NIELSEN: CONSUMER GOODS INCREASE ONLINE SPEND

Consumers goods advertisers are pushing more dollars online. According to new research from The Nielsen Company over the past two years consumer goods marketers have increased their online spend by more than 50% to reach just over $156 million. However, without other sectors increasing their spend, online advertising could begin to suffer.

 

Sectors such as direct response marketing have not pushed as much of their spending online according to the report.

 

"While direct response advertising has been very successful on the Internet, with categories like finance and travel devoting a significant portion of their budget to online advertising, on-line advertising will not continue to grow as rapidly without major brands beginning to devote larger portions of their ad budgets to the Web. We are seeing some of that happen now with Consumer Packaged Goods companies, which are growing their budgets despite a down economy," said David Wiesenfeld, vice president, online marketing solutions, Nielsen.

 

Where are consumer goods marketers placing most of their budgets? With entertainment sites. Researchers found that YouTube is getting the bulk of CPG ad dollars followed by AOL and Oprah.com. Products such as pre-packaged tea, refrigerated pineapple juice, frozen cookies or cookie dough and canned goods make up most of the products going online as marketers try to capture moms and kids surfing the Web.