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Marketers and consumers conflicted on what is effective, study claims

Marketers are putting their money in the wrong channels by over-emphasising the importance of digital channels, a report by Australia Post and trade body ADMA looking into how people want to hear from brands has suggested.

The independent study, commissioned by Australia Post in conjunction with the Association for Data-driven Marketing and Advertising (ADMA), has found all the demographics surveyed believe traditional channels of catalogues and flyers, TV, press, radio and direct mail are more effective than digital channels, such as social media marketing.

Independent research organisation QOR conducted the study surveying a sample of 9,641 Australians nationally.

Q: How effective at influencing you, when considering products and services, do you find the following forms of advertising?

Q: How effective at influencing you, when considering products and services, do you find the following forms of advertising?

When considering how effective they perceive marketing to be, those surveyed ranked social media advertising, online display ads and telemarketing lower than the more traditional channels of TV, print and radio.

While more than half (62 per cent) of the respondents to the survey ranked catalogues as the most effective form of marketing. The channel saw a drop of four per cent drop in spend according to data from the Annual Catalogue Industry Report 2012/2013.

Personalised direct mail and press advertising also saw a decline last year.

ADMA CEO Jodie Sangster said: “The ‘one size fits all’ approach is the wrong way to tackle consumer-centric marketing. This survey shows marketing is out of synch with customer’s preferred channel choices. This challenges Australian marketers to think differently about the channels they use and how they allocate their budget.”

Government  advertising spending

Government
advertising spending

When it comes to marketing political messages media spend is also out of whack with what consumers consider most effective, according to the report.

Half of those surveyed (51 per cent) said personalised direct mail was the most effective and 45 per cent ranked websites second, with only 38 per cent naming TV. However the federal government between July 1, 2012 and June 30, 2013 spent $87.2 million on TV advertising and $27 million on online marketing.

The study also identified the most useful channels for different product categories as named by consumers, with catalogues and flyers topping the list for fashion and supermarket brands while TV, online and direct mail are best for banks, telecommunications and utilities.

While media spend may be off the mark, the report did reveal that more than half (62 per cent) of Australians are receptive towards advertising, with 17 per cent of those describing themselves as “ad junkies”.

Just 15 per cent of those surveyed said they feel negative towards advertising, while 23 per cent described themselves as passive.

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