Increased Data Spending By Marketers in the Coming Years
The recent high spending on data by marketers shows the importance of data to businesses. Data are quickly becoming the most significant facets of businesses. In fact, marketers are now spending on data more than they have ever done. According to several reports, the amount spent on data is expected to even boomerang in the coming years. The trend has been predicted to keep rising.
FACTS CHECK ON DATA SPENDING
According to a report compiled in 2018 by the Interactive Advertising Bureau (IAB) in conjunction with the consultancy firm, Winterberry group, 69% respondents say that they spent more on data in 2018 than they did in 2017; 78% have plans to spend even more in the coming years, particularly 2019; 15% say they will be spending the exact amount; and 3% will be reducing their data spending. This report highlights just how important data are to companies and firms. Without data, companies will be crippled.
However, there are certain fears about spending on data. According to 53% of business executives, the primary constraint facing the maximum use of data arises from stringent regulations and protocols guiding the use of citizen's data by several international bodies. Some of these protocols are Europe's General Data Protection Regulation (GDPR) and the California Consumer Privacy Act of 2018 (CCPA). It should be noted that the latter will not go into effect until 2020.
Other issues that were previously raised concerns have been addressed, or at least, been reduced. According to the report, only 33% now think that it is difficult to get enough ROI, just 29.2% complained of the lack of internal experience and a meager 22.2% so not have the required ability or necessities to support the technology. The report in conclusion presses upon the fact that, with each passing day, more marketers are plunging more cash into data spending. On this note, it is therefore wise to expect more spending in coming years. This will help companies prepare adequately for any change the increased spending may cause.
WHY ARE MARKETERS SPENDING MORE ON DATA?
The basic aim of the increased spending, according to the report, is to navigate the complex and ever-twirling media environment without any difficulty. Marketers hope that the increment in their data spending will help them maneuver the constantly-widening media pool. According to respondents, the increase in their data spending, either on acquisition or management, will help them overcome the challenges posed by the online and offline community.
70% of participants in a recent survey identified that the most paramount aspect of data to them is to master the mix-channel method of distributing and attributing data. Another important aspect is the matching and identification of audience for contents. Logically, these reports point to the fact that marketers believe that further investment in data will make their advertising campaigns successful as well as prove as the solution to their problems with online contents. Also, marketers now believe that the limitations to data use have been considered and amended. On the stringent protocols, marketers believe that there will be favorable reviews as soon as possible, but for the currently no one wants to be left behind.