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Industry breakdown: changes in advertising investment

Posted: Sat Feb 01, 2025 4:29 am
by rochon.a1.119
When we look at the industry breakdown, we can spot a similar pattern to the above:

Advertising Spending - Breakdown by Industry

The only industry that has continued and even increased its advertising spending is beauty and fitness.

This is not surprising considering that this industry is already under a high level of stress to compete with its online rivals, even in the pre-COVID-19 era.

Therefore, it seems to be the most suitable to quickly adapt to the changing environment and find growth opportunities.

In addition, many beauty and fitness companies are confidently expecting a high flow of customers in the short term once the state of emergency lockdown ends.

During this period, they have been offering discounts, selling gift vouchers and offering places on their waiting lists, which, as expected, have started to fill up as soon as the restriction measures have begun to ease.

Impact of ad inclusion
Now mainstream audiences are turning to digital news, gaming and streaming.

YouTube in Italy, for example, has seen a 49.04% increase in traffic according to SEMrush Traffic Analytics data , while Google’s total net revenue for 2020 is projected to decline by US$28.6 billion.

Note: With low consumer confidence and lower purchasing power, brands are still considering investing in online advertising.

With the decline in advertising spending, advertising costs ukraine mobile database have also mostly declined.

In the midst of the crisis lies an opportunity
As we can see in the SEMrush CPC Map, most industries continue to maintain a lower average CPC compared to what they had in December of last year.

Still, at this moment, you can attract more users for each euro invested than in the pre-COVID-19 period.

The only exceptions, if we compare taking December 2019 and April 2020 as a reference, are the beauty, electronics, dealerships and online education industries.

Advertising Spending - Average CPC by Category

COVID-19: To spend or not to spend?
Only you know the best approach to advertising investment within your marketing efforts.

But, in a nutshell, it's a choice between reaching more users per dollar or saving money for better times to come.

When making your marketing and advertising decisions, consider both short- and long-term market outlooks:

The shift from offline to online (even in advertising) is likely to continue. People’s online habits have changed and expanded, so you better start or increase your “digital” efforts today to ensure you’re not the last human stuck in the small offline space.

Some brands are also inherently increasing digital ad spend to compensate for the leads they would normally attract at events. According to SEMrush Traffic Analytics , Lidl, Playstation, Udemy, and Orange are some of the brands that significantly increased their paid traffic in April 2020 versus February 2020.