What emerged from this survey is quite interesting. I won't go much into the details (you better download the article) but one thing is of prime importance than everything else- Word of Mouth.
Meanwhile, I will give some of the most important and revealing truths about traditional media. Check it out for yourself; then you can decide whether your last advertising budget should have gone to better places.
- 18%: Proportion of TV advertising campaigns generating positive ROI
- 54 cents: Average return in sales for every $1 spent on advertising
- 256%: The increase in TV advertising costs (CPM) in the past decade
- 84%: Proportion of B2B marketing campaigns resulting in falling sales
- 100%: The increase needed in advertising spend to add 1-2% in sales
- 14%: Proportion of people who trust advertising information
- 90%: Proportion of people who can skip TV ads who do skip TV ads
- 80%: Market share of video recorders with ad skipping technology in 2008
- 95%: The failure rate for new product introductions
- 117: The number of prime time TV spots in 2002 needed to reach 80% of adult population – up from just 3 in 1965
- 3000: Number of advertising messages people are exposed to per day
- 56%: Proportion of people who avoid buying products from companies who they think advertise too much
- 65%: Proportion of people who believe that they are constantly bombarded with too much advertising
- 69%: Proportion of people interested in technology or devices that enable them to skip or block advertising
So based on these hard data, everything boils down to two important questions:
- How are you going to engage your customers?
- How are you going to deliver good customer experiences consistently?