Digital Marketing Budgets on the Rise, With a Focus on Mobile
A Gartner report reveals that 81 percent of organizations were found to have a chief marketing technologist in 2013, up from 70 percent in 2012.Businesses on average spent 10.7 percent of their annual 2013 revenue on overall marketing activities, with digital marketing spending averaging 3.1 percent of revenue, according to a report from IT research firm Gartner. The findings, included in Gartner's Digital Marketing Spending report based on a survey of 285 individuals located in the United States, but answering mainly for their entire organization (only 21 percent reported U.S.-only data), projected digital marketing budgets would rise by 10 percent in 2014, following a double-digit percentage increase in 2013 The report also revealed 81 percent of organizations were found to have a chief marketing technologist in 2013, up from 70 percent in 2012. A further survey finding was that 77 percent of companies have a chief customer officer (CCO) or the equivalent. "Until now, many marketers have taken a cautious approach to mobile because it involves so many variables such as different operating systems, devices and carriers," Michael McGuire, research vice president at Gartner, said in a statement. "Now that more than 50 percent of American adults are smartphone owners, marketers are compelled to develop mobile strategies that ensure their products and services can be found, and purchased, by consumers on-the-go."
Eleven percent of respondents said they spent more than half of their marketing budgets on digital activities in 2013 compared with only 3 percent in 2012. Digital marketing represented an average of 28.5 percent of the total marketing budget in 2013, as compared with 25.5 percent in 2012.