Tomorrow’s Media, Understood Today Results from Borrell’s · Total responses for survey n=711 2018 Local Agency Survey Summary | April-July 2018 711 Total Respondents Participants

Tomorrow’s Media, Understood Today

© Borrell Inc., 2016. All rights reserved 0

Results from Borrell’s 2018 Local Agency Survey

This is a summary of Borrell’s annual survey, conducted in Spring/Summer 2018. The material and graphics in this report are protected by copyright laws and may be used internally by Borrell

clients. For permission to use the materials publicly, [email protected].

mailto:[email protected]

10/5/2018© Borrell Inc., 2018. All rights reserved 1

2018 Local Agency Survey Summary | April-July 2018

Highlights

➢ 45% believe a mix of mostly non-digital media, with some digital is best (Page 5)

➢ 78% are utilizing social media marketing for clients (Page 4)

➢ Cinema ads & yellow pages are least favored forms marketing (Page 4)

➢ Greatest ROI: SEM, Social Media, video, and Broadcast TV (Page 7)

➢ Best at generating awareness: TV & social media (Page 8)

➢ Best at generating sales: SEM (Page 9)

➢ 56% who use Facebook say it’s very or extremely effective (Page 10)

➢ More than half of agencies are using video advertising – most use 6+ videos a year (Page 11)

➢ Paid social media ads are seen as the best way to distribute video (Page 11)

➢ Video is seen to have above average ability to generate awareness and provide ROI (Page 12)

➢ Analytics & online advertising technologies are used more than email marketing solutions (Page 13)

Borrell Associates, Inc. 2018. All rights reserved

About the Study

2Total responses for survey n=711


711 Total RespondentsParticipants were invited through the active advertiser lists of various

media companies across the country. These results represent only agencies or media buying companies who completed all 40+ questions.

RESPONDENTS BY STATE

TYPES OF COMPANIESCompany Type Count % of Respondents

Adv/mktg firm or agency 441 62%

Media-buying company 105 15%

Marketing services company 64 9%

Media/publishing company 58 8%

Public relations firm 36 5%

MARKETING/ADV EXPERTISE OF RESPONDENTS

73%

Master Marketers(>10,000 hours of experience with

marketing/advertising)


Business Profile

3


Survey respondents came from three major sizes of business.

35%

16% 17%

11%8% 6% 7%

Fewer than 5 5 to 9 10 to 24 25 to 49 50 to 99 100 to 249 250+

BUSINESSES BY EMPLOYEE SIZE

All Agency Respondents

Q. About how many full- or part-time employees work at your company (at all locations combined)?

Fewer than 5 35%5 to 24 34%

25 or more 31%

Two-thirds of agencies responding have fewer than 25 employees.

NUMBER OF EMPLOYEES

12%

38%50%

5 or fewer 6 to 20 Over 20

BUSINESSES BY YEARS IN BUSINESS

All Agency Respondents

Q. How many years has your business been operating?

Total responses for survey n=711

AVERAGE # OF CLIENTSPER YEAR

35

AVERAGE $$ ANNUAL CLIENT BOOKINGS

$2.1 mill

8%

10%

20%

20%

50%

52%

53%

57%

58%

59%

62%

63%

64%

64%

73%

74%

75%

78%

Other Non-Digital

Other Digital

Cinema

Printed directories

Content marketing

Events

Direct Mail

Search keywords / PPC

Video advertising

Cable TV

Magazine

Outdoor

Email Advertising

Broadcast TV

Newspaper

Banner ads

Radio

Social Media Ads

AD TYPES USED IN 2017(Among All Agency Respondents)


Advertising Types Used



Q. Which of the following have you purchased or managed on behalf of a client in the past year?

90% Combo Buyers

Used both Digital and Non-Digital

Advertising in 2017

Digital

Non-Digital

DIGITAL ONLY

NON-DIGITAL ONLY

3%

2%

7%

2%

5%

16%

17%

22%

24%

27%

29%

34%

36%

36%

38%

45%

46%

52%

65%

None of these

Other Non-Digital

Other Digital

Printed directories

Cinema

Magazine

Newspaper

Direct Mail

Events

Outdoor

Cable TV

Banner ads

Radio

Broadcast TV

Email advertising

Content marketing

Search keywords / PPC

Video advertising

Social media advertising


Types Plan to Recommend More



Q. Which of the following, if any, do you intend to recommend to clients MORE OFTEN in the next 12 months than you have in the past?

Digital

Non-Digital

AD TYPES PLAN TO RECOMMEND TO CLIENTS MORE(Among All Agency Respondents)

45%40%

9% 7%

a mix of mostly non-digital media, with

some digital

a mix of mostlydigital media, withsome non-digital

digital media non-digital media

MEDIA MIX WITH BEST PERFORMANCE

Q. In your experience, which performs best?

Q. Which of the following influence your decisions when making advertising / marketing recommendations to clients? (select all that apply)


Decision Influencers

6Advertisers answering the question n=711


This Photo by Unknown Author is licensed under CC BY-NC-SA

DECISION-MAKING INFLUENCERS TO RECOMMENDATIONS MADE TO CLIENTS(Among All Agency Respondents)

87% 85% 71%

Ability to reach particular

demographics

Audience measurements

Cost of placements/ services

49% 48% 42% 38% 28% 26% 7% 3%

Helps provide diverse media

mix

Niche vs mass market appeal of marketing

product

Personal experience using what I recommend

Relationship with the

media rep

Flexible contracts /

billing

Programmatic-enabled buys

Commissions / bonuses offered by media co.

Incentive trips offered by media co.

https://www.peoplematters.in/article/leadership/a-focus-on-holistic-systems-not-targeted-programs-15331

https://creativecommons.org/licenses/by-nc-sa/4.0/


Media ROI

7

Total responses for survey n=119-542.Averages based on those who used the media and provided a rating.

1.85

2.28

2.35

2.46

2.92

2.95

3.00

3.00

3.06

3.22

3.26

3.43

3.50

3.50

3.51

3.76

Print directories (n=120)

Magazine (n=390)

Newspaper (n=467)

Cinema (n=119)

Banner ads (n=496)

Outdoor (n=387)

Radio (n=488)

Direct mail (n=359)

Cable TV (n=388)

Events (n=346)

Email adv (n=431)

Content mktg (n=340)

Broadcast TV (n=423)

Video adv (n=391)

Social media adv (n=542)

SEM (n=393)

AVERAGE ROI OF MEDIA USED(Among those who used it)

Scale was 1-5; 3.0 scores and above are “good” or better.

Q. How would your rate the return on investment (ROI) of those you've used?

Scale: Don’t know1- Poor2 - Fair3 - Good4 - Very good5 - Excellent

Ten methods of advertising were rated as good or better by those who use them. Five digital and five non-digital methods made it above “good”.

SEM and Social media are the top two methods providing ROI.

On average, digital is perceived to have more ROI than non-digital.


Non-Digital2.77

Digital 3.40

Average Effectiveness

AVG ROI RATING

Digital

Non-Digital


Media’s Ability to Generate Awareness

8

Total responses for survey n=123-538. Averages based on those who used the media and provided a rating.

1.86

2.62

2.67

2.70

2.90

2.92

3.01

3.25

3.28

3.36

3.44

3.48

3.49

3.55

3.63

3.94


Newspaper (n=501)

Cinema (n=129)

Magazine (n=421)

Banner ads (n=511)

Direct mail (n=360)

Email adv (n=434)

SEM (n=391)

Radio (n=511)

Events (n=352)


Outdoor (n=424)

Cable TV (n=407)

Video adv (n=398)




Q. Disregarding price, how does each medium perform for branding or generating awareness?


Ten methods of advertising were rated as good or better by those who use them. Five digital and five non-digital methods made it above “good”.

Broadcast TV, social media and online video topped the list for for generating awareness.

Both digital and non-digital scored above a 3.0 at an aggregate level.


Non-Digital3.03

Digital 3.30

Average Ability to Generate Awareness

AVG ABILITY TO GENERATE AWARENESS

AVERAGE ABILITY FOR BRANDING OR GENERATING AWARENESS(Among those who used it)

Digital

Non-Digital


Media’s Ability to Generate Sales

9

Total responses for survey n=114-511. Averages based on those who used the media and provided a rating.

1.82

1.93

2.00

2.35

2.36

2.65

2.78

2.83

2.97

2.98

3.01

3.01

3.15

3.16

3.20

3.58


Magazine (n=374)

Cinema (n=114)

Outdoor (n=358)

Newspaper (n=453)

Banner ads (n=476)

Radio (n=465)

Cable TV (n=373)


Events (n=326)

Video adv (n=367)

Direct mail (n=341)

Email adv (n=413)



SEM (n=373)


Q. Disregarding price, how does each perform for generating direct sales?


Six methods of advertising were rated as good or better by those who use them for generating sales. Four digital and two non-digital methods made it to “good” or better.

SEM had the #1 spot for generating sales.

Digital has a decent lead over non-digital at an aggregate level for generating awareness.


Non-Digital2.52

Digital 3.10

Average Ability to Generate Sales

AVG ABILITY TO GENERATE SALES

AVERAGE ABILITY TO GENERATE SALES(Among those who used it)

Digital

Non-Digital


Social Media


#1 Facebook 90%

#2 Instagram 68%

#3 YouTube 60%

#5 Twitter 53%

#6 LinkedIn 48%

#7 Google+ 41%

#8 Snapchat 22%

#9 Pinterest 22%

#10 Yelp 19%

MOST USED SOCIAL MEDIA SITES SOCIAL MEDIA EFFECTIVENESS

56%Of those using Facebook (n=614) for clients say it’s very or extremely effective

35%Of those using Instagram (n=444) for clients say it’s very or extremely effective

Of those using Snapchat (n=138) for clients say it’s very or extremely effective

18%

Of those using Twitter (n=354) for clients say it’s very or extremely effective

14%

Q. Which of the following social networking platforms have you used on behalf of a client in the past year? Please rate the overall effectiveness of the social networks you use.


32%Of those using YouTube (n=397) for clients say it’s very or extremely effective

AVERAGE # OF SOCIAL MEDIA PLATFORMS USED5

11%

13%

15%

24%

35%

39%

37%

52%

40%

62%

59%

44%

1%

<1%

<1%

2%

3%

2%

6%

3%

16%

8%

12%

28%

Content discovery platforms

Kiosks / events

Movie theaters

Partner blogs / websites

Email campaigns

Local media websites

Ad networks

Your website / blog

TV / cable stations

YouTube

Your social media pages

Paid social media ads

Used, but not "the best" Considered it "the best"

Video Advertising, Part I

11Total responses n=711; 413 used video


Get my message across 68%

Grab attention 67%Create a memory / lasting impression

51%

Humanize the brand 46%

Generate leads 38%Stay on top of the trends /

it's cool19%

People say it works 10%

Other 9%

% of those who use video marketing

(19% didn’t know what worked best)


58% 59% Plan to recommend video advertising more

Used video advertising in 2017

Q. Why did you use video advertising in 2017? Where did you distribute video content in 2017? Which method worked best?

REASONS USED VIDEO ADVERTISING VIDEO DISTRIBUTION METHODS

11%

13%

18%

19%

20%

23%

31%

39%

33%

37%

44%

38%

43%

1%

3%

2%

2%

2%

1%

2%

<1%

6%

4%

3%

26%

28%

Long videos (30 min+)

Coupons, incentives for viewers

Tutorials

Behind the scenes

Embedded SEO keywords

InstaStories

No sound only text overlays

Background music

Interviews

Facebook Live

Included URL in the video

Short videos (5-10 seconds)

Professionally produced videos

Used, but not "the best" Considered it "the best"

12Total responses n=711; 413 used video


Video Advertising, Part II

% of those who use video marketing

(16% didn’t know what worked best)


1 to 5 21%

6 to 12 21%

More than 12 48%

Don’t know 10%

# OF VIDEOS USED IN 2017

Q. How many videos did you use for marketing purposes in 2017? Which of the following did you incorporate into your video marketing in 2017? Of those you used, what worked best?

VIDEO ELEMENTS USED

Average ROI 3.50

Average Ability to Generate Awareness

3.55

Average Ability to Generate Sales

3.01

VIDEO ADVERTISINGEFFECTIVENESSScale of 1-5; 3.0 = good

This Photo by Unknown Author is licensed under CC BY-SA-NC


Marketing Technology



Q. What types of do-it-yourself marketing technology does your business use?

9%

11%

23%

27%

47%

47%

52%

54%

61%

74%

Other

Marketing automation (ie Marketo)

Content marketing (ie Hubspot,…

CRM systems (ie Salesforce)

SEO (ie Keyword Planner)

Social media management (ie Hoot Suite)

Project management (ie Slack, Dropbox)

Email marketing (ie Constant Contact)

Online advertising (ie Google Ads)

Analytics (ie Google Analytics)

TYPE OF MARKETING TECNOLOGY USED(Among All Respondents)

84%of Local Agencies use at

least one type of MarTech

http://www.onlydeadfish.co.uk/only_dead_fish/2016/03/index.html

https://creativecommons.org/licenses/by-nc-sa/3.0/

Tomorrow’s Media, Understood Today

© Borrell Inc., 2016. All rights reserved 14

Thank You!

The material and graphics in this report are protected by copyright laws and may be used internally by Borrell clients. For permission to use the materials publicly, [email protected].

mailto:[email protected]

Documents

Tomorrow’s Media, Understood Today Results from Borrell’s · Total responses for survey n=711 2018 Local Agency Survey Summary | April-July 2018 711 Total Respondents Participants