Economic expansion and growing competition are two reasons marketers begin to activate new brands. According to PQ Media, marketers plan to spend more money on brand activation campaigns in 2016. The ad dollars marketers are putting behind new brands represent a larger opportunity than the general ad market for media companies and other service providers.
PQ Media analysts estimate marketers spent $244 billion to promote new brands in 2015. By 2020, marketer spending on these activities will amount to $421 billion. This figure includes in-house spending like production costs of TV ads and revenue earned by media companies.
The US Brand Activation Marketing Forecast 2016 categorizes ad spending by major platforms and verticals. It’s this part of the analysis that points to opportunity for media companies. For example, marketers will spend $140 billion on relationship marketing activities in connection with new brand launches. If you’re selling digital services, try pitching your email marketing expertise. Also, marketers will devote 11% more of their brand activation budgets to content marketing this year. Many SMBs don’t maintain an in-house staff filled with writers. Your path to a new contract could be doing a great job pitching your company’s content marketing services.
PQ Media analysts also checked out the sectors where brand activation is particularly strong. They expect big spending increases from retail, financial and automotive advertisers. Consumers will be the target of 63% of brand activation spending while businesses will account for the balance, 37%.
Reps, have you talked with your clients about their brand activation plans for the rest of 2016?