The New Marketing Place: Digital Media
According to a report published in Wall Street Journal, US Leading Consumer Products Manufacturing Brand, Procter & Gamble, will now be spending one-third of its marketing budget on Digital Media. This marks a significant shift of an American Company now shifting its focus for advertisement its product on Digital Media than on Television. The company executive revealed that of the total advertisement expense for the fiscal year; they will be spending a significant amount on digital media advertisement so as to increase the effectiveness of the money they spend because consumers are now more active and focused on digital media.
"The bottom line is we need and want to be where the consumer is, and increasingly that is online and mobile," a P&G spokesman said.
Procter and Gamble, which despite of $20.7 Billion reported a loss of 48% in its profits, stated that the since product innovation and cost cutting will be the leading objectives of the company, it will be trying to influence the purchase decisions of the consumers through World Web and Mobile Technologies.
This significant step was taken after a Premium Advertising Agency, ‘eMarketer’, revealed that now the American Consumers spend much more time using Digital Media than watching Television. The report disclosed that an average adult consumer will spend around 5 hours in a day using digital media and remaining online while the average time spend on television is now curtailed to 4 Hours and 30 Minutes. Furthermore, Emarketer revealed that the total spending by companies over Digital marketing in US is expected to grow by 14% in 2014 while the growth rate on TV spending is just 3%.
Hence, Procter and Gamble’s deeper dive into Digital Ad Campaign seems justified and will be helpful in promoting sales of the company, although there are very little evidences that, companies that are still focused on Television Advertisements are suffering from Digital Media advertisements.
Works Cited
Veranica, Serena NG and Suzanne. P&G Shifts Marketing Dollars to Online, Mobile. 1 August 2013. 8 February 2014 <http://online.wsj.com/news/articles/SB10001424127887323681904578641993173406444>.
