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BizReport : Advertising archives : December 09, 2009

Two execs predict 2010 trends

Just a few weeks left before 2010 is officially the New Year. What can you marketers expect to improve? To continue to be sluggish? Two executives with Cross MediaWorks tell BizReport that the year should bring increased ad revenues and more content.

by Kristina Knight

Marc Krigsman, CEO of Cross MediaWorks, and Larry Rubin, Chief Operating Officer agree that advertising spending will be one area that will improve in the New Year, although spending levels will not reach pre-downturn levels. Also, television ad spending will continue to be the larger spend for advertisers because that is still where the majority of viewers lie.

Although most marketers want a financial windfall to make up for lost profits, slower and steadier growth can be a better option. Slower growth is more likely to be continued growth whereas a fast, skyrocketing growth could be an indicator of an even bigger economic harbinger in the future.

Along with more spending there will likely be more measurement in the New Year as marketers look performance rather than simple clicks.

When it comes to content, more and better content will be a must for publishers and content developers as consumers demand more.

"Smartphones like the iPhone will continue to pave the way for content platforms to emerge that will drive more users to mobile sites. However, what is considered a valuable mobile ad will remain undefined until that happens," say Kingsman and Rubin.

By the way, consumers are likely going to want more than words on a screen. Beginning in 2010 marketers will need to incorporate video, flash and other multimedia options along with static content to engage the consumer - and push ad revenues. When it comes to video, Kingsman and Rubin agree that online video will likely have to move to a subscription model to remain viable.

"Media comes at a cost," they say. "In the television's early days, for example, entire programs were paid for by an advertiser like 'Texaco Star Theater'."

Video isn't the only online platform looking at subscription models. Newspapers are researching subscription models to help their revenue and consumers have indicated a willingness to pay for new, relevant content on the Internet.

Tags: 2010 forecast, advertising forecast, content, Cross MediaWorks, online advertising

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