Majority of global advertisers over-invested in online ads

A study conducted by the World Federation of Advertising (WFA) and Ebiquity found that while two thirds will increase spend, 12% plan to maintain the same levels of investment and 21% will reduce online spend.

Sixty-two per cent of respondents said they were ‘dissatisfied’ with the overall level of standards in online advertising and only 45% said they clearly see its value. Almost three quarters of those polled ( 72%) thought that advertisers had over-invested in the channel.

Viewability was seen as a major concern by 90% of respondents and 76% were concerned about a lack of transparency.

The survey looked at responses from more than 50 global advertisers and were released during the WFA’s Global Marketer Week in Toronto.

Matt Green, global lead – media & digital marketing at the WFA, said: “Although the general online advertising investment trend remains on an upward trajectory, this research shows that some advertisers are exercising increased caution regarding their online investment.

“Until recently, advertisers were comparatively reserved about their frustrations with the lack of robust measurement of effectiveness and the absence of independent verification. They’ve now lost their reticence and are demanding more openness and evidence.”
 
Nick Manning, chief strategy officer for Ebiquity, said: “Respondents demonstrate strong support for recent public calls by Marc Pritchard of Procter & Gamble and others for higher standards in independent measurement and verification in online advertising. Advertisers also want a better understanding of how online contributes to their business performance and how it delivers meaningful return on investment.”