A new survey identifies results about small and medium business advertising behavior, spending and preferences. According to the results released by Internet-based advertising agency Spot Runner, businesses that use TV advertising said they allocate almost one-third of their budget to it — three times more than any other type of advertising. Furthermore, more than 60 percent who use TV advertising have increased their spending on it over the last two years.
- Where SMBs Advertise Today: More than 60 percent of small and medium businesses advertise locally in the Yellow Pages and on their company websites, while 40 percent use direct mail.
- Yellow Pages Advertising: While the average small and medium business spends nearly one quarter of their advertising budget on Yellow Pages, it is one of the first advertising vehicles they decrease to try new mediums.
- TV Ad Budgets: If they were to purchase TV advertising, almost 30percent would allocate new advertising dollars while the rest would pull from existing advertising mediums in the following order: daily newspapers, Yellow Pages and weekly newspapers. According to data from the Kelsey Group and TNS Media Intelligence, the market for local advertising totals close to $100 billion.
- Internet Advertising: While many small businesses believe online advertising is "effective," 69 percent recognize there are customers they simply "cannot effectively reach through the Internet."
- Using the Internet to Conduct Business Operations: Small and medium businesses are increasingly comfortable using the Internet to conduct business. Of those surveyed, 78 percent make business purchases online, 72 percent track packages, 64 percent book travel and 52 percent email customers. Nearly half take customer orders and pay bills online.
"The survey findings clearly illustrate two important trends happening within the small and medium business market. The first is there is strong pent-up demand for affordable local TV advertising. The second is they are using the Internet to improve the way they operate, save money and streamline business tasks," said Seth Cohen, vice president of research at Spot Runner.
What do you think? If you had the marketing dollars to spend on TV advertising would you do it? Leave me a comment.