US Advertisers are underspending by $31 billion
The US has the largest advertising market in the world-yet advertisers are underspending by $31 billion collectively, according to the Advertising Research Foundation.
Advertisers are investing too heavily in one type of medium and not spreading their campaign over multiple platforms. The study found that brands can increase their ROI by 19% just by going from one platform to two, and up to 35% when using 5 different platforms. Another phenomena, "The Facebook Effect," increases the impact of a TV ad by making a teaser ad on Facebook. What advertisers shouldn't do is oversaturate a medium with their content--particularly with digital banner ads. Jasper Snyder, VP of ARF, says only a third of digital banner ads have any impact at all, accounting for the 57% that aren't viewed by humans and the 10% left useless by frequency overkill.