The Internet marketing experts at Exults review the 2020 performance of traditional media channels, nearly all of which saw their worst declines in 40 years.
FT. LAUDERDALE, FL, USA, January 19, 2021 /EINPresswire.com/ — As the online advertising market held steady through a tumultuous 2020, and even grew in areas such as YouTube, the fall of traditional media spending appears to have accelerated dramatically. In fact, several industries within traditional media markets reported some of their lowest spending performances in four decades, according to a recent article from Marketing Dive.
Around the globe, various sectors of media have witnessed deep downturns in 2020. With individuals and companies budgeting differently, in some areas traditional media has seen double-digit declines. Linear television spending decreased by $29.9 billion this year, while cinema spending saw a $1.5 billion decline. The combination of theater closings and film delays, along with layoffs and tighter budgets, likely claims some responsibility for these drops.
Magazines and newspapers also have not reported any better numbers. Newspaper spending was down by $9.8 billion this year, and magazine spending saw a $4 billion decrease. Radio spending recorded a $5.9 billion decline, and out-of-home media revenues decreased by $11.3 billion. With more people staying in and with less workers commuting, consumption of such media was likely to decrease even without budget cuts.
Although a turnaround is expected to begin next year, getting back to pre-COVID numbers could be a slow process. Any uptick in these sectors in 2021 is unlikely to represent a full recovery. With projections signaling a 6.7% spending increase, traditional media will only make up for a portion of its 2020 losses.
Recovery could also be halted by the continuation of spending behavior introduced by the pandemic. Unfortunately, household budgets may continue to be tight. The health crisis and economic situation have forced business owners and consumers alike to be choosier about their spending, and it seems traditional media was one of the first expenses to meet the chopping block.
Alongside this drop in traditional media spending, digital advertising revenue has increased, overtaking traditional advertising for the first time ever. With online video also showing growth in 2020, it seems new media may play a prominent role in the future of advertising, as well as in consumers’ day-to-day lives.
Although traditional media spending is likely to make a short-term comeback, this year could mark a turning point in the way the majority of consumers absorb content. Companies seeking to reach new and existing customers will need to adapt to that shift if it continues, emphasizing channels that show promising gains rather than more traditional avenues.
During the pandemic, business success and growth has depended on strategically pivoting to digital marketing. It is a smart time, if you haven’t already, to learn about online advertising, and the experts at Exults can help.
More About Exults Internet Marketing Agency
Exults Marketing is a full-service internet marketing company that is results driven. Offering a complete range of internet marketing services to reach its clients’ goals, Exults premier services include:
● Digital Branding
● Website Design and Development
● eCommerce platform development and management
● Search Engine Optimization
● Pay Per Click Management
● Social Media Marketing
● Digital PR
If you are interested in rebranding your company for the digital business world to spark meaningful engagement and online sales, contact Exults. For more information, please visit the Exults website (https://www.exults.com/) or call 866-999-4736.