A lack of experienced staff is threatening to hold back digital marketing in the UK despite the fact that more than two-thirds of brand owners are planning to invest heavily in online channels and technology this year.
That is the main finding of a new study published by Econsultancy in partnership with Experian Marketing Services, which reveals a continued shift of focus to online
channels.
Some 68% of companies will increase their digital budgets for 2012 but only 16% aim to invest more in traditional channels.
The Marketing Budgets 2012 Report, now in its third year, looks at relative levels of planned spending this year across a range of marketing channels, comparing online and offline budgets while also looking at planned investment in different types of marketing technology.
Of those companies increasing their digital marketing budgets, 79% will increase them by more than 10%. Meanwhile, three-quarters (74%) of companies are increasing their investment in digital marketing technology this year, up from 67% in 2011.
In addition, more than half (56%) of companies are planning to recruit more people into their digital marketing teams in 2012, up from 52% in 2011.
However, while companies are recruiting for digital, lack of staff to make the most of any digital investment is the joint second most widely cited barrier (after company culture) preventing companies from investing more money in digital marketing. It has increased significantly as a problem in the last 12 months, from 23% in 2011 to 34% this year.
Econsultancy research director Linus Gregoriadis said: “At a time when the importance of the digital economy is so well documented, companies are demonstrating their commitment to online marketing channels and the technology required to make their campaigns as effective as possible.
“The majority are increasing investment in both established digital channels, such as email and paid search, as well as fast growing areas such as social media and mobile marketing.”
He added: “With many companies being forced to tighten their belts due to uncertain economic conditions, it is also encouraging to see so many organisations expanding their digital teams to harness the opportunities to engage and sell to consumers in a fast changing digital environment.”
The research is based on a survey of more than 500 marketers carried out by Econsultancy in December 2011 and January 2012.
“While spend is increasing, it is little surprise that much of the dynamic growth has been in companies trying to understand, interpret and measure customer behaviour within this increasingly complex marketing ecosystem,” said Mark Zablan, managing director of Experian Marketing Services, UK & Ireland.
“The key to success is turning huge quantities of data into insights which show behaviour not only across channels, devices and platforms, but which also span both the online and offline worlds and drive customer engagement.
“Marketers are therefore investing in the tools, technology and people to allow them to deliver greater returns on their campaigns and present insight and results back to the business in a meaningful and incisive way.”
