Nobody is putting enough marketing chips into digital. The world’s corporates are still putting the majority of their budgets into traditional channels, which are massively overpriced. The majority of world’s biggest CPG brands are losing market share.
Big brands are marketing like it’s 1995 and they’re losing. The market is always right.
Consumers aren’t looking at newspapers, magazines, TV. Facebook, YouTube, Instagram, Twitter; this is where the attention and value currently is. Smartphones are now real-life and real-life is secondary.
Under pressure to attract a new, younger, generation of shoppers, Marks and Spencer (M&S) has funneled more media budget into Instagram, where it’s been experimenting with Shopping and IGTV:
Amazon became Amazon (market value over $1 trillion) because it went all in on AdWords when AdWords was the fresh, under-priced channel. Wish became a $10 billion retailer in 7 years by putting 98% of its chips into Facebook and Instagram. Everyone else is playing catch-up. Many aren’t even sat at the table.
How long will the opportunity last? Who knows, but when channels are underpriced, you go all in.