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2015 Forecast: Positive Outlook for Experiential

Michael Brown, MD psLIVE, spoke to Event Magazine about his predictions about experiential in 2015. 
Is there a positive 2015 outlook for experiential marketing?
psLIVE is looking at 52% growth on last year’s performance as we come to the end of the year. If I couple that with significant approved projects in 2015, the outlook seems very positive at this stage.
Big trends for the next 12 months?
The thing that most enters our sphere of influence is big data. All experiential agencies are striving to make what they do as relevant and as measurable as possible. The near future will see more and more experiential agencies invest more in this. Without such weaponry, an agency can only operate as an event producer as opposed to a genuine experiential marketing business.
Another marker for us in 2014 that looks set to grow next year is the deployment of live content from the experiential activity to the paid, digital out-of-home campaign. We have an increased number of case studies, including Center Parcs, Very Beauty and Littlewoods, in which the live experience has been created to inform the DOOH campaign with compelling content. We have used a proprietary tool called Liveposter to implement these new initiatives, which allows the deployment of live data and content to change the creative on digital panels either singularly, nationally geo-targeted.
For the full article, please click here.

The Media Landscape June 2014: Global Adspend Forecast

The mid-year adspend forecasts from ZenithOptimedia and GroupM indicate a positive outlook on the global advertising market from this year to 2016.
ZenithOptimedia predicts adspend in the next couple of years to grow in line with increasing GDP levels globally at around 5.7%. The company believes adspend growth could be higher were it not for the ongoing conflict in Ukraine and subsequent economic sanctions imposed on Russia.
GroupM’s forecast for global adspend is slightly lower in comparison, staying close to the 5% level for the next two years.
Key Points

  • Both forecasters expect Outdoor to grow in line with Global Media to 2015
  • Latin America enjoys highest adspend growth forecast due to 2014 World Cup & 2016 Olympics
  • North America predicted to lead ad expenditure growth among mature markets; Low but positive adspend increase in Northern & Central Europe
  • Top 3 advertising markets in 2016 forecast to be USA, China and Japan

For the full report please click here.
Via: JCDecaux One World

IPA Bellwether

Marketing budgets have increased for the seventh consecutive quarter, according to the Q2 2014 IPA Bellwether Report.
A total 15.2 per cent of companies registered an increase in their marketing budgets during Q2, while the end-of-year financial results for 2013 to 2014 revealed that 20 per cent of companies had increased their budgets, resulting in the IPA deeming it “the longest period of continuous growth in the survey’s 14-year history”.
As the economy itself is set to expand, the Bellwether report predicts a real-term increase in ad spend of 6.1 per cent for the year as a whole.
Chris Williamson, chief economist at Markit and author of the Bellwether Report, said: “Marketing spend is surging higher as companies remain upbeat about the future. The extent to which business confidence has shown continual improvements over the past year is remarkable, generating a major inflow of investment in marketing.
“Companies reported that spending on marketing and advertising activities showed the strongest rise for a decade last year. This year’s budgeted spend, which was already set higher than last year, has been revised up again in the second quarter, setting the scene for a bumper year.
“The survey also adds to a growing body of data which points to the UK economy sustaining strong growth as we move into the second half of the year.”
Internet marketing saw big increases in investment, with budgets up 14.7 per cent, while search budgets also surged a further 12.9 per cent. However, market research budgets dropped 2.4 per cent.
Bellwether further predicts a slower increase in ad spend of 3.8 per cent in 2015.
Full IPA Bellwether report
Via: The Drum

Out of Home Adspend Forecast to Exceed £1bn in 2014

In the final part of MediaTel’s series looking in detail at the latest UK adspend forecasts, Suzy Young, data and journals director at Warc, exmaines how new digital technology is accelerating growth for the out of home sector.
In Q1 2014, out of home advertising expenditure dipped 2.2% compared with the same period a year ago, according to the latest data released in the Advertising Association/Warc Expenditure Report this week. But this is expected to be just a temporary blip, and Warc forecast consistent growth throughout the rest of the year and into 2015.
Warc predict annual growth in the out of home sector of 2.7% in 2014, reaching a total of £1,017m. This is the first time the sector will have surpassed the £1bn mark. The pace of annual growth is expected to accelerate to 5.9% in 2015, or £1,077m.
In recent years the out of home sector has performed consistently well, recording year-on-year growth in all but four of the last 31 years, with these dips occurring in line with the total ad market, following economic recessions and the dotcom crash in 2001.
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Note: Outdoor Media Centre; AA/Warc. Source: AA/Warc Expenditure Report.
The London Olympics in 2012 provided a significant boost to out of home ads in particular, with spend rising 25.4% year-on-year in Q3 2012 and helping the annual total increase by a strong 9.5%.
According to YouGov research, 62% of visitors to the Games were aware of outdoor advertising related to the event. Consequently, the AA/Warc had initially forecast a drop in adspend for 2013 given the lack of a similar event, but out of home maintained its upward trajectory to register growth of 2.0%.
One of the key reasons for this success is the sector’s rapid adoption of new digital technology. As the chart shows, digital’s share of total out of home advertising expenditure has grown significantly over the last 11 years – when the traditional vs. digital formats were first tracked. Digital adspend has grown from a 1.4% share of adspend in 2003 to a 21.6% share in 2013.
Mike Baker, CEO at the Outdoor Media Centre, said: “In 2013, outdoor beat expectations, growing 2% over the spectacular Olympic year. What’s behind the continued growth? Digital is the main driver, with consistent investment by media owners into high profile sites such as Clear Channel’s Storm panels on Cromwell Road and Outdoor Plus’ Vauxhall Cross.
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Note: Outdoor Media Centre; AA/Warc. Source: AA/Warc Expenditure Report.
“Importantly, the footprint of digital has expanded geographically, including JCDecaux’s Trinity Leeds, Mediaco’s Citylive sites in Manchester, as well as new sites in Newcastle (Ocean), Birmingham (Signature) and Glasgow (Forrest) and Cardiff (blowUP).
“Advertisers continue to find a place for outdoor on their schedules, and the number of million-pound clients now stands at 159. Route, our audience measurement system, now covers just about all the environments.”
According to the Route research carried out by the Outdoor Media Centre (and also published in topline form as part of the Expenditure Report), roadside panels accounted for 28.4% of all out of home panels monitored in March this year (372,818 panels). The next biggest formats were tube carriage interiors at 24.4% and bus panels at 18.1%, as detailed in the chart below.
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Source: Route, Outdoor Media Centre; AA/Warc.
Via: MediaTel