Luxury Brand Advertising 2012 Outlook Study Finds that Context Matters, Predicts Growth Areas
Martini Media, a digital media and content platform, partnered with with veteran research expert Michele Madansky and Digiday on its just-released Luxury Brand Advertising 2012 Outlook study. The study examines the factors that luxury brand marketers consider most important when investing in online advertising and the perceptions of certain types of digital advertising as compared with traditional media.
In general, the research found that agencies and brand marketers have similar estimates of how their digital ad budgets are allocated. Digital display advertising (online display, video, mobile) represents over half of luxury brands’ digital budgets. The only area where brand marketers differed in their estimates of spending was for social media.
Going forward, agencies project the fastest increases in video, mobile and social media, while spending in standard display is expected to decrease the most of all categories cited. The research finds that luxury advertisers anticipate spending more on video and rich media compared to mass-market brands this year as compared with last. One reason they cite is the possibility that “SiSoMo – sight, sound and motion – of online media is beginning to wean luxury advertisers away from the presumption that only glossy print magazines or television can adequately portray their goods in the right light.”
One in three survey respondents ranked context as the most important criteria for selecting media for digital campaigns, with one in five ranking targeting as the number one criteria. Only 12% felt that reach was the most important criteria for digital media selection, according to Martini Media’s research.
And while luxury marketers are looking for content-contexts that accentuate their own brand value proposition, they will consider avenues to reach target consumers through aggregation of niche media. Given the weight they give targeting, eight in 10 marketers surveyed agree that it’s worth paying premium CPMs to ensure they reach luxury consumers.