In addition, the lack of transparent reporting on online advertising costs and effectiveness has undermined the relationships between some advertising agencies and companies. In October 2015, the National Association of Advertisers even asked for help from the FBI to investigate suspicious activity by advertising agencies. One of Kraft Foods’ largest advertisers publicly announced that it was refusing to display 85% of its ads on several sites.
The head of public relations at a CPG company, one of the top 5 largest advertisers, also questioned the effectiveness of online advertising as a marketing channel: “Online advertising does not fulfill the tasks norway phone number data set before it and, to tell the truth, has never fulfilled them.”
Internet Advertising Market Trends Over the Last 6 Months
New advertising budget distribution schemes
According to 2015 research, companies are willing to allocate 13% of their funds to content marketing, 11% to online advertising, 11% to traditional advertising, and 11% to holding various events.
When a company decides to increase its advertising budget, it is most often spent on brand promotion on social networks or mobile marketing. This is what the owners of Johnson & Johnson did.
Content marketing spending is on the rise and will continue to do so in 2016. According to a 2016 Content Marketing Institute study, 51% of B2B marketers and 50% of B2C marketers plan to increase their content budgets. Some studies have also shown that marketers view banners as the least effective method of commercial brand promotion.
The graph below shows the growth dynamics of content marketing spending:
Content costs
So, marketers themselves are aware of the upcoming changes and are increasingly trying to provide potential customers with timely and relevant information about a product or topic of interest, and thereby involve them in the conversion funnel.