Thursday, April 12, 2012

Digital Growth Driving Media Spending

It seems that digital pennies are becoming digital dollars.  The pace of digital spending continues to grow and there are more opportunities than ever before for media to target efficient audiences and effective reach.  And this annual growth is huge.  "The fastest growth by far is in Consumer Internet & Mobile Services, tipped to swell 18.1% in 2012."  Certainly the pace is poised to accelerate as other segments embrace the web.  Print publications, newspapers, magazines, and books, are pushing more consumers to the tablets and computers.

In fact, David Pogue's article in The New York Times discusses plans for the five big magazine publishers to come together for a buffet of digital magazines that consumers can receive for a low monthly price.  While the price point, $120 - $180/year, doesn't yet sound attractive enough for consumers to purchase, it will initially reach the early adopter and heavy users of multiple magazines as they test the price elasticity for their mags.  It is a good start.

Consumers are becoming more and more accustomed to paying for digital content, whether it is music or e-books, movies, newspapers, and magazines.  As advertising has been everywhere, consumers are not even surprised when it invades devices like our mobile phones.  Whether we have become so overwhelmed by the number of messages flying at us that we ignore 95% or more of them is a topic for another day.  How marketing messages break through the clutter to gain are attention becomes the challenge for today's marketer.  But as the article forecasts, dollars are being spent.