Every year Mary Meeker publishes a report on the state of the Internet—tons of slides packed with data and trends—and it’s always fascinating, beginning to end. But this year one slide in particular caught our attention:
9% Spending Gap in Mobile Ad Spend Speaks Volumes About Marketing Strategies
In this chart, we have the percent of time spent in media vs. the percent of advertising spend; meaning, the dollars that are being spent in various advertising channels (print, radio, television, etc.) vs. the time consumers are actually spending looking at those channels. What do you see?
We’ll tell you what we see: a lot of wasted budget.
The Spending Gap
Despite the fact that only 6% of media consumption time is spent on print, 23% of advertising spend is allocated to this channel. That’s a lot of money being spent in a space where there are comparatively few eyeballs. Moving on to radio, there are more eyeballs (or, in this case, ears) tuning in than there is ad spend being allocated. Television is just about in tune, and internet shows the same scenario as radio. But look at mobile.
There is a huge increase of time spent on mobile media, and a shockingly large gap between those eyeballs and the amount of ad spend being allocated to mobile. As the chart shows, between internet and mobile, there is a $20B opportunity in the US for marketers to really reach consumers in the arenas where they actually spend time. So why aren’t they doing this already?
Closing the Gap
Some of this marketing activity—the persistent placement of ad dollars in print advertising, for example—may be indicative of a clinging to traditional, tried-and-true marketing methods. Businesses have always advertised in the newspaper, and so they continue to do so. But we think it’s something else.
Businesses don’t know which ads work.
It’s a problem faced by many a company. They advertise in numerous channels—online and offline—and they get leads, but are unable to track the origins of these leads. “How’d you hear about us?” only gets you so far.
So how do you close the gap? How do you stop wasting ad spend? How do you allocate dollars toward initiatives that are actually driving leads? This webinar, The Marketer’s Guide to Tracking and Scoring Leads, seeks to answer some of these questions and provide marketers with some new insights into managing lead flow.
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