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Corporate Marketers Shifting Spend to Branded Content

December 15, 2011

More than three-quarters of US corporate marketers say they are aggressively (16%) or moderately (62%) shifting spending from traditional marketing to branded-content* marketing, according to a study by the Custom Content Council (CCC) in partnership with ContentWise.

In addition, the annual study, based on a survey of 100 US corporate marketers, found that total spending on branded content rebounded in 2011, to its highest level ever: $1,913,609 per company on average, among those surveyed.

Below, additional findings from the report titled "Spending Study: A Look at How Corporate America Invests in Branded Content," by the CCC and ContentWise.

Among other spending-related findings:   

  • The biggest driver of branded-content growth from 2010 to 2011 was publications budgets, up 68% year over year (YOY). 
  • Branded content accounted for 26% of overall marketing, advertising and communications budgets in 2011 on average, down from 29% in 2010 (likely a result of large increases in overall 2011 marketing budgets, the study notes).
  • 30% of corporate marketers expect their branded-content budgets to increase again in 2012.
  • Marketers are most bullish on digital content: Spending in the category is expected to increase 39% over 2011 levels; the smallest growth is expected in print (up 16% YOY).  

Top Content Marketing Goals: Educate and Retain Customers

The top-ranked reason marketers use branded content is to educate their customers (49%), followed by customer retention (26%) and enhancing brand loyalty (14%). Similar goals were cited in 2010, with customer education ranked first (52%), followed by customer retention (23%) and brand loyalty (12%). 

Up-selling to customers (5%) is ranked as a low priority, reinforcing the idea that marketers view branded-content initiatives as long-term investments rather than transactional ones.

Relative Effectiveness

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