Wow, what a tough year it was in 2008 and if you believe the papers and all the hype, 2009 is going to be an even harder year!

Businesses are going to strive hard to try and increase revenues whilst keeping an exceptionally tight rein on their marketing budgets.

So if companies are slashing their marketing budgets where are they going to focus their spend and how can companies be assured that the marketing channel they use will give them the return that they want?

In a just-released survey from eMetrics Marketing Optimization Summit more than 64% of respondents say the current economy probably won’t affect their overall marketing budgets, but most report plans to increase or maintain their budgets for Email (83.6%), Online Advertising (77.2%), Keyword Search Campaigns (75.5%), Social Media (61.8%), and Video Advertising (38.2%). eMetrics’ analysis states,

“34.5% of respondents’ marketing budgets are negatively impacted by the economy but only 10-15% of respondents are cutting budgets on online channels. This would suggest that confidence in online marketing effectiveness continues to grow.”

According to the survey web analytics have become increasingly important to senior management.

“Web analytics helps us maximize the effectiveness of our shrinking marketing dollars by pointing out our strengths and weaknesses and providing an actionable roadmap to our most impactful ROI channels online. Tough times really do call for tough measures.”

You can download the entire survey results from the eMetrics web site.

So it appears that digital marketing is the way forward as through the use of analytics it is 100% visible and that means 100% measurable!  However a question which many marketer asked themselves on a daily basis, which online channel is best for me?

Many companies through using the analytics will trial a number of different campaigns and then through the metrics work out the best return on the investment made.  As the statistic show email marketing is the most popular activity and this is because through past experience for many marketers (mine too!) email has been one of the most cost effective routes to increasing communication, prospect engagement and subsequently business.

Online Advertising and PPC is also up there in the stats and this is because again it’s so measurable. You spend a £1 you get £2 back, brilliant let’s spend £1000! Of course it’s not as easy as this and to gain the returns, you need to put some thorough research into finding the right environments to advertise and research the right keywords. This will provide you with some good solid traffic that is most importantly, targeted!

Interestingly social media and video advertising have both come a very long way in a relatively very short space of time. Companies are finally latching on to the power of social media and the advantages of video advertising becoming viral often through the social media sites and can often catapult a brand to a next level.

If I was a business owner (with a website that has been optimised) experimenting with digital marketing for the first time I would obviously do my own research, however  I would most likely start by delivering some small targeted email campaigns (researching the appropriate email marketing software to deliver my campaigns).  I would then, depending on my product/services use some of my budget to trial and deliver a PPC campaign (I would have probably employed a company to provide me with some extensive Keyword research in the first place so that I’m making sure I’m not wasting my precious marketing budget!). 

In conclusion; do your research, there are many ways to market your company and the online spectrum has multiple channels. However one thing is clear in my head as well as many top marketing executives; is that Digital Media is certainly the way forward through these hard times when budgets are being slashed but you’re still being pressured to produce the result! 

What do you think? Do you have any new ideas to add? Please comment below or add to the debate. Please do not hesitate to contact Generate UK for more information and ideas about how to we can help you with your digital marketing in 2009.