Skip to main content

The Consumer Advertising Backlash

According to Forrester Research, Consumers' trust in traditional forms of advertising is waning. In 2004, less than 50 percent of consumers trusted TV and radio ads, and only slightly more trusted print ads. What's more, consumers increasingly say they're bombarded with too many irrelevant ads. These negative attitudes toward traditional marketing have led consumers to take measures to block direct mailers, telemarketers, and TV advertisers from their homes in an accelerating consumer ad backlash.

Consumers' impatience with ad clutter on their TVs, PCs, telephones, and inboxes accelerated between 2002 and 2004, spurring behaviors that block these annoyances. Women and young adults remain slightly more open to ads, especially entertaining ads or ones for new products. If ad-blocking behaviors slash media companies' ad revenues, will consumers make up the difference out of their own pocket? No. The amount consumers are willing to pay for ad-free TV amounts to only one-tenth of TV ad revenues.

Social or viral marketing -- with its minimal obtrusiveness and trustworthy sources (often other consumers) -- avoids most of the anti-ad reactions that fuel the backlash. By engaging consumers in a dialogue about their products or encouraging consumer-to-consumer dialogue, marketers inevitably lose some control over the message of their campaigns. But what marketers may lose in control, they gain in audience attention, velocity of communication, and much-needed trust from loyal consumers.

Popular posts from this blog

Growing Venture Capital in APAC AI Market

Technology is a compelling catalyst for economic growth across the globe.  Artificial intelligence (AI) rides a seismic wave of transformation in the Asia-Pacific (APAC) region — a market bolstered by bold government initiatives, swelling pools of capital, and vibrant tech ambition. The latest IDC analysis sheds light on this dynamic market. Despite a contraction in deal volumes through 2024, total AI venture funding surged to an impressive $15.4 billion — a signal of the region’s resilience and the maturation of its digital-native businesses (DNBs). Asia-Pacific AI Market Development The APAC AI sector’s funding story is not just about headline numbers but also about how and where investments are shifting. Even as the number of deals slowed, the aggregate value of investments climbed, reflecting a preference among investors for fewer but larger, high-potential bets on mature or highly scalable AI enterprises. The information technology sector led the AI investment charge. Top area...