A recent study reveals that digital platforms are taking a sizable share of the advertising budget—now equal to that of television ads.
Companies are now allocating just as much of their ad budgets to digital and mobile advertising as they do television ads. That’s the recent finding from a new Accenture report, “The Future of Digital Advertising: Overcoming the Challenges to Higher ROI and Revenues.”
The report says that advertisers spend 41% of their budgets on digital and mobile, which is now about the same as they spend on TV ads. Print advertising is significantly lower at 10%. The report lists all other types of advertising at 12%.
And the numbers will likely tip more into digital over time. Nearly all respondents in the study said that they expect digital advertising to comprise more than 50% of their total marketing budget within the next two years. Some said that digital could account for as much as 60% of advertising budgets.
The move toward digital is driven by a few factors. The biggest reason, according the report, is the lure of greater returns. Ad buyers say they believe that the convergence of digital and traditional advertising, and the large amounts of data that are available, will help them target an audience with even more accuracy. Respondents said that this, in turn, will lead to greater returns on their ad investments.
Those who sell ads had similar reasons for saying that they’re making the digital shift. The report says that sellers say they think convergence and data will help them maximize the use of inventory and in effect boost revenues.
Below are charts detailing these and more of the findings in the study: