Companies to boost digital marketing budgets
UK companies report that they will continue to invest heavily in online marketing channels and associated technology during 2012 as the digital economy goes from strength to strength,
- Of those companies increasing their digital marketing budgets, 79% said they would increase them by more than 10%;
- Three-quarters (74%) of companies had plans to increase their investment in digital marketing technology in 2012, up from 67% in 2011;
- More than half (56%) of companies had plans to recruit more people into their digital marketing teams in 2012, up from 52% in 2011.
- Although companies are now recruiting new team members for the digital channels, one of the most widely cited barriers (after company culture) to increasing digital marketing investment is a simple lack of staff (mentioned by 34% of marketers). In fact, this problem had increased significantly since 2011, when it was cited by only 23% of marketers).
- Despite the problems associated with the analysis of huge amounts of data, companies are still better at measuring digital channels than traditional channels, with 55% of client-side marketers claiming to have a 'good' or 'very good' understanding of ROI from digital channels, compared to only 44% for traditional channels.
- Although the digital channel overall is attracting more marketing budget, social media was the area in which companies said they were most likely to be increasing their investment. More than two thirds (69%) of companies said they expected to increase their budgets for 'off site' social media including networks such as Facebook and Twitter.
- The mobile channel has also been an area of increased investment, with more than half (57%) of companies indicating plans to invest in mobile applications during 2012. At the same time, QR Codes (48%) and mobile commerce (34%) also ranked highly in client-side marketers' priorities for the near future.
- Television advertising was the only offline channel in which a higher proportion of companies (32%) reported plans to invest more in 2012 than the previous year (31%).