Advertisers are "failing to harness internet"

Many advertisers are recognise the power of the internet as a marketing tool but fail to harness its power effectively, according to a study into online advertising by Group M reports Media & Marketing Europe.

The study, called Interaction, includes consumer and advertiser internet data from 28 countries, and argues that when it comes to online advertising, it is just as important for marketers to consider the benefits as well as the costs.

According to the research, internet advertising typically grows at six times the rate of traditional media. In western Europe the internet is the principal source of measured-media growth, and in North America it runs a close second to TV. Were it not for the explosive growth of the USA’s Hispanic TV, it would be first.

The study highlights four key areas that marketers need to utilize with internet advertising: reach, engagement, reputation and transaction. As traditional media declines, brands must use the internet to add reach to their campaigns. As consumers want to interact with brands, so internet campaigns should maintain brand consistency, but with "sufficient personalization to help the consumer engage with the brand or message on his or her terms". Furthermore, brands should monitor their reputation via the internet in a time when consumers make quick judgements. Finally brands must ensure that consumers can transact online.