Online Ad Spending to Surpass Print for the First Time Ever
A study done by eMarketer shows online spending will grow 23.3% to $39.5 billion in 2012.
This year, U.S. online ad spending will exceed the total spent on print magazines and newspapers for the first time, at $39.5 billion vs. $33.8 billion. And as online shoots up, the print total will continue to inch downward. You can see more on this at http://www.emarketer.com/Article.aspx?id=1008783&R=1008783.
From that article, and with a bit of common sense, it's pretty fair to say that online advertising needs to be a part of your mix. Once you have come to that conclusion you need to determine where to spend the dollars.
The biggest consideration that you should use as your guide is what is the Cost Per Click (CPC) that you will be paying in the end. If you do those calculations you will see some very big discrepancies. Some sales people are using traditional selling techniques to sell you a different product. Your rule of thumb should be this, pay what the market has determined to be fair for the click. You can use Google as your guide for the market value for CPC.
We have seen proposals from traditional media companies selling, SEO, print, and template websites for a package deal at monthly contract rates. We ran some of the numbers, and it works out to over $35 on a CPC basis. Not good value when you compare to an adwords campaign, which can average in the $1 CPC.
If you can buy clicks at Google’s established market value, it's likely a good decision. A link on another site also has Back Link value, which is another conversation.
If you need assistance making a decision on your online advertising, please call Nikki @ 250 862 8010, toll free 1 866 862 8010, email her at [email protected]