Increased Online Marketing by Big Brands
General Motors has announced, in what could signal a no-look-back shift to digital marketing, that half of its $3 billion marketing budget will move to digital marketing in the next three years. GM will use several online methods including gaming, search, mobile and a broad array of interactive applications. As the US's third largest advertiser, GM’s switch may signal a tipping point in the marketing strategies of the automotive, and other industries.Other car makers are also upping their online spend; Hyundai will double its online spending in 2008 over 2007.
Like many firms, GM and Hyundai are increasingly finding out that the buying process starts, and often ends, online. They are realising that unlike traditional forms of marketing (print, radio, TV), online marketing allows campaigns to be much more targeted to their current and prospective customers. This very often results in a lower cost per acquisition rate than traditional marketing, meaning your budgets stretch further.
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