The latest news suggests that the economic recovery is closer and more indisputable, at least at the global level. Forecasts of spending the Christmas season are higher, consumer confidence has grown and brands are investing more in issues related to consumption.
Marketing budgets are growing. A statistic eMarketer pointed out that ad spending in the US could grow by 78% in mobile and other previous analysis of the same consultant noted that ad spending in Europe was showing an upward trend. A study by GroupM noted that advertising budgets had already become the figures before the economic crisis.
But they are not the only studies that indicate this situation: Gartner’s latest report on advertising investment and especially on spending on digital marketing also points in that direction. According to the findings of the analyst, companies are increasingly investing in improving the customer experience and reach their consumers.
2015 advertising budgets are being “healthy” according to the study by consultancy. Companies are currently spending 10.2% of their income on marketing and trying to reach consumers and convince them that they are the best choice for company.
Growth in investment will also depend on the size of the company and if you are going to detail it is possible to see that the bigger the company, the more you invest in marketing. Thus, firms with revenues of 5,000 million or more will increase your marketing investment by 11%, compared with 9.2% of those between 500 and 1,000 million dollars.
That budget marketing, digital marketing a quarter of the budget takes at least 2015. The figures will improve in the next year, because according to Gartner forecasts 51% of companies will increase their budget to digital marketing. The average growth will, according to estimates by the consultancy, 17%.
Marketing vs. digital marketing in the digital world
Although in reality, digital and offline are increasingly placed in watertight compartments. The reality makes more generic approach or, basically, everything is much more related. “The line between traditional and digital marketing continues becoming blurred,” says the press release presenting the findings Laura McLellan, vice president of research at Gartner. “For marketers in 2015, it is less digital marketing marketing digital world.” For McLellan, marketers will have to face a “marketing mix much more integrated and balanced than in previous years.”
The interconnection between what is done on one side and another is quite strong. What brands do in the digital world pushes what happens in the physical world and vice versa. Similarly, the electronic revolution has changed how consumers buy and has made the budgets and distribution of investments have to be modified. “The resulting digital experience pushes consumers to purchase a model much more self-service, allowing reductions in the budgets of sales that were designed for older and physical models,” said McLellan.
Separate budgets
Despite these relationships between each other and despite what works on one side impacts what happens on the other, companies continue to have a separate, at least far as the accounts approach. 68% of those surveyed by Gartner said they have a separate budget heading devoted solely to digital marketing.
And what they spend when investment companies discussed in digitial marketing? Finding investment average figures is complicated, as explained from Gartner, because there is no more or less standard formula to treat online ad spending budgets. Each company organizes the budget based on a completely different approach (some are going to detail while others are more general) although it is possible to determine what attracts companies when establishing what to spend your budget for the network.
In the past, they destined marks the most important part of your digital marketing budget to online advertising. Banners and other types of ‘traditional’ internet ads for the bulk of the investment was carried and, although increasingly speak of more formats and are discussed alternatives, digital advertising remains who takes the bulk of the cake .Companies devote more of their marketing budget on digital advertising.
In 2015, Gartner finds that the trend will not change. Advertising will remain who most of the money is kept, especially as brands, advertising agencies and the media are developing new ways to try to get those ads more effective in their relationship with consumers. Improvements implemented in consumer segmentation make ads more palatable for businesses.
Although digital advertising will not be alone in the reign of digital marketing budgets: a rising star is being positioned very close to it. According to estimates by Gartner, by 2015, digital advertising will share reign (and high investments) with mobile marketing.