I guess this is “old news,” as the data I’m about to share comes from a 2007 IBM Global Business Services study (aptly titled “The end of advertising as we know it”)—but perhaps that makes it even more compelling. Here goes:
71% of the 2400 consumers surveyed across five countries said they spend >2 hours/day on the Internet—not including work-related activities. In other words, almost 3/4 of this global sample spends several hours DAILY of their precious leisure-time online. [side note: do any of these people have children? Because if they do, what business do they have with 2 whole hours of daily leisure time?! I don't get it.]
Meanwhile, 48% of the folks surveyed said they spend >2 hours/day watching TV.
In 2009, I’d bet my britches that the gap between those numbers has only grown larger with web use (fueled by time-intensive destinations like Facebook, YouTube, MMOs, virtual worlds, etc.), iPhone apps, on-demand TV, TiVo, DVR… and more(!) encroaching at a relentless pace on the Grandaddy of all advertising mediums.
The question is, as a brand, agency, or marketing professional… what are you doing about it?
The “pretend it’s not happening” approach, while popular, is ill-advised. The music industry tried it a few years back when digital music first appeared on the scene. Now they’re hemorrhaging money and market share and being outsmarted by downstream vendors who responded to the shift toward digital.
Please don’t follow in doomed footsteps.
Even if I’m totally wrong about the increased gap (and we all know, the Genius is rarely—if ever—wrong), you can’t hide from the fact that you’ve still got a few disruptive forces that aint going nowhere, notime soon. Namely:
1. Consumers want control.
And not just of what they watch but how they watch it—and interact with it—as well as how they filter what they view, including ads.
And young people? They’re not having any of the “I WILL YELL LOUDLY AT YOU TILL YOU BUY SOMETHING” strategy of old. By next year, young Americans will outnumber Baby Boomers and make the shift toward digital (which they were BORN using, wanting, understanding, and expecting) a fait accompli.
I do hope you’re ready.
2. “Impact” is the new “Reach”.
Admit it. You’ve grown used to a world where “Reach” was the Holy Grail of marketing. For years, it’s been all about “impressions”, the idea being that the more eyeballs you snared, the more sales would result.
Now that the drugs have worn off, many marketers are dealing with a nasty hangover called “REALITY”. Just because you show up at a party looking wicked hot and flirt with EVERY guy, doesn’t mean you’ll go home with a ring on your finger. Get my drift? Same logic applies to the “spray and pray” philosophy of Old Marketing.
The party is over, folks. And the rulers (those funny things you measure stuff with) have come out.
Well… maybe not rulers per se. We’re all still trying to wrestle that nasty Metrics Monster to the ground. Oddly, I think he likes the wrestling and is growing fond of a good Full Nelson. [Dear God, it's the drugs talking again...!]
Fact: Virtually all of us are enduring the joys of recession-mandated “rectal exams” in the form of account reviews, lowered credit limits, tighter budgets, and greater demand for true ROI. Impressions, clicks, even those new-fangled “engagement” metrics aren’t cutting it. The question is how did those impressions, clicks, and “engaged” consumers translate into increased brand awareness, positive word-of-mouth/mouse, and purchases downstream? If you haven’t figured out how to measure that yet, you’d better hop to it. Quick.
2/3 of the advertising executives IBM polled expect 20% of advertising revenue to shift from impression-based to impact-based formats within three years.
Yep. P.S. that research was published 2 years ago.
And last but not least,
3. The Consumer is also the Creator.
Thanks to technology, consumers have been empowered not just to choose their own destiny—but to create it. In the same way that we’ve seen the rise of “Reality TV” over the past several years, so User Generated Content is becoming The Dominant Force online. IBM’s previously referenced survey, for example, already showed in 2007 that UGC sites are the top destination for viewing online video content.
Look out, Mad Ave!
Which leads me back to my earlier question: Time’s are changin’. The masses are moving from one screen to another… to many. As a brand, agency, or marketing professional… what are you doing about it?
Filed under: advertising, branding, integrated marketing, marketing strategy, measurement, research, social media, social media marketing, trends, Web 2.0, youth marketing Tagged: | advertising 2.0, future of advertising, future of marketing, integrated marketing, Internet, marketing 2.0, marketing trends, social media marketing, trends