Reuters reports that companies tend to spend their advertisement budget more and more in favor of the internet publicity. Predictions are television’s share will slip by 2007. Newspapers and magazines are expected to share the same mournful faith.
It was predictable, and it’s a logical evolution, but instead of largening the marketing budget, companies spread it amongst the different channels they need to use to reach their targets. On the one hand, I think spreading the investments is wise, as seen from the company’s side. But there are some serious consequences for the existing, older media, who no longer gain through the ads. They survive for the lion’s share on the income they relish from advertisement. With these sources drying out, many ’smaller’ or independent agencies, magazines or papers will cease to exist, especially those who swim against the (main)stream.
A dramatic change is about to occur in daily life as we know it, for independent news gathering might be on the ridge of a profound cleft. Imagine the future when only major news companies bring the solid, non-digitalized news. There will only be ‘ONE’ opinion to be read. Those who are deprived of internet access can no longer rely on ‘freely’ gathered news. And believe me, that’s a lot of people.
“Television’s share is expected to peak in 2006 at 37.9 percent of global ad spending, before slipping to 37.8 percent by 2007, according to a new study by ZenithOptimedia, a division of French advertising group Publicis”
“Newspapers and magazines are also expected to see their market share decline. Newspapers are expected to end 2005 with a 29.8 percent global ad spend share, and see their market share fall to 29.3 percent in 2007.”
Click here for more facts and figures from Reuters.