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How to Budget For Digital Advertising

The Advertising Research Foundation released a study at their ReThink! Conference on March 16, 2016, to help businesses understand how much of their advertising budgets should be invested in digital media.

The ‘How Advertising Works Today’ study, hailed as “the most extensive industry study in more than a quarter century”, spanned 5000 campaigns for 1,000 advertisers in 41 countries.

The study found that a budget with 78% placed on traditional media and 22% on digital worked best for audiences as a whole. For people aged 18-34, the most successful split was only slightly different, 71% to 29%.

In another study released by Cowan and Company, revealed that the 28% of ad budgets going to digital advertising, is distributed relatively evenly between four components: display, social, search, video and other.


The ‘How Advertising Works Today’ study also revealed that the cross platform message must have a common thread to be effective. In other words, their reactive digital campaign must deliver a message that is consistent with their proactive traditional broadcast campaign.

You know that the internet is replacing all things printed; Google has replaced Yellow Pages, online coupons replaced printed coupons, and websites, social media, and YouTube, have replaced company brochures. How would you like to be an encyclopedia or dictionary sales person today? All things printed are being replaced with online resources, making this The Age of Electronic Media.