WPP’s Revenue Slump Signifies the Death of Traditional Advertising

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To say that traditional advertising may be on its deathbed is an understatement. This can be seen in the wake of a significant slowdown by global adverting giants. Mega consumer goods companies like Unilever and P&G have significantly cut their advertising dollars this year. Many experts say that this is not just a trend. It could signify a move to tap into better ways of reaching their target audience. These repercussions have been felt by the world’s leading advertising holding company, WPP. With plummeting revenues and stock prices across their various holding agencies, this seemingly spells doom for traditional advertising.

According to the Wall Street Journal, there are many elements of traditional advertising approaches that have led to increasingly disappointing results by major advertisers. Some of these include the quality of digital marketing, fraud control, and a lack of transparency. These issues in some instances have raised questions of integrity and trust. Companies are no longer settling for lip service. Instead, they are insisting upon seeing actual metrics to prove how various campaigns are working. With billions of dollars having been poured into digital marketing, companies expect nothing less regarding market impact.

Brands such as Proctor and Gamble, after cutting millions of dollars in ad spending, have shifted to new cutting-edge advertising methods. A good example is their head-turning campaign to promote their Always product. In this campaign, they empower young women to rise from past experiences to build more confidence. So, whether online or offline, interrupting and intruding advertising methods no longer work as effectively.

The solution appears to lie in modern advertising approaches that actually consider the needs of consumers. Gone are the days when rude intrusive ads gain any significant attention. In fact, today’s consumer is turned off by overly promotional content on any platform. Indeed, the need to go back to the drawing board is evident. The secret sauce entails creating content that can inform, inspire, entertain, and provide tangible solutions. Advertisers and marketers have to create campaigns that are full of impact and are non-intrusive. When consumers are properly engaged, they will invest both time and money in a brand.

At ASTRALCOM, we have experience in creating targeted campaigns that compel your audience to engage with your brand. Our methods have helped many of our clients to experience substantial increases in traffic and conversions. To begin your journey toward increased customer engagement, or to get answers to any questions you may have, contact us today.


Richard Bergér is the VP of E-Business for ASTRALCOM, an integrated media services company located near Los Angeles, California. Richard draws on his military and psychology backgrounds to create pervasive content strategies, motivating conversion tactics and targeted audience acquisition for clients. Connect with Richard via his Google+ profile.





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