MediaPost: US Marketers Move Ad Budgets Online, Reports Disagree On Where

By Laurie Sullivan, Apr 5, 2011

Marketers continue to move advertising budgets online, but two separate studies released Monday -- one from Interactive Advertising Bureau and the other from audience marketing company Bizo -- provide conflicting evidence on where ad dollars will go.
Video will play a key role, according to the IAB study of about 400 industry executives. Sixty-nine percent of marketers and 55% of agencies plan to increase digital video advertising, up 22% in the next 12 months. Those surveyed expect to spend 17% of their total online display advertising budget in the next year, shifting budgets from television to online.

Some 62% of marketers will migrate TV ad dollars to digital video, based on the belief that the medium delivers a more positive ROI, compared with 47% of agencies as they attempt to follow their target audience. Still, high expectations for better targeting, reach and cost continue to hinder adoption of digital video advertising. Companies say the industry needs better ROI measurement and standardization metrics. Seventy-two percent of companies surveyed said more proof that ad campaigns actually ran might push them to spend more money on digital video ads.

Related Information: