decreasing their budgets, the clear majority are doing so due to economic conditions (62%) or a change in management (21%). February 2012 110

Data from “The 2012 State of Inbound Marketing” indicates that marketers are apportioning 35% of their lead generation budgets to inbound marketing this year, compared to 23% for outbound marketing, a 12% point gap. In 2011, that gap stood at 8% points (32% vs. 24%).ddd February 2012 111

Within their inbound marketing budgets, the influence of blogs & social media is on the rise: this year, marketers will spend 14% of their inbound budgets on these channels, up from 19% in 2011 and 9% in 2009. The share marketers are allotting to SEO this year is 14%, relatively steady from 13% in 2009 through 2011. February 2012 112

The share of outbound marketing budgets devoted to telemarketing has decreased over the years, from 10% in 2009 to 5% this year. Similarly, the share allocated to direct mail has dropped from 9% to 6% in that timespan.ddd February 2012 113

This year, small businesses (1 to 5 employees) plan to spend 43% of their lead generation budgets on inbound marketing, double the 21% share spend planned by large businesses (500 or more employees). At the same time, small businesses are allocating 14% of their budgets to outbound marketing, compared to 33% for large businesses. February 2012 114

Small companies are planning to spend a far larger share of their lead generation budgets than large businesses on social media (18% vs. 7%), SEO (14% vs. 11%), and blogs (11% vs. 3%), while large companies are devoting a larger share to trade shows (17% vs. 4%), PPC (11% vs. 7%), direct mail (9% vs. 5%), and telemarketing (7% vs. 4%).ddd February 2012 115

Branded social channels tops the list of anticipated owned media digital marketing efforts in the coming 1-2 years. February 2012 116

Although traditional media still makes up the majority of marketers’ budgets, only 22% are forecasting increases in traditional media spending this year compared to 2011, while half expect to increase their paid digital media spend, and two-thirds their earned digital media spend.ddd February 2012 117

On the same note, 38% expect to decrease their investment in paid traditional media, compared to just 16% for paid digital media, and 9% for earned/owned media. February 2012 118

Digital marketing spends are growing, albeit slowly. This year, one-third of respondents project digital channels to make up 60% or more of their marketing budgets, up slightly from 31% in 2011.ddd February 2012 119

On a broader level, though, 62% expect to spend more than 30% of their marketing budgets on digital channels, representing a 17% increase from 53% in 2011. Concurrently, the proportion forecasting a spending level of just 0-9% dropped 19% from 21% to 17%. February 2012 120

Brands are more likely to look internally to expand their digital marketing and communication initiatives: 62% said they would increase internal resources for these purposes, compared to 42% who said they would increase external resources. 28% said they would diversify agency partnerships and select agencies based on areas of expertise, while 19% will look to consolidate their agency partnerships.ddd February 2012 121

Results from that survey show that three-quarters of marketers rank specific sector experience between a 7 and 10 on a 10-point scale of importance (with 10 being the most important) when looking for a new agency. In fact, the highest proportions of respondents rank sector focus a 10, 9, or 7 (all at 20%) in importance when looking for a new agency, compared to only 8% combined ranking it a 4 or lower. February 2012 122

Meanwhile, data from the SoDA “Q1 2012 Digital Marketing Outlook” indicates that blog writing, editing, and copywriting skill sets are in high demand, with 61% of respondents citing them as an increased priority this year, with a further 37% saying they are an ongoing priority. Other skill sets that are increasing in importance for a majority of respondents are mobile application development (57%), digital brand management and measurement (52%), and mobile site development (50%), with social media marketing (49%) following closely.ddd February 2012 123

Skill sets with the least amount of demand this year are social community site management and digital advertising creative development, slated as increased areas of priority for 37% and 36% of respondents, respectively. February 2012 124

Word-of-mouth and online video are the leading areas respondents where anticipate focusing their earned media digital marketing efforts in the coming 1-2 years.ddd February 2012 125

Online’s growing influence among desirable demographics is driving investment. eMarketer estimated total media ad spending in Canada at $12.22 billion in 2011, with $2.57 billion going to online spending. And online spending is forecast to narrow the gap further; it will account for more than a quarter of all media ad spending by 2013. February 2012 126

And if your budget is decreasing, I’m sorry to tell you that you are in an exceedingly small minority — we found 67% of organizations expect to increase their email budgets in 2012 with only 3% indicating that a decrease is in the works.ddd January 2012 127

As you can see in the chart above, nearly one-fifth of email marketing budgets are set to increase more than a whopping 30% in 2012. January 2012 128

eMarketer estimates mobile advertising spending in the US reached $1.45 billion in 2011, up 89% from $769.6 million in 2010. This year, US mobile ad spending will grow 80% to $2.61 billion.ddd January 2012 129

eMarketer previously forecast US mobile ad spending would grow 47% to $1.8 billion in 2012, up from $1.2 billion last year. The significantly higher revision is the result of several factors, most notably a stream of new market data made available in the past few months from major advertising publishers and research firms. January 2012 130

eMarketer estimates US mobile search advertising more than doubled in 2011, when spending grew to $652.5 million, up from just $253.2 million in 2010.ddd January 2012 131

This year, advertisers will spend $1.28 billion on mobile search ads in the US, eMarketer estimates. eMarketer previously forecast mobile search advertising would reach $349.4 million in 2011 and $594.8 million in 2012. The revisions have helped put search in first place among mobile formats, with 49% of total mobile spending this year. January 2012 132

eMarketer estimates US mobile display ad spending, which includes spending on banner and rich media ads, will grow 93.5% to $861.7 million in 2012, after reaching $445.4 million in 2011. Spending on mobile video advertising will grow an estimated 122% to $151.5 million this year, up from $68.2 million in 2011.ddd January 2012 133

Total US advertising expenditures in the first 9 months of 2011 increased 1.5% from the previous year, finishing the period at $104.7 billion, according to December 2011 data from Kantar Media. Spending growth slowed during Q3, up 0.4% compared to 2010, after rising 4.1% in Q1 and 2.8% in Q2. Spending among the 10 largest advertisers in the first 9 months of 2011 was $11.8 billion, representing a 1.4% decline compared to the previous year. Procter & Gamble maintained its top-ranked position with spending of $2.1 billion through September, down 5.6% compared to 2010, although its Q3 spending was flat compared to the previous year. January 2012 134

US online ad spending will exceed the total spent on print magazines and newspapers this year for the first time, according to a January 2012 eMarketer estimate that projects $39.5 billion in online ad spending, $19.4 billion in newspaper ad spending, and $15.4 billion in magazine ad spending. eMarketer estimates that online ad spending will continue its dramatic growth to reach $62 billion by 2016, while the print total will continue to decline to $32.3 billion that year.ddd January 2012 135

US online ad spend is expected to grow by 23.3% this year, with double-digit growth continuing through 2014 before slowing to 8.9% in 2015 and 7.8% in 2016. January 2012 136

As online ad spending grows, so will TV, albeit more slowly, notes eMarketer, which estimates that US TV spending will reach $72 billion in 2016. At that point, the gap between TV and online ad spending will be $10 billion, compared to the $28.7 billion gap seen in 2011.ddd January 2012 137

Overall, eMarketer projects total media ad spending to grow 6.7% this year to $169.5 billion, boosted by national election campaigns and gains in mobile spending. Growth will remain between 3-4% through 2016, with spending reaching almost $200 billion by then. And while online will be a major driver of that growth, traditional ad spending will for the most part stagnate during the period. January 2012 138

Meanwhile, expenditures for the 10 largest categories grew 3.1% in the first 9 months of 2011, to $59.5 billion. For Q3, the aggregate increase was 1.8%, although quarterly growth rates for 7 of the 10 categories trailed their year-to-date average. Automotive was the top category with $9.9 billion of spending during the 9-month period, up 7% from 2010. However, the bulk of the gain came early in the year, and from April through September automotive budgets grew just 1%.ddd January 2012 139

Meanwhile, ad spending in Spanish Language Television jumped 18% during Q3 2011 compared to Q3 2010, while syndication TV was also up 14.8% for the period. The only TV segment to lose ground was spot TV, where spending fell 5.7% year-over-year in Q3, and was also down 2.7% for the year-to-date. January 2012 140

Overall, compared to the corresponding periods in 2010, TV ad spending grew 2.3% for the year-to-date, and 3.2% for Q3.ddd January 2012 141

U.S. adults spend 10.1% of their total media consumption time with mobile, but only .9% of total ad spend is dedicated to mobile. Contrast with TV time spent vs. ad spend, at 42.5% and 42.2%, respectively. January 2012 142

The research from Efficient Frontier shows that search spend increased significantly in Q4 of 2011, bolstered by aggressive spending by retailers. Overall, search spend grew 14% Year over Year in the United States.ddd January 2012 143

Mobile search advertising is also an area of significant investment, growing to 7-8% from 2% a year ago. We should expect both channels to grow significantly in 2012. January 2012 144

Mobile search advertising spend grew 269% year-over-year in Q4 2011, accounting for 14.2% of retailers’ total paid search budgets during the quarter, with impressions also up 317%, according to [download page] a January 2012 report from IgnitionOne.ddd January 2012 145

Data from IgnitionOne’s report indicates that US paid search spend grew 22.4% year-over-year in Q4, and 20.4% quarter-over-quarter. December, being the strongest month of the quarter, drove much of the growth. January 2012 146

There were also year-over-year increases in impressions (20%), clicks (34%), and CTR (12%) in Q4. Marin Software clients saw similar gains, with click volume up 56% year-over-year in Q4 [download page], along with a 27% increase in impressions, and a 23% rise in CTR.ddd January 2012 147

IgnitionOne’s results from within the retail sector were even more impressive in Q4: holiday shopping pushed search spending for the sector up 26% year-over-year, while there were also significant increases in impressions (42%), clicks (42%), transactions (67%), and revenue (43%). According to January 2012 data from Performics, its retailer clients spent 58% more on paid search in Q4 2011 than in Q4 2010, driving a 53% increase in clicks. January 2012 148

Meanwhile, global paid search spending by high-tech and consumer electronics firms in 2011 was up 21% from 2010, according to [download page] a January 2012 Covario report that analyzed the spending patterns of its customers. Global search spend in Q4 rose 7% quarter-over-quarter and 28% year-over-year.ddd January 2012 149

But the fast growth of mobile video ad revenues will mean much more substantial changes in revenue composition. While ad dollars made up just 5.4% of mobile video revenues in 2011, by 2015 that figure will more than triple, to 16.5%. January 2012 150

Ad-supported mobile content revenues will exceed $1 billion by 2015, eMarketer estimates, with the fastest growth coming from ad support for mobile video.ddd January 2012 151

Last year, US mobile video revenues from advertising reached just $37.5 million, but by 2015, advertisers will spend $213.6 million on placements that support mobile video content. Despite such rapid growth, that figure will still be lower than the amounts spent on advertising against mobile games and mobile music, at $65.3 million and $181.4 million, respectively, in 2011 and rising to $269.1 million and $591.5 million, respectively, by 2015. January 2012 152

That year, eMarketer estimates, 29.9% of all mobile content revenues, or $1.07 billion, will come from advertising.ddd January 2012 153

Ad support as a share of total mobile content revenues will grow for each of the three content types over the forecast period. Currently, mobile music has the greatest share of dollars coming from ads, and it will hold that position, with ad dollars making up 73.9% of the total in 2011 and 79.3% by 2015. January 2012 154

Overall, video is forecast to account for 35% share of advertisers’ online display budgets in 2012, up from 27% this year. December 2011 155

Meanwhile, according to Break Media, advertisers increasing their video ad spend in the next year say the dollars will come not just from non-video display budgets (45%) and overall advertising budget growth (38%), but also from TV (32%) and print/outdoor (25%) budgets. December 2011 156

Over the next three years we expect Asia Pacific (excluding Japan) to grow by an average of 10.4% a year, Central & Eastern Europe to grow 9.6% a year and Latin America to grow by 7.3% a year. The exception is the Middle East & North Africa, where political turmoil has disrupted media production and distribution, and made advertisers wary of attracting negative attention. We forecast the Middle East & North Africa to grow at an average of 1.3% between 2011 and 2014. December 2011 157

Overall we expect developing markets – which we here define as everywhere outside North America, Western Europe and Japan – to increase their share of the global ad market from 32.3% in 2011 to 35.9% in 2014 December 2011 158

Over the next three years nearly half (48%) of all the world’s growth in ad expenditure will come from just ten developing markets. The four BRIC markets alone (Brazil, Russia, India and China) are forecast to account for 33% of global growth. Beyond the BRICs, there are six fast-growing markets we forecast to add between US$1 billion and US$4 billion each to the global ad market, and deliver another 15% of global growth: Indonesia, South Africa, Argentina, Turkey, Mexico and South Korea. In these ten markets ad expenditure occupies 0.32% of GDP, less than half of the world average of 0.70%, demonstrating their huge potential for further catch-up growth. December 2011 159

The top 3 ways SMBs plan to attract customers in 2012 are word-of-mouth (25%), repeat business (25%), and advertising and marketing (22%), while social media will be the primary source of customer attraction to only 11%, according to [pdf] a survey released in December 2011 by Zoomerang in partnership with GrowBizMedia. December 2011 160

Data from “SMB Business Perspectives: 2011 Results and 2012 Projections” indicates that SMBs are evenly split on whether or not they will use social media tools in 2012. These figures are substantially different from results of a November Constant Contact survey, which found 81% of small businesses to be using social media marketing, up from 73% 6 months earlier, with 47% saying their use of social media has increased substantially over that time period. December 2011 161

The top 3 common business sectors that SMBs plan to invest in are marketing (35%), sales (28%), and technology/IT (22%), with product/service expansion (20%) closely following. December 2011 162

14% of SMBs experienced business development and communications/marketing/sales growth in 2011, making those the top-performing business sectors. However, more respondents reduced their business development staff than increased it (13% vs. 6%). December 2011 163

Specifically, it was revealed that content marketing made up 26 percent of ad spending of the more than 1,000 B2B marketers surveyed. December 2011 164

Furthermore, 60 percent stated that they plan to increase their budgets to implement such tactics - which include blogs, online articles, forums, email marketing campaigns and more. December 2011 165

According to CTIA - The Wireless Association (www.ctia.org), there were 327.6 million U.S. subscribers to mobile telecommunications services as of June 2011. December 2011 166

According to Kantar Media (www.kantarmedia.com), measured media advertising spending totaled $131.1 billion in 2010, a 6.5% increase over 2009 spending. The increase followed a 12.3% decline in 2009 and a 9.2% drop in 2008, after measured ad spending had reached an all-time high of $158.2 billion, in 2007. December 2011 167

Total advertising spending includes measured and unmeasured media. Unmeasured media includes local media and other media sources not tracked by Kantar Media. RKMA estimates unmeasured media advertising spending as roughly equal to the measured media market. Thus, total advertising spending in 2010 was approximately $260 billion December 2011 168

Measured media advertising, as defined by Kantar Media, includes multimedia ad expenditures for network TV (6 networks), spot TV (123 DMAs), cable TV (71 networks), syndication TV, Hispanic Network TV (4 networks), consumer magazines (231 publications), Sunday magazines (7 publications), local magazines (19 publications), Hispanic magazines (14 publications), local newspapers (147 publications), national newspapers (3 publications), Hispanic newspapers (47 publications), network radio (5 networks), spot radio, local radio (32 markets), and outdoor advertising. Beyond these specific media venues, there are thousands of small and local media in the U.S. which attract advertising dollars. December 2011 169

While a small minority plan a decrease in SEO and social media budgets, almost one in 10 say they will drop their PPC funding levels. November 2011 170

60% of marketers are planning on increasing their social media marketing budgets in 2012, ahead of 53.1% who plan to increase investment in SEO, and 40.2% who plan budget growth for their PPC activities. November 2011 171

Specifically, the news source cites a Circle Research study that found trade shows remained the biggest investment for B2B marketers in 2010 (28 percent), followed by magazines (13 percent) and direct mail (9 percent). Various digital channels were utilized, such as social media, SEO, online content and email marketing, but they were far more spread out. November 2011 172

An additional Circle Research study earlier this year found that 78 percent of 274 client-side B2B marketers polled engaged in social media marketing. November 2011 173

For example, the news source quotes Google research, which found 35 percent of B2B marketers already use online video and plan to increase their budgets for it going forward. November 2011 174

The ability to target and segment customers using CRM tools and customer analytics highlights a larger strategic desire to improve customer loyalty and advocacy shared by two-thirds (67%) of the CMOs in the IBM study. November 2011 175

Findings from IBM showed that in the next three to five years, 82% of CMOs surveyed worldwide will increase their technology investment in social media, and 81% plan to focus on customer analytics and customer relationship management (CRM) solutions, two technologies designed to help them address the impending issues and concerns surrounding the growing amount of available marketing and customer data. November 2011 176

Marketers are using customer data to help them better reach unique segments of their customer and prospect audiences. In fact, 61% of CMOs said they used customer data for segmentation and targeting, highlighting the desire to better understand and message their current and potential clients. November 2011 177

IBM’s research complements July 2011 data from ClickSquared and The Relevancy Group that found 35% of US marketers were most interested in improving data-centric segmentation and targeting practices. Learning how to integrate and leverage social data was another top priority for 30% of marketers. November 2011 178

US ad agencies reported 34% of clients were thinking most about online advertising in Q3, compared with 24% the previous quarter. Meanwhile, the number of clients whose primary focus was on spot TV dropped from 41% to an almost-even 35%. October 2011 179

The number of agencies purchasing mobile advertising for their clients also stayed relatively stable, at 23%, but the types of ads they were creating began to change. October 2011 180

This year, according to the forecast, US advertisers will spend just over $1 billion on display ads purchased through the channel, a tiny fraction of total online ad and total display ad sales. October 2011 181

But this year’s spending represents a 203% increase over 2010, according to the estimate, and growth will continue solidly in the double digits throughout the forecast period. October 2011 182

The growth of real-time biding for purchasing display ads is largely due to its convenience and effectiveness. DIGIDAY and Google found in February 2011 that among marketers and agencies that had already used real-time bidding, more than 90% would continue to spend at least some budget this on year the tactic. October 2011 183

But for optimistic levels of growth to occur, publishers must also open up to the channel. Another DIGIDAY study, conducted with PubMatic in March 2011, found that just 20% of publishers offered ad placements via real-time bidding on their sites, compared with 62% of advertisers that had tried real-time bidding at that point. October 2011 184

But looking ahead, 56% said they are building plans for consumer insights generation via social media, or will build it soon, and 47% will build plans for key performance indicators and dashboards for social media. Interestingly, 41% of respondents said they don’t have any plans to build revenue-generating platforms from social media. Only 15% currently have such plans in place and 44% are building, or will soon build, such plans. October 2011 185

In 2011, 67% of respondents reported that social media made up less than 5% of their total digital spend. But when asked about how things would look in three years, 32% predicted social media will be between 5% and 10% of digital marketing spending and 27% predict it will be 10% to 20%. An additional 28% of respondents think social media will make up more than 20% of their digital marketing spend by that time. October 2011 186

Where is that money going? When asked about where they are making investments in social media, 57% of respondents said hiring full-time employees. Additionally, 48% highlighted services provided by partners, 39% said creating more content and 38% mentioned media buys. October 2011 187

Currently, 65% of respondents said they have plans in place to improve social media policies, 63% have plans for integration of social media into marketing plans overall, and 59% have plans for social media monitoring and rapid response capabilities. October 2011 188

eMarketer estimates North America will continue to draw the greatest share of online advertising spending of any region, with over 40% of the worldwide total. Western Europe’s share of online spending will decline as emerging markets in Asia-Pacific, Latin America and Eastern Europe up spending. October 2011 189

Within the US internet media category, display spending jumped 12.9% and search investments rose 8.6%, according to data from Kantar Media, as Kantar analysis indicates each benefited from a surge of money from the travel, local service and insurance categories. October 2011 190

US paid search spend grew a modest 7% year-over-year in Q3 2011 and 4% quarter-over-quarter. This compares with 6% year-over-year growth and 3.5% quarter-over-quarter growth in the same quarter last year. October 2011 191

Paid search advertising performance for the retail vertical was not especially rosy during Q3 2011. Retailers’ search advertising spend grew 22% year-over-year, but ROI declined as consumers cut back on spending. Conversion rates and average order values (AOV) were down 15.7% and 5.1%, respectively, for the quarter compared with the same time last year. October 2011 192

Advertisers increased their investment in digital display advertising a healthy 21% during Q3 2011, compared to Q3 2010, as CPM (cost per thousand views) plummeted about 23%, according to [pdf] data released in October 2011 by IgnitionOne. The investment appears to have paid off, as digital display ad impressions shot up 58% compared to a year earlier. October 2011 193

Despite overall growth of 5.7 percent for the advertising industry in Q2 2011, ad spending fell in nearly half the world’s key markets in the second quarter of this year as economic concerns continued to impact the advertising industry, according to Nielsen’s quarterly Global AdView Pulse report. October 2011 194

“Compared to the 8.9 percent growth rate in the first quarter of the year, there was definitely some slowdown,” observed Randall Beard, Global Head of Advertiser Solutions for Nielsen. “But, based on the global economy and the financial problems many countries have experienced, a 5.7 percent increase for quarterly year-on-year global ad spend is still great news.” October 2011 195

Global advertising in Q2 totaled USD127 billion (mainly based on published rate cards and four major media types), and the first half of 2011 closed with a +7.2 percent growth over the same period in 2010. October 2011 196

Advertising revenue dropped in 16 out of 36 global markets covered by the Nielsen Global AdView Pulse October 2011 197

Fast Moving Consumer Goods (FMCG) advertising posted its lowest quarterly growth since the Q1 2009 Pulse report: 4 percent globally including declines of -3.6 percent in Europe and -3.0 percent in North America. October 2011 198

While radio posted the largest percentage increase among all traditional media in Q2 (+8.2%), overall television continued to dominate global advertising, accounting for 65 percent of total spend. October 2011 199

Despite overall growth of 5.7 percent for the advertising industry in Q2 2011, ad spending fell in nearly half the world’s key markets in the second quarter of this year as economic concerns continued to impact the advertising industry, according to Nielsen’s quarterly Global AdView Pulse report released today. October 2011 200

Nielsen reported that advertising revenue dropped in Q2 in 16 out of 36 global markets – the first significant decline since the Q3 2009 report when ad spend fell in more than half the markets monitored at the height of the global recession. October 2011 201

“Compared to the 8.9 percent growth rate in the first quarter of the year, there was definitely some slowdown,” observed Randall Beard, Global Head of Advertiser Solutions for Nielsen. “But, based on the global economy and the financial problems many countries have experienced, a 5.7 percent increase for quarterly year-on-year global ad spend is still great news.” October 2011 202

Global advertising in Q2 totaled USD127 billion (mainly based on published rate cards and four major media types), and the first half of 2011 closed with a +7.2 percent growth over the same period in 2010. October 2011 203

FMCG advertising posted its lowest quarterly growth since the Q1 2009 Pulse report: 4 percent globally with notable declines of -3.6 percent in Europe and -3.0 percent in North America. October 2011 204

The decline in FMCG ad spend was particularly surprising as the Easter holiday, traditionally a key occasion for FMCG and confectionary advertising in Europe and North America, took place in late April this year, which should have pushed more ad revenue to the beginning of Q2, noted Beard. Within FMCG, cosmetics and toiletries posted the most robust growth of 6.9 percent and accounted for nearly one in every ten dollars spent globally. October 2011 205

While radio posted the most robust percentage increase among all traditional media in Q2 (+8.2 percent), overall television continued to dominate global advertising and increased its share of voice and spend. In the first half of 2011, television ads attracted USD65 out of every USD100 spent on advertising globally, up from USD63.70 one year ago. October 2011 206

But a look back over several past CMO Surveys shows that social media budgets are growing more slowly than marketers had expected or hoped. In August 2010, marketers reported that social media budgets were 5.9% of marketing budgets and expected that to reach 9.9% one year later—nearly 3 percentage points higher than actual August 2011 levels. September 2011 207

As of August 2011, marketers were spending an average of 7.1% of their marketing budgets on social media and planned to increase that to 10.1% in the next 12 months. Within five years, marketers expect social media to account for 17.5% of marketing budgets. September 2011 208

Total US advertising expenditures in the first six months of 2011 increased 3.2% from a year ago and finished the period at $71.5 billion, according to data released in September 2011 by Kantar Media. Spending growth eased slightly during the second quarter and was up 2.8% compared to last year. September 2011 209

Internet media accounted for more than one-half of the dollar gain in total ad expenditures during the first six months of the year (see more about digital advertising at MarketingVox). Within the internet media category, display spending jumped 12.9% and search investments rose 8.6%, as Kantar analysis indicates each benefited from a surge of money from the travel, local service and insurance categories. September 2011 210

Outdoor advertising had the second-highest rate of growth (11.8%), and was paced by what Kantar determined were healthy increases from local service businesses, banks and TV media outlets. September 2011 211

Consumer Magazine ad spending pulled back in Q2 and finished the half year period up 4.0 percent. September 2011 212

Within the TV sector, which experienced 1.8% growth overall, expenditures on cable networks increased 11.8% during the first half of the year while network TV spending fell 7.6 percent. Kantar analysis suggests one factor shaping these results was the shift of BCS college football bowl games and NCAA Men’s Basketball Tournament programming from broadcast networks to cable, producing a large, one-time transfer of ad dollars. September 2011 213

Spending among the 10 largest advertisers in the first six months of 2011 was about $8,.2 billion, a 0.5% decrease compared to a year ago. September 2011 214

Expenditures for the ten largest categories grew 4.8% in the first half of 2011 to almost $41 billion. Automotive was the top category with almost $6.9 billion of spending in the six-month period, up 9.3%. September 2011 215

Meanwhile, the local services category had the strongest rate of growth among the top 10 with a 10% increase to almost $4.9 billion. Kantar says this performance is consistent with the category’s weighting towards mid-sized advertisers, a segment that has been spending robustly. September 2011 216

Escalating competition among credit card marketers was the catalyst for a 5.6% jump in financial services expenditures, to $4.6 billion. The travel & tourism category entered the top 10 with outlays of $2.9 billion (up 6%) as marketers launched campaigns targeting the peak spring and summer travel seasons. September 2011 217

Global advertising spend rose 8.8% year-over-year in Q1 2011 to total $118 billion USD based on published rate cards, according to Nielsen Global AdView Pulse data. Nielsen analysis indicates heavier TV spending, as well as increased investment in the Latin American and Asian consumer markets, drove growth. September 2011 218

eMarketer predicts advertisers around the world will spend nearly $500 billion in 2011—a growth rate of 4.5%. Online ad expenditures of $80.2 billion are growing at a rate of 17.2% and fueling total media ad spending growth. August 2011 219

The global advertising industry has rebounded more quickly from the worldwide recession than eMarketer and other analysts had anticipated. eMarketer now predicts advertisers will spend nearly $500 billion in 2011—a growth rate of 4.5%. Online ad expenditures of $80.2 billion are fueling the recovery, with internet ad spending increasing 17.2% this year. August 2011 220

Online advertising has become a crucial element in ad budgets worldwide and will account for 16.1% of total media spending across the globe in 2011. By 2015, online advertising will comprise nearly 22% of total media spending. August 2011 221

North America dominates in online spending, comprising 41.7% of the worldwide total in 2011. But emerging markets—the Middle East, Africa and Latin America—lead the world in online spending growth, although from small spending levels. During eMarketer’s forecast period of 2011 through 2015, online spending shares for Latin America and the combined Middle East and Africa region will remain modest, just 3.1% and 1.3%, respectively, but will be the result of solid double-digit spending gains. August 2011 222

Total global ad spend, forecast at $465.72 billion for 2011, is expected to grow about 12% to about $519.86 billion in 2013. August 2011 223

Global internet advertising expenditures will rise about 31.5% between 2011 and 2013, according to a July 2011 forecast from Zenith Optimedia. Internet ad spend is expected to total about $72.18 billion USD this year, and reach $94.97 billion in 2013. August 2011 224

52% of B2B marketers plan to increase their marketing budgets. July 2011 225

Only 7% of marketers said they will decrease budgets this year (compared to 13% in 2010 and 58% in 2009), while 41% said budgets will remain flat. July 2011 226

Annual growth in US B2B online marketing spend was forecast at 8% in 2010 and is set to reach 14% by 2012. July 2011 227

Global advertising spend rose 8.8% year-over-year in Q1 2011 to total $118 billion USD based on published rate cards, according to Nielsen Global AdView Pulse data. Nielsen analysis indicates heavier TV spending, as well as increased investment in the Latin American and Asian consumer markets, drove growth. July 2011 228

TV advertising spend rose 11.9% year-over-year and increased its share among other traditional media (radio, magazines, and newspapers) 3%, from 63.5% to 65.3%, in both developed and many emerging economies. July 2011 229

“With $6.50 of every $10 being spent on TV, it’s clear that TV remains the most important and cost-effective advertising medium for companies looking to reach new consumers, especially in booming emerging markets,” said Nielsen Global Head of Advertiser Solutions Randall Beard. July 2011 230

The closest competitor among the traditional media channels to TV was radio, which saw its global ad spend rise 8.5%. Magazine spend rose 6.4%, while newspapers could only rouse a 1% increase in global ad spend during Q1 2011. July 2011 231

Nielsen data shows that advertising in the world’s largest market, the US, rose 5.4% to reach nearly $27 billion in Q1 2011, with stable increases for TV, radio and magazines. However, newspaper advertising dropped by more than 10%. July 2011 232

Growth in emerging regions of Asia-Pacific (12.4%) and Latin America (11%) drove global ad growth in Q1 2011, followed by Middle East/Africa, which still increased 10.4% despite a 51.3% decline in Egypt’s ad revenue as most companies temporarily halted advertising during the country’s social and political upheaval. July 2011 233

Previously, media buying organization had projected digital marketing would account for 16 percent of advertising budgets in 2011. However, with more businesses turning to the cost-effective medium, GroupM now forecasts the channel will make up 17 percent of spend. July 2011 234

By 2012, the organization believes digital marketing expenditures will exceed $100 billion worldwide, growing at the average pace of 15 percent annually. July 2011 235

"Digital advertising spending accounts for 20 percent and more of measured advertising in countries where it is most developed, but it still has real growth potential even in those nations," GroupM Futures director Adam Smith told ClickZ. Smith believes the use of new technologies, such as behavioral targeting and video advertising, are driving interest in the channel. July 2011 236

A separate report from eMarketer indicates paid search will continue to be the leading platform for marketers, with companies spending more than $20 billion on the channel through 2015. However, the research company also noted interest in video advertising, projecting a significant 400 percent spending increase in the same time period.  July 2011 237

Several factors support the overall upshift in online ad spending. Search remains a major source of ad dollars, and will gain $2.38 billion in new spending this year. July 2011 238

Growth for US online ad spending will crest this year at 20.2% and remain solidly in double digits through 2014, eMarketer forecasts. By 2015, total online ad spending will approach $50 billion. July 2011 239

"The advisory firm also reported that US ad spending increased by 5.4 percent in 2010, rebounding from a 14.4 percent drop the prior year," notes Direct Marketing News. June 2011 240

Meanwhile, traditional channels, such as newspaper and directory advertising, will become more irrelevant. Television will grow but only slightly, with PwC predicting a 4.9 percent CAGR. June 2011 241

Consequently, the advisory firm projects, locally targeted mobile ads will then make up 51% of overall US mobile ad spending, growing to 70% by 2015. June 2011 242

According to the firm, total US mobile ad spending will balloon from $790 million in 2010 to $4 billion in 2015. Concurrently, the local portion of that total will increase from $404 million to $2.8 billion. June 2011 243

The US online advertising market is poised for rapid growth this year, with spending expected to exceed $31 billion, according to a new forecast by eMarketer. June 2011 244

The firm estimates online advertising spending in the US will grow 20.2% to $31.3 billion in 2011, up from $26 billion in 2010, when the market grew 14.9%. June 2011 245

eMarketer, which forms its forecast though a meta-analysis of reported revenues from major ad-selling companies, results from its benchmark source, and research estimates and methodologies from dozens of firms that track ad spending, estimates internet ads will account for nearly 20% of all major media ad dollars spent in the US this year, up from a 17% share in 2010. June 2011 246

By 2015, online advertising is expected to make up nearly 28% of total US major media ad spending, compared to TV, whose share of total spending is expected to hover around 38% for the next five years. June 2011 247

Total online display ad spending—including online video, banner ads, rich media and sponsorships—has already brought the category in close range of search. This year, US advertisers will spend $14.38 billion on search ads and $12.33 billion on online display, up 19.8% and 24.5%, respectively, over 2010. June 2011 248

Display’s rise has been supported by marketers increasingly funneling dollars toward banner and video ads. Advertisers spent an estimated $6.23 billion on banner ads in 2010, a figure that will grow to an estimated $7.61 billion—or 24.3% of total online ad spending—this year, eMarketer estimates. By 2015, banner ad spending is expected to reach $11.73 billion. June 2011 249

Video advertising is growing faster than all other online ad formats, and this year eMarketer estimates online video will surpass rich media in terms of ad spending. US online video advertising spending will grow 52.1% to $2.16 billion, up from $1.42 billion last year, when the video ad market grew 39.6%. June 2011 250

Despite its rapid growth, video’s share of overall online ad spending will reach just 6.9% this year. By 2013, however, video is expected to surpass classifieds and directories in market share—putting video behind only search and banner ads in terms of overall online ad spending. June 2011 251

eMarketer estimates US search advertising spending will make up 45.9% of overall US online ad dollars this year, down from a 46.1% share in 2010. However, more new dollars will go into search this year and next (over $5 billion) than into banners and video combined (less than $4.4 billion). June 2011 252

This year, eMarketer projects 39.4% of online ad dollars will be devoted to branding—including banner ads, rich media, sponsorships and video. All other ad formats, including classifieds, embedded email ads, lead generation and paid search, are classified as direct response. June 2011 253

Spending on branding-oriented online ads will grow more quickly than direct-response spending throughout the forecast period, and by 2015, 44.4% of online advertising spending will be devoted to branding. June 2011 254

But rather than making a true recovery, spending will seesaw in coming years, dropping 0.9 percent in 2011, and hovering under $130 billion through 2015—far from the $165.94 billion recorded in 2007 on the eve of the recent recession. June 2011 255

After plunging by 18.5% in 2009, ad spending on traditional media is on a slow rebound. eMarketer estimates spending was up 2.1% in 2010, to $127.2 billion June 2011 256

Among industry categories miscellaneous services & amusements leading spender, at $244,385 million, which accounts for about 18% of the channel’s total Q1 revenue. This is followed by media & advertising with $138,668 in spending for just over 10% of the total revenue. Restaurants ranked seventh with about $100 million in spending. May 2011 257

The financial and media & advertising sectors recorded the most growth in outdoor advertising spending in the quarter, showing a 29.1% and 26.8% growth rate over the same period last year. Schools and camps entered the list of top 10 industry categories for the first time with a 21% increase in outdoor revenue, over the same period in 2010. May 2011 258

Overall North American smartphone impressions grew by over 37% with 80% of all ad impressions on the company’s network coming directly from smartphone users. May 2011 259

Mobile advertising provider InMobi has published its latest “Mobile Insights Report: North American and Global Editions” for April 2011 in which it indicates — according to their network statistics — that the mobile advertising market in North America has grown by 17% in the last three months alone.  The growth stands at 11% globally. May 2011 260

After dropping by 18.5% in 2009, traditional media ad spending is treading water. Some media, like TV, are keeping their audiences—and even growing their ad dollars—while others face declining consumption and spending. May 2011 261

After plunging by 18.5% in 2009, ad spending on traditional media is on a slow rebound. eMarketer estimates spending was up 2.1% in 2010, to $127.2 billion. But rather than making a true recovery, spending will seesaw in coming years, hovering under $130 billion through 2015—far from the $165.94 billion recorded in 2007 on the eve of the recent recession. May 2011 262

Overall, B2B online marketing budgets are expected to grow 6.7 percent. In particular, tech-service companies are expected to increase expenditures by 17 percent. Other sectors planning big budget growths include finance and insurance, high-tech products, business and professional services as well as manufacturing, MarketingProfs reports. May 2011 263

The majority of spend is going to product marketing and management, which is set to account for 21.3 percent of B2B marketing budgets. Lead generation and brand awareness are also top expenditure categories, expected to receive 15.7 percent and 13.5 percent, respectively. May 2011 264

Another 35% (of small businesses) will split their resources evenly between web-based and printed/traditional marketing and advertising this year, up about 13% from 31% in 2010. Only 16% will focus the most resources on printed materials, down 33% from 24% a year earlier, and 13% will focus the most resources on traditional advertising (radio/TV/newspaper), about the same as 14% in 2010. May 2011 265

The research findings reflect a buoyant digital industry that is experiencing rapid growth. On average, companies are spending 22% of their marketing budget on digital, and more than half (58%) are increasing their digital budgets in 2011. This compares to 43% of organisations who are increasing their overall marketing budgets this year. April 2011 266

Companies that are increasing budgets were asked by how much they expect their overall marketing budgets to increase. On average, companies expect to increase their overall budgets by 23%. This compares to an average of 30% in the UK, according to the Econsultancy / SAS Marketing Budgets Report 2011. April 2011 267

The vast majority (91%) expect their budgets to increase by up to 40%, with almost a third (29%) saying they expect budgets to go up by up to 10%. Over half of companies (52%) said they expect an increase in the region of 11% to 30%. At the other end of the scale, 6% say they expect a 91% to 100% increase in overall marketing budgets in 2011. April 2011 268

The fast-developing areas of mobile and social media are also expected to see strong advertising growth. eMarketer predicts US mobile ad spending will reach $1.1 billion this year, and online advertising on social networking sites April 2011 269

Furthermore, survey data indicates small businesses were much more likely to increase their use of this marketing tactic. For example, 49% of the self-employed are planning an increase, compared to just 27% of businesses with 500 to 1,000 employees. April 2011 270

Four in 10 (42%) of social marketers have no plans to use webinars or teleseminars, with another 42% planning on increasing their use of these tools and 15% keeping their usage the same. SocialMedia Examiner says when this is contrasted with the large percentage that employ physical event marketing, it would seem that many businesses are not yet sold on the idea of virtual events. April 2011 271

Other SocialMedia Examiner data shows large businesses (1,000 or more employees) were most likely to increase online advertising (53%), and B2C companies were more likely (50%) than B2B companies (42%) to increase their use of online ads. April 2011 272

Slightly less than half (46%) of social marketers plan on increasing their online advertising efforts, with 27% having no plans to utilize online advertising. Twenty-four percent will keep online advertising levels the same and 3% will decrease them. April 2011 273

In addition, SocialMedia Examiner analysis shows B2B marketers are significantly more likely (67%) to increase event marketing than B2C marketers (53%), and the self-employed (70%) and small business owners (65%) are significantly more likely to use event marketing than large corporations (43% to 38% range, depending on number of employees). April 2011 274

A significant 60% of social marketers plan on increasing their event marketing and speaking engagements. Another 26% will keep the level of these activities the same, with 13% having no plans to utilize them and 2% planning a decrease. April 2011 275

Nearly two in three social marketers (64%) plan on increasing their email marketing efforts in the near future. While the percentage planning to decrease email usage (3%) is slightly higher than that who plan to decrease SEO usage, fewer have no plans for email (5%) and more plan to keep email usage the same (27%). April 2011 276

Among marketers who do outsource social media marketing efforts, the most commonly outsourced task is design/development, which 17% say they outsource. MarketingCharts observes that the other most commonly outsourced tasks, such as content creation (10%) and analytics (10%), can also be considered “behind the scenes” functions. “Real time” functions such as community management (4%) and live tweeting (3%) are less likely to be outsourced. April 2011 277

The Interactive Advertising Bureau (IAB) has conducted a new study entitled “An Inside Look at Demand-Side Perceptions of Digital Video Advertising”, revealing almost 69% of marketers and around 55% of agencies plan to increase their digital video advertising (DVA) spend over the next year, leading to a 22% growth in DVA spend.  April 2011 278

Two of what Nielsen recorded as the hardest hit sectors during the global downturn, automotive and finance, returned from their recession hiatus and increased ad spend in 2010 by 20.3% and 17.9%, respectively. Nielsen data shows six automotive companies were among the top 20 global advertisers in 2010. April 2011 279

In addition, ad spend for fast moving consumer goods (FMCG) increased 14.6% in 2010, and the sector’s share of ad spend also increased 4%, from 23.9% to 24.9%. Regionally, FMCG spend grew by more than the global average in Middle East/Africa (34.3%), Latin America (23.9%) and Asia Pacific (16%). April 2011 280

The global advertising posted a 10.6% year-on-year increase to $503 billion USD in 2010. Nielsen analysis indicates strong performance in Asia Pacific, surging growth from emerging consumer regions of Middle East/Africa and Latin America, and spending related to the 2010 World Cup all contributed to overall growth. Overall 23 out of 37 global markets posted double-digit ad growth last year. April 2011 281

Emerging markets attracted advertisers to new booming markets in Pan-Arab (+43%), Egypt (+40.8%), and Argentina (+38.9%), which recorded the highest percentage advertising increases. April 2011 282

The USA, the world’s largest advertising market, had one of the slowest regional 2010 growth rates of 5.6% year-over-year, but is back in positive territory after advertising expenditure dropped 9% in 2009. April 2011 283

The USA, the world’s largest advertising market, had one of the slowest regional 2010 growth rates of 5.6% year-over-year, but is back in positive territory after advertising expenditure dropped 9% in 2009. April 2011 284

The only market to experience a decline in advertising in 2010 was the United Arab Emirates (-4.4%) while advertising remained virtually flat in the mature markets of Japan (+1.3%) and Spain (+0.4%). April 2011 285

Latin America, in addition to posting the second highest regional ad spend increase (+21.2%) in 2010, spearheaded by Argentina, also benefited from the highest ad increases across the financial (+37.2%), entertainment (+17.8%), clothing/accessories (+22%) and media (23.8%) sectors. April 2011 286

Total US advertising expenditures increased 6.5% in 2010 and finished the year at $131.1 billion, according to data released by Kantar Media. Solid increases in ad expenditures in the TV, internet and outdoor sectors helped offset smaller increases in the radio, FSI and magazine sectors and negative growth in the newspaper sector. April 2011 287

And local marketers are taking advantage of this opportunity. BIA/Kelsey projects US local online ad spending will comprise 16.2% of all local ad spending this year—a number expected to jump to 24% of all local ad spending by 2015. April 2011 288

Spending among the 10 largest advertisers in the US market during 2010 reached about $16.3 billion, a 3.7% increase compared to almost $15.8 billion the prior year. March 2011 289

Total US advertising expenditures increased 6.5% in 2010 and finished the year at $131.1 billion, according to data released by Kantar Media. Solid increases in ad expenditures in the TV, internet and outdoor sectors helped offset smaller increases in the radio, FSI and magazine sectors and negative growth in the newspaper sector March 2011 290

Expenditures for the ten largest advertising categories increased 6.5% year-over-year in 2010, from almost $69.6 billion to $74.1 billion. Automotive was the leading category in both dollar volume and growth rate, finishing 2010 at $13 billion, up 19.8%. Category spending grew almost twice as fast as new vehicle sales (19.8% compared to 11.1%), reflecting what Kantar calls a fiercely competitive marketing environment for manufacturers and dealers. March 2011 291

Telecom was the second largest category with 2010 budgets rising a modest 4% to about $8.7 billion. Lower spending by wireless carriers and satellite TV companies was offset by higher outlays from cable TV service providers. March 2011 292

64 percent of Canadian marketers and 47 percent of American marketers expect to increase spending in mobile in 2011 February 2011 293

42 percent of Canadian marketers and 35 percent of American marketers reported “a lot of change” in the composition of their 2010 marketing budget. February 2011 294

With most marketers investing more money into social media, associates who specialize in the field will be in high demand. Half of respondents (50 percent) said they intend to hire social media reps, while they also intend to spend more resources managing and measuring social media campaigns. February 2011 295

The survey polled more than 600 individuals in the marketing industry and found that 68 percent intend to increase the number of digital staff hired this year - a growth of 11 percent from when the poll was taken last year. February 2011 296

In 2011, 10.8% of all US online ad spending will go to social networks. Next year, the share of spending going toward social destinations is expected to rise to 12.1%. February 2011 297

On a worldwide basis, social networks are also increasing their representation. Of the nearly $69 billion marketers will spend on online advertising worldwide in 2011, 8.7% will land on social networks, rising to 10.2% of $79 billion in 2012. February 2011 298

Search and display formats combined will comprise about 83% of total online ad spending for 2011, eMarketer estimates, and are projected to see an annual increase in ad spending of about 10% and 14%, respectively. Yet challenges remain for marketers looking to integrate the two. February 2011 299

Online, B2B marketers were most likely to report planned increases in marketing spending on their websites and email programs, followed by social media. These results differed in priority from those of a survey of general US marketers by RSW/US. Among that group, 65% planned to spend more on social media, followed by 47% on email. RSW/US did not report on increases in website spending. January 2011 300

In 2010, social media, websites and email each received a median of 10% of B2Bs’ online marketing budgets. Spending levels were higher on display and video advertising. January 2011 301

According to Bernhart’s latest “Quarterly Digital and Direct Marketing Employment Report,” which projects first quarter 2011 hiring trends, 52% of respondent companies said they plan to add direct and digital marketing staff. That compares with 41% that indicated hiring plans for the fourth quarter of 2010 and 39% in the third quarter. January 2011 302

US marketers will spend $3.08 billion to advertise on social networking sites this year, eMarketer predicts. Spending will be up 55% over the $1.99 billion advertisers devoted to social networks in 2010 and will rise by a further 27.7% next year to reach nearly $4 billion. January 2011 303

This year’s dramatic growth in spending will bring social media ad dollars to 10.8% of the total spent online in the US. Worldwide, where social network ad spending will rise 71.6% to $5.97 billion, that proportion will be somewhat lower, at 8.7%. January 2011 304

Online video advertising has also shown significant growth as more brands attempt to cut through with creativity, with ad spends up 82% year on year. January 2011 305

Annual growth in US B2B online marketing spend is forecast at 8% in 2010 and is set to reach 14% by 2012 & B2B advertising spend on social media and lead generation sites is forecast to grow at an annualized rate of 21% and 17% respectively to 2013. January 2011 306

US online B2B ad spending is forecast to grow at a compound annual rate (CAGR) of 12% from 2009 to 2013, reaching 14% growth in 2012 and 2013. January 2011 307

B2B ad spending on social media and lead generation is forecast to increase by double digits through 2013, at annualized rates of 21% and 17%, respectively. January 2011 308

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