CMOs don’t seem to have Online Marketing Common Sense
I like the main point of this article. It kind of shows that basically despite the Internet supposedly being the next frontier, why do CMO’s or Executives in general for that matter sort of ignore “online marketing” as a more effective tool in securing customers?
If Online Marketing Is the Future, Why Are Some CMOs Stuck in the Past?
(click here for the full text of the aforementioned article)
Americans spend an average of 14 hours a week online and 14 hours watching TV. But marketers spend 22% of their advertising dollars on TV and only 6% online, according to data compiled and analyzed by Google.
“Of all the advertising platforms, the Internet is one of the few on an upward trend,” says Wharton marketing professor Patti Williams. “But if you look in terms of the sheer amount of time most consumers are spending online and the amount of dollars being spent to reach them, it is still probably way under what it should be.”
Indeed, as computer screens, mobile phones and other devices offer what amounts to billboard space for display ads, video and tie-ins to Internet searches, the advertising landscape is undergoing a major transformation. New media is growing at a fast pace, but industry analysts and Wharton faculty say senior marketers still lag in adopting the Internet and other digital technology to reach their customers.
Spending on Internet marketing is expected to grow 13.4% in 2008, but that will only add up to 7.2% of the total amount spent on all U.S. advertising, which is expected to hit $153.7 billion, according to TNS Media Intelligence.
Williams says that while the Internet provides advertisers with the ability to closely track consumer response to ads by measuring clicks or other online behavior, their reluctance to embrace the Internet may be due to uncertainty about how well it can shape broader brand messages.
“It’s not clear how Crest should leverage search advertising,” says Williams. “How many people are going online to search for toothpaste? It’s not [obvious that] a little ad on the screen is going to attract them. For the biggest bulk of media spending, online is just hard to figure out. The Internet is not that good at big brand building objectives, so there are a lot of companies struggling with a way to take advantage of the tremendous opportunity Google and other searches offer.”
More on the article here at Knowledge at Wharton’s Marketing
Just a note though, but the article is a year old in February 2008.
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Time January 30, 2009 at 6:45 am
[...] the same token, I’ve already posted recently here in Chief Marketing Officers not really having Online/Internet Marketing Common Sense (which ironically comes from one of these strong marketing programs: [...]