Outsell, Inc., a research and advisory firm focused on media, information, and technology, just released the results of its 11th annual Advertising and Marketing Study.
Data came from a survey of more than 1,500 U.S. marketers to provide insight on spending across 36 categories.
The news isn’t pretty for print, as a matter of fact.
According to Outsell’s Annual Advertising and Marketing Study 2016, spending on advertising and marketing will grow 4.7 percent, reaching $473 billion.
“Digital now represents nearly half of all spending, rising 12.5 percent to $228 billion, equaling the combined spend of print ($96 billion) and TV/radio/cinema ($88 billion) and events ($45 billion),” noted the report. “Events represent the only other positive growth category at 2.2 percent, and remain a key tactic for marketers’ brand building and lead generation activities.”
Mobile is where the growth will be. It is expected to outpace all other categories in terms of growth in 2016, up 38 percent to $23 billion.
The research also points to increased marketer focus on customer experience optimization, personalization, and creative and content capabilities for cross-channel.
“Despite the strong march to digital, CMOs report that top pain points lie in dealing with media companies, vendors, and agencies who push products rather than solutions to address their needs,” according to Outsell. “Millennial marketers struggle to apply advanced analytics on top of a growing tsunami of data.”
“CMOs continue to drown in data as they accelerate their advertising and marketing efforts and demand cross-channel attribution capabilities,” said Randy Giusto, Outsell’s Vice-President and Lead Analyst for Media, Advertising and Marketing Research. “New forms of mobile, video, and social advertising present new forms of creative and content, as well as new data streams with which to analyze and act upon on.”
Among other nuggets, the study found that Facebook scores strong in strengthening B2C brands, while consumer-facing marketers rate Facebook, YouTube, and Twitter highest in mobile ad effectiveness. LinkedIn leads among B2B marketers.
Millennial marketers will drive higher levels of mobile advertising through programmatic means over the next three years, and shift more dollars from display, search, and broadcast TV budgets than older marketers.
“New ad formats and the increasing use of video, as well as the emergence of big social brands as news and information curation and distribution hubs offers new choices to advertisers and marketers in 2016,” Giusto added. “All things considered, it’s all about attribution, connecting an actual sale back to the marketing touchpoints along the customer journey to justify the spend.”