Research and statistics
Research on advertising and marketing
Pertinent research and statistics on the effectiveness of various advertising and marketing options and other relevant factors to consider when planning a campaign. Courtesy of Lightning Bug, the viral advertising specialists.
Internet advertising
Internet advertising is a relatively new medium and has evolved greatly in the few years since its inception. Campaigns have become increasingly sophisticated, encompassing not just the simple banners and pop-ups of the past, but also viral advertising, blogs, interactive content and social networks.
Initially it was difficult to quantify the value of internet advertising, but new developments in tracking technology have allowed advertisers to precisely monitor the effectiveness of their campaigns.
According to the IAB research, online marketing has a greater effect on brand engagement than any other advertising medium. Overall, a company's advertising contributes 15% to brand engagement. Online advertising contributes around 40% of this, print media 36.7%, TV 17.6% and outdoor 4.1%. (IAB study, 2006)
Spending on online advertising has increased rapidly from £800 million in 2003 to £2.8 billion in 2007, taking the sector from the smallest to the third largest during this period. By 2007 outlay on online ads represented 15% of all advertising spending, increasing 38% from the previous year (figures from IAB, 2008). This trend is expected to continue as the rate of growth for internet advertising is nine times that of the advertising sector overall.
The increase in spending on internet advertising can be attributed to high levels of internet use with broadband penetration in the UK reaching 90% by 2008 (BMRB, 2008). By 2007, 61% of UK households had their own internet connection, up 36% from 2002. 69% of households in London had access to the internet, with 88% of these being broadband enabled. Overall, 84% of households with internet access had a broadband connection, equating to 51% of all households. (National Statistics, 2007). Of these, the average user now spends 16 hours a week online, and both the sexes (a 52% to 48% male female split) and ages (21% being 25 to 34, and 30% over 50) of internet users are well balanced.
Tube advertising
Tube advertising comprises not just cross track posters, but escalator panels, carriage panels, corridor posters and now active screens on platforms, along escalators and walkways, and in ticket halls.
The most popular form of advertising with the public, consumers tended to absorb and enjoy Tube ads more than any other media, thinking of them as a welcome distraction from the unpleasantness of travelling, they also tended to act on them more often than other media. Research found that 79% of commuters had responded to Tube ads and 39% had actually bought something as a result of seeing an ad on the Tube (CBS, 2002).
It was also noted that because of the proximity and the captive audience Tube adverts enjoyed, people felt they could not avoid reading them as it gave them something to do while they waited for their trains. Commuting time represents one of the few opportunities to capture the attention of busy, high earning professionals.
Bus advertising
Bus advertising is the most seen outdoor advertising medium with 61% of consumers saying they had seen bus ads in the last seven days, rising to 77% in Central London (TGI, 2005). It is also one of the most established forms of outdoor advertising. In recent years we have seen the emergence of whole bus advertising wraps and new innovations in low energy flat screen technology have allowed video ads to be displayed on buses in addition to traditional static printed panels.
Research shows people are both more aware and more receptive to adverts when on the move rather than at home, and that highly mobile people tend to spend more, and more impulsively. Because bus advertising is close to the point of sale it us easy for consumers to act on. Bus ads are the second most popular form of advertising overall with consumers being a welcome diversion from the grind of commuting, and show a higher conversion rate than TV or print ads. Product recall is greatly enhanced by having clearly branded and easy to read bus campaigns and they act to reinforce messages delivered through other mediums.
In a survey of 560 adults (CBS, 2003) 59% said they saw bus adverts every day, 49% saying they were impossible to ignore (rising to 61% of 18-34s), 40% of adults had looked into something they had seen advertised on a bus and 37% had tried, bought or visited something as a result of a bus ad (44% of women).
Taxi advertising
Taxi advertising is similar to bus advertising, but perhaps due to the perceived exclusivity of this mode of travel, does give the appearance of being a little classier. An advertiser may opt for anything from a small panel ad to a whole fleet of cars entirely redecorated with their company's message. A taxi cruising the streets in full company livery can indeed look impressive, but there is always the risk that the same taxi could get involved in an accident, sending an entirely different message. Overall though taxi advertising represents a relatively cheap, elegant way of announcing a brand to the public.
Research from Cabvert says that: 35 million people in the UK notice taxi advertising, and over 80% of these often notice new advertisements, 20 million said they noticed taxis more than posters.
54.4% of the public said taxi advertising stands out to them whilst they are on the street, 25% remember adverts on taxis more than any other media, and most over 35s find taxi advertisements easier to read than buses or posters. 52% of the public said taxi advertising is good at reminding them to buy or try a product and 60% of Londoners said taxi advertisements are very good at informing them of new products. (Cabvert, 2005)