Small, Medium Businesses to Increase Ad Spending: Study
Eighty-one percent of all small- to medium-sized businesses will either maintain or increase their level of advertising spending, according to the Local Commerce Monitor, an advertising pattern study from The Kelsey Group and ConStat.
The study found that nearly half (47%) plan on maintaining their current level of spending, while another 34% foresee increases during the next 12 months. Only 9% see themselves cutting ad expenditures.
Asked about the influences on their ad decisions, 31% indicated they were based on performance and ROI concerns, with another 25% saying they were based on business partners or competitors. Fourteen percent rely on information from media such as newspapers, TV and trade publications, while 12% are moved by friends or family.
“There’s an opportunity for media that can demonstrate ROI to tap into SMBs’ future advertising plans.” said Stephen Marshall, director of research and consulting for The Kelsey Group in a statement.
Small- and medium-sized businesses expect to continue to adopt Web 2.0 technologies during the next 12 months: 40% plan to add customer reviews to their own Web sites; 30% will add links or place ads on social sites or blogs; and 26% will incorporate video on their Web sites.
