Executive Summary

As the dark clouds of the economy envelope the marketing world, many wonder if digital marketing may be a ray of sunshine in the gloom. To find out, the Society of Digital Agencies conducted a broad survey of traditional and digital agencies as well as brands, digital vendors and even freelance digital experts.

The news clearly shows that the digital marketing industry is strong and growing with over 81% of survey respondents planning to invest the same or more into digital marketing this year despite the economic downturn. Agencies and brands alike see an increase in the overall dollars spent on digital in 2009, although at a slower growth rate than before. With investments in other media decreasing across the board, this means that digital marketing is gaining a significant share of the pie at the expense of traditional media.

Both traditional and digital agencies believe that there will be the same or more digital marketing work in 2009 than in years past. Most brands see the same or greater digital spending, and follow up interviews reveal that while digital marketing budgets are by and large intact so far, brand decision makers are very cautious.

Brands are not only being cautious about spending, many are also reducing their digital work forces.  However traditional and digital agencies are at the same time hiring digital staffers, indicating a move by brands to outsource more digital work.

When asked what the focus for their digital spending would be in 2009 both brands and agencies cited digital infrastructure, such as websites, as one of their top digital priorities. This indicates the recognition of the influence that a brand’s digital ecosystem will increasingly have on their customers and prospects.
 
On balance the evidence suggests that despite the drastic effects of the crisis on marketing in general, the digital arena is suffering less. At SoDA we believe this is because of the growing importance, accountability, and effectiveness of digital marketing, and this survey reflects the digital industry’s confidence in its ability to weather the storm.

About the 2009 DMO

The information presented in this document comes primarily from our online survey as well as select interviews, other research sources and industry expert opinions.  All data was gathered in the first quarter of 2009.

About SoDA

The Society of Digital Agencies (SoDA) is the worldwide voice of digital marketing professionals with a mission to advance the industry through best practices, education, and advocacy.

For more information or to get in touch with us, please visit our website at www.SoDAspeaks.com.  Add your input to the DMO survey by visiting www.SoDAspeaks.com/survey

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