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STRATA-Ad-Agencies-Media-Mix-inQ2-Aug2013Just 27% of media buying agencies don’t anticipate ever spending more on digital than traditional media, according to the latest quarterly survey from STRATA. That’s down 45% from last year, and represents the lowest percentage on record, per the researchers. In particular, the gap between TV and digital is now at its lowest ever, with 44% of respondents indicating more of an interest in advertising on TV (spot TV/cable) than any other medium, compared to 35% saying the same about digital. That 9% point gap is significantly closer than the 24% point gap from STRATA’s Q4 2012 study, when 54% favored TV and 30% preferred digital.

61% of respondents said video advertising (TV, network, cable and streaming) was their main focus of their campaigns in the second quarter. While TV remains the favored medium for the time being, advertisers are also investing in digital video, with 66% saying they’re more interested in this medium than a year ago. (Online video ad data from Q2 confirms that to be the case.)

In terms of the top online video sites for advertisers, YouTube takes the top spot (69%), followed by Hulu (35%) and a tie between Netflix and Vine (14%).

Turning to social media, the study suggests that one-quarter of agencies see a better ROI from paid social than free, compared to 11% who say the opposite is true. The use of Facebook (90%), YouTube (55%), Twitter (53%), LinkedIn (35%) and Pinterest (25%) are each at all-time highs for agency campaigns.

Other Findings:

  • The main challenge for agencies in Q2 was client attraction (44%), followed by client spending (21%).
  • 28% of respondents feel they will spend more on digital advertising than traditional media in the next 1-3 years.
  • 76% of agencies prefer to advertise via display ads on other mobile content rather than build their own mobile sites or applications.
  • While 58% are more interested in streaming radio than a year ago, 86% maintain the same – or lower – levels of interest in traditional radio. That’s the lowest rate of interest in traditional radio in 19 quarters.

About the Data: STRATA surveys around 100 media buying agencies each quarter.

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