Marketing budgets follow attention habits.
In advertising, the dollar always chases the consumer’s attention!
Read that again.
With the disastrous fall of the printing industry and the rise of digital communication, advertising budgets are constantly shifting to capture the largest audience.
TV spending peaked around 2013/2014 topping 200 Billion, that is Billion with a “B”.
Even with its recent decline, TV still remains the largest global advertising.
Comparing all digital display ad spend in isolation with TV and newspaper, we can see the continued significance of the shift to digital, and how it’s projected to continue.
Although digital spending is up, search engine marketing (SEM) began to decline from 2010/2011 until 2016/2017, while social media and eCommerce continue to rise. Between 2012 to 2020, the percentage of U.S. senior marketing budgets allocated to social media more than doubled, ballooning from almost 9% to nearly 21%.
Consumers are also increasing their online spending habits with more than $183 billion is expected to be spent online by consumers as a result of the 2020 pandemic.
- Adults in the United States spend an average of 11 hours a day in front of a screen, and the dollars that vie for our digital attention are also rising.
- Globally, the daily average of time spent online was almost 7 hours during the pandemic, up from 3.2 hours at the beginning of lockdowns.
As a result of COVID-19 lifestyle shifts, time spent watching digital video is expected to increase. According to eMarketer, digital video spiked among UK adults during the pandemic—to 2.75 hours, and almost by 30 minutes daily in total video and TV screen time.
53% of all global ad spend is expected to flow online. The rise of search, social media, video, eCommerce now dominates the spending on Print and TV going forward.
Although search engine (SEM) spend recently plateaued, its rise over the last decade has been dramatic. With digital content consumption doubling since the pandemic began, the growth of social, e-commerce, and search ad spend is likely to continue.
What this means for you is that investing today equals having more market share in the future.
If investing in digital marketing today is unattainable, your future customers will be unreachable.
If these trajectories are any indication, advertising budgets will only be getting more digital.