In 2010, eMarketer estimates US advertisers will spend $12.37 billion on paid search, compared with $8.88 billion on online display ads-which includes banner, rich media and video formats. Search will still get the most dollars in 2014, at $18.84 billion, but display will have closed the gap somewhat and reach $15.92 billion in spending that year.
The increase in display advertising will be driven partly by the dramatic rise predicted in online video advertising, which eMarketer estimates will grow 39.5% to $1.42 billion in 2010, and grow at least 34% every year through 2014. Banner ads will experience more moderate gains of between 7% and 16.2% annually, while rich media spending will stagnate.
Things are looking up for online shopping this holiday season. comScore has reported U.S. retail e-commerce spending for the first 26 days of the November and, to date, $11.64 billion has been spent online, a 13-percent increase over last year.
Black Friday (November 26) saw $648 million in online sales, the heaviest online spending day to date in 2010 with a nine percent increase over Black Friday 2009. Thanksgiving Day (November 26) saw a 28 percent increase to $407 million.
- How Google Instant can destroy your brand's reputation. And the steps you can take to avoid this from happening.
- Royal Caribbean has teamed up with Starbucks and DreamWorks with a brand partnership for its newest ship, Allure of the Seas.
- Sarah Jessica Parker has hooked up with Barnes 7 Noble to hype the retailer's NookColor eReader in a series of commercials which broke this week.
- eMarketer reports holiday ecommerce will hit $38.5 billion this year, up 14.3 percent from 2009.
- Seven things you didn't know display ads could do.
Y&R consumer guru John Gerzema says spending should be quite healthy this holiday season. He expects "less mindless spending" on gadgets and more "mindful" spending on higher quality, luxury goods. It's quality over quantity this year, Gerzema predicts. Here's a few of his predictions.
- Brands like ETSY, offering alternatives in 'handmade Christmas' gifts including digital and artisinal choices, will be hot this season, as 65% of Americans are more interested in learning new skills since the recession, so they can do more themselves and rely less on others;
- Look for Zappos.com to win the online shoe retailing war with its celebrated customer service, while brands like Foot Locker decline (down 20% in usage). Even though Black Friday shoppers are deal-oriented, 72% of American shoppers are now willing to pay more for products/services offered by companies with solid customer service reputations;
- Premium brands expect a surge, i.e., Burberry up 15% in brand strength; Theory up 59% in usage and Whole Foods up 10% in usage;
- Mass market mainstays may find decline, i.e., Old Navy (down 15% in usage); Safeway (down 23% in usage), and Nestle (down 17% in usage);
- Expect Walmart to exceed expectations this Black Friday. Why? In part because 65% of American shoppers are now willing to pay a premium for companies that contribute to their local community -- the success of Wal-Mart's locally grown food initiative and independent brands is proof.
A survey, conducted earlier this year by Intellimon, in partnership with the University of Bradford, polled over 4000 online businesses.
The study's findings aren't exactly comforting to businesses considering the use of Facebook and Twitter for certain aspects of their marketing:
- While 67% of respondents use social media platform Facebook to promote their business, an average of only 29% find the platform effective in any way for driving traffic to their business website.
- Popular micro-blogging platform Twitter faired equally badly - only 27.2% saying they found it effective for generating website traffic to their business website. [One must remember, traffic to a website is but a tiny aspect of marketing success]
- The typical age of people doing business online is higher than you might have thought. Of the thousands of respondents, 62% were 50 years of age or older. [Why is this a bad thing?]
The Interactive Advertising Bureau and PwC US have released the IAB Internet Advertising Revenue Report for the first half of 2010. Internet advertising revenues in the U.S. were at $12.1 billion during that period, setting a new half-year record that represents an 11.3 percent increase over the first half of 2009. This is also the highest second-quarter revenue on record, up 13.9 percent over the same period of 2009.
Display-related advertising - which includes banner ads, rich media, digital video and sponsorships - totaled more than $4.4 billion in the first six months of 2010, showing a significant increase of close to 16 percent over the same period in 2009. Digital video grew as well, this year achieving the highest half-year performance ever and up 31 percent over first half 2009. Search advertising remains the largest percentage of overall interactive spend at 47 percent, representing more than $5.7 billion for the first six months of 2010, up 11.6 percent from the same period in 2009.
In a survey of Adrants readers, 88 percent answered, no, they do not like the new Gap logo. The survey supports widespread sentiment regarding the brand's debut of its first logo change in 20 years.
Defending the change, a Gap statement read, "The company's statement about the logo change is this: "Thanks for everyone's input on the new logo! We've had the same logo for 20+ years, and this is just one of the things we're changing. We know this logo created a lot of buzz and we're thrilled to see passionate debates unfolding! "
Passionate debates? More like vindictive vitriol.
We're going to keep this unbiased and simple. Do you like the new Gap logo? Yes or no.
In a recent study of online advertising executives, TagMan, a online ad tag management, found almost all (99%) faced problems with ad pixel/tag implementation and management. Nearly nine in ten (86%) of respondents have had tags implemented incorrectly on the sites they manage and three quarters (75%) had seen delays in the implementation of tags due to website development cycles.
The implications of tag management issues among respondents included loss of campaign performance data (65%), delays in launch of a new campaign (63%), delays in use of a new marketing technology (58%), loss of website traffic (31%), loss of website sales (28%). Only 1% said they never faced tag management issues.
In a survey conducted by IZEA 2,800 social media publishers/users were asked about their habits on advertiser engagement, compensation practices and publisher preferences and earnings, resulting in the following key findings:
- 88.3 percent of social media publishers monetize social media in some way.
- 87.4 percent of social media publishers have or would create sponsored content.
- The average social media publisher spends $711 per year on hosting, education, conferences and related social media costs.
- Twitter users earn 298 percent more in SMS for their blog than non-twitter users.
- 35 percent of PR, social media and marketing professionals are not aware of the FTC guidelines on endorsements in social media.
Check out the full report here.