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US Marketers Demand More Bang for Their Bucks

Trend Summary: The 'Leading National Advertisers' report reveals how blue-chip US marketers vie to get more bang for their bucks.

The report, published annually by adtrade bible Advertising Age, reveals how leading national advertisers [LNA hereon] are getting more bang for their billions of bucks by doubling down on digital and taking unnecessary costs out of marketing. Although adspend growth rate grew by $137.8bn in 2014, this was the lowest growth rate since ...

... the ad-market recovery in 2010.

In 2014 America's two hundred top-spending advertisers reduced their measured-media spend by 1.8%, with cuts in every major medium except broadcast network TV and cable TV.

Among the 200 LNA, the measured medium showing the sharpest decline is likely to raise more than a few adland eybrows: The top 200's spending on internet display advertising last year sagged by 13.3%.

However, the 200 LNA boosted spending on other forms of marketing by 6.5% in 2014.

The AdAge report refers to spending on other forms of marketing as 'unmeasured spending', referring to the difference between measured-media spending figures and a company's total US advertising and promotion outlays.

Total spending consists of expenditure in measured-media (calculated by WPP Group's Kantar Media) for eighteen types of traditional media, plus internet display spending) and Ad Age Datacenter's estimate of unmeasured spending (including digital formats such as search marketing, online video, mobile, unmeasured forms of social media -- and promotion, experiential marketing and direct marketing.

Read the orginal unabridged article.

[Estimated timeframe:Q3 2015 onward]

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