Research suggests that out of all available advertising options and mediums, digital advertising is proven to give you the best return on your investment. And this seems to be especially true for South African businesses according to The Nielsen’s Advanced Analytics Team.
The analytics team says that, according to their research, digital advertising is almost twice as powerful as TV advertising and explains that “for every rand spent, digital performs best and returns R2.30. While print brings in R1.35. A simple average of these two “read” media is a whopping R1.83!” A clear indication and proof that digital outperforms print advertising by quite a bit.
The below infographic taken from the Publisher Research Council demonstrates this by showing the different advertising channels available in South Africa and their various ROIs. The table compares the different advertising mediums and their median short term ROIs respectively in order to see which of these brings in the most ROI for every R1.00 spent on advertising. Spoiler alert, digital comes out on top!
The above table shows that,
- Digital advertising brings in the most ROI, delivering an impressive R2.30 for every R1.00 spent
- Cinema advertising is second with an ROI of R1.60 for every R1.00 spent
- Print advertising brings in R1.35 for every R1.00 spent
- Out of home/billboard advertising is not far behind, delivering R1.25 for every R1.00 spent
- Radio is stone last, actually bringing in less money than what you would spend on advertising
Digital approach
Businesses around the globe have been forced to adopt a fully digital approach in lieu of the Covid-19 pandemic. An indication that the value of digital advertising is expected to increase. Digital marketing has overtaken traditional marketing, and its popularity is no surprise. Traditional marketing no longer fulfils modern consumers expectations and values in the way that digital marketing does. Outdated traditional marketing strategies like door-to-door selling and in-store specials (buy one get one free) don’t garner the attention and loyalty of customers as much as social media ads or online store specials.
Digital marketing strategies like social media marketing and content marketing are so popular because of the convenience they provide. This is part of the reason why digital marketing has such a profound impact on modern marketing. The modern consumer is busier than ever and doesn’t have time to spend hours in stores looking around for what they need, so having access to digital advertising that streamlines the consumer’s process and makes it easier than ever for them is invaluable. This ease and convenience is why the world is preferring and choosing digital over traditional advertising.
Since more people are working remotely and are constantly online, businesses must embrace this new approach to advertising or be left behind. They must ask themselves where the majority of consumers spend most of their time and adapt accordingly.
Digital advertising for businesses is essential in today’s world to reach consumers in ways that traditional marketing simply cannot. The scope of traditional marketing is not nearly as effective and influential as it once was, making it an antiquated form of marketing. Digital marketing provides opportunities for businesses to reach far larger demographics and even entire industries in far more convenient and streamlined ways.
If there is anything that the modernisation of businesses through digital marketing has taught us, it’s that digital marketing has been one of the most significant innovations in business to date and that convenience and efficiency are two values that today’s consumers hold in exceptionally high regard.
As consumers continue to embrace digital marketing more and more, there is no doubt that their actions will influence how businesses market for a long time to come. The world is going digital and this is just the start.
