Key Insights: Marketers pivot strategy to change, microscopic view of ad spend, and more

As 2020 continues to surprise the world, more surprises are something business heads aren’t looking forward to. In order to help you stay a step ahead, we bring to you a quick wrap up of key movements and trends from across the marketing industry.

Marketers prepared to pivot strategy to fit the changing environment

A recent survey by Sixieme Son and DiSanti Hicks found that 68% of marketers have pulled advertising campaigns due to COVID-19. The study also found that brand marketers are prepared to pivot strategy according to the changing environment.

• More than 50% of marketing directors said COVID-19 has led to lower marketing budgets
• More than one third said they have fewer external resources
• Almost another third reported having fewer staff members 

Major reasons why marketers pulled ads

There’s no doubt that brands will be judged for a long period on the basis of their sensitivity and approach towards the COVID-19 situation in their marketing. The survey further found that these were the top reasons:

• 1 in 5 respondents pulled creative due to unsuitable tone 
• 21% of respondents pulled creative to prevent looking insensitive
• 23% of respondents pulled creative due to budget cuts

Segments of advertising that were pulled

Even though people are staying indoors and spending more than usual screen time on social media, this is one segment that has taken the largest withdrawal.

• Over 50% of marketers pulled social media ads
• 42% of marketers pulled print ads
• 42% of marketers pulled TV ads
• 36% of marketers pulled digital ads 

The future holds business improvements

84% of marketers surveyed by Sixieme Son and DiSanti Hicks said they were optimistic about their business improving in the future. Around 75% of marketers predicted that the upward surge for business will likely begin within three months to one year.

Pulse survey insights on marketing technology spend

Of the number of Board members, C-level, and Director+ level executives that participated in our benchmark 2020 survey, “Content & Experience”, “Data”, and “Advertising” are the top three technologies they are keen on while Management oriented technology remains at the bottom of their preference list.

Prioritised list of technologies marketing leaders would consider purchasing

1. Content & Experience (22%)
2. Data (20%)
3. Advertising (17%)
4. Commerce & Sales (16%)
5. Social & Relationships (15%)
6. Management (9%)

An industry-wise look at advertising spend

TapClicks’ market data found that out of the total $100+ million spent on digital media the largest chunk of ad spend comes from Gyms and Fitness Centers, Colleges and Universities, followed by Hospitals, Clinics, and Medical Centres.

Healthcare industry highlights

The healthcare sector is the third most searched topic on Google (Internet Live Stats) making digital marketing crucial for this industry. Here are some key pointers:

• 80% of patients check physician reviews online 
• TapClicks predicts increasing partnerships between telehealth businesses and Insurance companies
• 40% of US doctors are expected to move into telemedicine over the next two years

Automotive industry highlights

Automotive is usually the highest contributor to the retail sector and usually occupies the highest slab for digital advertising. In fact, it stood 3rd in TapClicks’ 2019 list. Being the first few industries to be hardest hit, automotive businesses have quickly pivoted providing programs like zero percent financing and house calls for customers who are self-quarantining. 

F&B industry highlights

F&B franchises will heavily rely on agencies to create deeply local marketing strategies and have customized strategies for local markets. Some key pointers:

• 58% of franchisees use only digital marketing
• 70% of franchisees already use agencies to buy locally
• This is a great opportunity for agencies to capitalize on providing better data intelligence in order to emerge as big players in the coming times.

PPC and SEM will remain key avenues for spends

With marketing budgets taking a hit and fewer resources being available PPC and SEM will add value in the following ways:

• More targeted top-of-the-funnel messaging for remote and online-first initiatives
• Lower CPCs as compared to other advertising channels

In short, these will create greater value at tighter costs. TapClicks’ survey also found that top-performing SEM/PPC campaigns used combinations of 50 to 70 different ads.

ClickZ readers’ choice for the week

Here’s what our readers have been engaging with the most this week. No surprise that COVID-19 content occupies a majority of this list but there’s also some gripping content with regards to CMOs confessions and marketing, while ‘alternatives to a no-cookie world’ continues to win some “brownie points”.

1. Three steps to prepare for the post-COVID-19 business world
2. True confessions of a CMO, part 3: Marketing sourced pipeline is bogus
3. Marketing strategies during – and after – Coronavirus
4. The COVID-19 effect on the marketing world
5. Five things to ask when seeking alternatives in a cookie-less world

Pinterest speaks at our Peer Network briefing

Join Sarika Sangwan, Pinterest’s Global Head of Financial Services Marketing & Strategy, for a 30-minute session on how brands can leverage insights and inspiration to connect with consumers in a post-COVID world.

During her talk Sarika will touch on:

• How Pinterest has continued to thrive as a place for positivity and inspiration during this pandemic
• How to leverage insights and changes in consumer behavior to connect with your customers in their new normal
• The growing importance of brand trust in a COVID world

Secure your seat for some pearls of wisdom on the importance of brand insights, inspiration and trust in a COVID world.