{"id":4290,"date":"2021-11-07T19:20:53","date_gmt":"2021-11-07T19:20:53","guid":{"rendered":"https:\/\/www.britopian.com\/?p=4290"},"modified":"2023-09-13T02:15:53","modified_gmt":"2023-09-13T02:15:53","slug":"digital-marketing-budget-breakdown","status":"publish","type":"post","link":"https:\/\/www.britopian.com\/data\/digital-marketing-budget-breakdown\/","title":{"rendered":"2022 Digital Marketing Budgets Increasing: According to Gartner CMO Survey"},"content":{"rendered":"
See 2021 Digital Marketing Budgets<\/a> below. <\/p>\n\n\n\n Nothing brings me joy more than reading about marketing budgets increasing for the following year. I just finished reading Gartner’s<\/a> State of Marketing Budget & Strategy 2022 and wanted to share some quick thoughts and insights.<\/p>\n\n\n\n I love reading Gartner’s reports because they identify key marketing challenges based on client interviews and primary research. It provides excellent context and a frame of reference before reading into the data. <\/p>\n\n\n\n Here’s a summary of what they see as marketing challenges:<\/strong><\/p>\n\n\n\n Since 2018, marketing budgets as a mean percentage of company revenue was 11%. In 2020, that percentage dropped 6.4% during the pandemic and was back up to 9.5%.<\/p>\n\n\n\n According to Gartner, the average marketing spending has increased across all industries, with a few exceptions:<\/p>\n\n\n\n What’s interesting about this data is when you overlay it with other research. While scanning the Deloitte CMO Survey<\/a>, one data point caught my eye. When CMOs were asked if they were more or less optimistic about the US economy, 39% reported being less optimistic. Even though optimism is down among CMOs, marketing budgets are still increasing. This is good news. <\/p>\n\n\n\n When the Chief Marketing Officer<\/a> was asked about their marketing budgets focused on online versus offline channels, 56% said digital was the priority<\/strong>. However, offline marketing channels account for 46% of the budget, which seems to be a more equal split than in recent years.<\/p>\n\n\n\n Evidence for this shift can be seen in YouTube’s reported revenue, which missed market expectations in Q1 of 2022. This recalibration reflects the essential truth of what Gartner calls “hybrid multichannel marketing,” which is a different way of saying omnichannel marketing<\/a>.<\/p>\n\n\n\n Paid Social & Search Marketing (PPC) Are Digital Marketing Budget Priorities<\/strong><\/p>\n\n\n\n According to Gartner, marketing budgets across PESO channels<\/a> skew towards paid digital media and account for over 60% of the total budget.<\/p>\n\n\n\n Looking at the average spend across various verticals, paid social leads<\/a>, followed by paid search and display advertising.<\/p>\n\n\n\n Paid social appears to be a smart preference for marketers in 2022, as platforms like TikTok grow and legacy brands like Facebook, now Meta (Did I say that Facebook is a legacy brand?), see their user numbers increase. In addition, paid social allows brands to target various audiences with highly customized creative and marketing messages.<\/p>\n\n\n\n\n
Digital Marketing Budgets Increasing<\/strong><\/h3>\n\n\n\n
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CMOs Shifting from Digital-First as the Buyer Journey Shifts<\/strong><\/h3>\n\n\n\n