In the UK, spending on online marketing has finally surpassed spending on television advertising. Although the UK is the first major economy where this has happened, it is expected that this will happen in other major economies too.
One reason for this has been the economic downturn that started in 2008. Online marketing is recession-resistant because of high levels of accountability. This has led to the growth in online marketing revenues and the decline in television advertising revenues.
Spending on online marketing has surpassed spending on television advertising because online audience is greater. Advertisers want to maximize the exposure or their goods or service and the internet is the best place to do this. This is because TV in the UK mostly reaches those in the UK and even cable TV has a limited audience. However, the internet has no national or geographical boarders, meaning advertisers can reach millions of people, in the UK and beyond.
The internet never closes. Advertisers have realized that when they put their adverts on the internet, they will be available day or night, all year round. With television, advertisers can only afford a few seconds or minutes, and in some cases, the adverts are only broadcasted once a day. This means less people are likely to see it. One of the most common online advertising methods works on the principle of pay-per-click, meaning the advert will always be there for people to click on it. With online advertising, it is possible to have the same advert in different websites at the same time.
Spending on online marketing has surpassed spending on television advertising because advertisers want to pay less. Online adverts are cheaper than TV ads. The payment method is also better because the advertiser only pays whenever someone clicks on the advert, according to the most commonly used online advertising method that is used in advertising programs such as Google AdWords.
Spending on online marketing has surpassed spending in television advertising because advertisers want a targeted audience. Television adverts go to everybody with the hope that those who are interested will take note. However, online marketing is more targeted because only those who are interested in what you have to offer will click on your link. This is economical in that you do not waste money on people who are not interested.
Advertisers are shifting towards online marketing because it is possible to track how well their adverts are doing this is not possible with television. There are many online advert monitoring tools that record the number of views and the number of online purchases.