Thursday, November 23, 2006

Web Ads Perform Better For Direct Response Than Branding

According to a study released Tuesday by the American Advertising Federation, more than seven in 10 respondents (71%) also believe that the Internet is "very effective" or "most effective" for direct response advertising. Most (60%) indicated that the Web is only "somewhat effective" for brand advertising.

Researchers asked respondents how they planned to allocate their online/new media budget next year among search and seven types of emerging media--online video, blogs, podcasts, social networking, RSS, mobile and video games. Within those categories, executives said that search would receive the largest proportion (27%) on average, followed by online video (14.9%), blogs (8.4%), podcasts (8%), social networking (7.7%), RSS (5.5%), mobile (5.2%), and video games (3.6%).

Most respondents (71%) described search as "very effective" or "most effective," but also thought highly of emerging media. Among newer forms of media, online video was deemed very effective or most effective by 40% of respondents, followed by social networking (38%), video games and podcasts (23%), mobile (20%), blogs (19%), and RSS (11%).

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