8 Reasons Why Digital Advertising rules the industry

Ad spend 2016

“India is the fastest growing ad market among all the major markets of the world. 2015 was the best year for ad spend growth we’ve had in the last five years,” said C.V.L. Srinivas, chief executive at GroupM South Asia. “While global headwinds are building up in the New Year, there are a number of positive factors that will help the Indian ad sector grow at higher levels in 2016.”The wind is positive for digital advertising than conventional advertising methods! Why? The significant reason behind the fast pace in the growth rate of digital advertising in India has something to do with these factors.

1. Digital Advertising Drives Sales & ROI

Every business entity would love it if their Ad spend turn worthy by reaching maximum number of people, also it is great when this effort enhances sales and provides ROI. Recent studies reveals that digital marketing is more significant in providing the response and also it enhances sale and bring back the money with good business. A phenomenal change in switching the mode of advertising to digital is happening everywhere as it brings in great effects in business world round the globe.

2. Digital Advertising Enhances the Effectiveness of Non Digital Media Channels

Though the media industry is modifying phenomenally and it is indispensable for vendors to follow the scenario which actually has double benefits for the betterment of respective business. Digitalization of advertising in fact supports and enhances the effectiveness of Non-digital advertising too as it has deep reach and influence among the customers.

3. Digital Advertising Is Effective Across the Entire Customer Journey

The crucial responsibility of advertisement is to influence the customer in purchase decision and persuade them to believe in a particular product over multiple counterparts. Digital advertising is the key to driving premium perception and purchase decision, now a days digital channels dominate the path-to-purchase traditional media systems and brings in significant changes in advertising landscape.
    

4. Digital Advertising Drives Word-Of-Mouth at Scale

 Recommendations have more impact on a consumer’s purchase decision than both
 brand and price — 57% of decisions are based on this.

Online shares are almost as valuable as in-person recommendations — a consumer is 9.5% more likely to buy a product with an excellent shared recommendation compared with 10.6% more likely via an excellent in-person recommendation. In contrast, a negative recommendation can reduce purchase intent by 11% for an online share and 11.2% for an in-person one.

The specific value of a share can be determined by measuring how much more a consumer will pay for a product if they have had an excellent online recommendation (via sharing). Share this calculated a delta of +$3,708 for a family size car, +$24.91 for tablets, and +$0.92 for household goods, for example.

5. Digital Creative Drives Interaction & Lifts Brands

Effectiveness of Ad lies in the quality of the creative. A case study done on this topic clearly shows that more than half of the sale changes happened due to attractive and creative Ads. Digital creative expand the dimension of interaction to sight, sound, and motion — and greater interaction has been shown to drive brand effectiveness. A brand lift with positive review is priceless as it stay for long and backup further development of the brand.         

6. Digital Advertising Is More Efficient Than Traditional Media

Being a fast moving Ad market, India is experiencing the change in advertising mode from traditional to digital advertising. The reach of these digital advertising is fuelled through the reach of smart phones, internet even to the remote places which connected people globally.

        While it is dangerous to generalize about media costs given the wide array of choices within each medium, digital advertising can generally be seen to be among the most efficient means of reaching an audience. On a cost-per-conversion basis, the IAB estimates digital to be five to six times more efficient than direct mail.

7. Digital Advertising Is Essential to Reaching an Audience

It is essential for any ad creative to reach out to the customer and convey the message. Television being the most popular and cheap visual media, is the prominent medium for so long time. But a recent study revealed an exciting news for digital advertising medium as it shows a clear lead over TV over one hour per day. A man spend 4 hours in front of TV and he is spending 5 hours in digital media, which is also showing steady increase.

8. Digital Advertising Is Even More Effective Than We Know

Digital advertising is proving its worth to brand marketers every day by creating new desire and demand, increasing engagement and loyalty, and ringing the cash register.

The data is in: digital advertising really does work for brand marketers. The industry is not resting on its laurels, however, and smart marketers, agencies, and publishers continue to create and study effectiveness proof points—while also relentlessly raising the bar and making the case even more airtight.