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CPG Marketers Now Spend More on Digital Than Traditional Ads

Trend Summary: Packaged-goods marketers now spend more on digital than all forms of traditional advertising combined.


A new online study of 600 brand marketers, retailers and shoppers by Cadent Consulting Group, a spinoff from WPP's Kantar Retail, reveals that the latter two groups give digital lower marks for effectiveness than ...

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... any other marketing option.

According to Cadent this trend could cap growth in years ahead.

The survey also notes that shopper marketing, long one of the hottest areas of Consumer Packaged Goods [CPG] spending, has not only reached a plateau but also started to decline as a share of marketers budgets.

However, trade promotion remains one of the industry's biggest marketing line items, accounting for 46.2% of spending, according to a study of circa one hundred manufacturers.

Nonetheless the latter figure is down from more than 49% in 2012, with some marketers projecting that they will cut it further to around 43% in 2017.

Overall, Cadent reports that the CPG industry spends around $225bn on marketing, including in its mix spending on trade and consumer promotions.

Read the original unabridged AdAge.com article.

[Estimated timeframe:Q1 2017]

All data sources are attributed with links to the original insight. The insight is then summarised and, where appropriate, enhanced with additional information.

Source: AdAge.com
MTT insight URL: http://marketingtrendtracker.com/article.aspx?id=7106



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