April 29th, 2009 | Written by: lauren
When the economy is tanking, a company’s advertising budget is often the first to take the cut. However, with so many media outlets vying for the reduced advertising dollars, many companies are turning to the internet as a means to increase brand awareness.
Other media outlets are suffering- consider the plight of newspapers in this century. The printed word has lost its majesty, and with newspaper content being posted daily on the web, fewer and fewer newspapers are prevailing, losing money in circulation and advertising revenue. You’ll hear it on the news: layoffs at large city papers, the last issue of a local gazette being printed. It’s only a matter of time until this medium is merely a memory.
This easily spreads to magazines, which are generally a frivolous item. Though magazines bring full-color content in a readership-specific package, this is another item we’re neglecting at the checkout, choosing to browse headlines on the cover for the latest celebrity story or diet fad. The simple truth is that the information you could extract from a magazine can be found on the internet, and often for free, whether it’s at the publisher’s website or not.
Radio has a somewhat unique platform. There are few who still embrace the goofy talk shows, traffic, sports and weather updates on the AM frequency, or rock out to their favorite music in lieu of mp3 players and disc changers. As companies traditionally allocate less on this medium, these loyal listeners are likely to hear repetition of ads from large, easily recognized brands, as well as fewer ads from smaller, local companies that recognize the importance of advertising spending in an economic downturn.
As far as television, the expensive spots can only be afforded by national brands- companies with the spending power to reinforce the images we’ve all been force fed, sometimes, for decades. Even in cases of companies with a multitude of products, the large advertising budget has been shifted to staple items to keep consumers loyal to their brand. Just ask yourself why you saw a Hormel SPAM commercial for the first time in… When?
With wallets waning everywhere, advertisers are aware that they have to shift their focus. National brands are trying to appeal to the penny-pincher in us all; but companies are also forced to cut back, and although the ad budget looks like an appealing place, the past shows us this is a mistake. Companies that continue to advertise will prevail, especially after the recession. Without advertising, customers’ brand loyalty can only be prayed for.
So where to allocate the advertising dollar? With millions of marketing outlets online, the options are endless. Whether it’s choosing to re-vamp your website, spread a viral video campaign, or reinforce your Facebook presence, the World Wide Web provides a perfect outlet. The internet market share is an expansive landscape of possibility, where you can try to tackle the globe or target your local market. Depending on your company, your audience may be great or small, but they are here, online, and they may be looking for your products and services. If there’s any place to purchase ad space, it’s where people can seek you out- rather than turning another page or changing the station.
You can find out more about the coming changes in media advertising in this article.
Tags: advertising, advertising budget, budget, economy, internet marketing, online advertising, recession
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