By 2004 Internet-Based Ads Will See the Sharpest % Growth Within Marketing Budgets, But Online Will Remain a 'Poor Relation' to Broadcast.Business/Technology Editors LONDON--(BUSINESS WIRE)--Jan. 24, 2000 (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :FORR FORR Friends of the Russian River FORR Freedom of the Road Riders (Motorcyclists) FORR Flight Operations Readiness Review ) High-profile off-line campaigns by `dot-coms' underline underline an animal's ventral profile; the shape of the belly when viewed from the side, e.g. pendulous, pot-belly, tucked up, gaunt. an urgency to seed brand awareness ahead of the UK's online population explosion With the UK online population set to number 24.5 million by 2003 (all UK adults with internet access See how to access the Internet. ), the advertising industry is refining its online strategies to realise the medium's potential as a marketing platform. Those marketers that currently use online for advertising allocate 7% of their budgets to the medium. This figure is set to rise to 16% by 2004. But while online ad growth will be significant (rising from (pound)50m in 1999 to (pound)479m in 2002), TV will remain the preferred platform for mass consumer advertising over the next four years and beyond. These are some of the latest top-line findings from a series of data-points from Fletcher Research. Additional insights into the UK's online advertising industry will be delivered by William Reeve REEVE. The name of an ancient English officer of justice, inferior in rank to an alderman. 2. He was a ministerial officer, appointed to execute process, keep the king's peace, and put the laws in execution. , head of Fletcher's internet practice, to delegates of the @dtech conference on February 1, at the Savoy, London. Caroline Sceats, business analyst at Fletcher Research and lead author of the forthcoming book-length report on online advertising, comments, &uot;The current spate of high-profile TV campaigns by UK internet companies indicates a `gold rush'-like imperative to achieve mass brand awareness among consumers. And while many of these consumers have yet to embrace the internet, this significant off-line ad presence underlines the internet's massive commercial potential, particularly for consumer retail. &uot;Our research indicates that off-line advertising by `dot-coms' is already proving to be a winning strategy. It's clear that those internet companies which spend heavily on TV advertising, quickly achieve far greater brand awareness than those that don't. For instance, the UK web brands that are enjoying widespread consumer awareness such as Freeserve, AOL (A division of Time Warner, Inc., New York, NY, www.aol.com) The world's largest online information service with access to the Internet, e-mail, chat rooms and a variety of databases and services. and Egg, have done so on the back of highly visible TV and national print campaigns in recent months,&uot; she adds. Key findings from Fletcher Research's data products Online campaign models are beginning to develop (Internet AdWatch(TM)): For mass awareness web navigation and reference sites are the most popular. But for specialist advertisers such as financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. providers and computer hardware and software, sector-specific sites are widely considered the most effective --Web navigation, news and reference sites account for almost 50% of ad placement between April and September 1999. Web navigation and portal sites Noun 1. portal site - a site that the owner positions as an entrance to other sites on the internet; "a portal typically has search engines and free email and chat rooms etc. took 26% of breaking campaigns, 22% ran on news and reference sites, 23%, 10% and 7% were placed on entertainment, financial services, and computing sites respectively --Search sites and portals are still taking the biggest share of new advertising. Of all the breaking campaigns from April to September 1999, search and portal sites were the most popular with advertisers - Yahoo ran 103 campaigns, Excite took 88, and UK Plus carried 81 campaigns --Integrated campaigns are becoming more prevalent. Online brands with aggressive off-line advertising strategies such as Freeserve, Amazon, Egg and CurrantBun, all received generally high brand recognition among UK consumers British internet user's attitudes to online advertising are conflicted (UK Internet User Internet user n → internauta m/f Internet user Internet n → internaute m/f Monitor(TM), November 1999): --Over half (59%) of UK web users say they have clicked on a web ad --However, online banner advertising Banner Advertising A common form of advertising on the internet. The banner is an advertisement of 460x68 pixels, usually placed at the top of the page Notes: For an example, just look at the top of a page on almost any popular web site. continues to annoy many UK internet users (34%), and 24% consider online ads a time-wasting diversion --Conversely, 24% find web ads useful and 20% consider them informative --Interest in a particular product or service (58% of respondents), was by far the leading reason for clicking on an ad, while interest in the company advertised was the reason for 21% of UK users responding to an ad Advertisers and marketers will increasingly embrace online as an advertising medium, but it will remain marginalised by off-line media: --Currently online is not widely considered by advertisers to be the most effective medium. TV remains the most popular, with direct mail, press advertising and telesales telesales Noun the selling of a commodity or service by telephone telesales npl → televentas fpl telesales npl → scoring higher than the internet. This will remain so for the foreseeable future --However, advertiser's attitudes are changing. Those marketers that currently include online as a campaign tactic (7% now), will increasingly use the web as a platform (16% by 2004) --The online ad market is projected to grow from (pound)50m in 1999 to (pound)479m in 2002. But online ad spend will remain very low by comparison to off-line placement (eg total off-line advertising spend for 1998/99 was (pound)7bn) --Banners remain the principal tactic for web advertising, accounting for 53% of online budget allocation. Other treatments ranked by popularity are: search engine listing (11%), key word search (9%), sponsorship (6%), sales partnerships (6%), exclusive tenancy deals (5%), email (4%), and microsites (1%) --The lack of standardised Adj. 1. standardised - brought into conformity with a standard; "standardized education" standardized standard - conforming to or constituting a standard of measurement or value; or of the usual or regularized or accepted kind; "windows of standard width"; site auditing and accurate user tracking is a major barrier to entry. Where advertisers have concerns, 46% cited the lack of reliable audience data, and 36% feel they are unable to accurately measure campaign effectiveness About Fletcher Research Fletcher Research was acquired by Forrester Research Forrester Research is an independent technology and market research company that provides its clients with advice about technology's impact on business and consumers. Corporate facts
Fletcher Research is the UK's leading new media research company, specialising in producing data and reports on the UK internet market. Recent reports include Dream Machines: Selling New Cars Online; Internet Europe: Connecting the Consumer; Internet Access Strategies; The UK Internet Survey 1999; Window Shopping (jargon) window shopping - A term used among users of WIMP environments like the X Window System or the Macintosh at the US Geological Survey for extended experimentation with new window colours, fonts, and icon shapes. ? A Study of UK Online Retailing; Online Advertising Strategies and Sterling Service: A Survey of UK Personal Finance Online. In addition to producing management reports, Fletcher Research provides market research data on UK internet users through its UK Internet User Monitor(TM), the largest scale research project on the UK internet. Its Internet AdWatch(TM) product delivers the only UK web advertising monitoring service The general surveillance of known air traffic movements by reference to a radar scope presentation or other means, for the purpose of passing advisory information concerning conflicting traffic or providing navigational assistance. . Fletcher also hosts a series of acclaimed Fletcher Expert Forums. Forthcoming forums for 2000 include Interactive Channels (March), Retail Online (May), Personal Finance Online (September), and Media Online (November). Separately, its Fletcher Advisory operation consults to many blue-chip companies Blue-chip company Used in the context of general equities. Large and creditworthy company. Company renowned for the quality and wide acceptance of its products or services, and for its ability to make money and pay dividends. Gilt-edged security. on the strategic and business challenges of the internet and digital TV. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion