Google AdWords Management & Pay Per Click Marketing Blog

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Thursday, February 4, 2010

Ad Networks See Increased Adoption

The majority (69%) of media planners and agencies now use online advertising networks as part of their digital ad buys. This represents a 24 percent increase in the past 18 months, according to Adify Media.

"Especially in light of the Dynamic Logic study that found that creative quality is 50 to 75 percent responsible for campaign success or failure, agencies must start evaluating the creative capabilities of networks," said Russ Fradin, president of Adify.

"As the industry looks for better ways to engage, not just reach, their audience, brands need to focus on compelling creative that builds an ongoing conversation with consumers and placing it where consumers spend time."

Other key findings from the survey include:

- More money is being allocated online each quarter:

- 56 percent of respondents' budgets were more than $500k in 2008.

- 73 percent were over $500k in 2009.

- In 2009, 37.9 percent of the respondents spend between $1-5 million per quarter on online advertising, 15.2 percent of respondents spend

- $5-20 million per quarter, and 5.9 percent spend more than $20 million

per quarter on online advertising.

Branding is a major focus for online ad campaigns:

- 83 percent of respondents allocate 50 percent or more of their budget to branding vs. direct response.

Awareness of vertical ad networks (VANs) continues to grow as a way to reach niche audiences:

- 72 percent are familiar with VANs versus 56 percent in 2008.

Labels: google-adwords-management