2014 Marketing Agency Outlook
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Most marketing agencies (69%) expect business opportunities to increase in 2014, according to a recent report by RSW/US.
That's up from the 60% that expected increased opportunities in 2013, and nearly at the same level as the 72% that said so in 2012.
Agency optimism is confirmed by the plans of clients: 75% anticipate 2014 will be an investment year for their companies, and 50% expect to increase "somewhat" or "significantly" their marketing spends in 2014 (compared with last year's much lower 38%).
Below, additional key findings from the report, which was based on data from a survey of 150 US-based senior level marketers and 170 marketing agency executives.
Types of Spend
- 74% of marketers surveyed expect to see "somewhat" or "significantly" higher spends on digital marketing/media in 2014.
- 61% expect to see an increase on social media spending.
- Only 28% expect to increase their traditional media budgets.
Competition
- 79% of agencies say finding new business will get much more competitive in 2014.
- 86% of agencies plan to be more aggressive in how they handle their new business efforts.
- 63% say clients are increasing competition by involving more agencies in searches than in years prior.
- 43% of marketers say it's true that they are increasingly considering more agencies for their business.
Political Outlook
- Only 36% of marketers say political inertia in Washington will affect their activities—compared with 44% who said so in 2013.
- Agencies are even more optimistic: Only 34% say political inertia in Washington will affect their activities—compared with 52% who said so in 2013.
About the research: The report was based on data from a survey conducted in December 2013 of 150 US-based senior level marketers and 170 marketing agency executives.
These are good indicators that economic recovery is progressing and very positive indicators for our marketing intelligence business. Our research has always shown that clients want to more accurately tie marketing activities to future revenue for a number of reasons. The fact that 63% of clients plan to involve more agencies in their search may indicate that they are looking for marketing to show more accountability to shareholder value.
What are your thoughts? @kinginnovative
Bill King
President/CEO, King Innovative