As we've forecasted previously, the US economy remains weak, and shows further evidence of more long-term weakness driven by domestic policy choices:
US economic growth forecast cut, again
US competitiveness slides again, worse than Sweden, Singapore, China
Although current policy is providing some support to domestic demand in the short run, with the apparent hope that this will turn into stabilization of long term demand, unprecedented budget deficits, tax increases, and high unemployment rates have virtually eliminated all visibility for the US economy, at least from a business perspective, and combine to point toward continued poor economic performance in the US for, up to, the balance of the next 5 - 10 years.
With all of these challenges, that were unimaginable to many people even 18 months ago, we are still seeing growth in online advertising spending. The reason for this is that the current horrific US economic conditions have made it more vital than ever for marketers to achieve strong ROI and deliver accountable results for their efforts.
It's been relatively easy to forecast the path of the economy based on the domestic policy choices being made in the US; the greater challenge is in determining how to respond to the extraordinarily negative implications. We're seeing more and more marketers focus on drilling down into their campaigns to maximise their results, twisting every dial possible. We're also seeing greater acceptance and understanding of the audience model for online advertising, which we explain here.
Check us out at www.intermarkets.net for all your online advertising needs, as well as some fun!