Results from Borrell s 2018 Local Agency Survey

Transcription

1 Tomorrow s Media, Understood Today Results from Borrell s 2018 Local Agency Survey This is a summary of Borrell s annual survey, conducted in Spring/Summer The material and graphics in this report are protected by copyright laws and may be used internally by Borrell clients. For permission to use the materials publicly, contact info@borrellassociates.com. Borrell Inc., All rights reserved 0

2 Highlights 45% believe a mix of mostly non-digital media, with some digital is best (Page 5) 78% are utilizing social media marketing for clients (Page 4) Cinema ads & yellow pages are least favored forms marketing (Page 4) Greatest ROI: SEM, Social Media, video, and Broadcast TV (Page 7) Best at generating awareness: TV & social media (Page 8) Best at generating sales: SEM (Page 9) 56% who use Facebook say it s very or extremely effective (Page 10) More than half of agencies are using video advertising most use 6+ videos a year (Page 11) Paid social media ads are seen as the best way to distribute video (Page 11) Video is seen to have above average ability to generate awareness and provide ROI (Page 12) Analytics & online advertising technologies are used more than marketing solutions (Page 13) 10/5/2018 Borrell Inc., All rights reserved 1

3 About the Study 711 Total Respondents Participants were invited through the active advertiser lists of various media companies across the country. These results represent only agencies or media buying companies who completed all 40+ questions. RESPONDENTS BY STATE TYPES OF COMPANIES Company Type Count % of Respondents Adv/mktg firm or agency Media-buying company % Marketing services company 64 9% Media/publishing company 58 8% Public relations firm 36 5% MARKETING/ADV EXPERTISE OF RESPONDENTS 73% Master Marketers (>10,000 hours of experience with marketing/advertising) Total responses for survey n=711 2

4 Business Profile Survey respondents came from three major sizes of business. NUMBER OF EMPLOYEES 35% BUSINESSES BY EMPLOYEE SIZE All Agency Respondents Fewer than 5 35% 5 to 24 34% 25 or more 31% 16% 17% 11% 8% 6% 7% Two-thirds of agencies responding have fewer than 25 employees. Fewer than 5 5 to 9 10 to to to to Q. About how many full- or part-time employees work at your company (at all locations combined)? Total responses for survey n=711 AVERAGE # OF CLIENTS PER YEAR 35 AVERAGE $$ ANNUAL CLIENT BOOKINGS $2.1 mill BUSINESSES BY YEARS IN BUSINESS All Agency Respondents 50% 38% 1 5 or fewer 6 to 20 Over 20 Q. How many years has your business been operating? 3

5 Advertising Types Used AD TYPES USED IN 2017 (Among All Agency Respondents) Social Media Ads Radio Banner ads 78% 75% 74% Non- Newspaper 73% Broadcast TV Advertising Outdoor 64% 64% 63% NON-DIGITAL ONLY DIGITAL ONLY Magazine 6 Cable TV Video advertising Search keywords / PPC Direct Mail Events Content marketing 59% 58% 57% 53% 5 50% 90% Combo Buyers Used both and Non- Advertising in 2017 Printed directories 20% Cinema 20% Other 10% Other Non- 8% Q. Which of the following have you purchased or managed on behalf of a client in the past year? Total responses for survey n=711 4

6 Social media advertising Search keywords / PPC Types Plan to Recommend More AD TYPES PLAN TO RECOMMEND TO CLIENTS MORE (Among All Agency Respondents) Video advertising Content marketing advertising Broadcast TV Radio Banner ads Cable TV Outdoor Events Direct Mail Newspaper Magazine Cinema Printed directories Other Other Non- None of these 16% 5% 17% 3% 7% 24% 2 29% 27% 36% 36% 34% 38% 46% 45% 5 65% Non- 45% a mix of mostly nondigital media, with some digital MEDIA MIX WITH BEST PERFORMANCE 40% a mix of mostly digital media, with some non-digital Q. In your experience, which performs best? 9% 7% digital media non-digital media Q. Which of the following, if any, do you intend to recommend to clients MORE OFTEN in the next 12 months than you have in the past? Total responses for survey n=711 5

7 Decision Influencers DECISION-MAKING INFLUENCERS TO RECOMMENDATIONS MADE TO CLIENTS (Among All Agency Respondents) 87% 85% 71% Ability to reach particular demographics Audience measurements Cost of placements/ services 49% 48% 4 38% 28% 26% 7% 3% Helps provide diverse media mix Niche vs mass market appeal of marketing product Personal experience using what I recommend Relationship with the media rep Flexible contracts / billing Programmatic -enabled buys Commissions / bonuses offered by media co. Incentive trips offered by media co. This Photo by Unknown Author is licensed under CC BY-NC-SA Q. Which of the following influence your decisions when making advertising / marketing recommendations to clients? (select all that apply) Advertisers answering the question n=711 6

8 Media ROI SEM (n=393) Social media adv (n=542) Video adv (n=391) Broadcast TV (n=423) Content mktg (n=340) adv (n=431) Events (n=346) Cable TV (n=388) Direct mail (n=359) Radio (n=488) Outdoor (n=387) Banner ads (n=496) Cinema (n=119) Newspaper (n=467) Magazine (n=390) Print directories (n=120) AVERAGE ROI OF MEDIA USED (Among those who used it) Total responses for survey n= Averages based on those who used the media and provided a rating Scale was 1-5; 3.0 scores and above are good or better. Q. How would your rate the return on investment (ROI) of those you've used? Scale: Don t know 1- Poor 2 - Fair 3 - Good 4 - Very good 5 - Excellent Non- Ten methods of advertising were rated as good or better by those who use them. Five digital and five non-digital methods made it above good. SEM and Social media are the top two methods providing ROI. AVG ROI RATING On average, digital is perceived to have more ROI than nondigital. Non Average Effectiveness 7

9 Media s Ability to Generate Awareness AVERAGE ABILITY FOR BRANDING OR GENERATING AWARENESS (Among those who used it) Broadcast TV (n=443) Social media adv (n=538) Video adv (n=398) Cable TV (n=407) Outdoor (n=424) Content mktg (n=347) Events (n=352) Radio (n=511) SEM (n=391) adv (n=434) Direct mail (n=360) Banner ads (n=511) Magazine (n=421) Cinema (n=129) Newspaper (n=501) Print directories (n=123) Total responses for survey n= Averages based on those who used the media and provided a rating Non- Scale was 1-5; 3.0 scores and above are good or better. Q. Disregarding price, how does each medium perform for branding or generating awareness? Scale: Don t know 1- Poor 2 - Fair 3 - Good 4 - Very good 5 - Excellent Ten methods of advertising were rated as good or better by those who use them. Five digital and five non-digital methods made it above good. Broadcast TV, social media and online video topped the list for for generating awareness. Both digital and non-digital scored above a 3.0 at an aggregate level. AVG ABILITY TO GENERATE AWARENESS Non Average Ability to Generate Awareness 8

10 Media s Ability to Generate Sales Social media adv (n=511) Broadcast TV (n=403) Content mktg (n=316) Print directories (n=119) AVERAGE ABILITY TO GENERATE SALES (Among those who used it) SEM (n=373) adv (n=413) Direct mail (n=341) Video adv (n=367) Events (n=326) Cable TV (n=373) Radio (n=465) Banner ads (n=476) Newspaper (n=453) Outdoor (n=358) Cinema (n=114) Magazine (n=374) Total responses for survey n= Averages based on those who used the media and provided a rating Scale was 1-5; 3.0 scores and above are good or better. Q. Disregarding price, how does each perform for generating direct sales? Scale: Don t know 1- Poor 2 - Fair 3 - Good 4 - Very good 5 - Excellent Non- Six methods of advertising were rated as good or better by those who use them for generating sales. Four digital and two nondigital methods made it to good or better. SEM had the #1 spot for generating sales. has a decent lead over non-digital at an aggregate level for generating awareness. AVG ABILITY TO GENERATE SALES Non Average Ability to Generate Sales 9

11 Social Media MOST USED SOCIAL MEDIA SITES SOCIAL MEDIA EFFECTIVENESS #1 Facebook 90% #2 Instagram 68% #3 YouTube 60% #5 Twitter 53% #6 LinkedIn 48% #7 Google+ 41% #8 Snapchat 2 #9 Pinterest 2 #10 Yelp 19% 5 AVERAGE # OF SOCIAL MEDIA PLATFORMS USED 56% 35% 3 18% 14% Of those using Facebook (n=614) for clients say it s very or extremely effective Of those using Instagram (n=444) for clients say it s very or extremely effective Of those using YouTube (n=397) for clients say it s very or extremely effective Of those using Snapchat (n=138) for clients say it s very or extremely effective Of those using Twitter (n=354) for clients say it s very or extremely effective Q. Which of the following social networking platforms have you used on behalf of a client in the past year? Please rate the overall effectiveness of the social networks you use. Total responses for survey n=711 10

12 Video Advertising, Part I Used video 58% 59% advertising in 2017 Plan to recommend video advertising more REASONS USED VIDEO ADVERTISING VIDEO DISTRIBUTION METHODS Get my message across 68% Grab attention 67% Create a memory / lasting impression 51% Humanize the brand 46% Generate leads 38% Stay on top of the trends / it's cool 19% People say it works 10% Other 9% Paid social media ads Your social media pages YouTube TV / cable stations Your website / blog Ad networks Local media websites campaigns Partner blogs / websites Movie theaters Kiosks / events Content discovery platforms Used, but not "the best" 44% 59% 6 40% 5 37% 39% 35% 24% 15% <1% 13% <1% 11% 1% 3% Considered it "the best" 6% 16% 3% 1 8% 28% % of those who use video marketing (19% didn t know what worked best) Q. Why did you use video advertising in 2017? Where did you distribute video content in 2017? Which method worked best? Total responses n=711; 413 used video 11

13 Video Advertising, Part II VIDEO ADVERTISING EFFECTIVENESS Scale of 1-5; 3.0 = good Average ROI 3.50 Average Ability to Generate Awareness 3.55 Average Ability to Generate Sales 3.01 # OF VIDEOS USED IN to 5 21% 6 to 12 21% More than 12 48% Don t know 10% Professionally produced videos Short videos (5-10 seconds) Included URL in the video Facebook Live Interviews Background music No sound only text overlays InstaStories Embedded SEO keywords Behind the scenes Tutorials Coupons, incentives for viewers Long videos (30 min+) VIDEO ELEMENTS USED Used, but not "the best" 13% 11% 20% 19% 18% 23% 33% 31% 1% 38% 37% 39% 3% 43% 44% 1% 6% Considered it "the best" <1% 4% 3% 26% 28% % of those who use video marketing (16% didn t know what worked best) Q. How many videos did you use for marketing purposes in 2017? Which of the following did you incorporate into your video marketing in 2017? Of those you used, what worked best? Total responses n=711; 413 used video 12

14 Marketing Technology TYPE OF MARKETING TECNOLOGY USED (Among All Respondents) Analytics (ie Google Analytics) 74% 84% of Local Agencies use at least one type of MarTech Online advertising (ie Google Ads) marketing (ie Constant Contact) Project management (ie Slack, Dropbox) Social media management (ie Hoot Suite) SEO (ie Keyword Planner) 61% 54% 5 47% 47% CRM systems (ie Salesforce) Content marketing (ie Hubspot, Marketing automation (ie Marketo) Other 27% 23% 11% 9% This Photo by Unknown Author is licensed under CC BY-SA-NC Q. What types of do-it-yourself marketing technology does your business use? Total responses for survey n=711 13

15 Tomorrow s Media, Understood Today Thank You! The material and graphics in this report are protected by copyright laws and may be used internally by Borrell clients. For permission to use the materials publicly, contact info@borrellassociates.com. Borrell Inc., All rights reserved 14