Media Budgets Expected To Increase Again In 2005
More than 60% of top marketers plan to increase their media budgets again next year, with online advertising expected to be the main beneficiary, according to a new study from global research group Millward Brown.
The survey, carried out across a wide range of industries, shows that 56% of senior level marketers saw their media budgets increase in 2004 over 2003, with stronger growth expected in 2005, as the advertising recovery continues to gather pace.
Online was found to be the fastest growing medium with its share of total budgets increasing at a higher rate than other major media. This trend is expected to continue as marketers carry on putting their faith in the internet as the most effective medium for acquiring new customers and offering efficiency.
According to Millward Brown, television and magazines were revealed to be the most effective for building brand equity, while direct mail come out top for reaching a highly targeted audience and providing measurable return on investment.
A staggering 89% of marketers that took part in the survey claimed their companies regularly run integrated marketing campaigns covering a wide range of media, but the exact definition of what this meant was found to vary significantly.
Edward kin, interactive media manager at Unilever, said: “It’s good to see that marketers across different industries are prepared to increase their online marketing budgets and view the internet as an attractive part of the media and marketing mix.”
Ian Beavis, senior vice president of marketing at Mitsubishi added: “When planning and allocating marketing budgets, it is important to recognise and make the most of each medium. The internet is an enabler for integrated campaigns and marketers must find a strategy and rigorously use it across all media platforms.”
The findings echo the latest figures from the Advertising Association which show that the advertising recovery is gathering pace as confidence slowly returns to the sector. Total UK adspend rose by a solid 5.7% year on year during the second quarter following increased spend on brand promotions and better than expected profits (see UK Adspend Shows Solid Growth In Second Quarter).
Millward Brown: www.millwardbrown.com
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