IDC

Time to revisit social media sponsorship

budSponsorship and internet marketing are proving to be a tough couple. But they need immediate attention and innovation if brands have a shot at finding an effective presence on social media networks.

Two recent datapoints illustrate the issue. Yesterday’s IAB report of 2008’s ad results showed a 40 percent drop in sponsorships online. That is a shocking plunge for a business that tracked a 10 percent overall increase. And IDCs report on social media advertising delivered last week showed sponsorships may be the only form of advertising social network users will tolerate. “Tolerate” is the operative word here. They will not tolerate any kind of traditional display approach.

Brands seek order in media chaos

tangledNo secret that performance-based advertising is dominating internet marketing. But brands are still trying to find the right mix for all those performance options, email, and a rapidly declining display market.

According to IDC research analyst Caroline Dangson, the display market contracted by 7 percent in Q4 of 2008, and will continue to see decreased spending until the end of this year. With this in mind, several brands are trying to find some balance for all the advertising options available.