Happy Friday, Bidtellectuals! We are going to try something different – a weekly update on the industry since it’s ever-evolving.
First things first, Sales Director DJ Virtue offers messaging suggestions for brands in this new climate. Bidtellectuals share their favorite recipes and I offer some advice to work from home. Oh, and did you see Midwest Director of Sales Janelle Watanabe made the Chicago Tribune for her block party workouts with neighbors? What an inspiration.
This week, a record 6.6 Million Americans sought unemployment benefits (WSJ). Roughly four billion people – half of humanity – have been ordered to stay home Friday (NYT). Between the weeks of 3/12 to 3/19, Verizon saw web and internet traffic climb 20% (CNET). Still, according to IAB, digital ad spend is down 33% and traditional media is down 39%.
In good news, sweatpants have now been declared a major fashion trend according to WWD, as sales surge. “Will I Ever Wear Pants Again?” asks The Cut. Maybe not, but here’s inspiration for “Zoom Ready Tops” from Vogue so you can look fabulous on top but comfy on the bottom (no one has to know). For some culture, SXSW announced that its entire 2020 film lineup will stream for free on Amazon Prime Video, according to AdWeek, and here’s a list of 13 uplifting documentaries coming to Netflix from the New York Times.
The State of the Industry:
- Digital ad spend is down 33% and traditional media is down 39% (IAB)
- 24% of buy-side decision makers paused advertising spend while 46% adjusted it for the remainder of Q1 and Q2 (IAB)
- Adjusting for the new COVID-19 impact, eMarketer expects US total media ad spending to increase by 8.7% in 2020, and US digital ad spending to rise by 16.7% over the same period. (eMarketer)
- The majority (63%) of advertisers have already changed the messages they are touting in-market (IAB):
- Mission-based marketing (+42%)
- Cause-related marketing (+41%)
- More than a third (35%) of advertisers are adjusting their in-market tactics (IAB):
- Audience targeting (+38%)
- OTT / CTV device targeting (+35%)
Investment Shifts Across Verticals:
- Verticals Seeing an Increase in Ad Spend (PubMatic):
- News: 52% Increase
- Hobbies & Interests: 31% Increase
- Technology & Computing: 14% Increase
- Verticals Seeing a Decrease in Ad Spend (PubMatic):
- Political Ad Spending: 72% Decrease
- Travel: 65% Decrease
- Sports: 40% Decrease
- 83% of respondents within the travel and transportation industry have either freezed hiring or laid off employees. (Candor)
- 77% of respondents within the retail industry have either freezed hiring or laid off employees (Candor)
- Forrester has a webinar The Impact of COVID-19 on Financial Services on April 7th.
Publishers Feel the Burn of Coronavirus Blocking:
- “As the coronavirus pandemic continues to dominate news cycles the world over, advertisers have been quick to add terms related to the virus to their keyword blocklists to avoid any potential brand safety fallout from appearing adjacent to grisly articles. But entire news-site homepages are also inadvertently being blocked as a result — which is even interfering with inventory that was directly sold by publishers’ internal sales teams.” (Digiday)
- “New data reveals how a major company’s COVID-19 ad keyword blocking starves the news media during a global pandemic.” High Block Rates have been reported across news sites like Business Insider and Buzzfeed News; reporting by Integral Ad Science saw 36% block rate in March on the New York Times; The Guardian saw 50% total block rate on their site in March. (Buzzfeed)
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