The biggest media trend influencing business success in the media and entertainment industry is digital channels overtaking traditional, according to new research [download page] from Econsultancy and Adobe. However, the survey of more than 200 North American executives finds that the fastest-growing influence over the next 3-5 years will be advertiser demand for non-standard forms of inventory.
One-quarter of executive surveyed for the report said demand for non-standard inventory such as branded content and native advertising will be one of the top-2 (of 6 options) trends most influencing business success in the next 3-5 years, up from 19% who feel that it’s an important trend this year. A recent study from Nielsen indicates that quality branded content already outperforms online video pre-rolls, and MarketingCharts research suggests that product placements on TV influence as many American’s purchases as online video ads (though both have limited influence for the time being).
The Econsultancy and Adobe study data notes that while the shift from traditional to digital channels will remain the most impactful trend over the next 3-5 years, its impact will wane over that time.
It’s worth noting that a recent study from Ogilvy PR found that journalists and editors still perceive traditional media to be the most trusted news source, and that the more a brand is covered by traditional media channels, the more credible it appears.
Meanwhile, the Econsultancy and Adobe study also finds that a growing impact on firms’ success will be a shortage of talent in digital, technology and/or analytics. This tracks with recent research finding that CMOs are needing the most help with digital marketing and are finding the most difficulty in hiring analytics staff. (For more on the analytics skills in highest demand, see this article.)
As for technology, media and entertainment executives are twice as likely to agree (49%) than disagree (25%) that they lack the technology needed to capitalize on their digital opportunities. Not surprisingly, many feel strongly that their plans for new technology integration will include additional staffing requirements. A big priority for executives is also to deliver better ROI on their technology investments, with executives reporting problems such as lack of communication of the impact of technologies with outside teams and not accurately measuring the impact of their investments.
Perhaps those concerns will ease as executives move away from internally-built and third-party stacks to a comprehensive “marketing-cloud” type solution, which appears to be the direction they feel they will take.
For more on media channels, see the following MarketingCharts reports:
About the Data: The report – “Trends and Priorities in the Media and Entertainment Sector” – is based on a targeted survey of more than 200 executives in North America, almost one-third of whom are at the executive management level.