Study points higher returns to advertisers from traditional media

A shift is underway in ad spending towards traditional mediums, such as newspaper, radio, TV and events. This was highlighted in a piece titled, Why marketers are returning to traditional advertising, published in the prestigious Harvard Business Review on 29 April.

08 Jun 2022 | By Rahul Kumar

Advertisers are beginning to pivot to traditional mediums as they believe it provides higher return on their investment

While pundits have long predicted the demise of traditional advertising, the article argues that it is alive and well and headed for growth for the first time in a decade. The authors explain seven factors driving this trend, including the ability of traditional ads to break through digital clutter, the decline in third-party cookies, and more. 

The study also points to the fact that advertisers are beginning to pivot to traditional mediums as they believe it provides higher return on their investment. 

According to the study, traditional ads are experiencing increased engagement, with the consumer-facing companies leading the shift, with B2C service companies predicting the largest increase in traditional advertising spending (+10.2%), followed by B2C product companies (+4.9%). Companies that earn 100% of their sales through the internet are leading this inflection.

It is also found that the top five most trusted advertising formats are all traditional, with customers trusting most print advertising (82%) and as a result, marketers can use traditional advertising to build brand credibility and trust with jaded buyers.

Commenting on this, Girish Agarwal, promoter director, DB Corp, said, “The Dainik Bhaskar Group has always maintained that print media holds the highest trust amongst its readers as a result of higher editorial integrity. The advent of fake news has also taken a toll on the trustworthiness of some of these digital media and as a result advertisers were unable to establish a strong connection with their target audience. The HBR article validates a trend that we had begun witnessing a couple of quarters ago where even new-age businesses were looking at print media in general and Dainik Bhaskar in particular, for their ad campaigns. Importantly, it validates what we have always believed in — keeping the readers at the centre of all our efforts.”

Read the Harvard Business Review article here.