The corona pandemic has had a firm grip on the world for weeks. The effects on practically all areas of our everyday life are immense; the economic damage is hardly foreseeable. Consumers are unsettled; many have an immediate loss of income.
At the same time, the restrictions on public life mean that there is no need for much travel, concerts or other leisure activities. Media usage behaviour is also changing; advertising companies are rethinking their media strategies and looking for ways to increase efficiency.
As part of a series of articles by Sandra Goetz in ADZINEI have summarized my assessment of the impact of the Covid19 pandemic on the media mix, Here is the complete analysis of opportunities through digitalization in marketing, which channels are now particularly essential and which industries and business models can particularly benefit from a higher proportion of digital.
MEDIA USAGE IS RAPIDLY BECOMING MORE DIGITAL
Internet usage has increased enormously since the beginning of the Corona crisis. The reasons for this are, in addition to the immense information needs of the population about the pandemic, the forced stay at home in the shutdown.
Where several offline activities are no longer necessary, media consumption and communication are shifted to the Internet. At the same time, people who are otherwise less digital are also given a crash course in video conferences and working in the cloud.
The increasing online affinity will be felt in the long term by marketing decision-makers. For example, we had an outstanding response to our webinar series with basics relating to online marketing.
A plus point of digital media is undoubtedly its topicality and speed: Weekly titles in print were already out of date in the last few weeks. The contact block reduces mobility, which primarily affects the out of home ranges.
Besides, the context of advertising can be better controlled on the Internet than in other media: even if Corona has dominated reporting and user interest in the past few weeks, the corresponding settings in the Brand Safety Tools can be used to prevent advertising from appearing directly next to disturbing images Bergamo and New York can be avoided.
But not every article about Corona is necessarily a bad neighbourhood. For example, an experience report by young families about their everyday organization in the home office hits the nerve of many users. It is a useful advertising environment for many brands.
THE PANDEMIC IS FORCING ADVERTISERS TO BE MORE EFFICIENT
The marketing and sales managers in the companies will have to manage the balancing act between economies with the smallest possible budgets and, at the same time, the highest potential target sales so that the economic damage for companies and their employees remains manageable.
Even if the original annual plans are waste, you will try to catch up as much as possible. For many companies, this will focus more on short-term activation and less on strategic brand building.
The bottom line is that all of the performance marketing instruments that bring directly demonstrable sales growth and new customers benefit.
Most companies have now learned that with proper attribution, not only the last click from retargeting, brand search and SEO counts, but also other channels such as native, programmatic, video and social make an essential contribution to conversion. In this respect, I would interpret the performance instruments a little broader than the usual suspect’s Search, Shopping & Affiliate. Affiliate marketing is suitable here, not for every business model and mostly only increases the efficiency of already secure providers.
The greater flexibility with programmatic, native ads and all other directly controllable platforms is particularly important in these uncertain times. The temporary cancellation of trade fairs, events and sponsorships also require new approaches to customers and sales support.
In B2B marketing, lead generation via social B2B networks such as LinkedIn is becoming more critical because targeting levels and industries can be targeted very precisely here.
STATIONARY RETAILERS, BRANDED GOODS & NICHE PROVIDERS BENEFIT PARTICULARLY FROM DIGITALIZATION IN MARKETING
In my opinion, the greatest need to catch up in digital is retail. It is not about turning every shop into a professional distance trader: after all, there is a narrow field of eCommerce providers in all segments, who in turn are finding it increasingly difficult to survive against the retail giants like Amazon.
Those who are only now entering this competition will find it extremely difficult. On the other hand, digitization in retail marketing is more exciting for traditional local traders, be they regional or national players.
Their offer communication is still reasonably classic based on print inserts and radio. Young families are less and less accessible on these channels. Digital media offer a much more differentiated and significantly more efficient set of instruments.
In the second growth segment, there are branded companies with comparatively small budgets who have previously relied heavily on TV. These companies do not receive the top conditions and best rankings of the big players. They could reach their target groups much more precisely with the same budget on video formats on the net.
The third area with excellent growth opportunities is ultimately all advertisers in niche markets who are still travelling with a relatively classic media mix and have corresponding development potential in intelligent targeting.
This can be a very different field of brands and companies: luxury watches can, for example, advertise more specifically in postcode areas with high purchasing power, sporting goods providers can find a perfect advertising environment for practically every sport on YouTube and other advertising platforms.
Contextual targeting enables data protection-compliant placement of advertising via programmatic for practically every particular interest topic.
CONCLUSION: IT IS TIME FOR A COMPREHENSIVE CHANGE IN THE MEDIA MIX
The following applies overall: Advertisers will no longer be able to afford permanent bookings with high wastage in the foreseeable future. The media mix of many companies will be significantly more digital after the crisis.