Digital marketing budgets are growing by leaps and bounds. Forrester reports that digital media budget expenditures will rise to near $120 billion over the five year period of 2016 through 2021. As these numbers indicate, digital marketing spend is compounding annually, and the trend is expected to continue. However, a few interesting callouts are important to note as you measure your own digital marketing budget up to the “supersized” numbers that are trending.
As digital marketing budgets soar, marketers are getting more strategic. Here’s how:
- They want quality over quantity. The days of spending on initiatives then waiting to see how they work are no longer. Marketers want to spend their precious dollars on efforts that perform, measurably. In 2008 through 2012, digital marketing budgets were looser and more experimental. Now, marketers have better historicals to help them define what works and what doesn’t.
- They know that traditional marketing still has value. While digital marketing budgets are on par to make up 50% (or more) of the average marketing budget, savvy marketers know that an agnostic approach is likely the best. The marketing mix varies across industries but channels like tradeshows, direct mail as well as print and broadcast advertising are still valuable and should go hand in hand with digital marketing campaigns.
- They are doubling down on customer experience and big data. Savvy marketers understand the value of a stellar customer experience throughout each stage of the marketing funnel. With judicious spending demands, marketers are utilizing the precious dollars to obtain insightful data and investing in product enhancements as well as UI and UX to enhance the customer experience.
- Video is king. Video is no longer a trend to consider; it’s a full-fledged standard of the marketing mix. It has many positive attributes including SEO value, social cache and meeting the growing consumer demand for video consumption. Also notable is this: 73% of B2B respondents believe that video positively impacts their ROI.
While digital marketing budgets are growing at exponential rates, it is essential for marketers to take a 360-view of the unique landscape they face within their industry and in terms of their customers’ behavior. Working with a partner that is focused on performance, not tactics, can help you achieve your goals in 2017 and beyond. Valve+Meter can help you define the best strategy and then roll up their sleeves to help you implement it!