SMB Ad Spending Stays Strong: Report - InformationWeek

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8/20/2008
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SMB Ad Spending Stays Strong: Report

Online Media Daily

Despite the economic climate, 81 percent of SMBs say they will spend as much as or more on advertising in the coming year, according to a new report.The Local Commerce Monitor, an annual study of SMBs' advertising plans from the Kelsey Group, found 47 percent of the 300 SMBs surveyed expect to maintain their spending on advertising during the next 12 months, while 34 percent say they'll increase their spending; 9 percent said they plan to decrease ad spending. Respondents also plan to spend a little more than 28 percent of their entire ad budget online in the next year -- up 3 percent from what they spent in the previous 12 months.

Contributing to that increase is better campaign performance and ROI data, cited by nearly one-third of SMBs. With paid search, specifically, 27 percent of respondents who had purchased search ads in the past 12 months say the ROI was either "extraordinary" (more than 20 times their spending) or "excellent" (between 10 to 20 times their spending).

In addition, 30 percent of surveyed SMBS say they will add links or place ads on social sites or blogs in the next 12 months.Online Media Daily

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