By Conor McGovern
The factors break down into the upcoming issues, the implications, and the potential actions that can be employed. See below the key ideas.
1. The economy will continue to struggle throughout 2013. Media costs will be static at best, but likely deflationary… So seize the opportunity for growth with investment in soft markets.
2. Media agencies will channel more client budgets to demand side platforms (DSPs). Lower cost to reach audiences… So get 100 percent transparency on buys to test true value.
3. Video on demand (VoD) budgets will increase as audiences grow. Increased percentage of TV budget spent on VoD… So research the relative effectiveness of VoD’s premium pricing compared to TV.
4. TV audiences will be static. Relatively lower-cost months offer greater value… Search out the seasonality value for your business.
5. Print circulations will decline. Costs to reach shrinking audiences will increase… Evaluate the value decline, and decide whether investment change is required. 6. The long-awaited Postar 2 will arrive. This will offer far better data on out-of-home (OoH) advertising audiences… Re-evaluate the role for OoH.
7. Google and Facebook will continue to grow dominance. There will be a squeeze in digital market players… CMOs need to review investment with leaders (and strugglers) in digital world.
8. Media owners will continue to cross media ‘sell’. There is an opportunity to leverage joint budgets… Agency to engage with cross media ‘trading’ and need to develop an industry currency to compare value.
9. Clients will continue to pitch media agency relationships. Agencies are shifting value to secure new clients… Current clients need to analyse their position and take stock.
10. Consumers will buy more technology to interact with content. More media and formats are needed to keep up… So companies need to search out evidence of what is working and be ruthless.
About the author
Conor McGovern is Managing Director, Marketing Analytics UKI, Accenture Interactive.