Jul 28 2008
Impact of GM Committing 25% of Spend to Digital
According to AdAge GM is committing 25% of their 3 Billion measured spend to digital. This is exciting for several reasons. Some of which are covered in the AdAge article. Those things aside, I think there are several interesting things about this that need to be considered:
- As the car companies go so does everyone else.
- With such a massive shift the web will become overly saturated with display ads, making the need for compelling online ads much more important
- The price of search terms will skyrocket because there will be more people vying for the terms. SEM is a supply and demand business at the heart. This means our landing pages need to be better and optimized to convert.
- If our brands hold the course and don’t increase spending they’ll actually be spending the same, but getting less reach and frequency for those dollars.
- But the million dollar point here is that we’ll need to become smarter, more efficient, and better integrated so that we can offset the increased costs for media by being more effective.
Good stuff and lot’s of fun ahead.
