Agency

The U.S. Census Bureau projected the Jan. 1, 2009, total U.S. population will be 305,529,237 — up 2,743,429, or 0.9 percent, from New Year’s Day 2008.

According to a recent analysis of BIGresearch’s SIMM database by Prosper Technologies, wide gaps exist between how ad dollars have been spent versus what consumers say works best when it comes to buying a car. The Prosper analysis and media allocation model utilizes the SIMM Survey of 17,231 consumers to determine “what” and “which” media forms are most influential to consumers for buying a car, the consumption of the media, and pricing of various measured media.

Most of the branding articles that you read are happy, glowing tales of how an agency rebranded a client and turned them into a superstar brand with double-digit growth. Well, this is not one of them.

A Client’s Perspective, which offers insight from agency clientele about their marketing strategies during a sluggish economy and why lack of sales can mean increased opportunity for marketing agencies.

At the turn of the last century, the retailer John Wanamaker famously said, “Half the money I spend on advertising is wasted; the trouble is I don’t know which half.”

The overall advertising environment in 2009 was fairly gloomy with slashed budgets and revised strategies to address the new reality. However, that didn’t stop the industry from evolving, and the lessons learned will likely pay-off in the year ahead. For example, advertisers started to look at the need for accountability metrics beyond the simple “click-through” and on to campaign-specific performance. They also started to embrace burgeoning social networks and consumer generated media to bring consumers closer to a product or brand.

It all begins with aging. U.S. fertility rates have fallen by 44% since the peaks of the Baby Boom and are projected to continue to fall by another 12% over the next several decades. Falling fertility, combined with rising life expectancy and the large Baby Boom generation just nearing retirement age, equates to an aging population.

Gloom or Boom?

While consumers around the world are more confident about the year ahead, Americans still seem relatively unconvinced there will be drastic improvement.

Purchasing decisions in 2010 will be affected by factors such as brand innovation, retailer assortment, proliferation of store brands, and healthy eating preferences.

Nielsen announced the creation of a joint venture with the Catalina Marketing Corporation. This venture is a major advancement for marketing ROI as well as a milestone in the evolution of online advertising.

This is truly a golden age of anytime, anywhere media. And rather than Americans replacing TV with the Internet or a mobile device, they are just consuming more—often simultaneously. Despite the availability of video content on the Internet, TV viewing is up by about 20% over the last decade, and the average American watches 141 hours of programming each month. Online video consumption stands at more than three hours a month—up from virtually nothing ten years ago. Mobile viewing is growing, too, as devices and connectivity become more widespread. Smartphone usage is climbing and text messaging is through the roof. On average, teens use more than 3,500 text messages a month and adults about 500.

While still in the early stages of a digital media revolution, the consumer has entered an age of enlightenment with expanded options for devices, content, and schedule. The consumer has responded with expanded use of those media options. But changes in technology, regulation, pricing, content distribution deals, etc., will complicate predicting the future growth (and future winners).

Named after advertising legend David Ogilvy, The ARF David Ogilvy Awards annually celebrate his spirited advocacy of research in making good advertising better.