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The World Wide Web turns 29 on March 12, 2018.  In this relatively short period of time, “going online” has become an integral part of many Americans’ daily lives – at work, at home, and at leisure.  We now have a generation of consumers who never know life without being online, and even older segments of the population have incorporated the Internet into their routines.
From the PC as geek “toy”, desktops, laptops, mobile phones and tablets have evolved into essential tools.  Consumers routinely seek out audio and editorial content online.  Ever-faster connections have led to the rise of online as a primary vehicle for video entertainment – to the point where the computer and mobile devices are now referred to as “second” and “third screens” respectively.
Penetration and Use The Internet grew rapidly since its invention and in more recent years has been accompanied by the rise of mobile connectivity: 55% of adults were on line in 2001 71% were online in 2006 88% of adults used the internet in 2016 98% penetration among those in households with $75K+ incomes 98% penetration among those with college degrees 98% penetration among 18-29 year olds
The vast majority of Americans - 95% - now own a cellphone of some kind. Adult ownership of cell phones has also soared: Cell phone penetration 73% penetration in first survey in 2006 95% in 2018 Smartphone ownership 35% in first survey in 2011 77% in 2018 In 2018, 89% of Adults 18+ use the internet, which accounts for roughly nine-in-ten adults using the internet.
Mobile (smartphone and tablets) comprises 2/3 of all time spent online, vs. Desktop 88% of smartphone users’ monthly media time is through mobile apps; 12% through the mobile web
Smartphone owners by age: A18-29: 94% A30-49: 89% A50-64: 73% A65+: 46% 20% of US adults are smartphone only internet users.
American consumers view digital as essential to their lives. 89% of consumers first looked at their phones within an hour of waking up 89% looked at their phone an hour before going to sleep Adults look at their phones almost 47 times a day 18-24 year olds look at their phones 86 times daily
Mobile media time (non-voice) continues to grow Adults will spend 3 hours, 17 minutes per day on non-voice mobile activities in 2017 — an increase of more than an hour since 2013 Mobile (non-voice) has the greatest share of digital time spent 56% of 5 hours and 53 minutes spent daily with digital
Social media use plays a big part in American lives today 69% of the American public uses some type of social media 73% of internet users use YouTube 68% of internet users use Facebook 35% of internet users use Instagram 24% of internet users use Twitter Social users are highly engaged Most of social users visit sites at least once a day 74% of Facebook users visit the site daily 60% of Instagram users visit the site daily 46% of Twitter users visit the site daily
Penetration of the 5 most popular social media sites among online adults; all grew, 2018 vs. 2012 Facebook – 57% > 68% Instagram – 11% > 35% Pinterest – 13% > 29% LinkedIn – N/A > 35% Twitter – 13% > 24%
Roughly two-thirds of U.S. adults (68%) now report that they are Facebook users, and roughly three-quarters of those users access Facebook on a daily basis. With the exception of those 65 and older, a majority of Americans across a wide range of demographic groups now use Facebook. Social networks appeal to diverse demographics: Facebook popular across a diverse mix Pinterest appeals to females – women nearly twice as likely as men to be users LinkedIn popular among college grads, Internet users in higher-income homes Twitter and Instagram once showed substantial overlap in user bases, and holding particular appeal to certain age groups but that is no longer the case: Instagram - 64% A18-29 vs. Twitter 40% Instagram - 40% A30-49 vs. Twitter 27% Urban dwellers - 42% Instagram vs. 29% Twitter
Advertising As online populations continue to grow and time spent with digital media, marketers are diverting more of their ad budgets to online, with digital advertising becoming the #1 media category.  Mobile up 77% in FY 2016, which now reflects more than half of all digital ad spend Desktop-$38,100 Million Mobile-$49,900 Million Total Search-$88,000 Million
While many digital media users are advertising adverse compared to traditional media users, they are likely to utilize devices and online sources – including advertising – to help plan purchases and compare prices among retailers. A 2017 Choozle survey found that: 53% of respondent reported using an ad blocker Adults 3-44 reported the highest used of an ad blocker 41% claimed to have never clicked on an ad 19% clicked on 1 in every 10 ads 41% rarely trust ads they are shown Reasons why consumers dislike online and mobile ads: Slow down web and mobile page Ad repetition despite user's interests Take up too much space on the page Pop-ups and blocks page Easy to mistakenly click on ad
Total digital advertising revenue continues to grow: First-half 2017 digital ad revenue showed a 23% year-over-year increase $40 billion versus $32.7 billion FH 2016 Digital Video Ad revenue did not see as high a growth Mobile grew to $2.6 billion and Desktop grew to only $2.6 billion Audio was the fastest growing sector Ad-supported audio programming grew 42% to $603 million Revenue continues to grow year over year: Revenues for FY 2017 totaled $88.0 billion, $15.5 billion (21.4%) higher than in FY 2016
For additional information/insights on Digital (Internet/Mobile/Social Media) IAB  (Interactive Advertising Bureau) http://www.iab.net Borrell Associates, Inc. https://www.borrellassociates.com comScore, Inc. http://www.comscore.com eMarketer http://www.emarketer.com Nielsen http://www.nielsen.com Pew Research Internet Project http://www.pewinternet.org  

Cost Efficient:  Inexpensive to buy compared to traditional electronic and print media.
Consumers are attuned to interacting with their mobile device, will do so with advertising delivered on them   Nothing is more personal and connected to modern consumers than their mobile devices
Messaging reaches the consumer immediately and can be delivered at the point of purchase
Connectivity has become a lifestyle for the American consumer,  Increasing availability of quality information, entertainment, audio, and video content keep users coming back for more, expanding opportunities for online advertisers to connect with them at all hours of the day or night. 
Targeted:  Most Web sites are highly appealing to specific demographics, mindsets, consumer interests, etc.  Keyword buys can even more precisely target narrow, specific audiences. Site-based media buys can: Offer ideal environment and timing to generate results Frequently provide ad recall, impact/sales lift indicators not offered by other media Often allow product category exclusivity in exchange for sponsorships Offer synergistic point-of-sale and other promotional tie-ins
Enables geo-targeting of consumers in the vicinity of a business
Can drive consumers directly to a Web site
Engagement:  Consumers are active participants in two-way interaction with both content and advertising online. Users are already online, easily directed to an advertiser’s website.
Flexible and Unique: An advertiser can put up a mass-appeal direct-response ad or a slick, produced video – and, unlike TV, online video ad lengths are flexible and not required to fit into commercial pods.
Video ads increasingly available as smartphone use increases
Can track consumer behavior and purchases
Trackable:  Electronic measurement is very precise.  Advertisers can track which PC was “exposed,” which clicked through an ad, and what else they were exposed to during an online session.  The internet is unique among all media in affording follow-through sales response.  Technology now allows specific ad messages to follow users from site to site.
Mimics TV:  Digital sellers are increasingly offering daypart, day-of-week, cost-per-click and GRP-based advertising models, beyond direct response tonnage buys of early days.  Additionally, TV-style commercial advertising units are increasingly available, extending exposure and awareness of creative.  CPM modules and Reach/Frequency data is extending into the marketplace.
Bigger screens on phones provide more ad space
Speedier operating systems improve the ad environment
Mobile Advantages Messaging reaches the consumer immediately and can be delivered at the point of purchase Consumers are attuned to interacting with their mobile device, will do so with advertising delivered on them   Nothing is more personal and connected to modern consumers than their mobile devices Enables geo-targeting of consumers in the vicinity of a business Can drive consumers directly to a Web site Video ads increasingly available as smartphone use increases Can track consumer behavior and purchases Bigger screens on phones provide more ad space Speedier operating systems improve the ad environment

Lack of Reach:  Internet use among the U.S. population is still limited as only 9 in 10 adults use the internet. Therefore a segment of the population will not be reached by internet/mobile/or socials media ads. 
As the adoption of traditional broadband service has slowed in recent years, a growing share of Americans now use smartphones as their primary means of online access at home. Today one-in-five American adults are “smartphone-only” internet users – meaning they own a smartphone, but do not have traditional home broadband service. Reliance on smartphones for online access is especially common among younger adults, non-whites and lower-income Americans. In 2018 about 20% of US adults who do not use broadband at home own smartphones.
Advertising is regarded as intrusive by consumers
Fragmented Audience:  The numerous TV channels available and large number of radio stations available to consumers in any given market are miniscule compared to the number of sites available to online audiences.
Buying Challenges: Selling practices vary widely, including scheduling patterns, post-buy analysis Budgeting:  Must determine whether online placement is an advertisement or a promotional budget item. Cost:  CPMs are relatively high for ads that are intrusive or highly-targeted. Special creative may be required to maximize impact
Size of ads and length of messages is still limited by size of screen, bandwidth
Accidental click-thru by the consumer will increase the cost of the ad to the marketer but don’t expose the consumer to the message
Exposure:  Consumer connection with content and placement varies widely from site to site.
Measurement and Accountability:  Research across the industry is still nascent and many sites and services employ unconventional and/or unreliable metrics to define audience and impact.  Additionally, while it’s a given that online ads have the ability to motivate consumers, proving efficiency remains elusive.  Concern has grown across the industry in recent years regarding fraudulent measurement and reporting of consumer exposures to advertising.
Privacy laws and restrictions put some limitations on natural tracking capabilities
Environment:  Clutter is a major problem for online advertisers.  Sites offer too many units, with little consistency or standards across all sites.  Cluttered pages may annoy online users, and many ads are not seen at all.
Advertising Aversion:  Online ads such as pop-ups, banners are viewed by many consumers as too intrusive.  Blockers and other forms of avoidance are a problem for advertisers. 
Fraud:  With measurement minimal or lacking altogether, the digital industry must confront controversy regarding criminal activity surrounding ads, and whether actual consumers or “bots” have actually accessed ads online.
Do Not Track Law:  It is illegal for advertisers, retailers, etc., to track consumers’ movements across the Internet. 
Privacy issues:  In addition to the legality of the practice, consumers are not receptive to online advertisers, retailers, etc., tracking them.  Many find ads following them across sites to be “creepy” or offensive, even “evil.”
Mobile Disadvantages Mobile devices (phones, tablets) haven’t attained yet 100% penetration among the U.S. population Advertising is regarded as intrusive by consumers Size of ads and length of messages is still limited by size of screen, bandwidth Accidental click-thru by the consumer will increase the cost of the ad to the marketer but don’t expose the consumer to the message Privacy laws and restrictions put some limitations on natural tracking capabilities

Immediacy:  Advertising messages on both radio and the Internet reach consumers immediately.  Radio ads reach many listeners at a single time, while online ads present themselves when the user decides to log on to the ‘Net.  Exposure to advertising on both is complementary and will reach consumers at times when they might not have access to one medium or the other.
Increase Reach:  With a variety of formats in every market and national networks also delivering programming directed to specific demographic or interest groups, Radio allows advertisers to zero in on large numbers of consumers in the age demographics and socio-economic characteristics they need to reach to successfully market their products and services. While Web sites also deliver niche markets, many are small and users are not all on the site at the same time.  Radio supplements the somewhat narrower reach of most Web sites, resulting in effective exposure across platforms.
Timing:  Radio spots air at certain specified times designated by the advertiser.  Digital advertising’s timing is more random, reaching the consumer at whatever point they log on to devices.  Each has the capability to remind consumers of the other and reinforce messaging impact.
Cut through the clutter:  Radio has done an effective job of cutting down on commercial spot loads in recent years, whereas the burgeoning popularity of the Internet among marketers has created a cluttered environment online.  A campaign on radio will showcase the advertiser’s message and can direct listeners to a site.
Build Trust:  Radio represents a trusted source for information and entertainment among consumers; many Americans continue to exercise caution in using the Internet and believing what they read or hear online.  Radio adds credibility to an Internet-radio campaign mix.
Enhance Recall:  When radio is combined with Internet advertising, it can increase brand recall and help drive awareness.
Drive Consumers to Web Sites:  Based upon an analysis of over 2,100 local radio ads across 6 different categories: Radio generated an average 29% lift in Google search activity. Search as a result of radio advertising is greater on weekdays versus weekends. Radio driven search is higher during midday hours. Quality of radio creative has a direct impact on increased search behavior.
For more information on radio: Glossary:  http://www.rab.com/public/reports/buysellterms.pdf FAQs:  http://www.rab.com/whyradio/faq.cfm Statistics and Trends:  http://www.rab.com/whyradio/


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