Mosaic buys web shop Patrick Paradisi ]
March 26, 2009 By Kristin Laird
Experiential marketing agency Mosaic has acquired independent web design agency Patrick Paradisi Inc., and is merging it with its in-house digital hardware services team to form Mosaic Interactive.
Until now, Mosaic worked with Patrick Paradisi Inc. on microsite developments on a per project basis, said Mosaic president Aidan Tracey.
“We believe fundamentally that digital and online is inextricably linked to what we do in event and experiential marketing,” said Tracey. “As we stage events, they get talked about online...and we’ve built the competency now to seamlessly link those two things together.”
Sean Patrick, former president of Patrick Paradisi Inc., will lead the new 15-person division from Mosaic’s Toronto office. Tracey said the interactive shop is open to Mosaic’s existing client list, which includes General Mills, P&G, Coca-Cola and Mattel.
“We’ve worked seamlessly with Mosaic on a great deal of business over the past five years,” said Patrick in a release. “Considering the amount of work we regularly share, as well as Mosaic’s continued growth, it’s a very exciting time to be joining the Mosaic team.”
http://www.marketingmag.ca/english/news/agency/article.jsp?content=20090325_172259_6664
Thursday, March 26, 2009
The Nielsen Company Acquires The Cambridge Group
http://en-us.nielsen.com/main/news/news_releases/2009/march/the_nielsen_company
The Nielsen Company announced today that it has acquired The Cambridge Group, a leading growth strategy consulting firm to Fortune 500 companies. Headquartered in Chicago, The Cambridge Groupuses its intellectual capital to help clients develop growth strategies based on profitable current, latent and emerging demand. Companies implement these strategies by aligning differentiated supply against the most profitable demand in their markets.
The Nielsen Company announced today that it has acquired The Cambridge Group, a leading growth strategy consulting firm to Fortune 500 companies. Headquartered in Chicago, The Cambridge Groupuses its intellectual capital to help clients develop growth strategies based on profitable current, latent and emerging demand. Companies implement these strategies by aligning differentiated supply against the most profitable demand in their markets.
Sales Jump 11% After Asics Gives TV a Try
http://adage.com/article?article_id=135527
The running-shoe brand dabbled in TV for the first time last year, spending about $5 million of its $27.6 million U.S. media budget on TV advertising, primarily on Olympics broadcasts. That spending came primarily at the expense of magazines, which have traditionally dominated Asics' budget. Magazine spending fell $2 million, to $21.7 million, despite a $3 million spending increase overall, according to TNS Media Intelligence.
The tinkering paid off, as Asics' sales rose 11% last year, according to SportsOneSource.
The running-shoe brand dabbled in TV for the first time last year, spending about $5 million of its $27.6 million U.S. media budget on TV advertising, primarily on Olympics broadcasts. That spending came primarily at the expense of magazines, which have traditionally dominated Asics' budget. Magazine spending fell $2 million, to $21.7 million, despite a $3 million spending increase overall, according to TNS Media Intelligence.
The tinkering paid off, as Asics' sales rose 11% last year, according to SportsOneSource.
Wednesday, March 25, 2009
Carat Revises Ad Outlook. Calls For 9.8% Drop In U.S., 5.8% In Global Ad Spending
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=102843
Aegis Group's Carat unit this morning released new forecasts for global ad spending in 2009 and 2010, the first from the agency since the economy began to unravel. Carat's new prediction calls for U.S. ad spending to decline 9.8% in 2009, and rise 0.1% in 2010. Worldwide ad spending is projected to decline 5.8% in 2009, and rise 0.7% in 2010, the agency said.
Ad Spending Growth By Region
2008
2009
GLOBAL
1.0 (4.9)
-5.8 (4.8)
USA
-1.8 (2.1)
-9.8 (3.1)
Canada
2.0 (6.1)
-2.5 (7.2)
WESTERN EUROPE
-2.9 (2.2)
-6.6 (2.3)
UK
-5.5 (2.5)
-7.1 (2.2)
Germany
0.0 (0.3)
-2.2 (0.5)
France
-2.6 (1.7)
-5.0 (2.4)
Italy
-1.9 (2.8)
-6.5 (2.4)
Spain
-12.7 (-2.3)
-16.5 (-0.8)
Nordics
-0.2 (4.3)
-5.6 (3.1)
Central/Eastern Europe
12.2 (16.8)
-8.2 (15.2)
Russia
16.6 (22.8)
-8.6 (19.5)
ASIA PACIFIC
5.0 (8.2)
-0.8 (5.7)
Japan
-4.2 (1.5)
-5.5 (0.5)
China
18.9 (18.2)
4.6 (10.9)
Australia
4.2 (4.2)
-1.9 (3.6)
Figures in brackets show our previous forecasts from Aug 2008
Aegis Group's Carat unit this morning released new forecasts for global ad spending in 2009 and 2010, the first from the agency since the economy began to unravel. Carat's new prediction calls for U.S. ad spending to decline 9.8% in 2009, and rise 0.1% in 2010. Worldwide ad spending is projected to decline 5.8% in 2009, and rise 0.7% in 2010, the agency said.
Ad Spending Growth By Region
2008
2009
GLOBAL
1.0 (4.9)
-5.8 (4.8)
USA
-1.8 (2.1)
-9.8 (3.1)
Canada
2.0 (6.1)
-2.5 (7.2)
WESTERN EUROPE
-2.9 (2.2)
-6.6 (2.3)
UK
-5.5 (2.5)
-7.1 (2.2)
Germany
0.0 (0.3)
-2.2 (0.5)
France
-2.6 (1.7)
-5.0 (2.4)
Italy
-1.9 (2.8)
-6.5 (2.4)
Spain
-12.7 (-2.3)
-16.5 (-0.8)
Nordics
-0.2 (4.3)
-5.6 (3.1)
Central/Eastern Europe
12.2 (16.8)
-8.2 (15.2)
Russia
16.6 (22.8)
-8.6 (19.5)
ASIA PACIFIC
5.0 (8.2)
-0.8 (5.7)
Japan
-4.2 (1.5)
-5.5 (0.5)
China
18.9 (18.2)
4.6 (10.9)
Australia
4.2 (4.2)
-1.9 (3.6)
Figures in brackets show our previous forecasts from Aug 2008
Tuesday, March 17, 2009
U.S. advertising seen plunging 13% in 2009
Advertising revenue in the United States will drop 13% this year, but improve to a decline of just 1.5% in 2010, according to a new report from Barclays Capital.
Barclays on Thursday lowered its previous estimates, which called for an ad-revenue decrease of 10% in 2009 and a gain of 1% in 2010.
Analysts Craig Huber, Douglas Anmuth and Anthony DiClemente said they would "significantly underweight" large-cap media and newspaper stocks, and "remain cautious on stocks with exposure to the broadcast-television networks and local broadcast-station groups."
The analysts cut their 2009 estimate for broadcast-network TV ad revenue to a decline of 17.5% from the previous forecast of a 10% drop. Revenue at the networks should rise by 1% in 2010, they said.
At TV stations -- which have been severely hurt by declines in automotive and retail advertising since the financial downturn intensified last fall -- Barclays now expects ad revenue to plummet 21.5% this year, compared with the earlier forecast of a 15.5% decline. TV-station ad revenue is seen dropping 3.2% in 2010.
The analysts also reduced their Internet-ad revenue forecast to a gain of 2.3% in 2009, to $23.7 billion. The projection reflects a decline of 1.2% in display ads; 8% growth in search; a 7.5% drop in auctions and other ads; and a 1% growth in lead generation and email ads.
"[W]e believe the secular shift to online is intact and we expect growth to accelerate through 2011 as the Internet continues to capture a greater share of the advertising market," Huber, Anmuth and DiClemente wrote.
Barclays expects display ads to pick up to some degree in 2010, with 2.7% growth, while search-ad revenue climbs 10%. Overall, the analysts see Internet-ad revenue rising 5.7% to $25 billion
http://www.marketwatch.com/news/story/US-advertising-revenue-plunge-13/story.aspx?guid={CF03CAD8-FD63-4B67-8159-C3D85A5FE2C2}
Barclays on Thursday lowered its previous estimates, which called for an ad-revenue decrease of 10% in 2009 and a gain of 1% in 2010.
Analysts Craig Huber, Douglas Anmuth and Anthony DiClemente said they would "significantly underweight" large-cap media and newspaper stocks, and "remain cautious on stocks with exposure to the broadcast-television networks and local broadcast-station groups."
The analysts cut their 2009 estimate for broadcast-network TV ad revenue to a decline of 17.5% from the previous forecast of a 10% drop. Revenue at the networks should rise by 1% in 2010, they said.
At TV stations -- which have been severely hurt by declines in automotive and retail advertising since the financial downturn intensified last fall -- Barclays now expects ad revenue to plummet 21.5% this year, compared with the earlier forecast of a 15.5% decline. TV-station ad revenue is seen dropping 3.2% in 2010.
The analysts also reduced their Internet-ad revenue forecast to a gain of 2.3% in 2009, to $23.7 billion. The projection reflects a decline of 1.2% in display ads; 8% growth in search; a 7.5% drop in auctions and other ads; and a 1% growth in lead generation and email ads.
"[W]e believe the secular shift to online is intact and we expect growth to accelerate through 2011 as the Internet continues to capture a greater share of the advertising market," Huber, Anmuth and DiClemente wrote.
Barclays expects display ads to pick up to some degree in 2010, with 2.7% growth, while search-ad revenue climbs 10%. Overall, the analysts see Internet-ad revenue rising 5.7% to $25 billion
http://www.marketwatch.com/news/story/US-advertising-revenue-plunge-13/story.aspx?guid={CF03CAD8-FD63-4B67-8159-C3D85A5FE2C2}
U.S. advertising down 2.6% in 2008, according to Nielsen
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090313/FREE/903139981/1078/newsletter011#seenit
U.S. advertising declined 2.6% to $136.8 billion in 2008, according to data released Friday by Nielsen Co.
Declines were recorded almost across the board, as spending even decreased on Internet display advertising, which fell 6.4%.
Ad spending in b-to-b magazines fell 9.7%. Ad expenditures in other print categories were hit hard, too, with steep declines at national magazines (-7.6%), national newspapers (-9.6%), local newspapers (-10.2%) and local Sunday supplements (-11.0%).
Only two categories, Hispanic Cable TV (9.6%) and cable TV (7.8%), experienced ad growth in 2008.
U.S. advertising declined 2.6% to $136.8 billion in 2008, according to data released Friday by Nielsen Co.
Declines were recorded almost across the board, as spending even decreased on Internet display advertising, which fell 6.4%.
Ad spending in b-to-b magazines fell 9.7%. Ad expenditures in other print categories were hit hard, too, with steep declines at national magazines (-7.6%), national newspapers (-9.6%), local newspapers (-10.2%) and local Sunday supplements (-11.0%).
Only two categories, Hispanic Cable TV (9.6%) and cable TV (7.8%), experienced ad growth in 2008.
Social Media Outlay Still Small
Forrester finds that marketers still relegate efforts to the sidelines
Forrester found that 75 percent of marketers have budgeted less than $100,000 for social media efforts over the next year. The firm concluded that social media has not yet entered the marketing mainstream, but is largely relegated to experimental budgets -- despite the fact that social media marketing typically costs less than traditional ad programs.
Social media had yet to prove its impact, using accepted measurement standards, in moving customers through the marketing funnel, Forrester said. That lack of proven impact has relegated efforts to the sidelines: 45 percent of respondents said their social media budgets are determined on an "as-needed" basis.
The good news: Even with the economy in recession, a majority of marketers -- 53 percent -- said they expected to increase spending on social media. Just 5 percent said they would decrease spending and 42 percent said their outlays would remain the same. (Forrester did not ask marketers to specify if they were including ad programs on social sites.)
Forrester found that 75 percent of marketers have budgeted less than $100,000 for social media efforts over the next year. The firm concluded that social media has not yet entered the marketing mainstream, but is largely relegated to experimental budgets -- despite the fact that social media marketing typically costs less than traditional ad programs.
Social media had yet to prove its impact, using accepted measurement standards, in moving customers through the marketing funnel, Forrester said. That lack of proven impact has relegated efforts to the sidelines: 45 percent of respondents said their social media budgets are determined on an "as-needed" basis.
The good news: Even with the economy in recession, a majority of marketers -- 53 percent -- said they expected to increase spending on social media. Just 5 percent said they would decrease spending and 42 percent said their outlays would remain the same. (Forrester did not ask marketers to specify if they were including ad programs on social sites.)
Monday, March 16, 2009
P&G reins in ad spending
http://news.cincinnati.com/article/20090314/BIZ01/903140319/1001/BIZ
Cincinnati-based P&G spent $2.85 billion last year, down from $3.53 billion in 2007, Nielsen reported. Despite the decline, P&G was still the nation's top advertiser, ahead of General Motors, whose spending fell 14.9 percent, and AT&T, whose ad spending fell 7.2 percent.
But P&G's budget-cutting - it spent $683 million less on advertising in 2008, Nielsen found - has trickled down to the many small- and mid-sized agencies in Greater Cincinnati that work on P&G-related projects. "P&G is tightening its belt and asking for greater efficiencies," said Jack Streitmarter, president of Cincinnati-based audio and digital agency Sound Images.
Friday, March 13, 2009
Zoom Media Snags $30 Million In Funding
Amid economic turmoil, there's some good news in the digital out-of-home video marketplace. Zoom Media & Marketing said it raised $30 million with the sale of a minority stake to ABS Capital Partners.
According to Zoom Chairman and CEO François de Gaspé Beaubien, the company will use the money to continue rolling out digital displays across its network of fitness and nightlife venues. Zoom also plans to acquire enterprises to bolster its presence in certain key categories. To date, Zoom's digital network includes more than 2,500 venues around the U.S. and Canada--covering the top 90 U.S. DMAs, along with regular poster and billboard advertising in over 8,000 venues. Looking to the future, Zoom President Dennis Roche said the company would be "a key consolidator in the digital OOH industry," forecasting more "acquisitions and build outs over the next 18 months."
According to Zoom Chairman and CEO François de Gaspé Beaubien, the company will use the money to continue rolling out digital displays across its network of fitness and nightlife venues. Zoom also plans to acquire enterprises to bolster its presence in certain key categories. To date, Zoom's digital network includes more than 2,500 venues around the U.S. and Canada--covering the top 90 U.S. DMAs, along with regular poster and billboard advertising in over 8,000 venues. Looking to the future, Zoom President Dennis Roche said the company would be "a key consolidator in the digital OOH industry," forecasting more "acquisitions and build outs over the next 18 months."
Digital Signage To Rise 33%
As some out-of-home companies look to digital signage as a growth opportunity, research shows the business will grow at a 33% clip in the United States this year.
The figure from ABI Research covers infrastructure aspects from hardware to maintenance; it does not cover the advertising wild card.
Aima said: "Although digital signage technology promises increases in sales and revenue, such growth is not immediate. The investment in installing a network can still be very high, depending on the number of sites and the cost of the other components. Yet, businesses with ready access to capital may see a real opportunity here."
The figure from ABI Research covers infrastructure aspects from hardware to maintenance; it does not cover the advertising wild card.
Aima said: "Although digital signage technology promises increases in sales and revenue, such growth is not immediate. The investment in installing a network can still be very high, depending on the number of sites and the cost of the other components. Yet, businesses with ready access to capital may see a real opportunity here."
Trade show budgets projected to decline 17% this year
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090311/FREE/903119995/1078/newsletter011
Budgets for trade show exhibiting are expected to decline 17% this year, while the number of trade shows that exhibitors are planning to participate in should drop by about the same amount, according to the Trade Show Exhibitors Association.
According to TSEA’s newly released “2009 Exhibit Marketing Survey,” budgets for exhibiting will decrease to an average of $381,000 per company this year, down from last year’s $459,100. In addition, the average number of trade shows that companies expect to exhibit at this year is 25, down from 30 last year.
http://www.tsea.org/LinkClick.aspx?fileticket=l7rKHhYWkg4%3d&tabid=91&mid=1053
Budgets for trade show exhibiting are expected to decline 17% this year, while the number of trade shows that exhibitors are planning to participate in should drop by about the same amount, according to the Trade Show Exhibitors Association.
According to TSEA’s newly released “2009 Exhibit Marketing Survey,” budgets for exhibiting will decrease to an average of $381,000 per company this year, down from last year’s $459,100. In addition, the average number of trade shows that companies expect to exhibit at this year is 25, down from 30 last year.
http://www.tsea.org/LinkClick.aspx?fileticket=l7rKHhYWkg4%3d&tabid=91&mid=1053
Aberdeen finds marketers increasing social media budgets
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090312/FREE/903129993/1078/newsletter011
A new report by Aberdeen Group found that 68% of best-in-class companies (those demonstrating marketing excellence) plan to increase their marketing budgets this year for social media.
The report, “The ROI on Social Media Marketing: Why It Pays to Drive Word of Mouth,” was based on an online survey of 275 marketers at enterprise companies.
The survey, which was conducted in January and February, found that while companies are increasing their spending on social media, many say it is hard to measure.
According to the research, 39% of all companies said it was somewhat difficult to measure social media, and 20% said it was very difficult.
The full report is available at http://www.aberdeen.com/summary/report/benchmark/5639-RA-social-media-marketing.asp.
A new report by Aberdeen Group found that 68% of best-in-class companies (those demonstrating marketing excellence) plan to increase their marketing budgets this year for social media.
The report, “The ROI on Social Media Marketing: Why It Pays to Drive Word of Mouth,” was based on an online survey of 275 marketers at enterprise companies.
The survey, which was conducted in January and February, found that while companies are increasing their spending on social media, many say it is hard to measure.
According to the research, 39% of all companies said it was somewhat difficult to measure social media, and 20% said it was very difficult.
The full report is available at http://www.aberdeen.com/summary/report/benchmark/5639-RA-social-media-marketing.asp.
News Corp. Unit Buys Rival After Settling a Suit With It
http://www.nytimes.com/2009/03/13/business/media/13floor.html?_r=1&dlbk=&pagewanted=print
News America Marketing, a unit of the News Corporation that produces coupon inserts and sells advertising in supermarkets, settled a lawsuit this week with a competitor that had accused it of anticompetitive behavior and corporate spying.
On Wednesday, News America bought the company, Floorgraphics, outright for an undisclosed sum.
The lawsuit was settled after witnesses began testifying in the trial in federal court in New Jersey. The original lawsuit was filed in 2004.
In a brief statement, a spokeswoman for News America confirmed the acquisition, saying, “We’re pleased to be expanding our network of stores to better serve our customers and we’re very excited to incorporate the quality network so ably developed by Floorgraphics.”
In a court filing, Floorgraphics, which also markets in-store advertising, said that News America had “illegally accessed plaintiff’s computer system and obtained proprietary information from the computer system; disseminated false, misleading and malicious information about the plaintiff; and incorrect information about themselves to plaintiff’s existing and prospective clients, in an effort to induce retailers and clients to avoid doing further business with plaintiff.”
The case included a former employee of News America who emerged as a whistle-blower and provided Floorgraphics with information about the company’s business tactics.
News America has also been sued by other competitors, including Valassis Communications, and the competitive culture of the little-known unit of the News Corporation, which is controlled by Rupert Murdoch, has attracted attention in recent years from business magazines like Fortune and Forbes.
An article in Forbes in 2005 reported that the head of the unit liked to motivate the sales staff by showing a clip from the film “The Untouchables,” depicting Al Capone beating a man with a baseball bat.
The division is a small piece of Mr. Murdoch’s empire, whose higher-profile businesses are Fox News Channel, the Fox broadcast network, MySpace, the 20th Century Fox film studio and newspapers like The Wall Street Journal and The New York Post.
In the most recent quarter, the News Corporation’s magazines and inserts unit, of which News America is a part, reported revenue of $284 million, or just 3.6 percent of the company’s total revenue of $7.9 billion.
News America Marketing, a unit of the News Corporation that produces coupon inserts and sells advertising in supermarkets, settled a lawsuit this week with a competitor that had accused it of anticompetitive behavior and corporate spying.
On Wednesday, News America bought the company, Floorgraphics, outright for an undisclosed sum.
The lawsuit was settled after witnesses began testifying in the trial in federal court in New Jersey. The original lawsuit was filed in 2004.
In a brief statement, a spokeswoman for News America confirmed the acquisition, saying, “We’re pleased to be expanding our network of stores to better serve our customers and we’re very excited to incorporate the quality network so ably developed by Floorgraphics.”
In a court filing, Floorgraphics, which also markets in-store advertising, said that News America had “illegally accessed plaintiff’s computer system and obtained proprietary information from the computer system; disseminated false, misleading and malicious information about the plaintiff; and incorrect information about themselves to plaintiff’s existing and prospective clients, in an effort to induce retailers and clients to avoid doing further business with plaintiff.”
The case included a former employee of News America who emerged as a whistle-blower and provided Floorgraphics with information about the company’s business tactics.
News America has also been sued by other competitors, including Valassis Communications, and the competitive culture of the little-known unit of the News Corporation, which is controlled by Rupert Murdoch, has attracted attention in recent years from business magazines like Fortune and Forbes.
An article in Forbes in 2005 reported that the head of the unit liked to motivate the sales staff by showing a clip from the film “The Untouchables,” depicting Al Capone beating a man with a baseball bat.
The division is a small piece of Mr. Murdoch’s empire, whose higher-profile businesses are Fox News Channel, the Fox broadcast network, MySpace, the 20th Century Fox film studio and newspapers like The Wall Street Journal and The New York Post.
In the most recent quarter, the News Corporation’s magazines and inserts unit, of which News America is a part, reported revenue of $284 million, or just 3.6 percent of the company’s total revenue of $7.9 billion.
Wednesday, March 11, 2009
When the Going Gets Tough, P&G Gets Philanthropic
http://www.brandweek.com/bw/content_display/news-and-features/direct/e3i801548f98188f77a4b15553d1d559b90
Procter & Gamble, which has made the “value” argument to consumers in this down economy, is adding another one: Buy our products and some of the money will go to charity.The company’s expanded embrace of cause marketing comes as P&G and charities alike feel the heat from the recession. P&G’s second quarter total sales fell 3.2 percent to $20.4 billion.
The topic was top-of-mind for many P&Gers during a recent company discussion on value. Held in Cincinnati, the panel included bringing in outside influencers—namely, a mommy blogger, a financial expert and a celebrity stylist—to brainstorm different ways of defining value in the current economic times. Several participants brought up the need to leverage cause marketing, but only on brands for which it made sense. (All three programs contained in this month’s brandSaver exist independent of the coupon booklet. An initiative linking Pampers to the prevention of neonatal tetanus, for instance, was founded in 2006.)
Procter & Gamble, which has made the “value” argument to consumers in this down economy, is adding another one: Buy our products and some of the money will go to charity.The company’s expanded embrace of cause marketing comes as P&G and charities alike feel the heat from the recession. P&G’s second quarter total sales fell 3.2 percent to $20.4 billion.
The topic was top-of-mind for many P&Gers during a recent company discussion on value. Held in Cincinnati, the panel included bringing in outside influencers—namely, a mommy blogger, a financial expert and a celebrity stylist—to brainstorm different ways of defining value in the current economic times. Several participants brought up the need to leverage cause marketing, but only on brands for which it made sense. (All three programs contained in this month’s brandSaver exist independent of the coupon booklet. An initiative linking Pampers to the prevention of neonatal tetanus, for instance, was founded in 2006.)
Reed Exhibitions looking to make acquisitions in U.S.
Even as the downturn persists, Reed Exhibitions is looking to acquire trades shows in the U.S., said Mike Rusbridge, chairman-CEO of Reed Elsevier’s $1.4 billion trade show arm, at Thursday’s DeSilva & Phillips Media Dealmakers Summit.
Even at its size, Reed Exhibitions controls just 5% of the worldwide exhibitions market. “It’s a highly fragmented market,” Rusbridge said.
Rusbridge said Reed Exhibitions had 20% of its business in the U.S., a percentage that he described as “underweight.” “We’re already looking for more deals in the U.S. to bolster that,” he said.Through acquisitions and organic growth focused in the U.S., Brazil, Russia, India, China and the Middle East, Rusbridge said he hopes to double Reed Exhibition’s market share in the trade show sector.
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090205/FREE/902059979/1078/newsletter011
MarketSense acquires Robert Brandt and Associates
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090225/FREE/902259991
MarketSense, a b-to-b integrated marketing agency, announced the acquisition of creative agency Robert Brandt and Associates. Both agencies are located in Burr Ridge, Ill. The merged company will operate under the MarketSense name. Financial terms were not disclosed.
MarketSense, a b-to-b integrated marketing agency, announced the acquisition of creative agency Robert Brandt and Associates. Both agencies are located in Burr Ridge, Ill. The merged company will operate under the MarketSense name. Financial terms were not disclosed.
Survey: Sales leads from expos are cost-effective
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090225/FREE/902259995/1078/newsletter011
CEIR’s study, “The Cost Effectiveness of Exhibition Participation: Part I,” showed that companies spend an average of $215 to make an initial face-to-face visit with a potential customer at a trade show, taking into account booth construction, storage, transportation, staffing, salaries and other expo costs. This compared with an average of $1,039 per lead in identifying and contacting a prospect in the field.
In addition, two-thirds of respondents said fewer sales calls are needed to close a sale with an exhibition lead, because of the prospect’s direct contact with sales or technical staff and first-hand experience with products at the show.
CEIR’s telephone survey gauged feedback from 214 respondent companies with annual sales of more than $50 million that exhibit at about seven shows a year.
CEIR’s study, “The Cost Effectiveness of Exhibition Participation: Part I,” showed that companies spend an average of $215 to make an initial face-to-face visit with a potential customer at a trade show, taking into account booth construction, storage, transportation, staffing, salaries and other expo costs. This compared with an average of $1,039 per lead in identifying and contacting a prospect in the field.
In addition, two-thirds of respondents said fewer sales calls are needed to close a sale with an exhibition lead, because of the prospect’s direct contact with sales or technical staff and first-hand experience with products at the show.
CEIR’s telephone survey gauged feedback from 214 respondent companies with annual sales of more than $50 million that exhibit at about seven shows a year.
Direct mail spending continues to fall dramatically
The report, “A Channel in Transformation: Vertical Market Trends in Direct Mail 2009,” said direct mail spending last year totaled $56.7 billion, down from $58.4 billion in 2007, representing the first drop in total direct mail expenditures in 60 years, according to Winterberry.
Coke Says Agency Roster Cut by Half
http://adage.com/article?article_id=134595
During the company's fourth-quarter earnings call, CEO Muhtar Kent said the marketer has slashed its agency roster by more than half. "We have consolidated our agencies," he said. "Agency numbers have gone down by more than half, and I think we have driven a lot of efficiencies in our marketing, our market research costs, in our marketing over the past 12 months."
During the company's fourth-quarter earnings call, CEO Muhtar Kent said the marketer has slashed its agency roster by more than half. "We have consolidated our agencies," he said. "Agency numbers have gone down by more than half, and I think we have driven a lot of efficiencies in our marketing, our market research costs, in our marketing over the past 12 months."
The Surprising Economics of Digital Advertising
The fundamental argument presented is that digital advertising is inevitably more complex and therefore more expensive than advertising in traditional channels. However, the paper goes on to argue that the extra value delivered for marketers by digital advertising far outweighs the extra cost. Only if the shift to digital is inspired by the right reason -- a better, more rewarding service for clients -- will it result in agencies equipped to thrive in the future, according to the white paper.
http://www2.aaaa.org/news/bulletins/Pages/060909_burtonmgtbk.aspx
http://www.aaaa.org/eweb/upload/catalog/pdfs/MG18.pdf
http://www2.aaaa.org/news/bulletins/Pages/060909_burtonmgtbk.aspx
http://www.aaaa.org/eweb/upload/catalog/pdfs/MG18.pdf
A-B InBev Ignites Brewing Brouhaha
Ad sales execs are defying an Anheuser-Busch InBev directive that would have them wait as many as 120 days to be reimbursed for airtime, telling the Belgian-owned brewing giant to stick its ultimatum where the “zon don’t schijnen.”According to mulitple sources, all major broadcast and cable nets have condemnedA-B InBev’s unilateral order, refusing to comply with what one sales exec called “a shakedown.” The brewer has yet to respond to the opposition, which began fermenting on Feb. 5, after A-B InBev sent its media suppliers a letter spelling out the new payment schedule.
http://www.mediaweek.com/mw/content_display/news/national-broadcast/e3i801548f98188f77a3b9fb20321beec85
“Effective March 1, 2009, Anheuser-Busch ... will adopt the A-B InBev policy governing payment terms for media supplier invoices at 120 days,” read the memo, which was signed by vp, procurement, Tom Adamitis and vp, finance, David Almeida. A-B InBev added that a failure to respond by Feb. 28 would constitute compliance.
http://www.mediaweek.com/mw/content_display/news/national-broadcast/e3i801548f98188f77a3b9fb20321beec85
“Effective March 1, 2009, Anheuser-Busch ... will adopt the A-B InBev policy governing payment terms for media supplier invoices at 120 days,” read the memo, which was signed by vp, procurement, Tom Adamitis and vp, finance, David Almeida. A-B InBev added that a failure to respond by Feb. 28 would constitute compliance.
Coupon clippers go digital
http://www.ft.com/cms/s/0/8736f746-01cd-11de-8199-000077b07658.html
“What we’re seeing is that younger consumers aren’t buying a Sunday newspaper and clipping those coupons,” she says. “The numbers drop off significantly when you are looking at an 18-24 consumer. If she’s not reading the paper and cutting that coupon, where is she? She’s online.”
As the coupon clipper moves on to the web, printable internet coupons appear to be emerging as the dominant strategy for reaching younger consumers, although not all companies are convinced. Procter & Gamble, for instance, says it has opted not to issue printable online coupons because of concerns over potential counterfeiting fraud. Instead, P&G mails coupons to customers who apply online. It is also operating a system for loading coupons on to loyalty cards at both Kroger and its rival Safeway.
“What we’re seeing is that younger consumers aren’t buying a Sunday newspaper and clipping those coupons,” she says. “The numbers drop off significantly when you are looking at an 18-24 consumer. If she’s not reading the paper and cutting that coupon, where is she? She’s online.”
As the coupon clipper moves on to the web, printable internet coupons appear to be emerging as the dominant strategy for reaching younger consumers, although not all companies are convinced. Procter & Gamble, for instance, says it has opted not to issue printable online coupons because of concerns over potential counterfeiting fraud. Instead, P&G mails coupons to customers who apply online. It is also operating a system for loading coupons on to loyalty cards at both Kroger and its rival Safeway.
Thursday, March 5, 2009
Venture buys Lifecapture and Motorcycle Productions
http://www.marketingmag.ca/english/news/agency/article.jsp?content=20090304_143851_692
While other marketing and advertising agencies are retrenching during tough economic times, Venture Communications is expanding with the acquisition of Toronto-based companies Lifecapture Interactive and Motorcycle Productions. The acquisitions, announced Wednesday, are effective immediately.
Lifecapture is a digital marketing agency specializing in interactive web development, while Motorcycle Productions is a full-service video and digital production house. All staff from both companies are moving to Venture, increasing the agency’s employees to 90 people at offices in Toronto, Calgary and Ottawa.
More companies should be looking at the opportunities presented by the current economy, said Venture CEO Arlene Dickinson.
“There are opportunities in the marketplace right now. I’m confident about taking a strategic risk to position ourselves for the future.”
Dickinson added that it was important “not to get stuck in other people’s perceptions of doom and gloom. I believe marketers have to lead the way and show confidence that there is a way through it.”
The acquisition of Lifecapture will expand Venture’s expertise in the digital and interactive areas, while Motorcycle will move the company into the new area of video production, said Dickinson.
“As the media landscape becomes increasingly fragmented, our clients are asking us for a diverse range of communications options. They’re asking us to stay ahead of the curve.”
Lifecapture and Motorcycle also bring blue-chip client rosters that include President’s Choice, Roots Canada, Bell Canada, CBC, Corus Entertainment, Empire Theatres, Adidas Originals and CMT, among others.
While other marketing and advertising agencies are retrenching during tough economic times, Venture Communications is expanding with the acquisition of Toronto-based companies Lifecapture Interactive and Motorcycle Productions. The acquisitions, announced Wednesday, are effective immediately.
Lifecapture is a digital marketing agency specializing in interactive web development, while Motorcycle Productions is a full-service video and digital production house. All staff from both companies are moving to Venture, increasing the agency’s employees to 90 people at offices in Toronto, Calgary and Ottawa.
More companies should be looking at the opportunities presented by the current economy, said Venture CEO Arlene Dickinson.
“There are opportunities in the marketplace right now. I’m confident about taking a strategic risk to position ourselves for the future.”
Dickinson added that it was important “not to get stuck in other people’s perceptions of doom and gloom. I believe marketers have to lead the way and show confidence that there is a way through it.”
The acquisition of Lifecapture will expand Venture’s expertise in the digital and interactive areas, while Motorcycle will move the company into the new area of video production, said Dickinson.
“As the media landscape becomes increasingly fragmented, our clients are asking us for a diverse range of communications options. They’re asking us to stay ahead of the curve.”
Lifecapture and Motorcycle also bring blue-chip client rosters that include President’s Choice, Roots Canada, Bell Canada, CBC, Corus Entertainment, Empire Theatres, Adidas Originals and CMT, among others.
Tuesday, March 3, 2009
Economy Accelerates Shift To Digital Advertising
http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=101150
The struggling economy may force companies to reduce investments in local advertising through 2013, but more ad dollars will go toward digital rather than traditional media, according to the U.S. Local Media Annual Forecast (2008-2013) by BIA Advisory Services and division Kelsey Group.
The struggling economy may force companies to reduce investments in local advertising through 2013, but more ad dollars will go toward digital rather than traditional media, according to the U.S. Local Media Annual Forecast (2008-2013) by BIA Advisory Services and division Kelsey Group.
Online social-media firms, P&G to meet
http://news.cincinnati.com/apps/pbcs.dll/article?AID=/AB/20090227/BIZ01/902270360/
Procter & Gamble will host a digital meeting of the minds next month at its downtown headquarters as senior executives from the emerging world of online social media meet with marketing executives from the Cincinnati-based company.
Executives from major online destinations Google, Facebook, MySpace and Twitter are reportedly among those invited to the March 11 event, although P&G would not confirm the guest list. More than 100 people are expected to attend, P&G spokeswoman Martha Depenbrock said, with about 20 percent coming from the digital companies.
Procter & Gamble will host a digital meeting of the minds next month at its downtown headquarters as senior executives from the emerging world of online social media meet with marketing executives from the Cincinnati-based company.
Executives from major online destinations Google, Facebook, MySpace and Twitter are reportedly among those invited to the March 11 event, although P&G would not confirm the guest list. More than 100 people are expected to attend, P&G spokeswoman Martha Depenbrock said, with about 20 percent coming from the digital companies.
Safeway's Burd to Suppliers: Lower Prices of We'll Push Private Label
http://www.progressivegrocer.com/progressivegrocer/content_display/features/center-store/e3ib52b2c5e694dca5ab16dd4268b3e07b0
Safeway chairman, president and CEO Steve Burd yesterday told analysts during its earnings conference call yesterday that the company will push more of its private label products -- such as its popular O Organic line -- if manufacturers don't lower their prices.
Safeway chairman, president and CEO Steve Burd yesterday told analysts during its earnings conference call yesterday that the company will push more of its private label products -- such as its popular O Organic line -- if manufacturers don't lower their prices.
Monday, March 2, 2009
PWC: M&A activity expected to decline for entertainment and media
http://www.btobonline.com/apps/pbcs.dll/article?AID=/20090302/FREE/903029989/1078/newsletter011
New York—Entertainment and media merger and acquisition activity will likely decline this year, according to a report issued by consulting firm PriceWaterhouseCoopers.
“Almost all indicators suggest that E&M transaction activity in 2009 will be significantly less than the previous 2 to 3 years,” according to the report.
Entertainment and media M&A activity increased in value last year to $150.8 billion, from $110.1 billion in 2007, according to the report. Transaction volume dipped 17% to 1,000 deals in 2008, from 1,202 in 2007.
Publishing saw the biggest decline among the sectors tracked by PWC, with the deal value plummeting 86% and the deal volume dropping 37% because of uncertainty about advertising expenditures.
New York—Entertainment and media merger and acquisition activity will likely decline this year, according to a report issued by consulting firm PriceWaterhouseCoopers.
“Almost all indicators suggest that E&M transaction activity in 2009 will be significantly less than the previous 2 to 3 years,” according to the report.
Entertainment and media M&A activity increased in value last year to $150.8 billion, from $110.1 billion in 2007, according to the report. Transaction volume dipped 17% to 1,000 deals in 2008, from 1,202 in 2007.
Publishing saw the biggest decline among the sectors tracked by PWC, with the deal value plummeting 86% and the deal volume dropping 37% because of uncertainty about advertising expenditures.
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