Well that happened. And by “that” we mean 2017.
I think we can all agree it was a weird one. But those of us who call Giant Propeller home like weird. Weird is good. Weird is the roller-coaster. As Hunter Thompson said, “Buy the ticket, take the ride.” There were ups, downs and WTF’s in equal measure.
Seismic shifts are happening all around us. Some good, others not so much. But one thing is certain, those of us who thrive in digital marketing and content can marvel at one recent revelation: 2017 was the first year since the Internet flickered to life back in 1991 that advertisers spent more on digital than traditional TV.
Yes, you read that right: digital ad spending reached $209 billion worldwide – 41% of the market – in 2017, while TV brought in $178 billion – 35% of the market – in 2017. That’s according to Magna, the research arm of media buying firm IPG Mediabrands.
The significance of this upset cannot be overstated. Television has been America’s primary religion since it invaded our homes like a million Trojan horses back in the 1940’s. The dawn of modern marketing began with the crack of a baseball bat in New York City.
It was July 1, 1941. The Brooklyn Dodgers were facing off against the Philadelphia Phillies at Ebbets Field. Before the first pitch was broadcast on NBC-owned WNBT (now WNBC), the first TV commercial ever aired in the US. It was a laughably simple spot for Bulova Watch Co. with its earnest slogan, “America runs on Bulova time!” It cost the company a whopping $9: $4 in air charges and $5 in station charges.
My how things have changed. Currently, according to Flurry Analytics, the average American is spending five hours a day browsing the Internet and engaging with their mobile apps. This is a 20% increase compared with the fourth quarter of 2015.
At this rate, according to Statista, projected digital spending will amount to $117.53 billion by 2020. The global digital ad spend is expected to exceed $335 billion by the same year, and the spend per Internet user is estimated to reach at least $300 annually moving forward.
It makes sense. Money flows where the eyeballs go. And these days, more eyes are on digital devices than ever before. The tables aren’t just turning, they’re being flipped over, and we for one couldn’t be more excited. So come join us as we keep flipping the tables of tradition over one by one into the new year. Disruption is our official resolution…
In With The New,