According to a new Forbes Insights-Quantcast study of more than 300 marketing executives globally, marketers are becoming increasingly sophisticated in their audience targeting and use of digital media for advertising. These are the key findings of the study:
- Almost all companies surveyed consider display and digital video a key component of their marketing message or branding. Large companies indicate that they have the ability to devote proportionally more resources to these components.
- Companies value how audience targeting increases brand campaign electiveness, and most expect to increase investment in audience targeting. Currently, 90% of companies spend at least 25% of their digital advertising budgets on specific targets, and 43% of companies spend more than half of their budgets reaching specific targets. Most (84%) of companies expect that investment to increase.
- The primary challenge for audience targeting is identifying the proper personas. Fifty-four percent of North American companies and 76% of EMEA companies cite this as the biggest challenge.
- Audience guarantees, inherited from television buying practices, do not yet have a strong hold. Half of all companies (53%) report that 25% to 49% of their demographic targeted video spend includes an audience guarantee, and only 9% report that more than 75% of their targeted video spend includes audience guarantees.
- The importance of validation is growing. Half the companies surveyed always validate that their display and digital video campaigns reach the right audience—51% for display ad campaigns and 46% for digital video ad campaigns. Eighty-five percent of all the companies surveyed expect the frequency with which they validate these campaigns to increase in the next three years.