SOURCE: http://www.emarketer.com/blog/index.php/numbers-major-media-ad-spending/

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Behind the Numbers: US Major Media Ad Spending

Posted By: Nicole Perrin

eMarketer’s major media ad spending projection is the result of a comprehensive analysis of myriad elements related to the ad spending market. We use both bottom-up and top-down approaches for the estimates and projections.

  • Top-down approach: Marketing and advertising expenditures are often budgeted as a whole and allocated to different media based on needs and interests. We analyze macro-level factors that are closely associated with overall marketing and advertising budget growth, such as GDP, consumer expenditures, unemployment rates, etc. In addition, we take into consideration the historical trends of the advertising market and how each medium contributes to the grand total
  • Bottom-up approach: For each medium, we examine the historical trends of ad spending in the medium, consumption trends, and how the medium is faring in relationship with other media. To get a more solid picture of the ad spending trends, we also keep track of the performance of key players and the overall financial situations of the key advertisers and industries within the medium.
  • Numerous sources: Following eMarketer tradition, we also analyzed hundreds of datapoints from some 30 research firms and other organizations that track ad spending on TV, the internet, newspapers, magazines, radio and directories. Tracking these statistics over a period of several years provides a detailed picture of ad spending across major media. All data is normalized to account for differences in methodology and inclusions. Some firms attempt to measure the size of the market through reports of company earnings, while others rely on rate cards or agency billings. By examining a variety of figures and the available information on how they were compiled, eMarketer makes estimates that take all sides of the market into account.
  • Reliable benchmarks: In looking into all the sources, we are able to identify reliable benchmark sources for our projections of several media. The sources whose data we benchmark our projections against are: Newspaper Association of America (NAA) for newspaper advertising,Interactive Advertising Bureau (IAB)/PricewaterhouseCoopers (PwC) for online advertising, Outdoor Advertising Association of America (OAAA) for outdoor advertising, and Radio Advertising Bureau(RAB) for radio advertising.
  • Segmented estimates: Lastly, for all the core media ad spending, we have segmented the online portion of the ad spending figures from the total ad spending figures. By doing this, we are able to avoid double-counting and come up with the total major media ad spending figures, as the online portions for all the traditional media are counted in the online ad spending category. Most importantly, a separate estimate and projection of advertising revenues that the traditional media companies might generate through online venues could provide some insight into whether they can survive the digital transition or not.
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    Source: http://www.emarketer.com/(X(1)S(xmu351j123dyv255k2cwu43g))/Report.aspx?code=emarketer_2000770&AspxAutoDetectCookieSupport=1

    In 2011, retail ecommerce will grow 13.7% on sales of $188 billion. Even though ecommerce growth is slowing due its maturation, several developments will propel it forward including mobile commerce, social commerce and daily deal sites.

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    Tuesday, March 29, 2011

    Posted By: Stephanie Reese

    Last year, TV advertising spending in the US grew 9.7% to $59 billion, and its steadying share of overall US advertising revenues suggests TV has been largely unaffected by the dramatic growth of online advertising, according to an upcoming report by eMarketer.

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    Source: http://www.emarketer.com/(X(1)S(vslzndyuprjsrkzwtjf4rpb4))/Report.aspx?code=emarketer_2000777&AspxAutoDetectCookieSupport=1

    In 2011, 63.7% of US internet users will use social networks. Key trends include the slowing growth rate in usage, the rising sophistication of the social networking audience, the dominance of the youth market, the battle between email and social networks, and the increase in mobile social usage.

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    Source: http://www.emarketer.com/(X(1)S(1gotvubn20o2jfmkm4fab3v1))/Report.aspx?code=emarketer_2000780&AspxAutoDetectCookieSupport=1

    US Twitter use will continue to grow through 2013, although usage levels and growth rates will be modest compared with earlier forecasts. Still, Twitter will remain a strong force within the social media ecosystem and a viable venue for marketers targeting youthful, engaged audiences.

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    Source: http://www.emarketer.com/(X(1)S(ih1ovarifar3doekdiqed355))/Report.aspx?code=emarketer_2000781&AspxAutoDetectCookieSupport=1

    Facebook use in the US will continue on a solid growth track over the next three years, as the site cements its place at the epicenter of internet activity. As more users of all ages flock to the popular social network, marketers will find new opportunities to tap into an engaged, demographically diverse audience.

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    Source: http://www.emarketer.com/(X(1)S(i4pkta45qwgxvq55emzq0vfn))/Article.aspx?R=1008302

    Social media is the top online marketing channel for small businesses after company websites

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    Source: http://www.emarketer.com/(X(1)S(42jwtm55nqvfgyaggenxk3vd))/Article.aspx?R=1008299

    Shiv Singh Head of Digital PepsiCo Beverages America

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    UPDATE: Nearly two in five CMOs say their biggest challenge is “integrating and tracking multiple channels,” according to a recent survey by Aprimo and Argyle Executive Forum. In light of that finding, I thought I’d reprise a column that I wrote last year and use it to discuss correlating relative ROI (define) across channels like TV, print, radio, and online banner ads.

    Lift in search volume for particular terms – like non-generic brand names – is useful because it indicates that the target customers not only saw the ads, but also remembered them and then took action. It is a better metric than those that only estimate whether ads were even seen or heard – i.e., reach and frequency-based metrics. This even works well for online banner or branding campaigns because it is not the click-through from those ads that we are concerned with, it is the lift in search volume that indicates interest and intent. The habit of search by modern users is now commonplace; as they all go online to look for additional information before making a purchase decision, we now have a universally applicable metric to correlate the effectiveness (and thus the relative ROI) of advertising across channels.

    What about absolute ROI? We’ve got that covered too. Beyond lift in search volume, with proper analytics on online destinations, advertisers can track where customers came from, calculate how many took desirable actions like completing a purchase or printing a coupon (for items purchased offline). With these metrics, advertisers can correlate with other known data such as conversion rates of coupons, etc., to derive real-world ROI, scientifically. Obviously there are nuances and caveats, but if applied carefully these methods can help CMOs overcome what keeps them up at night.

    Read More:  How to Use Search to Calculate the ROI of Awareness Advertising

    Erik_SontumClickZ: How to Use Search to Calculate the ROI of Awareness Advertising. http://bit.ly/ardDy5 via @tomtsinas #merkevare

    acfou@clickZ How to calculate relative ROI across channels using lift in search volume #ROI #IntegratedMarketing - http://bit.ly/g5FUu

    Carroll_PowellRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    hilloupayjouRT @travelwithdayo: Solid article on how to use Search to Calculate Ad Awareness ROI: http://bit.ly/aHqGQV #SEO #Advertising

    iamgfcRT @clickz How to Use Search to Calculate the #ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    jumpcurveRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    SthdesignRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT

    lawton_chilesRT @TomPick: RT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    RobHerremaRT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    chead95Good article, but Search misses other brand relationships – RT @clickz Using Search to Calculate ROI of Awareness Ads-http://bit.ly/7zp3FE

    doughayRT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    mobiaconRT @eMarketer: “How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    ADMAFORUMRT @dpletikosa: How to Use Search to Calculate the ROI of Awareness Advertising http://www.clickz.com/3633054

    dpletikosaHow to Use Search to Calculate the ROI of Awareness Advertising http://www.clickz.com/3633054

    KristenShueRT @TomPick: RT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    TomPickRT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    joskouiHow to Use Search to Calculate the ROI of Awareness Advertising. #Search, #ROI, #Marketing, #Advertising http://bit.ly/7zp3FE

    followtorontoRT @tomtsinas: How to Use Search to Calculate the ROI of Awareness Advertising | http://bit.ly/ardDy5

    vidaimaginariaHow to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou @eMarketer

    conversionationHow to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://ow.ly/1QSFR – very interesting for the integrated thinkers

    micheleguidoRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    ChrissyZhouLeverage search marketing to boost up your bottom line http://www.clickz.com/3633054

    AdvertisingPRCalculate the #ROI of Awareness #Advertising through #Search http://bit.ly/99y2HG

    pweiderholmRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    oleagaRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    travelwithdayoSolid article on how to use Search to Calculate Ad Awareness ROI: http://bit.ly/aHqGQV #SEO #Advertising

    kingstonjrGreat article. RT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    telerobRT @digeratti: RT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    digerattiRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    tomtsinasHow to Use Search to Calculate the ROI of Awareness Advertising | http://bit.ly/ardDy5

    AgeSluisRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    Slingshot_SEORT @eMarketer How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    gailtwistRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    pathamilton3How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG

    iancsouzaUsando mecanismos de buscas para ajudar no cálculo de ROI de publicidade tradicional. Útil! http://bit.ly/99y2HG (via @eMarketer e @acfou )

    micklalalaHow to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou via @eMarketer

    cxdigitalRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    IdeaViewsRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    NASinsightsHow to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    Lisa_CorcoranRT @eMarketer How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    RobertoCarrerasRT @eMarketer: How to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    eMarketerHow to Use Search to Calculate the ROI of Awareness Advertising - http://bit.ly/99y2HG RT @acfou

    jrmostellerRT @clickz How to Use Search to Calculate the ROI of Awareness Advertising – ClickZ http://bit.ly/7zp3FE

    acfouCMOs bemoan inability to track ROI across channels - http://bit.ly/bAM4gu; lift in search volume can solve that - http://bit.ly/g5FUu

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