Trending: Executives feel power of digital marketing

The future power of digital marketing has been given a firm nod of acknowledgement by industry executives, following the Consumer Analyst Group of New York conference.

Leading executives confessed that their media budgets have swollen in favour of digital, as they claim it offers a better return on investment and a more effective and transparent relationship with the consumer.

Mondelez President-North America Mark Clouse said the company wants more than half its spending to be digital by 2016, because it’s getting twice the return on investment from digital that it is from other media, trumping the once chief magazine.

Jean-Paul Agon, Chairman-CEO of L’Oreal, the world’s third-biggest ad spender, behind P&G and Unilever, said digital is now 12% of the beauty giant’s global spending and trending upward because of its efficiency and synergy with fast-growing e-commerce in beauty.

Alan G. Lafley,  Chairman-CEO of P&G, said:  “The beauty of the digital, search, mobile, social media worlds is they’re fundamentally more efficient. So if you really know which consumer matters most to you, and that’s our job, then you can run a mix that gets a lot more efficient.”

But ‘why is digital considered more efficient?’ I hear you say.

It is considered that CPG digital spending is adapting to new marketing-mix models, which have new ways of measuring return on investments.

While much digital media is still largely bought based on clicks, new studies found digital impresssions, not clicks, are what drive offline purchase of packaged goods products.

So, make a good impression guys.