11 August 2018

Disagreement between Advertisers and Agencies on the priorities of digital spending

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The vast majority of merchants are turning more budget to their digital marketing campaigns, which will allow many previously tested tactics to benefit and can be carried forward with greater momentum, but these changes do not obtain unanimity between advertisers and their agencies.

According to a marketing budget report from Econsultancy and SAS, agencies around the world are more anxious than their customers to increase the budget in digital marketing campaigns, while advertisers show greater interest in gradually increasing the cost, as that the tests give results.

This translates into figures, where for example, 13% more agencies tell their advertisers that the ideal would be to increase their mobile marketing budgets. While advertisers were in front of their agencies to increase the costs of e-mail marketing, corporate sites, paid searches and graphic ads.

If we rely on the research of the Direct Marketing Association (DMA) conducted in the United States, we find similar patterns. Sellers are more likely than agencies to invest in e-mail marketing, SEO or paid search, while agencies want to put more emphasis on the mobile.

There were also differences in the ability of agencies and clients to measure the ROI in many digital channels. Advertisers were more optimistic than the agencies on how to evaluate the success of their efforts in e-mail marketing, corporate websites, mobile campaigns and paid searches.

If the advertisers are over-confident, or the agencies doubt the capabilities of their clients, the gap that will exist in the perception of spending priorities in digital marketing will increase and could be decisive in choosing the appropriate communication channels.