Tuesday, March 14, 2006

Top 50 Internet Advertisers...

I did a exercise today in front of a group of people...

I tried to explain the "evolution of internet marketing..."

In terms of spending advertising dollars online. We talked about online advertisers, their objectives, and goals, and how they measure success -- as well as the web "channel" as a whole.

What I found by looking at data, based on media dollars spent online, was insightful and compelling.

First off, I want you to imagine that 10 years after the invention of television - (say, 1954) how the "advertising model", was still evolving on a variety of different levels. There was no rate card. There was no set metrics. There was no reach and frequency levels. There was no independent 3rd party to measure brand interaction, for companies like, P&G.

There were MAJOR issues for TV advertisers in 1954. (in terms of committing dollars to this new medium called TV)
Some of these were, but not limited to:

* amount of audience and their composition
* strength of TV signal (no cable)
* Correct Audience?
* Any reliable reporting or success metric?


The Advertiser's tackled the above issues, and challenges by doing---

SPONSORSHIPS.

TV started with advertiser's, SPONSORING content.

We have evolved a great deal from those early days -- but maybe, it's not so different and unique after all.

I looked at a list today. A CLICKZ list from Dec 2005.

It was the TOP 50 interactive ADVERTISERS. Click HERE for the list (Dec 2005)

This list is the companies that spend the most advertising online, by rank, from 1-50 in Dec 2005.....

What amazes me, is how much the names on this list have changed since I got into the Internet Advertising business in 1999. The list is much better in 2005,(than it was in 1999) but we, in the web advertising business, still have a long way to go.

In 1999, the dollar amounts, and the companies advertising online were radically different. There were lots of dot.com companies spending advertising dollars online, back in 1999, and lots of VC backed companies, pouring unrealistic money into online businesses. These dot.com businesses, were looking for something unrealistic in terms of success. The dot.com compnaies, by in large, wanted -- quick recognition, and branding, as well as customers, all within a short period of time.

In 2001 (the bursting the of the dot.com bubble).... the TOP 50 Advertiser list was radically different than it is today.

Once again THE TOP 50 LIST in Dec 2005


How many companies that were on the 2000 or 2001, TOP 50 Internet Advertising list --do you think survived to show up on the TOP 50 list in 2005....?

How many companies in 1954, that were spending Advertising dollars on TV, continued through 1959?

I BET ALL of them.


Can you imagine what this list will be comprised of in 5 or 10 years? What the TOP 50 Internet Advertiser list, will look like, in 2016?

I'm judging the DIFFERENCE in both brand names, and growth in dollars spent, based on the radical change in the list from 2001....


Did TV Advertising change this much in the 5-6 years between 1954 and 1959?


The evolution is in full swing, as more brand advertising, and LESS direct response, starts to find it's way in the Top 50 in the coming years....

Another reason to understand, and process, why the web Advertising Business is here to stay, and will continue to grow at rates that exceed nearly any other business.

1 Comments:

Anonymous Anonymous said...

Hi Andy--

So good to chat with you, and fab blog!

Rock on Marist...

KP

8:59 PM  

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