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27 May 10 US Ad Expenditure Grows in Q1 2010

According to a report on ad spending by media types released by Kantar Media ad spending by the US companies has grown by 5.1% in the first quarter of 2010 on previous year to touch $31.3 billion mark. The company studied 19 different media types for the financial health, only to find that 13 among them have shown a rise in the first quarter. The data is as follow:

Ad spending by category

Television

  • Overall growth: 10.5%
  • Spot TV: 22% (Main advertisers coming from automotive, retail, financial services, and political categories)
  • Network TV: Winter Olympics led to 11.6% growth in ad spending on network television.
  • Cable: 8.2%
  • TV (Spanish Language): 7.2%
  • Syndication fell by 13.2%

Radio

  • Overall growth: 7.4%
  • National Spot Radio: 19% (Main advertisers coming from automotive, telecom, and financial services)
  • Local Radio: 4.6%.
  • Network Radio: 3%

Print

  • Overall growth: - 3.2%; Newspaper:-3.7%
  • Consumer Magazine: fell by 3.9%
  • B-to-B Magazine: fell by 8.4%
  • Local Newspaper: slipped by 5.6%
  • Sunday Magazine: spending grew by 13.7%
  • National newspaper: 9.1% (thanks to growth in the Wall Street Journal)

Internet, Outdoor and FSIs

  • Display Ads (Internet): 5%
  • Outdoor: largely flat (drop by -0.4%)
  • FSI: 12.8% growth

As the above data suggested print media is going down, and it touches new low in every successive quarters. But growth in the Sunday Magazine brings some relief for the print industry. It is high time for the print industry to rethink its status and reinvent itself should it not want to follow the footsteps of dinosaurs.

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02 May 10 Inbound Marketing Pushes Outbound Marketing Away

According to the “State of Inbound Marketing Report” released by an Internet marketing firm Hubspot, inbound marketing is getting hotter and hotter day-by-day. It is pushing the outbound marketing out and gaining more ground for itself in the process.

hubspot-lead-generation-budget1

In terms of percentage of the overall lead generation, inbound marketing grew by 1% between 2008 and 2009 (from 38% to 39%) at the cost of outbound marketing that contracted by 5% (from 29% in 2008 to 24% in 2009), as reported in the study released by Hubspot.

The study revealed that social media, SEO, and blog form the top three lead generation sources followed by Email marking. As the chart at the bottom suggests, there had been a tremendous shift towards social media for lead generation. In 2009, only 46% businesses used it, which is expected to increase by 14% to touch 60% mark in 2010. Blogs will also grow in importance but not as much as SEO.

hubspot-sources-leads-important-apr-2010

What so striking about these findings?

If the trend continues to grow as it does now then soon the businesses involved in outbound marketing will be out of the market. For long, everyone was saying the death of mass media is at the door, and we all expected it to be some violent death. But, like life nothing violent happened on the Internet. It means a silent and slow death awaits outbound marketing. It‘s high time for us to shift to inbound marketing.

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07 Feb 10 PayPal Collapsed for India, Now What?

It has not been a pleasant February for Indian freelancers, bloggers, online marketers, and affiliate sales person, PayPal has stopped sending payments to India. Well, they claim they have just stopped personal payment to India, but in reality, almost all types of payments—personal, services, invoiced, etc., — have been blocked by PayPal. When consulted, they say it has some issues with its “business partners” and “credit card companies” (as told to me by inarticulate customer care representative), which according to him will get fixed with seven days time.

Like countless others, I too doubt the authenticity of this claim. And like others, I too cannot help and reflect on the future of outsourcing to India?

Who runs the show?

It was a hard pill to swallow, but PayPal has proved that it is not the countless clients, freelance exchanges, job boards, blogging jobs, and small IT jobs that are running the show not what driving the freelance economy in India; it is PayPal that does. We are dependent on this company, and freelancing in India depends a great deal on the whims and fancies of PayPal.

It is PayPal that runs the show.

What needs to be done?

It is high time for us to look for alternative. There are quite a few, but none of them are half as good as PayPal is, yeah I am confessing this, though reluctantly. Moneybookers, Alterpay, 2CO, Xoom, Wire transfer, Western Union, eGold, etc., are there, but they are either too complex or not at all good.

We need to form an Indian equivalent of PayPal to safeguard ourselves from PayPal and other companies like that. An Indian online payment processing system that works according to the guidelines of Reserve Bank of India (Indian central bank) should be formed.

Confusion is not a nice place to be in. It is dark adn dingy in here, and it feels very bad.

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