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FACTS AND STATISTICS |
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INTERNET & EMAIL MARKETING
Online spending in 2008 will rise 23 percent, slightly lower than the 24.9 percent in 2007.1
Blogs are the fastest-growing form of online publishing, skyrocketing from nowhere in 1999 to 78 million unique visitors in the U.S. in August 200811
The number of blogs has reached a cumulative total of 133 million.12
Advertisers will spend $1.4 billion in 2008 to place ads on social networking sites, with that number predicted to rise to $2.6 billion by 2012.1
U.S. Internet ad revenue will increase from $25.5 billion in 2007 to $51.1 billion in 2012.2
Expenditures in Internet marketing and commercial e-mail are predicted to reach $23.6 billion in 2008.3
Internet video advertising will jump from $.05 billion in 2007 to $3.8 billion in 2012.2
Worldwide spending on Internet advertising will total $65.2 billion in 2008, which represents nearly 10% of all ad spending across all media.2
| Internet penetration in general population |
| Asia | 14% |
| North America | 73% |
| Europe | 48% |
| Source: Miniwatts Marketing Group, 2008 |
| How Do Online Consumers Spend Their Time? |
| 87% | Read email |
| 70% | Search for information |
| 60% | Shop |
| 37% | Use instant messaging |
| Source: JupiterResearch, 2007 |
| Percentage of paid search business owned in 2008 |
| Google | 75% |
| Yahoo! | 9% |
| Source: eMarketer |
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MOBILE MARKETING
In just two years, the number of cellular subscribers in the U.S. increased eight-fold to 225 million, or 84 percent of the population, in 2007 from 34 million, or 13 percent, in 2005.4
80 percent of major U.S. brands are planning to market via mobile phones by 2008.5
Worldwide, 3 billion people have mobile service.4
At the end of last year, BlackBerry had a 40 percent share of the United States smartphone market, down from 45 percent at the end of 2006, thanks largely to the 17.4 percent share the iPhone grabbed in its first six months.6
Of the two billion cell phones sold last year, nearly 125 million were smartphones.2
| U.S. cellphone users by age |
| Age | Number | Percent of age group |
| 8-12 | 2.3 million | 12% |
| 13-15 | 6.1 million | 49% |
| 16-17 | 5.9 million | 68% |
| 18-21 | 13.5 million | 81% |
| 18+ | 177.5 million | 80% |
| Source: Advertising Age, American Demographics, 2007 |
| U.S. cellphone use by multimedia |
| | 2006 | 2007 | 2008 | 2010 (projected) |
| Subscribers who watch video | 3.0 million | 7.6 million | 15.3 million | 35.9 million |
Subscribers who pay for premium video
services and watch them on their phones | 0.4 million | 1.2 million | 3.0 million | 8.4 million |
| Subscribers who watch broadcast TV | 0.3 million | 0.9 million | 2.4 million | 7.0 million |
| Source: eMarketer |
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DIRECT MARKETING
19% of companies reported lowering their direct marketing spend in 2008, representing the biggest sustained decline of any channel.7
The current 2008 revenue forecast for direct marketing predicts solid growth of 6.6 percent next year.3
| Top 10
influences on purchase decisions |
| 1. Word of mouth |
| 2. TV |
| 3. Coupons |
| 4. Newspaper inserts |
| 5. Read article |
| 6. Direct mail |
| 7. Magazines |
| 8. In-store promotion |
| 9. Cable TV |
| 10. Internet advertising |
| BIGresearch, SIMM VII survey |
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DEMOGRAPHICS & SEGMENTATION
Spending on behavioral targeting will increase to $4.4 billion by 2012, up from just $775 million this year, with online video a major driver of that growth. 1
| Most Effective Online Advertising Targeting Techniques |
| Behavioral | 52.4% |
| Demographic | 32.9% |
| Contextual | 30.5% |
| Geographic | 14.6% |
| Other | 4.9% |
| Source: American Advertising Federation |
| At a glance: U.S. Moms |
| • Control more than 80% of household spending: $1.7 trillion dollars. |
| • Moms with at least one child between the ages of 6 and 17 spend an average of 10.74 hours online each week. |
| • Half turn to Web sites at least once a week to find out about family-oriented products or services, nearly 37% learn about new products through online ads and nearly 46% turn to search engines. |
| • No. 1 driver of word of mouth among moms is the Internet, more so than TV, magazines or in-store displays. |
| Source: Marketing News TM; C&R Research; Johnson & Johnson, 2008 |
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MARKETING SPEND
In 2008, marketing budgets have suffered the most dramatic decline since the 9/11 terrorist attacks in 2001.8
For 2008, 66% of small-business owners will either spend more or the same on advertising, while 34% are cutting back current advertising dollars.9
Around the world, marketers estimate that 55% of their entire marketing spend failed to deliver results. That means over half the marketing budget does not contribute to the firm's top or bottom line. However, the estimated marketing wastage rate (MWR) drops to 45% for B2B marketers, where budgets are smaller, strategies more niche and campaigns are running via fewer media channels. The estimated MWR hits 65% for B2C marketers, where budgets are often larger and where teams have to take more innovative, riskier creative and media approaches to find new ways to differentiate their brands.10
In 2008, 15% of companies reported an increase in their quarterly marketing budgets, compared with 27% which reported a decline.8
2007 Marketing budget reductions occurred most frequently in the travel and entertainment, retail, durable consumer goods and FMCG sectors. However, marketing spend has risen in the government and charities, IT and computing and financial services sectors.8
More than $5 billion will be spent worldwide in 2008 in each of the top four categories of online ads – adult content and gambling, information, electronics, and computing. These will continue to be the leading categories in 2011.2
| Projected Internet ad spend as percentage of total ad spend, 2011 |
| Western Europe | 18.2% |
| Japan | 16.3% |
| United States | 14.6% |
| World total | 9.7% |
| Source: IDC, ZenithOptimedia |
| U.S. Search Advertising Spend |
| 2007 | $8.6 billion |
| 2008 (projected) | $11 billion |
| Source: eMarketer |
| Top categories of online advertising spend: |
| Search-based advertising |
| Internet yellow pages |
| Consumer-generated ads |
| Lead generation |
| Online classifieds |
| Display advertising |
| Online video and rich media |
| Source: PQ Media |
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GLOBAL MARKET INTELLIGENCE RESOURCES
BBC Country Profiles
Economist Country Briefings
Euromonitor World and Country Factfiles
Country Profiles from World Trade Press
Stratfor Geopolitical Intelligence
CIA World Factbook
Voyage Country profiles
Library of Congress Country Profiles
CountryReports.org
Kwintessential Country Profiles
Infoplease Country Profiles
Geohive Global Statistics
NationMaster.com
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Facts and Stats Sources
- eMarketer
- IDC
- The Direct Marketing Association
- Wireless Industry Association
- Airwide Solutions
- New York Times
- Marketing Magazine, 2008
- IPA Bellwether Report
- Marketing Business Weekly
- Brand Strategy, 2008
- comScore MediaMetrix
- Technorati
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