In a recent report released by the Australian Marketing Institute (AMI) in partnership with the consultancy group PwC, it was found that 67% or two thirds of marketers were shifting their spending to favour the communication of brands through owned media channels as opposed to the more traditional paid media channels.
Owned channels include websites, mobile sites, blogs, Twitter accounts and other social media platforms such as Google+ and Facebook. Paid media channels include display ads, paid search and sponsorships as offered on LinkedIn. The report also found that between 20% and 30% of Australian marketing budgets are now being dedicated to building independent media channels.
According to the Australian Bureau of Statistics, 1 in 4 Australian businesses had a social media presence in mid-2013 and this number is growing. The reason for this growth could be that Australian business owners are seeing the potential for the powerful and cost-effective marketing that owned channel communication has made possible.
Some of the benefits of marketing via owned media channels include: ease of quality control, cost efficiency, versatility, creativity, consumer reach, niche engagement and longevity. Social media has proved to not only be an exceedingly affordable means of communicating a brand to a highly targeted audience, but it has allowed for brands to reach niche markets and engage the diverse consumer-base of 2014.
Megan Brownlow, Editor of PwC’s Australian Entertainment and Media Outlook 2014-2018 has suggested that the rise of social media marketing together with mobile entertainment devices and other technologies in recent years has diluted the potency and reach of more traditional means of marketing communication. According to the Australian Entertainment and Media Outlook, internet advertising is expected to be the largest sector in the next four years with a value of $14.4 billion by the close of 2018.
The introduction of data analytics as provided by many owned media channels has allowed marketers to target their messages as well as view and analyse comprehensive results of their efforts. Social media platforms such as LinkedIn (300+ million users) and Facebook (1.28 billion users) allow for the incredibly accurate targeting of advertising messages in a cost-effective way.
With users volunteering detailed and accurate information about themselves, these social media giants have made consumer research not only comprehensive but on a scale never before seen.
With the media market forecast to experience an annual growth rate of 3.4% leading up to 2018, and online owned media channels observed to be given greater priority than paid channels by 2 in 3 marketers, content marketing has proven to engage consumers on a level that can surpass the reach of more traditional forms of marketing communication.
The Entertainment and Media Outlook has acknowledged that companies are increasingly creating their own online content to engage directly with their customers and build positive brand impressions.
The availability and popularity of marketing through owned media channels has made marketing any Australian business, big or small, a simple and cost-effective opportunity. Infodec Communications are content marketing experts and have extensive experience promoting established and emerging businesses online through their owned media channels.
Contact us today to discuss any queries you may have concerning this trend or ask about how we can position you as an expert in your field.