The Fournaise Marketing Group, a specialist in customer acquisition through marketing ROI, has been measuring advertising campaigns across large, SME and agency clients across all media in 20 countries worldwide. The results show a 19% drop in customer response and engagement in the first half of 2011 compared to the first half of 2010.
The drop fell most in mature markets like the USA, Europe and Australia (23%), but China and Southeast Asia were not spared. This region showed a drop of 16% in customer engagement with advertising.
Fournaise offers three reasons for the drop:
(1) Consumers and businesses are becoming more prudent in these tough economic times.
(2) The relevance of the campaigns themselves made them less effective.
(3) Marketers and agencies spent too much time on building awareness through “creativity” and neglected customer benefits and needs.