Agencies Show More Interest in Digital Than TV
TV continues to command more advertising dollars than other media formats. But TV may not be able to maintain its dominant position for long. STRATA’s new survey shows that ad agencies have more interest than ever before in digital formats and this trend threatens traditional TV.
John Shelton, President and CEO of STRATA, expects “to see ad dollars split even more evenly between traditional media and the newer avenues continue to gain market share, such as mobile and social media.” The firm’s recent survey indicates that TV is tops for 44% of agency buyers; however, 35% prefer digital. This interest level in digital marks a 16% increase over last year.
Online video is quickly gaining favor with agencies who report the following are top sites for them:
- YouTube 69%
- Hulu 35%
- Netflix 14%
- Vine 14%
Streaming/online radio is also attracting more money with 58% of agencies considering the format. At the same time, only 86% report that their clients want traditional radio. This is the lowest rate of interest in radio in nearly 2 years.
The future of digital appears to be growing as about 28% of agencies expect they’ll get more digital than traditional dollars to spend within 1 to 3 years from now. And, despite all the excitement about mobile, agencies are moving cautiously on this front. 76% of agencies prefer buying display ads on someone else’s content and sites instead of building sites and apps for their clients.
This survey also reveals that attracting new clients is a major challenge for 41% of agencies. Demonstrating expertise in all things digital may help agencies sign new clients. If you’re looking for clients, have you been promoting your digital strengths?