Monday, 18 February 2008

Wake up world

I was reading Russell Davies' post about William Gibson's line about the future and it got me thinking...

Digital is here, it's just not evenly distributed.

There is no doubt that Media Consumption has changed dramatically over the past 10 years, with the Web now a close second behind TV in terms of daily media consumption.

Yet overall, marketers invest only 7.5% of their advertising / marketing budget to online initiatives. If consumers spend 30% of their media time online, why has allocation of media budget not caught up?

McKinsey recently published a study of 410 marketing executives in retail, telecomm, technology, business services and energy. McKinsey reported that the primary barriers to online investment were:

52% insufficient metrics to measure impact,
41% Insufficient in-house capabilities,
33% Difficulty of convincing upper management,
24% Limited reach of digital tools, and
18% insufficient capabilities at agency

The leading deterrent to investing online is not a surprise as online marketing is still a relatively new, somewhat complex, and rapidly changing entity. But wake up people, Digital will continue to take share from traditional media, and marketers must adapt to the changing times. Savvy marketers will take advantage of the opportunities in online and mobile marketing; those who drag their feet are in for an uphill struggle.

The picture was taken from the excellent

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