Digital Media Will Cause Major Marketing Shift
The continued growth of digital media will cause a fundamental shift in media planning by the end of the decade, according to Jerry Buhlmann, chief executive officer of Carat International.
Buhlmann predicts that advertising is about to change significantly with emerging technologies such as the internet, digital television and 3G mobile phones expected to account for more than half of all media consumption by 2007.
He said this would give rise to a new breed of digitally literate consumers, who are more cynical, more demanding and less receptive to conventional advertising.
Buhlmann claimed the emerging digital environment would cause a shift in media planning with advertising moving towards a more media neutral model, where the consumer is put at the heart of the marketing communications process.
The Carat chief executive called on advertisers to take advantage of emerging media as part of a truly integrated approach to planning. He said: “The digital age will cause complexity and risk to increase and the agency structure to change, but the benefits of putting the consumer at the heart of all communications will be great.”
He predicted that the ongoing growth of digital media would lead to a decline in the importance of spot advertising over the next few years, with PVRs forcing advertisers to make longer, more creative television commercials.
Carat predicts that more than 60% of UK homes will have a broadband internet connection by 2007 and Buhlmann claims this will provide advertisers with a powerful new channel for brand communications. He said: “In the future prime-time might be the home page of Yahoo! or MSN, rather than Coronation Street.”
Earlier this year research carried out by PHD revealed that the increasing uptake of personal video recorders such as Sky Plus and TiVo could transform the media planning and buying process. The study suggests that the ability to skip through commercial breaks could challenge the currency of television trading and threaten the income of television channels dependent on advertising revenue (see PVRs Could Transform Media Planning Process).
Carat: 020 7405 1050 www.carat.com
Recent Related Stories from NewsLine Carat Unveils New Wide-Ranging Corporate Identity Advertisers Urged To Use Creativity In Obesity Battle Convergence And PVRs To Kill Off Traditional Schedules
Subscribers can access ten years of media news and analysis in the Archive