Survey: Canadian marketing budgets up in second quarter
According to a survey released by the Toronto-based Institute of Communications and Advertising, Canadian marketing budgets increased at 29% of participating companies in the second quarter of the year. The survey, conducted by NTC Research, is based on information from 270 marketing executives at Canadian companies. According to the institute, this represents the largest increase since the survey began in the third quarter of 2003. Six percent of respondents reported a decrease in their marketing budgets. Companies reporting increased budgets cited improved business confidence, higher than anticipated sales and rising profits as common factors behind their additional marketing spend. Internet-related marketing and direct marketing saw the largest increases due to their perceived lower cost and greater accountability compared to conventional media advertising, according to the survey. Spending on media such as television, print, cinema, radio and outdoor saw the smallest rise. “This survey has exhibited a good track record of anticipating change in economic growth over the past three years, and the upturn in both marketing and advertising spend signalled by the Q2 survey is consistent with an acceleration of economic growth, driven in particular by improved corporate profits,” said Rupert Brendon, president of the institute.