Connected device usage diverges
we reveal how tablets and mobiles are used in different ways, the explosion of online business, and who the ‘digital elite' are. Research has revealed that tablets are being used in very different ways to smartphones. Time Inc ran an Innovation Panel Study of almost 1,000 tablet and smartphone owners during December 2012 and found that usage patterns are diverging. The study found that tablets are mostly used for unwinding at home, while smartphones are more associated with being outside the home, "on the go". Around half of all tablet owners say they use their tablets at least half of all the time they are watching TV, but only one third of smartphone owners do this, while more than 25% never do. Ads are also more accepted on tablets compared with smartphones.
Online video budgets rise
A survey has suggested that online video budgets are increasing in the US, often drawing funds away from TV and display advertising. The State of the Industry in Online Video study, from media company Digiday and video ad platform Adap.tv, found that 72% of video buyers' budgets for this channel increased year on year during the first quarter of 2013. Overall, budgets rose by 53% in the first quarter compared with 12 months earlier. This total can be measured against a 20% increase in 2012. Among those video buyers whose budgets had increased, 39% had moved money away from TV and 41% from display.
E-readers co-exist with tablets
A report has argued that eight million people in the UK own e-readers, which are unlikely to be superseded by tablets. Deloitte polled 2,085 consumers as part of its Media Consumer Survey 2013 and found that e-readers are already present in one third of UK households, a 65% increase since 2011, while one in ten respondents planned to buy one during the next 12 months. Reading books was listed among consumers' top three favourite media pastimes by 39% of respondents, behind watching TV on 63% and using the internet on 42%.
Online business is booming
Online businesses in the UK are growing more than 50 times faster than the wider economy a new study has found. The Barclays Online Business Outlook 2013 report said that over the past three years, online businesses had achieved an 11.4% compound annual growth rate, while the UK economy had expanded just 0.2%. However, even though 64% of survey respondents thought that a mobile strategy would be an important factor in their 2013 business success, 60% had yet to devise and implement such a strategy. Furthermore, 89% of online businesses had not even developed their website for mobile devices.
European consumers value online media
Online is accounting for an increasing amount of both media usage and value, according to the Boston Consulting Group. The report found that consumers valued online and offline media almost equally. Overall, "40% to 60% of the perceived value that consumers get from media is derived from online media" the report stated. The average consumer surplus - the value consumers place on a media-related activity or product over and above what they actually paid for it - stood at about €2,100. While men and women placed an equally high value on online media - €1,090 for men and €1,060 for women - men favoured games, radio, and music, while women preferred user-generated content and social networks.
Marketers need a ‘content mindset'
Marketers must start thinking more like journalists and put a ‘content mindset' ahead of traditional strategies, a leading industry executive has argued. Steve Rubel, chief content officer at PR firm Edelman, dismissed the debates surrounding the nature and definition of content marketing and native advertising. "All of this is simply advertising," he told Digiday. "What's new now is that more and more of it must closely resemble editorial and that it is positioned as just as important. Most marketers wrap content inside a marketing message. Good journalists do the opposite. We need to think like them, with the reader's needs ahead of our own in the creative process."
Silver Surfers connect with brands
Older consumers in Europe are spending increasing amounts of time online, and also engaging with brands more frequently through the internet, according to a new survey. The report from trade body IAB Europe found that the over-55s spent 39% more time online in 2012 than in 2004. As part of this shift, silver surfers are moving their media consumption online, with 77% visiting news sites, 34% watching TV and 31% listening to the radio. Other activities such as making travel arrangements (45%), organising finances (46%) and managing health (25%) have also become more popular online.
Agency briefs must improve
Marketers need to improve the briefs they produce in order to get better work from their agencies, according to a new industry survey. Joanne Davis Consulting in New York gathered replies from 293 agency leaders around the world, asking them to rank clients on various issues, including integration, procurement, compensation and agency consolidation. Assignment briefs were consistently highlighted as an area for improvement. Some 53% of agencies said their briefs were complete but lacking in focus, and a further 27% found them incomplete and inconsistent. Just 20% said briefs were complete and focused most of the time.
Global ‘digital elite' emerges
A study has shown that members of the ‘digital elite' are exposed to 24 times more advertising than the average web user, with marketers prepared to pay an 85% premium to reach this group. Turn, a cloud marketing platform, identified the 'digital elite' as young, white collar professionals, aged 21-34, living in cities and earning more than $76,000 a year. This group also commanded an average electronic cost per thousand of $1.15, being an 85% premium over the $0.62 paid for other audiences. The actual premiums paid for the ‘elite' varied depending on the online channel used by advertisers, with display carrying the greatest at 106%, closely followed by social on 100%. Mobile carried a 56% premium and online video 21%.