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Marketers and agencies weary about spending

Marketers and agencies weary about spending

The number of marketers and agencies feeling optimistic about increasing their investments in the online space has dropped dramatically in a four-month period, according to the March 2009 Advertiser Optimism Report by Advertiser Perceptions. 

Between this most recent report and the company's November report, the number of marketers and their agency partners feeling optimistic about increasing their online spending in the next six months dropped 16 percentage points, from 68 per cent to 52 per cent.

The report shows that optimism in media overall is declining, and more marketers and agencies plan to decrease their ad spending in media such as broadcast TV, newspapers, magazines, mobile, and radio.

The biggest decrease in confidence occurred in magazines. In November, 36 per cent of the 200 media decision makers surveyed said they intended to decrease their ad spending in magazines in the next six months. Just four months later, that number had jumped to 53 per cent.

The percentage looking to advertise less increased to 59 per cent from 44 per cent in local newspapers and to 60 per cent from 47 per cent in national newspapers.

Other media such as broadcast TV (35 per cent to 41 per cent), mobile (12 per cent to 17 per cent) and radio (36 per cent to 39 per cent) saw smaller increases in the number of marketers and agencies that said they want to curtail spending.

Cable TV saw a decrease in the number of marketers and agencies that want to cut their ad spending, to 23 per cent from 24 per cent, perhaps a result of all the talk about cable networks losing business due to automotive companies pulling ads. The idea of networks scrambling to sell off now-empty spots probably reeks of opportunity for some marketers hoping to swoop in and buy the spots at bargain prices.

Outdoor also got a boost of confidence, with fewer participants (29 per cent, from 32 per cent) stating they planned to cut back on spending.

Other bright spots included two areas new to this year's study: online display and online search, both of which scored fairly well, with more than half of those surveyed (51 per cent for display and 53 per cent for search) saying they would increase spending in those areas in the next six months.


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