Online advertising expected to provide greatest returns
Thursday, 28, Aug 2008 10:19
Online advertising and social media are predicted to provide the greatest returns to firms in the near-term, according to a new study.
A recently-conducted survey of decision-makers in the digital media sector by market intelligence platform StrategyEye suggests that investment in such resources is likely to continue despite the ongoing effects of the credit crunch.
Some 60 per cent of respondents stated that they expect to invest more in social media over the coming year, while 56 per cent see themselves devoting an increased amount of cash into mobile technology.
More than three-quarters (78 per cent) said they believe their long-term revenues will be impacted on in a positive fashion by consumer migration to online sites.
Additionally, 52 per cent of web advertisers expect to expend more over the coming 12 months. In comparison, 67 per cent of those who use traditional channels expect to cut back on spending during the same timeframe.
Jeremy Phillips, co-founder and chief operating officer of the company, commented: "Despite continuing economic drift following the credit crunch, there remains continuing investment and expectation of returns from digital marketing channels."
Meanwhile, data from the Local Conference Monitor by the Kelsey Group for online analyst Adotas recently suggested that the effects of the credit crunch are not impacting on small and medium-sized businesses' advertising budgets.