Dotcom fallout hits marketing budgets, IPA monitor reports

The shake-out among dotcom companies is slowing the growth in marketing budgets, according to new research commissioned by the IPA.

The shake-out among dotcom companies is slowing the growth in

marketing budgets, according to new research commissioned by the

IPA.



But prospects remain buoyant with four out of ten companies setting new

budgets reporting an increased marketing spend - almost twice the number

that reported a decline.



The findings come in the first edition of the Bellwether Report, a

quarterly monitor carried out by NTC Research among almost 300 UK-based

companies to identify trends in communications budgets.



The survey includes above- and below-the-line budgets as well as

spending on new media. It is part of an initiative by Rupert Howell, the

IPA president, to promote advertising’s importance in the competitive

economy.



Direct marketing accounted for the largest increase in spend, the report

finds. Media adspends have risen too compared with last year, although

the rise was the least significant within the total marketing spend.



Nick Phillips, the IPA’s director-general, said that the slowdown was

because of the rationalisation going on among the dotcoms.



’The frenetic advertising activity that was happening six months ago has

slowed and there is a big shake-down happening,’ he commented.



Topics