If They Are Spending Now They Will Be More Powerful Later

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If They Are Spending Now They Will Be More Powerful Later


May 20, 2009 by Mark Maier

"Corporate Campaigns Hint At Brand Advertising Revival" pretty much says it all to us in the advertising business, that means that things are looking up in the economy and the purse strings are about to be opened on long-term spending initiatives according to Ad Age...

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Coming at a time when most marketers have been hoarding spending, heavily discounting and focusing on any way to move merchandise in the recessionary short term, this sudden burst of branding stands out like a wildflower among weeds. Given that it coincides with a new survey from the Association of National Advertisers that suggests marketers are getting ready to once again open their wallets, and some promising remarks from senior executives from marketers including Walmart, Procter & Gamble and Unilever, a tentative case might be made that branding is making a comeback".

So what is happening in the market to make this happen?...

"Two-thirds of the 129 marketers surveyed last month by the ANA said the recession shifted focus of their companies toward short-term results. But nearly three-quarters of them, 73%, said they are poised to start spending even before the recession ends -- 43% three months before and 30% six months before. With economists in a Wall Street Journal poll last week predicting on average the recession will end in August, that could mean a recovery in spending is very near.

Just over two-thirds of marketers surveyed said they plan to hike media budgets when the recession ends. Increases in social media and experimental budgets are next on the priority list, but only 5% said they plan to increase pricing deals once the recession is over."

Use the Ad Age article to seed your clients who have been holding back on the marketing budgets and get them engaged in making the most of the recovery and taking brand share now.


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