Recession and Depression Proof Advertising
Does there really exists, a way to advertise during a recession or even a depression? Yes, according to a new report released yesterday by the IDC. According to IDC analyst Karsten Weide, “We think there will be some effect on ad spending overall, but we think online ad spending will almost be unaffected even if there’s a depression.” This is great news for those involved in online advertising, but not necessarily a surprise. Why else would advertising agencies be scrambling to acquire established online advertising organizations?
The beauty of advertising online is of course that every part of your spend can be traced and backed into an affective acquisition cost. Better yet, the cost to acquire a new lead or sale is defined individually by the advertiser. Try doing that with traditionally advertising.
The report goes on to state that online advertising grew by 27 percent in 2007 totaling $25.5 billion. So what about the fears of another dot-com bust? It’s just not going to happen, there is a whole other level of accountability and years of proven results. In 2001 when the online market crashed, that level of accountability and more importantly proven results simply did not exist.
This recession, if anything is going to be overall a good thing for the online advertising world. The organizations that have direct relationships and exclusive relationships with distribution partners or publishers will profit the most and in fact excel. Stay tuned!
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