There’s been a lot written lately about the move of advertising dollars to digital and the effect it is having on the industry. The Society of Digital Agencies recently released a new study that documents this move.
This shows an increase (red plus blue bars) in paid digital media and earned/owned media at the expense of paid traditional media. The most interesting message comes when they also report,
Monies continue to be shifted from traditional, expensive tactics toward digital—especially earned media —though it’s rarely a one-to-one exchange. More often, a dollar or euro lost from TV and print budgets becomes 20 cents of digital.
This happens in large part because Facebook is free of media costs, as are so many things digital. So advertisers are creating their own media channels without paying media costs. Their budgets naturally move toward earned/owned media where creating content is the key to success.
I think this especially holds true at the local level. It’s now a good idea to encourage retailers to use digital media where the barrier isn’t money, it’s process. Save 80% when you shift dealers to digital media spending and apply the savings to providing the tools retailers need to promote themselves digitally… for free.
A good example would be to customize and host epromo pages for your retailers. Much like a dealer builds a newspaper ad in a traditional ad builder, now also let them build an html epromo page. It’s co-branded by the brand, customized with local promotions by the dealer and ready to be distributed throughout the Internet for free. It can be used in your brand’s dealer locator, linked from the dealer’s own site, part of the retailer’s Facebook page and becomes the landing page for very inexpensive local banner ad campaigns.
In our system we host the epromo page so the brand has complete knowledge of the results. It’s not about media spending in 2012, it’s about taking advantage of free digital syndication.