Digital media is the 3rd most preferred option after print and television for advertising, says a survey on digital marketing in India. Digital agency Sapient Interactive has released the findings of a survey, titled Digital Marketing: The CMO perspective. The survey was conducted with leading Chief Marketing Officers to understand their views on various aspects of digital marketing and commerce; the survey spanned across 52 organizations from automotive, airlines, hospitality, telecom, BFSI and FMCGs sectors in India.
Some other interesting findings of the survey are:
- 17 % of the overall advertising spend goes to digital media, while 24.7 % and 19.4 % of the total advertising amount is allocated to print and TV respectively. Outdoor gets 10 %, while 4.5 % ad spend is allotted to radio.
- 33 % of the CMOs feel that they are over-spending on print advertising while 22 % on television.
- 59 % of the respondents would like to invest more in digital advertising.
- Maximum number of CMOs rated website advertising or product based microsites as most effective. Viral campaigns are regarded as the least effective way of digital advertising. Website advertising and viral campaigns get an average weighted score of 100 and 30.7 respectively.
- Search marketing campaigns (score of 94) and e-mail marketing (score of 90) are considered as the 2nd and 3rd most effective ways of digital advertising respectively. Banner ads received a score of 78.
- Almost 100 % of the respondents agreed that the main constraint in adoption of the digital medium for advertisement is the lack of understanding of metrics used to measure the effectiveness of digital advertisement. Another difficulty mentioned by CMOs in adoption of digital media is the inability to adapt traditional media practices to new media.
- 75 % felt that in the current economic climate, digital channels would take on a greater focus in their overall marketing strategy.
- Sectors most at ease with adapting to digital media include- Travel, Insurance, Airline/ hospitality, financial services and IT.
While I agree with the sector adaptability and few other points but there are certain findings in this survey which leaves me bit confused.
Do these CMOs really think that a viral campaign is the least effective method of digital advertising?
I somehow disagree; I think a viral campaign done in the right way can really prove to be effective and one of the most economic forms of digital campaigns. Though it totally depends upon the objective and execution of the campaign but there are quite a few successful examples of Indian viral campaigns like Help Bihar or Microsoft Outlook where the campaigns have managed to achieve the desired result in an effective way.
My next doubt is regarding measurability of digital media, in fact as rightly put by many industry experts digital medium is one of the most measurable advertising mediums across. So, how come it is acting as constraint in adoption of this medium? Overall, the survey definitely gives a positive signal towards increase in digital advertising spends in India and it would be interesting to observe if there will be a follow-up survey released by the agency to evaluate the estimated vs. actual spends in this medium.