Sponsored search and economic crisis

What we have seen so far in online advertising is a shift from brand spend to direct response spend, i.e. from banner into sponsored search, affiliate marketing and the likes. It does make complete sense. Given the though economic environment, and the pressure in companies on controlling costs while maintaining revenues, a shift from brand spend (i.e. demand generation) toward direct response (i.e. demand...

The economy slow down and online advertising

We surely are in an economic slowdown, if not in a recession. Some even say a depression. How long it is going to last isn’t easy to say. Some say months, some say quarters, some others (a few, in fairness) say years. I say at least quarters, and I say recession, without inflation. So what is going to be the effect of such difficult times on advertising? Well, surely a cut in spend. Marketing budgets are...

Can you measure the performance of brand advertising?

For the last 5/7 years performance advertising, primarily sponsored search, has been the clear winner of online advertising budgets. Banner hasn’t done bad, it just hasn’t done as good. Growth rates have been considerably lower in banner for the last few years, and quite a few are discussing the validity of banner advertising. Usually, banner advertising is associated with brand advertising. This is a...