Social Beat releases the Digital Marketing Industry Report 2016

  • Vikas Chawla
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  • Published Date : 19 July , 2016
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  • Updated Date : 24 May , 2021
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    • 3 min read

Highlights from the Social Beat Digital Marketing Industry Report 2016:

  • Brand Awareness & Lead Generation are the primary goals for most brands
  • Measuring ROI from digital marketing is the biggest challenged faced
  • 87% brands leverage digital & 38% of them allocate 1/3rd budget to digital marketing
  • Facebook & Google are still the most popular digital marketing channels

Bangalore, 18th Jul 2016: The Digital Marketing Industry Report 2016 was released by Social Beat, one of South India’s leading digital marketing agencies. The report is based on a survey conducted in May-June 2016. A total of 376 CMOs and Marketing Heads across India participated in the survey. The companies that participated in the study were from various sectors and verticals including e-Commerce, FMCG, Media/Entertainment, Healthcare, Education, Real Estate, and Travel.

Speaking on the report, Social Beat Co-Founder Vikas Chawla said “The report highlights the rise of digital marketing, though brands continue to use television and print mediums to have a 360-degree approach. It was encouraging to see that 87% of the brands surveyed leverage digital marketing. While brand awareness and lead generation/sales seem to be the primary goals set by the CMOs, digital marketing is increasingly being leveraged for Customer Engagement (46%) and customer service (35%) too.”

The responses from the survey indicate that digital marketing spends are about one-third of the total marketing spends. The results here are considerably different from the IAMAI – IMRB International Report which pegs the digital spends at 12% of the total marketing spends.

Speaking about the survey, Suneil Chawla, Co-Founder of Social Beat, said “Around 10% brands surveyed spend more than Rs. 1 crore annually on digital marketing while around 50% brands spend more than Rs. 6 Lakhs annually. Overall, 20% brands plan to increase their digital marketing spends by 25% in the next financial year. This is important in the context of growing internet and digital penetration in India – brands understand that digital is the way forward. With an expected 500 million internet users in India by 2017, brands understand the massive opportunity to reach out to their consumers.”

David Appasamy, who has recently joined Social Beat as Head of Brand & Strategy, added “The survey reflects the growing acceptance of digital platforms as an excellent means of engaging meaningfully with consumers, generating leads and increasing sales. It was particularly interesting to see that the digital marketing channels are already contributing to more than 30% sales for at least 40% of the brands surveyed.”

Tracking Return on Investment (ROI) is the biggest challenge being faced by brands, closely followed by content creation, quality lead generation and attracting talent. Currently, CMOs are using Sales / Leads, Engagement, Brand Reach and Mentions as the metrics to track the effectiveness of their campaigns.

Most of the respondents said they focus on Social Media Marketing, Search Engine Optimization, Content Marketing and Emailers for marketing their brand online. Not surprisingly, Facebook (89%) and Google (78%) have emerged as the most popular platforms followed by Twitter (56%) and LinkedIn (51%). Penetration of smartphones, faster internet connectivity and interesting video content have resulted in 51% brands targeting YouTube for marketing their brand. It would be interesting to track the growth of newer channels like Instagram and Snapchat in India for brand marketing in the near future.

Vikas added, “Most of CMOs that took the survey felt that they there is a lot of scope for improvement in quality lead generation, result tracking and creative campaigns. This presents a massive opportunity to digital marketers to fill the gap and help leverage the digital medium more effectively for brands”.

You may also find it interesting to read our book on Digital Marketing Insights for 2017, which can be purchased on Amazon.

Media Coverage for the Report

Economic Times Brand Equity: 38% brands allocate a third of their budget to digital marketing: Report

Business Standard: 87% brands prefer digital marketing: Report

Exchange4Media: 87% brands leverage digital; Facebook & Google platforms most preferred: Social Beat Report

Economic Times: 87 per cent brands prefer digital marketing: Report

The full report and infographic can be seen below:

Digital Marketing Industry Report India - 2016




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Vimal Kutappa2016-08-08 < Reply

This is a fantastic report. Thanks for sharing.

Prashant2016-07-22 < Reply

Amazing stats. Nice work Social Beat.

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