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Digital ad spending grows despite the tough economy


Many digital advertisers around the world have been increasing their ad investments, according to the Q2/2020 Google and Facebook Ads Benchmark Reports from Tinuiti, which regularly examine the digital ad spending managed by the company across three primary channels – Search, Social and Marketplaces. This article is copyright 2020 The Best Customer Guide.


The company’s reports have highlighted several new insights surrounding various factors such as the reaction to and the recovery from the COVID-19 pandemic, as well as the adjustment to work-from-home lifestyles and the effect of social justice movements on messaging and advertising.


“From Amazon dropping out of Google ad auctions for several weeks in Q2 to Facebook advertisers boycotting in July, the competitive landscape on the two largest digital ad platforms has shifted significantly through the first half of the year and into Q3,” said Andy Taylor, director of research, Tinuiti.


The Google Ads Report shows many Google advertisers increased ad investment year over year, taking advantage of a thinner competitive landscape highlighted by Amazon’s exit from auctions for most of the quarter, and overall search ad spend grew 19% year over year. Google’s move to provide free shopping listings greatly expanded the number of sites featured in listings, but that didn’t stop Shopping advertisers from increasing spend 34% year over year.


The Facebook Ads Report also extends into July to provide insights around pivotal scenarios such as July 7’s Blackout Day (a movement joined by 64% of Tinuiti-managed Facebook advertisers), as well as the month-long boycott which was joined by over one quarter of Tinuiti clients who advertise on Facebook.


Consumer viewing, browsing and buying habits have drastically changed since the onset of COVID-19. The Q2 Ads Reports in the Triopoly Series operate as a pertinent snapshot of the fluctuation in digital ad spend and increased emphasis for brands to optimize their marketing strategy across the online advertising landscape of Marketplaces, Search, Social and beyond.


“Consumer behavior has changed since the onset of the global pandemic, and while the Triopoly is still king in the world of digital, the trends are in flux. Brands need to be on their toes in order to connect with their customers,” said Dalton Dorne, chief marketing officer for Tinuiti.


This article was first published by Customer Strategy Network. Permission to use has been granted by the publisher.

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